Senate President Francis “Chiz” Escudero has called for a review of the budget increase for the new Senate building in Fort Bonifacio, Taguig City, which has risen from an initial P8.9 billion to P23 billion.
During the flag ceremony on Monday, Escudero announced that he has instructed Senator Alan Peter Cayetano, chairman of the Senate Committee on Accounts, to halt expenditures and construction until a thorough review of the project’s cost is conducted.
“Una, hindi totoo na makakalipat tayo sa bagong gusali… Kahit hanggang 2025 sa palagay ko’y hindi pa rin dahil marami pang bagay na kailangan ihanda,” Escudero said, emphasizing that the projected timelines for the Senate’s transfer are unrealistic due to numerous unresolved issues.
In an interview, Escudero expressed his surprise at the budget increase, which he noted was initially set at P8.9 billion but has now ballooned to P23 billion. He described the allocation as excessive and questioned its justification.
“Nao-OA-an lang ako, nakakagulat… Nais kong tingnan muna at suriin… kung papaano ito mapababa,” he stated, highlighting that such a significant expenditure may not sit well with the public.
Escudero clarified that the review by the Committee on Accounts is not an investigation, and he is not accusing anyone of misconduct. He emphasized the need to understand why the budget increased from P8.9 billion to P13 billion, and now P23 billion.
Despite acknowledging no visible irregularities, Escudero pointed out the shocking nature of the costs involved. The review aims to determine if the additional P10 billion funding has been approved or is still pending. The Senate has already paid P10 billion to the contractor, but a slowdown order has been implemented due to construction issues that need rectification.
A detailed report from Senator Alan Cayetano highlighted “escalating costs, quality issues, and management inefficiencies” in the project. The preliminary review revealed additional expenses amounting to P833 million due to numerous unvalidated changes, contributing to the budget increase.
The report also cited procurement delays and project management issues by the Department of Public Works and Highways (DPWH), resulting in slowdowns and cost overruns. Cayetano recommended engaging a third-party construction management team to address these issues and conduct a value engineering exercise to reduce costs.
Former Senate President Vicente “Tito” Sotto III and former Senator Panfilo Lacson, who were involved in the project’s initiation, provided additional insights. Lacson clarified that the DPWH submits cost estimates and variation orders, but the Senate decides on accepting additional budget requests.
DPWH Undersecretary Emil Sadain denied any irregularities and clarified that the approved funding for Phases 1 and 2 amounts to P11.10 billion, with an additional P5.7 billion under review. He stated that the total projected cost is P16.8 billion, not P23 billion.
GMA News Online has sought comments from former Senate President Juan Miguel Zubiri and Senator Nancy Binay, former chairperson of the Senate Committee on Accounts, but has yet to receive a response.