By Tracy Cabrera
Following reports that there are some private contractors who continue to defy cease-and-desist orders (CDOs) issued against them by the Department of Public Works and Highways (DPWH), public works secretary Vivencio ‘Vince’ Dizon warned that whovere is caught would
face immediate suspension.
According to reports, construction has continued at sites despite CDOs issued in connection with questioned reclamation activities along Laguna de Bay.
Dizon announced that aside from suspension, errant contractors c Iould be blacklisted from government projects and other contractual sanctions.
This came as the DPWH intensified its crackdown on unauthorized construction projects, particularly in Taguig City.
The DPWH has issued show-cause orders (SCOs) to contractors who continued work despite CDOs covering questioned projects at the Lakeshore Complex in Barangay Lower Bicutan.
“(We) will determine the appropriate sanctions against defiant contractors after reviewing their explanations,” Dizon disclosed even as he reminded that under government procurement rules, contractors found liable for violations during contract implementation face suspension and blacklisting, which will potentially bar them from participating in government bidding for one year for a first offense and two years for a second offense.
Aside from this, government infrastructure contracts may also provide for liquidated damages for breaches or delays while sufficiently serious contractual violations can lead to contract termination and other sanctions.
“Liquidated damages for infrastructure contracts are generally at least 0.1 percent of the cost of the unperformed portion for every day of delay, with termination possible once accumulated damages reach 10 percent of the contract price,” Dizon noted.
On record, though, none of the contractors in Taguig have been penalized so far. However, the public works chief warned that “whatever the order is, it should be complied with.”
Senator Panfilo ‘Ping’ Lacson raised concerns over construction continuing at the sites despite the existing stop orders, prompting the DPWH to immediately check the projects.
Dizon said district engineers have already issued SCOs to the contractors involved and directed them to comply with the CDOs.
