The Commission on Audit (COA), in its annual audit report for 2011, showed that the City Government did not secure warranties for its completed infrastructure projects, according to the camp of Pampanga Representative Carmelo Lazatin (first district).
Section 6 of the COA Report, dated June 18, 2012 and signed by COA regional director Winnie Encallado, stated that the City Government did not secure a warranty for its completed infrastructure projects, therefore “denying the city of adequate protection against any structural defects/failure within the warranty period.”
According to the COA report, the lack of warranty resulted in the city being “deprived of its right to enforce the responsible contractor to undertake the correction/repair of any structural defect and/or failure in projects that may occur within the warranty period commencing on the date the project was finally accepted.”
Not securing a warranty for infrastructure projects is in violation of the Revised Implementing Rules and Regulations (IRR) of Republic Act (RA) 9184, otherwise known as Government Procurement Reform Act, particularly, Section 62.2.3.
Section 62.2.3 of the Revised IRR of RA 9184 states that for the procurement of infrastructure projects, government units should secure a warranty from the contract awardee from the final acceptance of the project up to a period of 15 years for permanent structures, five years for semi-permanent structures, and two years for other structures, except in the case of force majeure (e.g. natural disasters)
by: Reynaldo Navales
