‘BILLIONS IN THE DRAIN’: P2.2-B flood works poured in Iloilo City; P901-M goes to Discaya firms

By Rjay Zuriaga Castor

More than PHP 2.2 billion worth of flood control projects are underway in Iloilo City, and nearly half of those funds — PHP 901.4 million — have been awarded to firms linked to the controversial Discaya family.

A review by The Daily Guardian of Department of Public Works and Highways Region 6 (DPWH‑6) and Iloilo City District Engineering Office (ICDEO) data revealed that 22 flood mitigation projects were awarded between 2024 and 2025.

Of those, seven contracts valued between PHP 90 million and PHP 144 million each were won by Discaya‑linked firms.

Five companies tied to the Discaya family have active flood control projects in Iloilo: St. Gerrard Construction General Contractor and Development Corp.; Alpha and Omega General Contractor and Development Corp.; St. Timothy Construction Corp.; St. Matthew General Contractor and Development Corp.; and YPR General Contractor and Construction Supply Inc.

Alpha and Omega secured a PHP 144.7 million flood project in Barangay Tacas, Jaro, while YPR General Contractor obtained a PHP 143.3 million contract in Bo. Obrero, Lapuz.

St. Matthew was awarded a PHP 119 million project, and St. Gerrard landed a PHP 90.9 million contract in Mohon, Arevalo.

Meanwhile, St. Timothy secured three projects in two years worth more than PHP 400 million combined, although one project in Molo was suspended in June 2025 due to obstructions.

Despite the dominance of Discaya‑linked firms, F. Gurrea Construction, Inc. secured eight projects valued at more than PHP 678 million, while A.D. Pendon Construction & Supply, Inc. won three projects worth PHP 213 million, and IBC International Builders Corporation obtained two projects totaling PHP 163 million.

The large flow of public funds to Discaya‑linked companies has prompted concerns that some contracts were awarded through questionable procurement practices that suppress competition.

Amid mounting scrutiny, Iloilo City’s lone district Rep. Julienne “Jamjam” Baronda denied involvement in the awarding process of those contracts.

“The DPWH‑6 and ICDEO conduct the bidding. They are the agencies responsible for it, and we don’t meddle in that,” Baronda told DYRI RMN Iloilo on Friday, Sept. 19.

The DPWH conducts its bidding for infrastructure projects through a publicized, open competitive bidding process.

The bidding includes stages like advertisement, pre-bid conference, submission, public opening of bids, evaluation of bids, post-qualification, and awarding of contracts.

Baronda claimed that while she helped facilitate funding for Iloilo’s flood control projects, her direct role ended after the funds were secured.

She said her office deploys consultants in each district to help ensure implementation once contracts are awarded.

The Philippine Contractors Accreditation Board recently revoked the licenses of nine firms associated with the Discaya couple over findings of collusion, joint or multiple bidding, violations of procurement law, and license irregularities.

According to Baronda, citing DPWH Secretary Vince Dizon, ongoing projects by the Discaya firms may proceed under existing contracts despite the revocations, but projects awarded but not yet started could be suspended, canceled, or subject to rebidding.