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Bacolod City, Philippines Thursday, January 5, 2006
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Dads submit BREDCO
minority report
BY CHRYSEE SAMILLANO

The "minority report" of the Bacolod councilors tasked to conduct a study on the possible takeover of the port operation of the Bacolod Real Estate Development Corp. and other options available to the city was submitted yesterday to the City Mayor's Office and the Bacolod Sangguniang Panlungsod.

The report was prepared by Councilors Lyndon Caņa, Greg Gasataya, Homer Bais, Dindo Ramos and Jude Thaddeus Sayson.

Bacolod Mayor Evelio Leonardia yesterday said he only received the report during the meeting of the negotiating panel yesterday afternoon with the representatives of BREDCO headed by Roseller Maalat at the Executive Inn in Bacolod City.

"We welcome the report and after we have verified the data it will become a basis for our decision," he said.

Leonardia said that, during the meeting, which started the 60-day renegotiation period, the panel requested the BREDCO representatives to submit documents to show that it is still BREDCO that the city is dealing with, and not Top Harbor International Inc. He said both parties have agreed to meet twice a week and to discuss the Comprehensive Revised Reclamation Agreement between the city and BREDCO, as well as matters taken up in the notice of violations issued to BREDCO.

The five councilors, referred to as the minority, recommended in their report that the city abrogate its relationship with BREDCO and take over the port operations, re-bid the same, and look for an investor or new partner that will finish the unfinished portion of the reclamation area and operate the port at tariffs rates comparable to that of Philippine Ports Authority and observe the income sharing formula observed by PPA.

The minority report said the group believes that the relationship between the city and BREDCO should be abrogated because of the violations it had committed, such as its transfer of the privileges exclusively granted to it by the city to a stranger (THII) that has no contractual relations with the city, and without permission from it.

It also said BREDCO has encumbered these rights by obtaining a loan from a bank without prior permission from the city.

It recommended that the city apply for temporary operator's permit and request for PPA technical assistance to help it run and operate the port to ensure continued operations, applying PPA standard fees, dues and charges, in order to repeal City Ordinance 157 and rebid the project and port operations under minimum standards- 10 percent of domestic cargo handling income and 20 percent of foreign cargo handling income, with 90 percent and 80 percent of the respective incomes going to the awardee of the bid to enable it to finish the remaining unreclaimed portion of the 250-hectare reclamation project.*CGS

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