More on LRT extension project to Cavite

In an earlier column, we gave Rep. Ayong Maliksi of Cavite ample space to refute issues of corruption in the P500-million Line 1 South Informal Dweller Reduction Project of the Light Rail Transit Authority (LRTA). But his comments failed to clarify issues. Rather, they opened a can of worms uncovering misuse of public funds.

Maliksi claims the memorandum of agreement he signed with the LRTA is legal as the Cavite provincial government is authorized under the build-operate-transfer (BOT) law to undertake housing projects for squatters. That is true with BOT projects, but Maliksi fails to elaborate that BOT projects involve private financing and approval by the National Economic and Development Authority for projects costing over P300 million.

Clearly, the agreement with the LRTA is not a BOT project. It is a national government relocation project for squatters affected by the construction of the LRTA’s Line 1 extension to Cavite and funded by a P500-million appropriation from the national government.

The project is covered by RA 8974 or “An Act to Facilitate the Acquisition of Right-of-Way Site or Location for National Government Infrastructure Projects.” Such projects include those covered by the BOT Law as well as related activities such as the Line 1 squatter relocation project and must be bid out by the implementing agency, in this case the LRTA, and not the Cavite provincial government.

The implementing rules further provide that the National Housing Authority (NHA)—and no other—shall develop the housing sites.

In his rejoinder, Maliksi admits that the Cavite government used P125,488,200 of national taxpayers’ money to buy 14 parcels of land in 2008, 13 of which were agricultural lands. Now he must explain why titles to these lands were transferred to Cavite instead of the LRTA.

Maliksi also has to explain why he authorized the payment of P600 per square meter for the 13 agricultural lands at a time when their fair market value was between P150 and P200 per sq m.

The stage upon which the LRTA was made to pay thrice more than its fair market value is the Cavite Provincial Appraisal Committee, which certified that the outrageous price was the median between the value of agricultural and residential lands. “Since said lots were now affected by the proposed LRTA extension, the properties’ highest and best use would be as part of the said project (residential),” the committee said.

The law says otherwise. The implementing rules of RA 8974 say that “the increase in the value of the affected property brought about by the government project shall not be considered in the determination of the purchase price.”

In short, the Cavite government, using national taxpayers’ money, paid P70 to P80 million more in overpriced agricultural lands, most of which were still covered by Emancipation Patents (EPs).

EPs are covered by RA 3844 (“Agricultural Land Code”). Section 62 provides: “Except in case of hereditary succession xxx landholdings acquired under the Code may not be resold, mortgaged, encumbered or transferred until the lapse of 10 years from the date of full payment and acquisition and after such 10-year period, any transfer, sale or disposition may be made only in favor of persons qualified to acquire economic family-sized farms units in accordance with the provisions of this Code.”

In his rejoinder, Maliksi contends that the Cavite government is exempt from the 10-year ban, and that it legally acquired the agricultural lands. That is not true under the law. He is either intentionally deceiving the public or terribly negligent as he misses the only exemption allowed by law: “hereditary succession.”

Maliksi also fails to explain why only 186 of the obligated 2,000 homes were built, leaving about 1,800 squatter families, who used to live along the LRT right-of-way, with no roof over their heads. An additional 84,000 squatters are likewise still homeless more than four years after they were uprooted to give way to the LRT extension.

Maliksi also claims in his rejoinder that the development of the relocation site was closely coordinated with the NHA. Not true. In a letter on Aug. 4, 2008, Maliksi advised the LRTA that the NHA costing guidelines for the project were too low and not feasible. In place of the NHA, he suggested that the province of Cavite do the bidding for the LRT Line 1 relocation projects to attain the lowest rates for the project.  Does that sound like “closely coordinated”?

Further into his rejoinder, Maliksi claims that I was mistaken in saying that “only one of the seven parcels has a Transfer Certificate of Title (TCT) and six are covered by agrarian reform [EPs].” He probably forgot having signed and sent a letter to the LRTA on Aug. 4, 2008, that declared “there are seven parcels of them, all covered by land titles as follows (1) TCT 75766-l27,959 sq m of unconverted agricultural land owned by Proceso Santiago, relative of Gavino Santiago, partner of broker Cynthia S. Monteclaros; (2) TCT-EP 1106 (EP No. 695850) owned by Cosme Parot Enriquez, 19,099 sq m; TCT-EP 1107 owned by Pedro de Sagun Peralta, 21,427 sq m (EP No, 695891); (4) TCT-EP 1110 owned by Alberto Pagkalwangan, 7,566 sq m (EP No. 695854); (5) TCT-EP 1111 owned by Dalmacio Asucan, 7,566 sq m (EP-695855); (6) TCT-EP 1112 owned by Valentin de Sagun Peralta, 8,025 sq m (EP No. 695856); and (7) TCT-EP 1114 owned by Pedro Sagun de Peralta.”

I count seven parcels of land, as Maliksi used to. To be continued