Transcript of Sen. Grace Poe's questions during the Senate committee
on public services' hearing

Sen. Grace Poe: I just have a question for the Governor. It is really important, I suppose most especially to your constituents. Although numbers and figures are very important, but in the end, our airport should be about services, should be how it will aid progress, how it can be of pride most especially to the Cebuanos. I would like to know, have you been consulted in point regarding the project and if you have any feedback of what your constituents feel, your chamber of commerce, your food industry and all other big business industries.

Gov. Hilario Davide III: Thank you, Sen. Poe. Yes, the Cebuanos believe that this project is very important. In fact, it is long overdue. We expect tourist arrivals to increase so it is a very welcome idea most especially to Cebuanos and the Filipino people. My only concern really is the issues right now involving the bidders and of course my interest is for this to be resolved soon. The Cebuano business community is also concerned about the issues being raised.

Poe: Is your particular concern about the bidding or are there other matters regarding perhaps design or the qualifications. Is there a particular concern?

Davide: The particular concern actually, most of the businessmen I've talked to, or have consulted, they are saying that if there's already a willing bidder, why not award it to the willing bidder. There are also certain sectors there who are concerned about the issues raised by Filinvest and the Changi Consortium. They are concerned and as I have stated earlier, we are eager that this project pushes through because Cebu needs it. Especially since we are expecting the APEC Summit or some events will be held in Cebu. There's also a 2016 International Leaders Congress which will also be held in Cebu.

Poe: So if I understand you correctly, Governor, what you want is to have this project underway already?

Davide: Yes.

Poe: And you are amenable so far with what is being presented to us.

Davide: Yes, senator. And I am glad to be present here. At least I can be beside GMR, and Filinvest as well as DOTC.

Poe: Thank you for the position and also for the representation of your constituents. Secretary Abaya, just a few things, I am not an expert in bidding requirements and the technicalities. I have yet to receive from your office a copy of the original rules of the bid. Just to enlighten myself also, let's say there's really a changing of the rules in the middle of the game, however, as the governor pointed out, they are also eager to have this started. No just feedback from the ground, meaning people that i have talked to and who are also from Cebu. As you know people from Cebu take pride in their design and creative talents. We have Kenneth Cobonpue as an example. They may be very efficient, I am not saying that they are or that they are not, but when it comes to the design itself, there are some who are criticizing just the physical appearance or the design itself. My question is, is there still a possibility that perhaps if the project starts that within the amount that we propose, that certain changes will be made to the aesthetics or the structural design of the building or are we tied down to the design that they submitted to us? Are they also open to working with local architects or design experts who are let's say from Cebu who will not alter the amount that they entered into in terms of the agreement.

Secretary Abaya: Thank you, your Honor. The renderings that we have seen based on the conceptual design was required by the bids and awards committee to test and make sure that there is a Filipino taste or color or tinge that will be incorporated. That was very specific requirements of the BAC. In fact a P1-million peso fund has been required to ensure that that requirement of the BAC is complied with. As regards the engineering, that would be subject to DOTC's approval. So at any point in time, the DOTC can intervene and require the designer or whoever Filipino artists who want to participate and incorporate their ideas in the design. At the end of the day it is subject to government approval.

Poe: May I ask also the companies who are amenable

Sidharath Kapur: Thank you very much for asking this question. I would like to answer 3 things here. One is about the design allotment, there is what we call a concept that we saw in the concept of the bidding document. That is certainly not the end point. It is only the starting point. As we are talking, we are improving. Today I am please to show something even better than what we showed the last time because, Sen. Osmeña himself commented on some pictures and said that this looks better. We are taking that on board and improving it better. This is all output. We are not talking about the budget that has been allowed extra, we are waiting for the exact comment from the feedback of the DOTC. We will be making some submissions. Senator you just touched on the subject of Mr. Cobonpue, of course he is world renowned. He will bring the extra Cebu touch.

Poe: Sir I'm sorry I cannot see your name plate, can I see it? What is your role?

Louie Ferrer: The chief marketing officer of Megawide and part of the betting group, and we've spoken with local architects and deciders. Actually we spoke with Mr. Kenneth Cobonpue already and then he mentioned that he is interested to participate in the designing but we are not stopping with Mr. Cobonpue we've been releasing some more designs and videos to our Facebook and we ask the public to give comments on the design so that we can continuously improve on the design.

Poe: Thank you sir, actually the important thing is we feel a sense of ownership and it can't just be called bidding award, it has to be that everybody feels like they are a part of it, especially in Cebu where as I've said they take pride with their design and in their culture. So maybe more than just lip service if you can come up with an actual group of designers, we have Palafox also who is a renowned architect and many other national artist, I know that you can say that it can spoil the broth when too many hands are dipping into that cauldron but it is also important to show your intention and Sec. Abaya doesn't want to give you more headache here but I think that this is going to last for many decades and one thing is for sure, with the past airports that we've had and a woman perhaps is more concern about this, you have like four stalls in the bathroom what is that? I mean when you go to other airports you have at least 10-20 stalls and I hope this is part of your design, these are probably pedestrian concerns but this is at the end this is what's going to give a better impression to the public we are trying to serve. So my concern is number 1 the time and motion of the services you can provide with the measurement of let's say from one stall to another, I mean all these things so that traffic flow can be ensured, are you going to put tiles that in 10 years will crack or will you invest in stone that could be polished again and again, these will make a difference that's why when you go to China or in many other airports they use natural stone perhaps with age comes beauty and last, so anyway sir it seems they've already invested much into this. I hope that you will take a step further into inviting other stakeholders so that your design will be something you can be really proud of. You are in the PR business and marketing, and I think that this will make a big difference. The type of people that will be a part of your design and who have a discreet credentials to the public when it comes to aesthetics and promoting indigenous materials. The next thing is that I still need a copy of the rules, I mean not to model anything else but I just want to see your justification behind saying that there wasn't really a conflict of interest because there was the minutes of the meeting that already changed it or defined what conflict of interest meant in this case.

Ferrer: We will provide the terms of reference and the instruction to bidders as soon as possible, and probably if we have one we will give it to you before the session ends, as regards the time and motion that is covered by the key performance indices they will be continually monitored that they maintain a certain level of service for passengers, for people who use the bathroom so they will be regulated and monitored throughout the concession period Ma'am. We will make sure that whoever is awarded go the extra mile and put in another initiative to make sure that Filipinos, Cebuanos are part of this and go to the difference between a stone and a tile. Honestly Ma'am this is not headache to me, so I welcome all the ideas and inputs that people would have.

Poe: Thank you sir. It's a relief that it is not really stressful for you. But so as not trivialize the matter, I think in the end those details will spell the difference also, and your handicap access, well my mom is in her 70's and difficult for her to be travelling often now especially with the design of our airports where you have to take a bus, I mean I understand that because of the volume of passengers, but it has to have a clearly defined handicap access. I'm really going to check on that, I'm going to check on how comfortable will it be for our passengers. Also the charges and the fees, I think, Mr. Chair you mentioned about the fees that they are supposed to be allowed to charge, I just want to make sure that there won't be a drastic increase in the fees imposed by the bidder whoever that might be.

Poe: I'd like to know how exactly will you benefit from our growth, I mean you said, you don't really care about the money that you will get to reinvest to the airport. So what is in it for you? There has to be something. Some financial gain, you are a company after all. It's not that we don't care, that is just not our primary focus. Our primary focus is delivering an airport that meets the needs of the region. Because that itself will generate business. And when business is generated obviously people will use the airport facility. We require volume because that is really the benefit.

Poe: Thank you Mr. Harrison. Would you like to add something Mr Kapur, briefly?

Kapur: In India, the charges were not decided in the concession. There was an independent regulator who decides the charges. There is also a process where they can appeal against those charges to an appellate body....

Poe: So you have the power to actually grant concessions? Your group? Or whoever will win it? So if let's say, you have a maximum number of concessionaires, right? You won't go over that, otherwise it will be too congested in the airport. I mean I know you want to generate more income that way, there should be a gap.

Kapur: I absolutely agree with your point. All the airports have very clear standard on concession standard. We will do the design to ensure that the passenger will have comfort in moving within the facility.

Poe: Thank you. Mr. Chair, perhaps they are willing to support their clear intention whoever will win the bid. It doesn't really have to be a written commitment that they will look into the design. Would you be amenable to that?

Abaya: Yes, your Honor, anything that would bind them to all the statements that they made today and I am sure it shouldn't be that difficult to any party to involve the local expertise and talents as part of the plan.

Poe: Mr. Ferrer, would you like to submit to us the names that you would like to nominate just in case you are finally awarded this bid?

Ferrer: We'll do that, your Honor.

Poe: Let us not also forget that Filinvest has a lot of investments in Cebu. So we cannot discount the fact that they are already used to the area. They have proven themselves in many ways in Cebu. I would like to see their point. I would like to be sure in our conscience also that we did not favour one or the other.

Ferrer: We give the assurance, your Honor. That we pride ourselves in maintaining that level field.

Poe: That is all, your Honor. Thank you.

Poe: If the DOTC has an answer to the points raised. For example, whatever the claims are for the bidding and your responses.

DOTC Usec. Rene Limcaoco: Your honor, with respect to issues that are already being raised by Filinvest relating to the financial evaluation, we have to raise the matter of executive deliberative privilege. At this point, we will be unable to provide the committee.

Poe: Why are you raising the executive privilege? Is it for the interest of the public or you don't have the time to put together a response?

DOTC: This common law principle of executive deliberative privilege was designed to prevent a situation where the deliberations of government are prematurely disclosed before a final decision has been made. This relates really to a public disclosure of deliberations of government.

Poe: All the points they raised, just put that, if that's what you claim it to be. In the end, if there's a period of declassification, then we're going to see if it's for the interest of the public or is it because--I'm not alleging anything-- I'm just saying it can't be used to cover a wrongful act. Put it all just for easy reference. This hearings are taking hours, it's better for us to be able to compare it with your formal answers.

Second, whoever may be awarded this contract, this is our chance to ask for their renewable sources of energy. I'm impressed with the new design. This is our chance if it's not going to cost too much more. If the government is going to chip in, and have some solar panels in there. So why not? We're already moving forward. I already raised the point for handicaps, if we're going to have a design team, I'd like to have a list of the ones you will invite.