The UP Philippine General Hospital (PGH) has been given P260 million this year to procure a fire suppression system for its Central Block, but the formal procurement process for this system has yet to start.
The P260-million budget has been appropriated to UP in the 2024 national budget, under the line item “Establishment of Central Block Fire Suppression and Detection System and Life Safety Plan and Elevator Lobby Renovation, UP-PGH.”
Of the total amount, P250 million is meant to cover the system’s physical equipment, while the remaining P10 million is for its operating expenses for the year.
The need for the upgrade of PGH’s fire prevention system became even more evident after a fire incident struck portions of the 116-year-old hospital on March 13.
The fire affected parts of Wards 1, 2, 3, and 4 located near the hospital’s Central Block. Around 180 patients were evacuated because of the fire, which began around 3 p.m. and was declared out around 90 minutes later, according to Manila Fire Marshal Senior Supt. Christine Cula. Damages were estimated to be at P1.4 million.
This is the latest fire incident that struck the hospital, following a blaze on May 16, 2021, which affected some 500 patients, including 156 COVID-19 patients. That incident caused an estimated P50 million worth of damages.
UP has already obligated P252.5 million for the fire prevention project for the first quarter of 2024. The remaining P7.5 million will be gradually obligated throughout the year.
A budget obligation is a commitment by a government agency that legally binds them to make either immediate or eventual payment of a specified amount of money.
As of writing, however, no notice in the Philippine Government Electronic Procurement System has been posted to call for bidders for PGH’s Central Block fire suppression and detection system. Likewise, UP Manila and PGH have posted neither an invitation to bid nor a notice of award for the proposed fire suppression system project on their procurement website.
Similarly, UP has not disbursed any payment for capital outlays—under which the fire prevention system is classified—according to its latest disclosure dated January 31.
The fire prevention system has also not been included in UP’s indicative annual procurement plan (IAPP). The IAPP, prepared last year, reflects an agency’s priorities and objectives. The actual procurement plan for 2024 is yet to be published.
Government procurement usually spans weeks or months, as potential suppliers must submit their bids first. The winning bidder will then be evaluated by the agency if they satisfy the project’s specifications. Only then can the government award a contract in their favor and begin the project.
A spokesperson for the PGH did not respond for comments. The Collegian also reached out to the Office of the Vice President for Planning and Finance but had not received any response yet as of press time.
Though UP’s budget–including the one for PGH’s fire system–will remain available for use until the end of the year, it is not new for the university to lag in spending its budget.
In its 2022 report, the Commission on Audit flagged UP for its slow budget use and noncompliance with procurement laws resulting in “significant delays” in implementing its projects.
“The non-utilization of the allotted budget revenue for the year signifies delays in the full and timely implementation of planned programs/projects and unnecessarily kept idle the allocated funds for said projects, which could otherwise be used to pursue other equally important projects,” wrote state auditors. ●
First published in the Collegian's print edition on March 22, 2024.
