City to involve private sector in market project negotiations

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The city government will enlist the participation of the private sector in the market development project negotiations with Original Proponent Status (OPS) holder SM Prime Holdings Inc.

City Administrator Bonifacio Dela Peña said this is to ensure the representation of the stakeholders particularly the market vendors who will be represented in the upcoming deliberations by Federation of Market Cooperatives-Baguio Retailers Savings and Credit Cooperative auditor Cristine Inso and Baguio Market Vendors Association (BAMARVA) director Angelita Gayados.

They will be part of the pool of advisers and consultants who will join the negotiating committees composed of members of the Public-Private Partnership for the People selection committee (P4SC) headed by Dela Peña.

The pool also includes Councilor Francisco Roberto Ortega, Advisory Council member Edgardo Nevada, Baguio City Host Lion’s Club president Nikko Jayson Go, Rotary Club of Baguio Summer Capital president Steve Cating, outstanding woman leader Emerita Fuerte, Philippine Chamber of Commerce auditor Rowena Tabanda and national artist Eric De Guia.

Dela Peña said two committees had been formed, the technical which he will chair and finance to be helmed by City Budget Officer Leticia Clemente but they are considering the inclusion of a socio-economic team to join the round of talks.

He said the city is meticulously preparing its negotiating terms aware that this stage is the most crucial part of the Public-Private Partnership process.

The whole process should be completed within 80 days and only 45 days is allotted for negotiation proper.

As the process goes, once the city mayor and the P4SC had constituted the negotiation panel and set the terms, the panel invites the OPS holder to meeting  to introduce the members and approve the terms of the city government while SMPHI will also present their own terms.

The negotiation panel will then set the ground rules and both sides must agree on the working term sheet or matrix and calendar of negotiation meetings and once done, a series of negotiation meetings will ensue the next 45 days.

After every negotiation, both parties should agree on entries to the matrix with the final output every meeting to serve as minutes,

After all final outputs and agreements, a public consultation will be conducted on the agreed terms.  Then a challenge terms of reference will be drafted based on the final agreed terms preparatory to the next stage which is the Swiss challenge where other companies can participate.

The city will then select the best proposal from the pool and which SMPHI has to top.  The process will go on until an offer cannot be surpassed anymore and declared the winner.

Dela Peña said there is no assurance that the negotiation to be conducted with SMPHI will succeed.

“We are not saying that negotiations are always successful as they can also fail,” he said adding that when that happens, the city will move on to find other offers subject again to P4 ordinance rules. – Aileen P. Refuerzo