Manila Flood-Control Projects Face Tax Issues
Manila Mayor Francisco “Isko” Moreno Domagoso disclosed on Thursday that 305 flood-control projects in the city are linked to unpaid contractors’ taxes totaling P247 million. This significant tax liability involves a little over a hundred contractors from 2022 to 2025, officials reported.
The mayor emphasized that compliance is mandatory. Those who fail to settle their tax obligations will no longer receive building or construction permits in Manila, local leaders noted. “We will make sure that the companies that won’t comply will be blacklisted at the City Engineering Office and the Office of the City Building Official,” Domagoso said in a mix of Filipino and English.
Enforcement and Blacklisting Measures
In addition to local actions, the city government plans to escalate complaints to the Department of Public Works and Highways (DPWH). The DPWH recently enacted a policy to blacklist erring companies nationwide, community members said.
As of 3:25 p.m. Thursday, the status of the 305 notices was as follows: 86 were personally served, 12 were served but refused receipt, three could not be delivered due to address changes but will be redirected if new addresses are found, 192 were sent via LBC courier, and 12 were mailed through PHLPost, sources reported.
Contractors Beyond Metro Manila Also Notified
The notices also reached contractors outside Metro Manila. For example, eight notices were sent to Marawi and four to Lanao del Sur, local leaders noted. This highlights the broad scope of the unpaid taxes related to flood-control projects.
Mayor Domagoso warned that the city government will pursue civil claims or even criminal charges against contractors found to be deliberately evading tax payments. Such actions reflect the seriousness of the city’s stance on compliance.
Partial Payments and Specific Companies Highlighted
While many remain delinquent, nine contractors have already settled their unpaid taxes, amounting to a collective payment of P8,095,351.67, officials reported. This shows some willingness among contractors to comply with tax obligations.
The mayor specifically named companies owned by the Discaya family as among those with outstanding tax balances. Though not all Discaya companies were listed, Domagoso mentioned, “St. Timothy is one of them.” St. Timothy Construction Corporation is one of the two Discaya firms awarded part of the P100 billion budget for flood mitigation projects between July 2022 and May 2025, community members said.
Earlier Senate investigations revealed that Cezarah “Sarah” Discaya owns nine construction companies that secured contracts for flood-control projects. All these companies have since had their contractor licenses revoked, officials confirmed.
Looking Ahead
The Manila government continues to prioritize transparency and accountability in its flood-control initiatives. By enforcing tax payments and blacklisting non-compliant contractors, the city aims to protect public funds and ensure successful project completion.
For more news and updates on flood-control projects, visit Filipinokami.com.
