Government goes easy on purchase of buildings

The Department of Budget and Management (DBM) has ordered that the rehabilitation, construction or purchase of public office buildings be rationalized.

“Consistent with the government’s thrust to utilize public resources in the most effective, efficient, economical and ethical way, the rehabilitation, construction and acquisition of government buildings to be used as permanent offices by national government agencies, government-owned and/or -controlled corporations and government financial institutions shall be rationalized,” the DBM said in Joint Circular No. 1 it issued with the Department of Public Works and Highways on Oct. 20.

According to the DBM, the rehabilitation or provision of new buildings will be prioritized for agencies that currently rent office space; those whose office space or building have structural defect; those forced to vacate their current office location; those that do not have adequate space to accommodate their personnel; those providing frontline services; and “those which experience or encounter other situations or factors which necessitate the rehabilitation of the existing office space/building, the construction of a new one, or the acquisition of office space/building.”

For agencies that already have lots and buildings, they will be allowed to either rehabilitate their office or construct a new one following complete demolition of the old one, upon the recommendation of the DPWH.

Agencies that do not have buildings but have lots, meanwhile, will be allowed to build an office building.

For those that neither have a building nor a lot, they will be allowed any of the following: Acquisition of a lot with existing building; acquisition of a lot without a building, after which, the construction of a building; or acquisition of office space in an existing building that is owned by another government agency or a private entity, the DBM said.

As for financing, the DBM said government agencies may tap public-private partnership or private financing.