Anti-nepotism law pushed in Cebu City

Local

DOING business with City Hall may soon be off-limits to the relatives of Cebu City officials.

A proposed ordinance filed by Councilor Harry Eran seeks to stop public officials’ family members — up to the fourth civil degree — from entering into contracts or transacting with the city government, in a bid to curb nepotism and strengthen public trust.

Eran’s proposed measure, titled the “Cebu City Anti-Nepotism in Government Contracts Ordinance of 2025,” bars relatives of city officials by blood or marriage from bidding for, securing, or benefiting from any government project, deal, or transaction with the city.

“The existence of contracts between the city government and relatives of public officials creates a clear conflict of interest, undermines public trust, and can lead to perceptions of favoritism, nepotism, and corruption,” the proposed ordinance read.

Eran said the measure is meant to ensure transparency and fairness in all city transactions and eliminate opportunities for relatives of officials to profit from public funds.

The proposed ordinance draws support from existing laws, including the 1987 Constitution, Local Government Code (RA 7160), Code of Conduct and Ethical Standards for Public Officials (RA 6713), and the Government Procurement Reform Act (RA 9184 as amended by RA 12009) — all of which emphasize integrity and accountability in public service.

“It is the policy of the City Government of Cebu to maintain transparency, accountability, and fairness in all its business transactions,” the draft measure states.

To prevent any conflict of interest, it prohibits city officials from holding any financial interest, direct or indirect, in dealings involving their relatives within the specified degree of relationship.

The proposed ban would cover any transaction where the city is a party or beneficiary, including infrastructure projects, supply and equipment procurement, consulting services, public-private partnerships, joint ventures, and other deals involving public funds or property.

Relatives within the prohibited degree would be disqualified from participating in any bidding, application, or licensing process with City Hall.

It also requires public officials to disclose and recuse themselves from any transaction upon learning that a relative is involved.

“Any public official who becomes aware that a relative within the prohibited degree is involved in a covered transaction must immediately disclose the relationship in writing to their department head and the relevant office and must recuse themselves from all proceedings,” the ordinance states.

Violators could face six months to one year imprisonment and/or a P5,000 fine.

Contracts entered into in violation of the ordinance would be declared void, and any payments would have to be refunded to the city treasury.

Those found violating the rule would also be permanently banned from transacting with City Hall, while public officials who fail to disclose such relationships could face administrative sanctions, including dismissal and perpetual disqualification from public office.

However, the ordinance allows certain exceptions, such as:

Land acquisitions for public use or socialized housing;

Inter-governmental transactions;

Payment of lawful salaries and benefits;

Dealings with publicly listed companies where relatives have non-controlling shares; and

Programs for marginalized sectors are expressly allowed by law.

Once enacted, the Office of the City Mayor will issue the implementing rules and regulations.

The proposal is now under review by the City Council’s Committee on Laws for further study and deliberation.(TGP)