Subd Comm acts on Brgy Macasandig’s request to end TESDA’s Usufruct Contract

THE City Council Committee on Subdivision and Landed Estate, chaired by Councilor Edgar S. Cabanlas, thoroughly discussed Barangay Macasandig’s request for the termination of the Contract of Usufruct entered into by and between the city government and the Technical Education and Skills Development Authority (TESDA), formerly National Manpower and Youth Council (NMYC).

The Gavel learned that the usufruct agreement, which allowed TESDA Regional Office 10 to occupy the area for over 36 years now, was signed during the administration of the late City Mayor Pablo Magtajas.

During the committee meeting yesterday, Barangay Kagawad Clemencia Neri of Macasandig said that the barangay council requested City Mayor Rolando A. Uy regarding the matter because the barangay urgently needs use of the space for its essential projects.

She recalled that the TESDA already agreed to the transfer of its office from Macasandig to Barangay Bugo, but to no avail.

For his part, Mr. Austolio V. Igot, a representative of TESDA, said that the TESDA building in Macasandig serves as a hub for planning, coordination, and implementation of its programs. Terminating the contract will disrupt services that are crucial for the development and progress of the region, he added.

He further cited that the lot of the Cagayan de Oro Bugo School of Arts and Trades (COBSAT) is fully occupied by the TESDA institution.

While emphasizing the needs of the barangay, Councilor Cabanlas said TESDA is also an important agency for the economic growth of the city.

“Technical vocational courses are essential. You cannot grow without these skills,” he said.

Referring to the contract, Cabanlas cited that the usufruct agreement between the city government and TESDA has no limit of years.

“That the period or tenure of this agreement shall be coterminous with the legal existence of the usufructuary or its successor-in-interests”, he read.

Cabanlas explained that the termination of the contract depends on the existence of TESDA. However, he said that in his opinion, usufruct agreement must have a time frame. Councilor Jose Pepe S. Abbu, Jr. said, under the law, usufruct agreements have a limit of 99 years but is subject to stipulation if there is a specific period of the contract.

After thorough deliberation, the committee referred the matter to the Office of City Mayor Uy and the City Legal Office for recommendation and legal opinion. Councilor Aga Suan was also present during the meeting.