CEBU CITY, PHILIPPINES — Tensions filled the Cebu Provincial Capitol as Governor Pamela Baricuatro branded Vice Governor Glenn Anthony Soco a ‘hypocrite” over his criticism of the proposed ₱211-million tax compromise settlement between the provincial government and Apo Land and Quarry Corporation (ALQC).
During a press briefing, Baricuatro did not mince her words and reminded the vice governor of his role in the compromise deal that the Capitol entered into with another mining firm during the previous administration.
Baricuatro pointed out that Soco had previously authored a resolution authorizing negotiations for a compromise agreement with the Dolomite Mining Corporation (DMC) during the administration of former governor Gwendolyn Garcia when he was still a member of the Provincial Board.
“Basig nakalimot ni si Glenn Soco, nakalimot ni siya nga he authored the negotiation authorizing Gov. Gwendolyn Garcia to conduct negotiations and enter into a compromised agreement with the Dolomite Mining Corporation,” Baricuatro told the media.
“Such hypocrisy. My conscience is clear. There’s no backdoor negotiations,” she declared.
She also dismissed claims that the issue had strained her relationship with the entire Provincial Board, saying the issue is only between her and Soco.
“If he is preparing for war, I am prepared for war — Glenn Soco!” the governor declared.
Negotiation initiated by ALQC
Baricuatro clarified that the proposed compromise settlement did not originate from her office but from ALQC’s legal team.
According to the governor, the company’s lawyers approached the provincial government’s legal office to explore the possibility of a negotiated settlement. She said the proposal was first evaluated by the Provincial Legal Office before being presented to her.
“At first I even asked why the amount seemed small,” Baricuatro said.
After reviewing the explanation provided by the Provincial Legal Office, she said the proposed settlement was considered legally defensible. For that reason, the governor said the proposal was forwarded to the Provincial Board for deliberation and approval.
“It is not me who will approve this. The Provincial Board has the last and final say,” Baricuatro said.
Call for transparency
Baricuatro also urged the Provincial Board, including Board Member Celestino ‘Tining’ Martinez III, to conduct deliberations on the compromise settlement publicly. She specifically called on the committee handling the matter to livestream its discussions to ensure transparency.
“I urge the Provincial Board to livestream the committee meeting so the public can see what is really going on,” the governor said.
She also stressed that neither she nor her personal legal counsel were involved in negotiating the settlement with ALQC.
“That’s why I urge Kap Tining nga sa inyohang committee hearing, i-livestream na para makita katawhan. Gusto man kaha mo’g transparency and accountability?” she added.
Baricuatro also expressed surprise over Soco’s separate press briefing on the issue.
“We were just surprised why the Vice Gov. was having his own presscon. It was not necessary at all,” she said.
The governor added that Soco could have raised his concerns directly with her rather than airing them publicly.
Previous compromise agreements
Capitol legal counsel Restituto Arnaiz said compromise agreements involving mining firms are not new in the province.
He cited a 2023 settlement between the provincial government and DMC during the Garcia administration.
Arnaiz said the province had initially assessed the company ₱855.9 million in taxes and fees but later settled the dispute through a compromise agreement worth ₱56.39 million, or roughly 6.5 percent of the original assessment.
The resolution authorizing negotiations with DMC had been authored by Soco when he was still a member of the Provincial Board. Under the agreement, the mining firm was allowed to pay the ₱56.39 million settlement in staggered payments until 2028.
Contrary to the DMC deal, Baricuatro said the arrangement with the proposed settlement involving ALQC calls for a one-time payment instead of staggered installments.
‘Demolition job’
Baricuatro suggested that criticism against the proposed settlement may be politically motivated.
“This is part of what I call a demolition job against me,” she said.
Despite the controversy, the governor maintained that the negotiation process followed legal procedures and was handled by the respective legal teams of both parties.
Soco’s position
Earlier, Soco said the Provincial Board must first determine whether entering into a compromise settlement with ALQC is justified before discussing the amount involved.
“Ang unang pangutana siguro natong tubagon is angayan ba,” Soco said during a press briefing on March 6.
He added that members of the Provincial Board were not initially aware of the discussions that led to the proposed compromise settlement and were surprised when the proposal was formally submitted.
Records show that the proposal from the Office of the Governor was endorsed to the Provincial Board on January 26, 2026.
The proposal was first referred to the Committee on Laws and Ordinances and later forwarded to the Committee on Ways and Means.
Soco said the issue will be tackled in a joint committee discussion involving both committees.
“What I can assure the public is that the Provincial Board will carefully review the proposal and deliberate it fully,” Soco said.
He also raised concerns about the possible implications of approving a compromise settlement, saying it could encourage other quarry operators in the province to seek similar arrangements.
Basis of the tax dispute
The dispute between the provincial government and ALQC stems from 16 years of tax assessments related to quarry operations in Cebu.
The Provincial Treasurer had originally assessed the company ₱1.218 billion covering extraction taxes, monitoring fees, environmental enhancement fees, and accumulated penalties.
However, Capitol lawyers cited a ruling by the Supreme Court of the Philippines in the case of Province of Bulacan vs. Court of Appeals, which limits the authority of local governments to impose extraction taxes on materials sourced from privately owned land.
Under the ruling, provinces cannot impose extraction taxes on quarry materials extracted from private property.
Since ALQC’s quarry operations are located on private land under Mineral Production Sharing Agreements, the extraction tax component of the assessment was deemed legally questionable. Removing that portion significantly reduced the amount that could be collected.
What remained were monitoring fees, environmental enhancement fees, and related penalties.
Rather than pursue prolonged litigation, both parties moved toward a compromise settlement.
Under the proposal, the province may collect ₱211.56 million from ALQC—equivalent to 17.36 percent of the original ₱1.218-billion assessment. By comparison, the compromise agreement with DMC resulted in the recovery of only about 6.58 percent of the total assessment.
| Written by Jonnavie Villa & UP Intern Hannah Gresha Abayon/FPL
