Region Two saves millions with tighter procurement measures

May 29, 2017 News

Region Two (Pomeroon-Supenaam) officials have saved the nation millions of dollars by strengthening the region’s procurement system regarding the awarding of contracts.
This was done under the headings of ‘Capital Expenditure’ and ‘Current Expenditure’. Based on documents seen by this newspaper concerning a number of projects undertaken by the Regional Administration, officials saved $76M from current expenditure budgetary allocations.
Kaieteur News was informed that prior to 2016, the region did not place enough emphasis on awarding contracts to the lowest responsive bidders for contracts. As such, money which could have been saved went into the hands of contractors.
However, by following procurement regulations and awarding the majority of contracts generally to the lowest responsive bidder, the region was able to use the money saved to fund other projects.

The Suddie Hospital, which had benefited from works due to savings from the region’s budgetary allocations (Aubrey Odle photo)

Some of the projects which have been funded from savings include repairs to the State House in the region, supervision and monitoring of drainage and irrigation works, desilting of trenches, repairs to flap gate at Charity Farmers Wharf, landscaping works, plumbing works and upgrading of living quarters and dormitories.
Almost mirroring the successes made with current expenditure, the region was able to save $70M from works under its Capital expenses budget for 2016. Under this head, rehabilitation work was done on the regional State House, sea sluices at Westbury and Dartmouth were rehabilitated, a timber bridge was constructed at Fear Not, the Seawall Road at Anna Regina was upgraded, the Public Health building at the Suddie Hospital Complex was extended, the mortuary at the Oscar Joseph Hospital was rehabilitated and new sanitary facilities were constructed at the Suddie Health Centre, Good Hope Health Centre, Windsor Castle Health Centre and Dartmouth Health Centre.
Efforts have been made to monitor the spending levels under the various programme headings so that funds could have been transferred to other projects which did not receive initial budgetary allocations.
For 2016, the region had achieved 99 percent and 100 percent completion under both capital and current expenditures from a total budgetary allocation of $3.4B.
Despite these successes, the region also has to deal with the late utilisation of funds. Kaieteur News understands that it has been the norm whereby requests for materials are made late in the year, although funds were available all year.
This places the region in a position where there are unspent funds or a haste to spend funds which leaves the region vulnerable to possibly awarding contracts to unscrupulous contractors or suppliers.