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DNA: BAMSI FIASCO SHOWS NEED TO OVERHAUL CONTRACT PROCEDURES

By NICO SCAVELLA

Tribune Staff Reporter

nscavella@tribunemedia.net

DEMOCRATIC National Alliance Leader Branville McCartney yesterday said the government’s handling of the Bahamas Agriculture and Marine Science Institute highlights the need for an “overhaul of the public procurement processes”.

He accused the government of failing to hold a transparent bidding process for BAMSI’s contracts.

Again calling for a Freedom of Information Act to be implemented, Mr McCartney said the controversy not only highlights alleged flaws in the bidding system, in which political party affiliates may be favoured for government contracts despite their qualifications, but raises further questions on “the viability and legality of all other contracts awarded by this PLP administration during this political term in office.”

He said in light of these “troubling revelations” surrounding BAMSI, the government must submit to a “detailed independent audit of all its government contracts, the details of which should be tabled in Parliament.”

“The government’s handling of the BAMSI project raises some key concerns and again highlights the need for an overhaul of the public procurement processes in this country,” Mr McCartney said in a statement released yesterday.

“As with countless other government contracts, the Christie administration failed to hold a transparent bidding process, instead, awarding the $2.6m contract to long-time party supporter Audley Hanna.”

Mr McCartney noted an American report, which expressed concern about the government’s procurement process, citing concerns raised by potential US investors.

The United States Department of State’s 2014 Investment Climate Statement on the Bahamas said the process of the government issuing contracts “lacks transparency” as there is no requirement to engage in open public tenders and awarded decisions are not subject to challenge or review.

“At the time, the Christie administration dismissed those apprehensions, however their handling of the BAMSI contracts prove just how well placed those concerns were,” Mr McCartney said.

He added that the BAMSI controversy raises more questions about other government contracts, including the one awarded for the construction of a new home for the Ministry of National Security on John F Kennedy Highway.

Mr McCartney said the contractor in that project, Holiday Industrial Builders Intl, “has very close ties to the PLP”.

The government has said that contract, worth $20 million, was awarded in 2013 through a selective bidding process.

“Is that building also uninsured? At the time of the ‘giving’ of the contract, was there a valid business license in place for the contractor?” Mr McCartney asked.

Mr McCartney’s comments came a day after Minister of Works Philip “Brave” Davis backtracked from his initial comments about the validity of the insurance policy of the fire-damaged dormitory at BAMSI.

Last month, Mr Davis said that the dorm’s policy had lapsed at the time of the fire on January 15, because the contract had not paid for extended coverage. However, on Wednesday, he revealed that the $2.6m structure never had all-risk insurance coverage, as was mandated, and that the contractor only provided a quote from an insurance company before receiving payments.

He said the oversight was due to an “administrative error.”

Former Works Minister Neko Grant subsequently called for police to investigate the matter and said Mr Davis “misled” the House of Assembly when he spoke on the matter on February 25.

He said Mr Davis should now “do the honourable thing” – a suggestion that he should resign.

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