The Ministry of Public Health is moving to set up a new procurement department, which would be responsible for contract management, including ensuring that suppliers deliver drugs after they are paid, according to Permanent Secretary Collette Adams.
Adams made the disclosure on Monday during questioning by the Public Accounts Committee (PAC) on the procurement of drugs and medical supplies.
With a large amount of drugs procured in 2015 and 2016 still to be delivered from the suppliers, Adams was asked what impact the irregular supply would have had. Adams said that it would have influenced the drug shortage that has been plaguing many regions.
“We still have outstanding deliveries from suppliers… what systems are in place at the Ministry of Public Health to ensure that drugs and medical supplies are purchased and promptly and properly delivered and accounted for?” PPP/C Member of Parliament (MP) Juan Edghill asked.
Adams related that the ministry was in the process of setting up a new procurement department, where contract management will be one of the main activities. “Significant sums are being expended and I would like to hear what is in place and not what is to be done. We are looking here at the 2015 audit report and I think it would’ve indicated that the Ministry of Public Health would’ve expended more than $1.8 billion dollars,” Edghill said, while pointing out that even after two years some drugs are still to be delivered and he questioned the efficiency of the current procurement system.
When questioned if the system is not working properly, Adams said yes and reemphasized that they are working on implementing a new one within the next few weeks.
“The new system, at the moment, we are at the Public Service Commission waiting on the appointments, which should happen before the end of the month. The system will also be responsible for the outstanding drugs and medical supplies that are owed,” Adams pointed out.
At this point, Edghill interjected and recommended that the Audit Office conducts a “value for money” audit on the procurement of drugs and medical supplies in the public health system.
Committee member Nigel Dharamlall also related the same thing and said he also thinks there is a need for an in-depth audit into the procurement system. “…We are still paying in 2015 for drugs supplies two years after… Then I shall not think what is happening in 2016,” he said.
At the start of the month, the Public Health Ministry announced that the Pan-American Health Organization/ World Health Organization (PAHO/ WHO) was funding and leading an audit of the procurement process in the health sector.
The audit is being spearheaded by Professor Jaime Espin Balbino of the Andalusian School of Public Health, Regional Ministry of Health and it is expected to target the operations of both the ministry and the Georgetown Public Hospital Corporation.
Adams was unable to answer numerous questions that were asked of her and the committee requested that she provide the information at a later date.