Twelve vehicles including a `David G’ bus assigned to the Region Seven administration, recorded high maintenance costs for last year, according to the 2017 Auditor General’s report, which also highlighted over $2 million in overpayments on several contracts.
According to the report which was presented to the National Assembly last month, the high costs which totalled $14.768 million were discovered during an analysis of the region’s vehicles spares & maintenance records. This amount was a part of a total of $23.593 million which was expended for these areas. The Auditor General’s Office’s examination covered the period January 1 to December 31.
According to a table included in the report, $2.225 million was spent on repairs to the bus, which was commissioned as part of the President’s Five Bs initiative. Repairs were also done on a Pick Up at a cost of $1.885 million; a Frontier Double Cap at $1.579 million; another Pick Up Double Cap at $1.525 million; a Suzuki Jeep at $1.159 million; an All-Terrain Vehicle at $1.049 million; a boat at $929, 000; a mini bus at $682, 000 and another All-Terrain Vehicle at $606, 000. Repairs to the tune of $576, 000 and $532, 000 were done on two Yamaha engines.
The region did not explain the reason behind the high maintenance costs but instead indicated that five new vehicles were catered for in the 2019 budget.
The Audit Office recommended that the regional administration monitor the maintenance cost to see whether it’s “economical” to maintain some of these vehicles listed or budget to purchase new ones.
Meanwhile, the report noted that a contract for the maintenance of Duplex Living Quarters at Mongrippa Hill, Bartica was awarded to the lowest of fourteen bidders in the sum of $3.293 million; of which a total of $2.196M was advanced to the contractor. The Engineer’s Estimate was $4.200 million.
“A physical verification revealed that the works were incomplete and the site was abandoned and the final account was still to be prepared. Also, for the works completed so far, it was found that the contractor was overpaid $1.541 million,” the report stated.
A breakdown of the overpaid amount showed that extra was paid for things such as painting,
fittings and plumbing and guttering.
The Head of the Budget Agency in responding to these findings explained that the contract was terminated and informed that a valuation on termination will be prepared and the final overpayment quantified and recovered.
The Audit Office urged the regional administration to recover the overpayment, ensure that completed works are accurately measured and quantified before payments are made to the contractor and to implement proper systems to avoid future recurrences.
With regards to a contract for the maintenance of a shed in Beach View Nursery School Compound, Bartica, the $58, 000 overpaid to the contractor was still outstanding at the time of the compilation of the report.
It was explained that the contract was awarded to the most responsive of eight bidders in the sum of $2.224 million. Amounts totalling $2.219M were paid to the contractor. The Engineer’s Estimate was $2.322 million.
According to the report, a physical verification of the works done revealed that $58,000 was overpaid to the contractor. The overpayment relates to the installation of a groove 7 tongue close boarding to the ceiling and the filling of a sand box with white sand.
The region in response indicated that the amount overpaid “will” be recovered.
The Audit Office again recommended that the region make every effort to recover the overpayment and put proper measures in place to prevent a recurrence.
The report also mentioned a contract for the maintenance of sections of Bartica Secondary School which was awarded to the most responsive of nine bidders in the sum of $3.412 million. The Engineer’s Estimate was $3.995 million. While amounts totalling $3.389 million were paid to the contractor a physical verification revealed that $563,727 was overpaid to the contractor. The monies overpayment pertains to painting, replacement of boards, dismantling and replacement of step treaders and the replacement of exchanging of windows.
These contracts were paid from the $399.990 million allocated for maintenance works. Of this sum, as at 31 December 2017, the sum of $395.715 million was utilised. According to the breakdown, $155.993 million was spent on the maintenance of buildings; $54,971 on the maintenance of roads; $15,597 million on the maintenance of bridges; $25.104 million on the maintenance of Drainage & Irrigation; $11.882 million on the maintenance of sea & river defences; $93,659 million for the maintenance of infrastructure; $23.593 million for vehicle spares & maintenance and $14.916 million on equipment maintenance.
