Economy

PAC faults Sh42.6 million Huduma Centre tender

huduma

A Huduma Centre in Nairobi. FILE PHOTO | NMG

The State department for Youth, Public Service and Gender is on the spot over award of Sh42.6 million tender for construction of a Huduma Centre through restricted tender.

After sealing the deal with a preferred firm, the ministry went ahead and paid Sh25,572,858 or 60 percent of the contract sum as down payment for construction of Huduma Centre in Mandera.

The National Assembly’s Public Accounts Committee (PAC) says although the management requested for restrictive tendering citing Section 102(1) (b) of the Public Procurement and Asset Disposal Act 2015, no evidence was provided to show there was time pressure or that the costs would be disproportionate.

“The committee observed that the accounting officer (principal secretary) used restricted tender method which is only allowed in exceptional circumstances which did not qualify in the prevailing circumstances,” Opiyo Wandayi, who chairs PAC, said in a report adopted by the House last month.

PAC said the ministry relied on a negotiated performance contract between the Cabinet Secretary and the PS to award the tender to an unidentified firm.

“The committee recommends that within three months upon adoption of this report, the office of the Director of Public Prosecutions should prosecute those found culpable,” Mr Wandayi said in the report.