The Plenary of the Liberian Senate has instructed its Committees on Judiciary, Public Works and Public Accounts and Audits to investigate the Public Works Ministry for awarding over US$21,000,000 worth of contracts to several contractors without legislative approval.
The decision of the Plenary on Thursday, April 18, 2024 follows a joint communication from Senators Nathaniel McGill, Abraham Dillon, Gbehzongar Findley and Simeon Taylor of Margibi, Montserrado, Grand Bassa and Grand Cape Mount Counties respectively.
The four lawmakers said that the Ministry of Public Works awarded contracts valued US$21 million to some contractors for the rehabilitation and construction of roads across the country.
Some of those contractors include: CHICO, from Salayea to Voinjama road corridoe for US$3,999,000, SSF, from Voinjama to Foya, US$1,719,976.40, SSF from Foya to Mendikorma, US$740,650.
The rest of the awardees are CICO, to connect from Tapita to Zwedru at US$3,200,000, CHICO, from Zwedru to Karnweakan at US$2,434,700, Barclayville to Pleebo valued US$1,507,750, Buchanna to ITI, US$2,123,651.88 and ITI to Greenville, US$2, 882,000.
The senators maintained that it is fundamental that any government institution issuing contracts must ensure that funding is available before awarding such contracts as outlined in the Public Financial Management (PFM) and the PPCC Act.
“In the case of contracts for the procurement of goods, US$500,000; in the case of contracts for the procurement of services, US$200,000 and in the case of contracts for the procurement of works, US$1,000,000,” they said.
They noted that the law placed emphasis on international and national open competitive bidding processes for contract ceiling for procurement of goods and services.
The four lawmakers pointed to failure of the ministry to adhere to the Amended and Restated Public Procurement and Concession Act of 2005, stressing that the awarding of said contracts demonstrates lack of adherence to the rule of law.
The Senators at the same time informed Plenary that the Public Works Ministry allegedly signed the contracts on a letter-to-proceed which gives the contractors the right to acquire loan on a pre-financing agreement; such should not be done without an approved national budget.
“The absence of an approved budget, except for US$2,000,000 allotted for Policy Priorities (100-Day Deliverables) out of the approved US$41,000,000 requested in February, raises questions about the source of funding for these contracts awarded by the Ministry of Public Works,” the senators said.
According to them, any institution seeking to enter into pre-financing agreements must first seek legislative approval consistent with article 34(d) of the Liberian Constitution and its subsection where applicable.
Meanwhile, the four senators are calling on the Liberian Senate to disallow the Public Works Ministry from proceeding with the contracts until an approved budget is passed.
“Furthermore, any institution seeking to enter into a pre-financing agreement must first seek legislative approval in accordance with Article 14 (d) of the Liberian Constitution and its subsections where applicable. It is essential that we uphold the principles of good governance and transparency in all government actions for the benefit of the Liberian people as they deserve a government that acts in their best interests and upholds rule of law,” they said. The Joint Committee is expected to report back to plenary within one week.
