(2016-11) Audit of Procurement Procedures — Ministry of Public Works, Transport and Communications (MTPTC), FY 2014-2015

CNMP - Commission Nationale des Marchés Publics • 2016

Summary — This final report presents an audit of public procurement procedures within Haiti's Ministry of Public Works, Transport and Communications (MTPTC) for the 2014-2015 fiscal year. The audit, conducted by Daniel Thirion International (DTI) and local firm FARUD, aimed to assess the regularity and conformity of contract awards and management. It identified significant non-compliance with legal and regulatory frameworks, particularly regarding competitive bidding, contract documentation, and execution oversight.

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Key Findings

MTPTC's procurement procedures show significant non-compliance with legal and regulatory frameworks, including insufficient competition and inadequate documentation.
The CMMP does not fully perform its regulatory and oversight role, lacking resources and failing to submit activity reports to the CNMP.
Contractual documents often lack essential administrative and technical clauses, leading to broad interpretations, addendums, and poor quality control.
Many contracts, especially those by direct agreement, were not justified under normal conditions and showed unrealistic execution deadlines and non-application of penalties.
Archiving systems are non-existent or inadequate, and personnel lack training, hindering proper contract management and accountability.

Full Description

This final audit report, commissioned by the Project Coordination Unit (UCP) of the Ministry of Economy and Finance and conducted by Daniel Thirion International (DTI) with local firm FARUD, scrutinizes the public procurement and contractual management procedures of the Ministry of Public Works, Transport and Communications (MTPTC) for the 2014-2015 fiscal year. The mission, part of a broader economic governance reform, aimed to verify the regularity, conformity, and adherence to principles of economy, transparency, efficiency, and equity in public contracts. The audit covered organizational structure, procurement processes, and contractual execution, including physical inspections of works in Port-au-Prince. The findings highlight systemic weaknesses, including the MTPTC's Commission Ministérielle des Marchés Publics (CMMP) not fully performing its regulatory role, a lack of internal audit, and inadequate archiving. Many contracts, particularly those awarded by direct agreement or restricted tender, showed non-compliance with legal requirements, such as insufficient competition, unrealistic execution deadlines, and missing contractual clauses. Issues like significant quantity variations, non-application of penalties for delays, and lack of performance bonds were prevalent, leading to cost overruns and project inefficiencies. The report concludes with recommendations to strengthen institutional capacity, improve planning, enhance documentation, and ensure stricter enforcement of procurement regulations.

Topics

Geography

Time Coverage

2014-10-01 — 2015-09-30

Keywords

public procurement, audit, MTPTC, CNMP, contract management, infrastructure, governance, Haiti, public works, transparency, compliance, Pétionville, Gros Mornes, drainage, road maintenance

Entities

Ministère de l'Economie et des Finances (MEF), Unité de Coordination de Projets (UCP), Commission Nationale des Marchés Publics (CNMP), Ministère des Travaux Publics, des Transports et Communications (MTPTC), Daniel Thirion International (DTI), FARUD, Comité de Suivi, de Supervision et de Validation, Commission Ministérielle des Marchés Publics (CMMP), Comité d'Ouverture des Plis et Evaluation des Offres (COPEO), Cour Supérieure des Comptes et du Contentieux Administratif (CSC/CA), Direction des Travaux Publiques (DTP), Construction Etudes S.A (CESA), FICOSA, Ingenieria Estrella S.R.L., APEC, GBF, ENCOTRA, IMMACAVIL, BUTECO, BESEC, Alfred Picard, Péguy Pierre, Wisler Dyrogene

Notes

Series: CNMP Rapport d'Audit, part of the same six-institution FY2014-2015 batch (see MENFP entry above). Marked 'Rapport Final', dated 'Novembre 2016' on the cover. Site 'Publié le' 2016-11-10.