(2016-11) Audit of Procurement Procedures — Unit for Housing Construction and Public Buildings (UCLBP), FY 2014-2015

CNMP - Commission Nationale des Marchés Publics • 2016

Summary — This final report presents the audit of public procurement and contract management procedures by Haiti's Unit for the Construction of Housing and Public Buildings (UCLBP) for the 2014-2015 fiscal year. Conducted by Daniel Thirion International and FARUD, the audit revealed significant non-compliance with regulations, widespread use of unjustified direct agreements, and deficiencies in project planning and oversight. It highlights the need for improved governance, transparency, and technical capacity within UCLBP.

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Key Findings

The legal and regulatory framework for UCLBP's procurement is largely non-compliant, notably lacking a specialized public procurement commission (CSMP).
Many contracts, especially for works, were awarded through unjustified direct agreements, bypassing competitive bidding processes.
Major projects suffered from incomplete technical studies, poor contract management, significant delays, and substantial cost overruns, with one project exceeding its budget by 91%.
There is a lack of internal controls, formal archiving procedures, and effective planning within UCLBP, hindering transparent and efficient project execution.
Inadequate technical and financial qualification criteria in tender documents led to inefficient evaluations and repeated unsuccessful calls for tenders.

Full Description

This final audit report, conducted by Daniel Thirion International (DTI Inc.) in collaboration with local firm FARUD, assesses the public procurement and contract management procedures of Haiti's Unit for the Construction of Housing and Public Buildings (UCLBP) for the fiscal year 2014-2015. The mission, commissioned by the Ministry of Economy and Finance's Project Coordination Unit (UCP) and the National Public Procurement Commission (CNMP), aimed to verify compliance with regulations, adherence to principles of economy, transparency, efficiency, and equity, and the effectiveness of contract execution and archiving. The audit identified systemic weaknesses, including a legal and regulatory framework that is largely non-compliant, a lack of internal controls, and inadequate archiving procedures. A significant finding was the widespread use of unjustified direct agreements for numerous contracts, particularly for works, often bypassing competitive bidding processes. Major projects, such as the construction of the administrative complex for the Ministry of Finance and the rehabilitation of Canapé Vert Square, suffered from incomplete technical studies, poor contract management, substantial delays, and significant cost overruns. The report provides detailed observations and recommendations to enhance governance, improve procurement practices, and strengthen UCLBP's technical and supervisory capacities.

Topics

Geography

Time Coverage

2014-10-01 — 2015-09-30

Keywords

Public procurement, contract management, audit, Haiti, UCLBP, construction, housing, public buildings, governance, transparency, direct agreements, tender procedures, project management, financial control, Port-au-Prince, Port-de-Paix, Cité Soleil

Entities

REPUBLIQUE DE HAITI, MINISTÈRE DE L'ECONOMIE ET DES FINANCES (MEF), UNITÉ DE COORDINATION DE PROJETS (UCP), COMMISSION NATIONALE DES MARCHÉS PUBLICS (CNMP), Unité de Construction de Logement et de Bâtiments Publics (UCLBP), Daniel Thirion International (DTI Inc.), FARUD, Commission Spécialisée des Marchés Publics (CSMP), Comité d'Evaluation des Offres et d'Ouverture des Plis (COPEO), Cour Supérieure des Comptes et du Contentieux Administratif (CSC/CA), Ministère de la Planification et de la Coopération Externe (MPCE), Direction Générale des Impôts (DGI), Administration Générale des Douanes (AGD), Mairie de Port-au-Prince, Municipalité de Port-de-Paix, Commissariat de Police de Cité Soleil, TECINA S.A., MILLET/MORE ARQUITECTOS, SGS, Ficones S.A., MIEUX CONSTRUIRE, FBC Construction, Philippe LAUTURE, LGL S.A., HONGYUAN Construction Company Ltd., Groupement ABANTIA, OECC, Overseas Investment and Development Corporation (OIDC), Constructora ROFI, HADOM, Banque Mondiale

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' 2016-11-13.