The Tribune

The Government of the Bahamas, almost one year after introducing the Public Procurement Bill to Parliament, finally passed the same on March 15, 2021. However, according to officials at the Ministry of Finance, the Act is not to come into effect until September 2021. This is the second administration to pass such a Bill, as the previous administration passed the Financial Administration and Audit Act 2013, which never came into effect.

This new Public Procurement Bill 2021 is designed to establish a Public Procurement Department, and provide a legal framework for the regulation, modernisation and transformation of government procurement in order to promote value and efficiency in the use of public funds, while overseeing the conduct of procurement in a fair and transparent manner.

However, what I find to be surprising is that some time in March this year, eight school bus service contracts held by vendors in Central Andros were brought to an end by the Ministry of Education while other vendors were awarded the contracts.

Despite the Public Procurement Bill being passed in Parliament on March 15, one would have thought Ministry of Education officials would have at least engaged in “best practices” by requesting proposals for this service via the print media and the government’s e-procurement system. However, as the election nears, Bahamians may find that more and more contracts will be awarded according to political motivations, bypassing a proper tender process. This has been the practice of every successive government. Is the September deadline a deliberate attempt by the government to award contracts to their supporters using the funds from a new budget (2021-2022) prior to an early election?

Sidewalks are being built across the length and breadth of New Providence. Roads have been paved, the Governor General’s residence is being renovated, the Ministry of Works is being repainted, and additions are being made to certain clinics. I can go on. I have yet to see an advertisement requesting proposals for these works in the print media or on the e-procurement site.

What is even more interesting is that the Government of the Bahamas in April 2020 made a policy decision, approved by the Cabinet, which states that all government procurement is mandated to be done through the e-procurement supplier registry. This is a portal where vendors can register to receive notices of all government procurement opportunities, which are to be placed there by all government ministries, agencies, departments and state-owned enterprises (SOEs).

To-date, more than 180 government buyers within 36 ministries, agencies, departments and state-owned enterprises have been trained in the use of the e- e-procurement supplier registry. However, despite the government’s mandate, state-owned enterprises such as Bahamas Power & Light (BPL), the Public Hospitals Authority and the Water and Sewage Corporation, along with the Ministry of Education, Ministry of Public Works supplies department, and Public Parks and Beaches Authority have yet to publish one opportunity on the portal.

I commend the few officers in the Department of Public Works who have engaged in a competitive bidding process where necessary. However, the department, with one of the largest capital works budgets, is also using selective bidding procedures when there are numerous contractors available for these works, depriving them of an equal opportunity. The business community, armed with this information about the government’s e-procurement policy, should resist any and all invitations from government purchasing officers who are requesting that quotes or bids be sent to them by fax and direct e-mail. Purchasing officers, as I indicated, are mandated to place their notice for a bid or quote on the e-procurement system. Further, they are to place on the system who was awarded the business opportunity. In doing so, this diminishes the opportunity for vendor quotes or bids to be manipulated and enhances transparency.

The government is also lacking in professional procurement human capital to effectively implement the Bill. Why? There are few, if any, highly skilled or trained procurement officers in the public sector. Those who were not forced out have left. Second, the Public Financial Management Act reform project has engaged a foreign consultant, without the support of any local procurement professionals, to implement the Public Procurement Act. It will take this individual at least six months to become familiar with previous consultancy reports, the Public Procurement Act and the e-procurement system, plus the goals and objectives of the reform project within a new environment. This clearly shows that the procurement priorities determined by the Public Financial Management reform project leadership are not in harmony with the strategic plan provided by a previous international consultant. In my next article I will make recommendations on how The Bahamas ought to strive for a more open government, and how this process will benefit public procurement.

NB: Daniel Ferguson, a retired chief petty officer with the Royal Bahamas Defence Force (RBDF), is a former procurement officer in the Ministry Health and Ministry of Finance, and former component co-ordinator for the Inter-American Development Bank (IDB) sponsored public financial management reform project, in particular the public procurement reform. He led the drafting team for the development of the Public Procurement Bill 2021, and public procurement regulations. He is a chartered member of the Chartered Institute of Procurement and Supply, with over 25 years of experience in public procurement.