The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

The Opposition’s leader last night accused the Government of failing to comply with financial transparency and disclosure laws “in multiple ways” while not adhering to its campaign promises.

Michael Pintard, in a statement issued to the media, sought to turn the tables on the Davis administration by arguing it has thus far failed to meet its own accountability and transparency pledges in relation to four separate Acts.

Hitting back against the narrative the Government has recently sought to deploy against the former Minnis administration, regarding financial disclosures and the use of taxpayer monies by both the COVID food assistance programme and Bahamas Public Parks and Beaches Authority, he asserted that the Davis administration was guilty of “empty rhetoric”.

Seeking to support his argument, Mr Pintard said the Government had failed to publish the 2021 Fiscal Strategy Report, which provides the foundation for the Government’s economic and fiscal planning, and annual Budget, by the third week of November as mandated by the Fiscal Responsibility Act.

Although the Minnis administration itself missed that deadline, releasing the 2020 Fiscal Strategy Report in December that year while blaming fall-out from the COVID-19 pandemic for the delay, the Opposition’s leader said the Government had failed to produce the 2021 version as it had promised to do “immediately” after the Supplementary Budget debate which ended in early December.

Mr Pintard added that the Public Debt Management Act, which was brought into effect on July 1 last year, requires via its sections 11 and 12 that the Government’s annual Debt Management Strategy be published at the same time as the Fiscal Strategy Report. This deadline, too was missed, and with the House of Assembly out until January 26 there is little chance of it being debated by month’s end.

The Opposition leader also argued that the Government is non-compliant with the Public Financial Management Act’s requirement, as set out in its sections 69 and 132, to produce monthly fiscal reports in addition to the quarterly ones already being released. However, the Minnis administration seemingly did not conform to this, even though it was in office for all of July and August.

And, finally, Mr Pintard reiterated previous accusations that the Government is in breach of the Public Procurement Act by failing to publish details on the winning bidders for all government contracts awarded between September 1 and November 21, 2021. He added that the Act requires all state-owned entities to do the same.

Section 61 of the Public Procurement Act seemingly places the burden on the “procuring entity” to “publish within 60 days of the award of the procurement contract, a notice of the award of the procurement contract”. This must include the winning bidder’s name and address; contract amount; bid title; name of the procuring entity; and bidding method used.

Simon Wilson, the Ministry of Finance’s financial secretary, last night indicated to Tribune Business via messaged reply that both the 2021 Fiscal Strategy Report, and first-ever annual Debt Management Strategy, are close to being publicly released once the text is approved. “Once the final print is approved they would be released,” he said.

Senator Michael Halkitis, minister of economic affairs, was said to be in a meeting and could not be reached for comment before press time. However, he has previously said that elements of the Public Procurement Act are to onerous and bureaucratic, and are effectively acting as an obstacle to daily government efficiency in sourcing goods and supplies.

However, several sources, speaking on condition of anonymity, have argued that mechanisms exist within the Act to permit “emergency” bidding and deal with the concerns cited by Mr Halkitis in relation to that Act.

Mr Pintard, though, told Tribune Business: “There are multiple ways in which the Government is not following the law, and I want to put them on the front burner.” Referring to the four Acts cited, he said in a statement: “Unfortunately for the Bahamian people, today the present Davis administration is in breach of many of the core accountability and transparency elements of these laws.

“Put simply, they are breaking the law. The Davis administration is already displaying troubling signs consistent with the last time the PLP were in office. They are late on critical reporting to the nation, making a mockery of their commitment to accountability and transparency.”

Some observers may argue that Mr Pintard is himself seeking to distract from concerns involving the COVID food assistance programme and Bahamas Public Parks and Beaches Authority, but the Opposition leader argued that they had not explained “the extended tardiness” relating to the delayed Fiscal Strategy Report.

“Their failure to produce their medium-term fiscal strategy is especially concerning given the potential impact of the recent tax policy changes on the Government deficits and debt.,” Mr Pintard argued.

“The Government’s own published analysis - prepared by the University of the Bahamas - said on page two that the recent tax change would lead to a ‘worsening of the current account, the fiscal deficit and the debt-to-GDP ratio.

“With this prospect of a deteriorating fiscal situation, it is even more critical that the Government releases its 2021 fiscal strategy report immediately and share with the Bahamian people how it intends to move the country back toward balanced budgets and a sustainable debt trajectory.”

As for the Public Procurement Act, Mr Pintard said there was “absolutely no good reason why” why the contract awards and required details were not being published. However, Mr Wilson previously said a chief procurement officer must be appointed before contract awards are disclosed as the entire Act revolves around this post and its functions.

Implicitly criticising the former Minnis administration, he told Tribune Business that the post should have been created via the Public Service Commission one year before the Public Procurement Act was implemented on September 1, 2021. Instead, it had been “left to fall into place and it doesn’t fall into place that easily”.

“It’s not a magic wand. There’s a process to getting this done,” Mr Wilson said. “By September 1, nothing was done in the public service to create the post of chief procurement officer.

“To me, it’s pretty straightforward. The Procurement Act revolves around the creation of a Procurement Department. The Procurement Department is responsible for enforcing the Act and ensuring compliance.” Its proper set-up, and that of the Public Procurement Board, had also not occurred before the Act was implemented on September 1.