Gov’t still to recoup $38M from errant contractors of homeless shelter

Senior Engineer in the Ministry of Public Works, Walter Willis says that over $38M is yet to be recovered from the three former contractors for the Centre for Rehabilitation and Reintegration at Onverwagt, Region Five, whose contracts were terminated in 2010.

Government is still to decide what actions will be taken on these contractors, Willis said, according to the Government Information Agency (GINA).

When contacted by Stabroek News, Willis explained that the contract for the construction of the centre was divided into three lots and awarded to the three contractors – whom he declined to name – all of whom defaulted on their lot of the contract.

Following the termination of those contractors, Kares Engineering was then awarded the job in April 2011. Willis told GINA that Kares went above the contracted completion time and it is still undecided whether measures will be put in place to implement liquidated damage. Inclement weather earlier in the year and payment delays contributed to the delay in the project. The centre is expected to house up to 300 homeless persons and is expected to be completed by the end of this month. It is scheduled to formally become operational by December.

On Wednesday, Minister of Human Services and Social Security Jennifer Webster, the Ministry’s Permanent Secretary Loraine Baird and Willis met with Kares Engineering representatives at the Centre to discuss the progress of the five- building complex, GINA reported.

The $402M complex, which is being funded by Venezuela, comprises two dormitories, an administrative building which houses the training centre, library and, an infirmary and rooms for persons with communicable diseases and disabilities, administrative residence for doctors and, an administrator who will be living within the facility, and other staff who will assist including a maintenance superintendent responsible for the maintenance work. There is a separate building for security personnel.

GINA reported that while 90% of the work is completed, there is still some structural work that has to be done, such as the parking area, electrical work by the Guyana Power and Light (GPL) and landscaping. In addition, a 50KBA generator will be installed to provide electricity back-up support. Furnishings also have to be provided for the facility.