OFFICE OF THE DIRECTOR OF COMMUNICATIONS & PUBLIC AFFAIRS
MINISTRY OF NATIONAL SECURITY
TELEPHONE:754-0030/619-6017/878-0528 FAX: 754-3601 Email: [email protected]
NCB NORTH TOWER 2 OXFORD ROAD KINGSTON 5 JAMAICA
November 30, 2017 Ministry of National Security provides clarification on procurement of pre-owned vehicles
The Ministry of National Security states that all procedures concerning the procurement of the 200 pre-owned vehicles for the Jamaica Constabulary Force were appropriately followed and were in full compliance with the Government of Jamaica Procurement guidelines as promulgated by the Ministry of Finance and the Public Service. The tender document stated that the cost to be submitted by bidders should include the total of the bid excluding any discounts offered. The procurement process for the vehicles considered the value for expenditure, increased mobility for the Jamaica Constabulary Force (JCF) and the protection of the taxpayer as critical components.
Page 1 of 6
Obrien’s Car Sales and Rental Limited was awarded the contract by the NCC after a national public tender was issued in July, 2016. The Ministry currently holds a Performance Security Bond in the sum of Forty Two Million, Four Hundred and Ninety Three Thousand and Forty Dollars ($42,493,040.00), and an Advanced Payment Security in the sum of Two Hundred and Thirteen Million, Four Hundred and Sixty-Five Thousand Two hundred Dollars ($213,465,200) from the supplier. The Ministry has the option of redeeming these bonds on demand so as to recover any financial losses. However, according to guidelines received from the Ministry of Finance as well as legal advice, the Ministry has resolved to wait before pursuing the matter of payment of duties. The Ministry further asserts that with all things considered, even after taxes have been added to the cost of procuring the vehicles, the supplier remained the lowest of all bidders. The Ministry of National Security is aware that the supplier has vehicles on the wharf, but is of the view it should not pay the taxes unless advised to do so by the Ministry of Finance. The supplier has delivered thirty of the cars, with another 66 on the wharf to be cleared.
Page 2 of 6
For the purposes of accountability and transparency, a timeline outlining the process of procurement has been established below:
Page 3 of 6
Page 4 of 6
The Ministry subsequently advised O’Brien’s International Car Sales and Rentals Limited of the situation and demanded that the vehicles be delivered by November 24, 2017 and that failing to meet the deadline will result in the Ministry taking the necessary action in keeping with the terms of the contract. In the meantime, the Ministry is moving to secure 100 vehicles locally in the shortest possible time.
Page 5 of 6
The Ministry wishes to advise the public that it has transitioned from the procurement component of the process and is in the contract administration phase and that all appropriate mechanisms have been put in place to protect the Ministry's interests =30=
Page 6 of 6