Government stands by public procurement record

The Government says it stands by the decisions taken in all four of the cases where the Principal Auditor says proper procurement procedures were not followed.

Number Six adds the projects represent a significant investment in modernising Gibraltar’s infrastructure and public services.

The Government says it wants to provide the public with a full, contextualised and transparent explanation of each of the four projects.

Northern Defences

On the Northern Defences, it says this was awarded following a competitive and public Expression of Interest process, describing this as a valid form of procurement for complex or undefined projects.

Number Six says a VEAT notice was not raised as a requirement in the three previous expression of interest processes for the site, and that there has been no formal objection from Procurement.

And, it questions why the issue was raised under Value for Money, saying this should assess outcomes, not procedural technicalities - and that this raises serious questions about the Principal Auditor's intent.

Number Six says, "The Northern Defences project is a carefully negotiated initiative that delivers good value for the taxpayer."

Occupational Health Contract

On the Occupational Health contract, the Government says Maritime Medical Services Limited was the only dedicated local provider, already delivering these services on an ad hoc basis.

It says the conflict of interest concerns were addressed at the outset with a career break for the doctor in question.

Number Six says at the time of the contract, the GHA's pre-employment medical screening process was delayed by up to a year, and sickness absence levels across departments had become unsustainable.

It says, "It is crucial that assessments of value for money include not only the cost of action, but also the often far greater cost of delay or inaction."

Digital Health Records System

On the EMIS Limited contract for the digital health records system, the Government says EMIS is used across the NHS, and in 2014 was awarded a ten-year contract to deliver the GHA's platform. 

It says, "The payment referenced by the former Auditor was made to ensure continuity of service and implementation of essential upgrades to a system that is central to patient safety and the daily functioning of the health service."

Waste Management Facility

And, on the Waste Management Facility, the Government says the project was lawfully exempt from standard tendering procedures under regulations applying to subsidised civil contingency contracts.

It says, "While the Government welcomes scrutiny, we are concerned that the former Principal Auditor's commentary in this instance reflects a narrow and overly procedural interpretation of procurement rules that does not fully account for the urgent realities of post-Brexit planning, environmental compliance, and national resilience."

Government Response

The Government says out of 270 public tenders and 214 awards between 2018 and now, Tony Sacramento has singled out only four contracts for criticism, and that it stands by the decisions taken in each case.

The Chief Minister says, "Decisions taken outside the standard tender route always reflect careful judgements, expert advice, and a commitment to the best interests of the people of Gibraltar."