Moderators Moderator_02 Posted May 19, 2019 Moderators Share Posted May 19, 2019 Quote City of Health on life support The project, which began in May 2012, with plans to open in May 2015, is 65% complete Posted 18/05/2019 Panama’s City of Health continues on life support after yet another failed attempt to revive its flagging recovery program. The future of the flagship project of the Ricardo Martinelli era, once destined to carry his name is not yet clear to the authorities of the Social Security Fund (CSS) reports La Prensa. The first phase of the project in Ancon did not finish in April, as established in a delivery schedule prepared in 2018 with the Consorcio Construcciones Hospitalarias, SA (comprising FCC Construcción and FCC Construcción of Central America). The National Directorate of Infrastructure and Support Services of the CSS set a work plan for the works to be concluded in stages. in April 2019 the Cardiological Institute and the Nephrological Institute, among other areas, had to be completed and approved, until last February their advance was 68%. Next November the general hospitalization area for adults, the surgical unit, the intensive care units, the genetics laboratory and the auditorium were to be ready. None will be delivered on the scheduled date. The work, which began to be built in May 2012 with plans to complete in May 2015, has been delayed fpr four years and overall progress of 65%, only 2% more than that reported by the CSS in December last year. The National Directorate of Infrastructure and Support Services of the CSS informed La Prensa that the consortium must present a new schedule, which will be evaluated by the entity to issue the necessary recommendations to reduce delivery times. In addition, the CSS says assured that once it has the new schedule, it will be able to disclose it with the delivery dates of each one of the five phases of the project, which also includes the construction of the new National Oncological Institute (ION). Guillermo Puga, representative of the workers before the board of directors of the CSS, said that the company could not finish the first phase of the City of Health because it did not have the necessary number of workers. "They [the consortium] committed to have 3,000 workers and only have 1,500 in the project," he said. According to Puga, the CSS institution has already begun to apply fines to the company, Winners and losers The former president of the Panamanian Society of Engineers and Architects, Gustavo Bernal, said that with this project "it seems that who is winning is the contractor and not the State", because the CSS has had to invest more than agreed, due to restructuring. "We as an organization have followed up on the City of Health, and we are really concerned about the dilation and the over-cost," he warned. Bernal said The engineer said that in the end, it will be a mega-project with a mega-cost, which will not have medical and technical personnel. Former Comptroller Carlos Vallarino said that in the construction of the City of Health poor planning, lack of inspections and incorrect decisions. have converged. Two government administrations have passed and the project, which is necessary for the insured population of the country, has not been completed, he said. https://www.newsroompanama.com/business/city-of-health-on-life-support Quote Link to comment Share on other sites More sharing options...
Moderators Moderator_02 Posted December 3, 2019 Author Moderators Share Posted December 3, 2019 Quote City of Health 4 years behind schedule Posted 02/12/2019 The future of the City of Health t in Ancón is up in the air. A flagship project of the Ricardo Martinelli administration and once cited to carry his name, it has staggered from crisis to crisis with massive cost overruns and is four years behind schedule. Now the Social Security Fund (CSS) is evaluating the contractual effects of terminating the contract and what it would imply for the institution. The Consorcio Construcciones Hospitalarias, SA (which is part of FCC Construcción and FCC Construcción de Centroamérica), in charge of the work, has not met the delivery dates of the first and second phases says the CSS. The first phase, includes the institutes of Cardiology, and Nephrology, among other facilities, should have been delivered during the month of April, according to the schedule agreed in 2018. Meanwhile, the second phase, which integrates the general adult hospitalization area, the surgical block, the intensive care units, the genetics laboratory and the auditorium, was not delivered on the scheduled date, which was November 4, 2019, The CSS said that the consortium has not presented a new delivery schedule for the works, so it is in default. The project began in May 2012 and was to be ready in May 2015 and advanced 65%, only 2% higher than that reported by the CSS in December last year. The CSS already disbursed $323.5 million of the $554.2 million of the predicted cost. This figure includes an addendum of $36.7 million approved in 2017 to make requested changes to the work. After assuming the position as director of the CSS, Enrique Lau Cortés said d that "the strategic objective of the new administration is to terminate the City of Health as soon as possible and put it at the service of the insured." Lau Cortes said then that they will have a specialized team at the project site, to monitor day-to-day progress and compliance with the agreements agreed with the consortium. https://www.newsroompanama.com/business/city-of-health-4-years-behind-schedule Quote Link to comment Share on other sites More sharing options...
Moderators Moderator_02 Posted January 20, 2020 Author Moderators Share Posted January 20, 2020 Quote Martinelli health city boondoggle partly open in 2021 Posted 18/01/2020 The first hospital areas in the City of Health will be operational, in 2021 nine years after is launch was trumpeted by then-President Martinelli while his satraps in social security planned to name after him. Instead, it became a massive boondoggle via a company linked to bribery and corruption. The project now records a global advance of 65%, but there are areas where progress is minimal. This project has an initial cost of $554.3 million dollars, but it is projected to end up costing an additional 40%. During a project tour on Saturday, January 18, the current director of the Social Security Fund (CSS), Enrique Lau Cortés, said:"We are not going to wait until the whole project is finished to put it into operation, we will go by phase to release pressure from the metropolitan complex that is saturated" He indicated that the first areas that will go into operation are cardiology, nephrology, and cardiovascular surgery. Lau Cortés reiterated that they hope for February 15 to have the result of the negotiation they have with the Spanish company FFC, responsible for the project tendered in 2012. "I cannot give details of the negotiation, but the atmosphere is positive," he said. FCC has received payments for $323.5 million and currently, the Spanish justice maintains an investigation into the company on suspicion that it would have paid bribes in Panama to be awarded the project that has 17 buildings on a 29 hectares site. https://www.newsroompanama.com/health/martinelli-health-city-boondoggle-partly-open-in-2021 Quote Link to comment Share on other sites More sharing options...
Moderators Moderator_02 Posted September 4, 2020 Author Moderators Share Posted September 4, 2020 Quote Ciudad de la Salud costará $800 millones La obra fue adjudicada por $554.3 millones y hasta ahora se ha pagado a FCC $335.7 millones. Se estima que terminará costando unos $800 millones. Ohigginis Arcia Jaramillo 04 sep 2020 - 12:32 AM El director de la CSS, Enrique Lau Cortés (centro), anunció que la entidad comenzó un proceso para resolver administrativamente el contrato de Ciudad de la Salud con FCC. Pastor Morales La Caja de Seguro Social (CSS) dio a conocer ayer su hoja de ruta para concluir el conflictivo proyecto Ciudad de la Salud: resolver administrativamente el contrato con el consorcio español Fomento de Construcciones y Contratas (FCC), investigado por el pago de sobornos en Panamá. El director de la CSS, Enrique Lau Cortés, subrayó que la obra, que fue adjudicada en 2012 por $554.3 millones, terminará costando unos $800 millones. Según Lau Cortés, se instruyó al equipo legal de la CSS para que comience el proceso, con todas las consecuencias que eso acarreará. ¿Qué dice el contrato? El acuerdo entre ambas partes permite a la CSS declarar resuelto administrativamente el contrato cuando ocurran una o más de las causales de resolución determinadas en el artículo 113 de la Ley 22 de 2006, de Contrataciones Públicas. Una de esas es el incumplimiento de las cláusulas pactadas. También se considera como causal el abandono o suspensión de los trabajos sin autorización previa. De acuerdo con el contrato, la CSS deberá notificar al contratista para subsanación en un plazo de 30 días y si transcurrido ese tiempo no lo hace, la entidad podrá reclamar la fianza. De hecho, Lau Cortés consideró que la semana pasada FCC solicitó rescindir el contrato, para que la CSS no pudiera ejecutar la fianza de cumplimiento, cuyo monto es de $55 millones. Para Aida de Maduro, representante del Consejo Nacional de la Empresa Privada en la junta directiva de la CSS, FCC tiene que cumplir con el contrato; de lo contrario, la CSS debe ejecutar la fianza. “Esa es la solución que esperamos. No hay otra alternativa”, dijo. Ayer, el presidente Laurentino Cortizo calificó como “inconcebible” y “una burla” a los panameños que FCC hable de deudas millonarias por parte de Panamá, cuando es público que está involucrada en anomalías. El presidente de la República, Laurentino Cortizo, calificó como una burla las pretensiones de FCC. Richard Bonilla Un contrato con una declaración de no corrupción El 23 de abril de 2012, dejaban su firma sobre el contrato para la construcción del proyecto Ciudad de Salud, en ese momento llamado Ciudad Hospitalaria, el entonces director de la Caja de Seguro Social (CSS), Guillermo Sáez-Llorens, y Julio Casla García, representante legal de la empresa española Fomento de Construcciones y Contratas (FCC). Ocho años después, FCC es acusada en España –e investigada en el país– por supuestamente pagar coimas en Panamá, al tiempo que intenta rescindir el contrato con la CSS para construir el proyecto. De hecho, la propia empresa presentó dos denuncias ante la Fiscalía Anticorrupción de España sobre acuerdos comerciales suscritos por exdirectivos de la constructora, para el pago de sobornos a panameños. Precisamente, una de las obras bajo la lupa de los fiscales es la Ciudad de la Salud, que supuso el pago de una coima de $58 millones. Y eso ocurrió, pese a que en el contrato de 2012, firmado entre la CSS y FCC, se estableció una “declaración de no incurrir en prácticas corruptas”. Polémica obra La Ciudad de la Salud tuvo un costo original de $587.5 millones, pero en una primera adenda sufrió una disminución al lograr que se cambiará la modalidad del financiamiento, que pasó de ser una obra “llave en mano” a un proyecto en el que el Estado panameño iría desembolsando pagos a medida de que fueran avanzando los trabajos. Por ello, su costo paso a $554.3 millones, aunque ahora se estima que costará al menos $800 millones. Según el documento, el contratista “garantizaba, se comprometía y declaraba que ni él ni ninguna parte relacionada con él ha incurrido ni incurrirá en ninguna de las siguientes conductas: pagar, dar , entregar, recibir, prometer o acordar una dádiva, coima, soborno o comisiones ilegales en la república de Panamá o en cualquier otro lugar en que dicha conducta se relacione con el contrato”. Durante una gira por el distrito de Capira, en Panamá Oeste, el presidente de la República, Laurentino Cortizo, se refirió ayer al tema. El mandatario consideró que es “inconcebible” y “una burla” a los panameños que FCC esté hablando de deudas millonarias por parte del Gobierno de Panamá, cuando es público que la compañía está involucrada en “irregularidades”, ocurridas en anteriores administraciones. Como se recordará, la empresa española reclama a la CSS unos $65 millones por “permanencia extendida”; es decir, por los cinco años que la obra estuvo paralizada en el pasado Gobierno. “Las cifras que maneja FCC son incorrectas”, resaltó Cortizo, quien puntualizó que aunque no administra justicia y que hay un debido proceso que se está dando en otros países (como España), se le hace inconcebible hablar de que Panamá le debe plata a FCC. “A los panameños hay que respetarlos. Nosotros como país respetamos todas las leyes, los procedimientos y las normas, pero también nos tienen que respetar a nosotros”, dijo. Además, advirtió que Panamá va a utilizar la Ciudad de la Salud para atender pacientes de coronavirus, por lo que le ha comunicado al director de la CSS, Enrique Lau Cortés, que se haga “respetar”. Un contrato con una declaración de no corrupción Cancelación de contrato Horas antes de que Cortizo se pronunciara, Lau Cortés convocó una conferencia de prensa y anunció que la CSS comenzó un proceso para rescindir el contrato que mantiene con FCC. A su vez, el funcionario detalló que el proyecto, adjudicado por $554.3 millones, terminará costando aproximadamente $800 millones. De acuerdo con el documento firmado, la CSS se reserva el derecho de declarar resuelto administrativamente el contrato cuando ocurran una o más de las causales de resolución determinadas en el artículo 113 de la Ley 22 de 2006, de Contrataciones Públicas. Una de esas es el incumplimiento de las cláusulas pactadas . También se considera como causal el abandono o suspensión de los trabajos sin autorización previa. Cuando la CSS decida resolver administrativamente el contrato, como es el caso, deberá notificar al contratista FCC “para subsanación” en un plazo de 30 días y si transcurrido ese tiempo no lo hace, la entidad podrá ejercer la fianza de cumplimiento. “En el caso que la CSS optase por ejercer la fianza, notificará al emisor de la misma sobre el incumplimiento del contratista. Acto seguido, el emisor tendrá 30 días para ejercer la opción de pagar el importe de la fianza o sustituir al contratista”, detalla el contrato que, como se dijo, data de 2012. Arbitraje Además de pedir que se deje sin efecto el contrato, FCC pretende evitar, a través de una demanda interpuesta en el Tribunal Internacional de Arbitraje, que la CSS pueda ejercer la fianza de cumplimiento en su contra. “Hemos estado enfrentados en el tema de la demanda que nos pusieron en el Tribunal Internacional de Arbitraje y para eso hemos tenido que contratar expertos que representen a la CSS y, por ende, al Estado panameño”, informó Lau Cortés, al tiempo que advirtió que la CSS hará todo lo que sea necesario, dentro del marco de la ley, para preservar los derechos y garantizar esos activos de los asegurados. Para Aida de Maduro, representante del Consejo Nacional de la Empresa Privada en la junta directiva de la CSS, FCC tiene que cumplir con el contrato; de lo contrario, la CSS debe reclamar la fianza. “Esa es la solución que esperamos. No hay otra alternativa”, dijo. Mientras, el Movimiento Independiente (Movin) informó, a través de un comunicado, que apoya la intención de resolver administrativamente el contrato. “Proponemos que se revisen igualmente los otros proyectos que estén contratados con FCC, ya que también fueron mencionados en las investigaciones en España”, dice el escrito. Moderator comment: Below is an unedited automated translation of the above news article. Quote City of Health will cost $ 800 million The work was awarded for $ 554.3 million and until now FCC has been paid $ 335.7 million. It is estimated that it will end up costing about $ 800 million. Ohigginis Arcia Jaramillo 04 Sep 2020 - 12:32 AM <<MKHDQBMK7RANNMRNXOSE3WFNKU.jpg>> The director of the CSS, Enrique Lau Cortés (center), announced that the entity began a process to administratively resolve the Ciudad de la Salud contract with FCC. Pastor Morales The Social Security Fund (CSS) released yesterday its roadmap to conclude the controversial Ciudad de la Salud project: administratively resolve the contract with the Spanish consortium Fomento de Construcciones y Contratas (FCC), investigated for the payment of bribes in Panama. The director of the CSS, Enrique Lau Cortés, stressed that the work, which was awarded in 2012 for $ 554.3 million, will end up costing about $ 800 million. According to Lau Cortés, the CSS legal team was instructed to begin the process, with all the consequences that this will entail. What does the contract say? The agreement between both parties allows the CSS to declare the contract administratively resolved when one or more of the grounds for termination occur, determined in article 113 of Law 22 of 2006, on Public Procurement. One of those is the breach of the agreed clauses. The abandonment or suspension of work without prior authorization is also considered causal. According to the contract, the CSS must notify the contractor for rectification within 30 days and if after that time it does not do so, the entity may claim the bond. In fact, Lau Cortés considered that last week FCC requested to terminate the contract, so that the CSS could not enforce the performance bond, the amount of which is $ 55 million. For Aida de Maduro, representative of the National Council of Private Enterprise on the board of directors of the CSS, FCC has to comply with the contract; otherwise, the CSS should enforce the bond. “That is the solution we hope for. There is no other alternative, ”she said. Yesterday, President Laurentino Cortizo described Panamanians as "inconceivable" and "a mockery" that FCC speaks of millionaire debts by Panama, when it is public that it is involved in anomalies. <<NLI4VBCHRVH4NO3I5DSH67CV5I.jpg>> The President of the Republic, Laurentino Cortizo, described FCC's claims as a mockery. Richard Bonilla A contract with a declaration of non-corruption On April 23, 2012, the then director of the Social Security Fund (CSS), Guillermo Sáez-Llorens, and Julio Casla left their signature on the contract for the construction of the Ciudad de Salud project, at that time called Ciudad Hospitalaria García, legal representative of the Spanish company Fomento de Construcciones y Contratas (FCC). Eight years later, FCC is accused in Spain - and investigated in the country - for allegedly paying bribes in Panama, while trying to terminate the contract with the CSS to build the project. In fact, the company itself filed two complaints with the Spanish Anti-Corruption Prosecutor's Office about commercial agreements signed by former directors of the construction company, for the payment of bribes to Panamanians. Precisely, one of the works under the magnifying glass of the prosecutors is the City of Health, which involved the payment of a bribe of $ 58 million. And that happened, despite the fact that in the 2012 contract, signed between the CSS and FCC, a “declaration of not engaging in corrupt practices” was established. Controversial work The City of Health It had an original cost of $ 587.5 million, but in a first addendum it suffered a decrease when the financing modality was changed, which went from being a "turnkey" work to a project in which the Panamanian State would disburse payments to as the work progressed. Therefore, its cost rose to $ 554.3 million, although now it is estimated that it will cost at least $ 800 million. According to the document, the contractor “guaranteed, promised and declared that neither he nor any party related to him has incurred or will incur in any of the following conducts: paying, giving, delivering, receiving, promising or agreeing to a gift, kickback, bribe or illegal commissions in the Republic of Panama or in any other place where such conduct is related to the contract ”. During a tour of the Capira district, in West Panama, the President of the Republic, Laurentino Cortizo, addressed the issue yesterday. The president considered that it is "inconceivable" and "a mockery" to Panamanians that FCC is talking about millionaire debts by the Government of Panama, when it is public that the company is involved in "irregularities" that occurred in previous administrations. As it will be recalled, the Spanish company claims about $ 65 million from the CSS for “extended stay”; that is, for the five years that the work was paralyzed in the past Government. "The figures that FCC handles are incorrect," said Cortizo, who pointed out that although it does not administer justice and that there is a due process that is taking place in other countries (such as Spain), it is inconceivable for him to speak that Panama owes money to FCC. “Panamanians must be respected. We as a country respect all laws, procedures and regulations, but they also have to respect us, ”he said. In addition, he warned that Panama is going to use the City of Health to treat coronavirus patients, for which he has communicated to the director of the CSS, Enrique Lau Cortés, to be "respected." <<city of health.jpg>> A contract with a declaration of non-corruption Contract cancellation Hours before Cortizo spoke, Lau Cortés called a press conference and announced that the CSS began a process to terminate the contract it maintains with FCC. In turn, the official explained that the project, awarded for $ 554.3 million, will end up costing approximately $ 800 million. According to the signed document, the CSS reserves the right to declare the contract administratively terminated when one or more of the grounds for termination occur, determined in article 113 of Law 22 of 2006, on Public Procurement. One of those is the breach of the agreed clauses. The abandonment or suspension of work without prior authorization is also considered causal. When the CSS decides to administratively terminate the contract, as is the case, it must notify the FCC contractor "for rectification" within a period of 30 days and if after that time it does not do so, the entity may exercise the performance bond. “In the event that the CSS chooses to exercise the bond, it will notify the issuer of the same about the contractor's breach. Then, the issuer will have 30 days to exercise the option of paying the amount of the bond or replacing the contractor ”, details the contract that, as mentioned, dates from 2012. Arbitration In addition to requesting that the contract be annulled, FCC intends to prevent, through a lawsuit filed in the International Arbitration Court, that the CSS may exercise the performance bond against it. "We have been confronted on the issue of the lawsuit that they put us in the International Court of Arbitration and for that we have had to hire experts to represent the CSS and, therefore, the Panamanian State," Lau Cortés reported, while warning that the CSS will do whatever is necessary, within the framework of the law, to preserve the rights and guarantee those assets of the insured. For Aida de Maduro, representative of the National Council of Private Enterprise on the board of directors of the CSS, FCC has to comply with the contract; otherwise, the CSS must claim the bond. “That is the solution we hope for. There is no other alternative, ”she said. Meanwhile, the Independent Movement (Movin) reported, through a statement, that it supports the intention to administratively resolve the contract. "We propose that the other projects that are contracted with FCC be also reviewed, since they were also mentioned in the investigations in Spain," the letter says. https://www.prensa.com/impresa/panorama/ciudad-de-la-salud-costara-800-millones/ Quote Link to comment Share on other sites More sharing options...
Moderators Moderator_02 Posted September 5, 2020 Author Moderators Share Posted September 5, 2020 Quote President demands respect from corruption-shrouded Spanish company Posted 04/09/2020 Panama President of Laurentino Cortizo has demanded respect from FCC the corruption shrouded Spanish company that has been building the City of Health since 2012, with a scheduled four-years delivery date to the Social Security Fund (CSS). On a tour of the Capira district, Cortizo told journalists that it is important to speak to FCC “head-on” to insist that “there is a process that must be followed; But at this time of the COVID-19 pandemic, the country is in need of the paralyzed City of Health, He described as "inconceivable" and "a mockery" to Panamanians that the FCC company is talking about millionaire debts by the Government of Panama when it is public knowledge that the company was involved in "irregularities" in previous administrations. The company the payment of $65 million from the CSS for "extended stay" during the period from June 15, 2015, to December 2019, in the construction of the hospital project. The megaproject was tendered during the government of Ricardo Martinelli (2009-2014) and its delivery date was July 2015. When the administration of Juan Carlos Varela (2014-2019) was installed, 36 irregularities were detected in the work, which the firm had to correct:"The figures that FCC produces are incorrect," said Cortizo, who added that a due process is taking place in other countries and Panama obviously has to follow-up, for which he emphasized that it is inconceivable to say that Panama owes FCC .The Spanish Special Prosecutor's Office against Corruption and Organized Crime recently asked Panamanian authorities to collect information on transfers made from bank accounts to former Panamanian officials for the period 2009-2014. https://www.newsroompanama.com/business/president-demands-respect-from-corruption-shrouded-spanish-company Quote Link to comment Share on other sites More sharing options...
Moderators Moderator_02 Posted September 5, 2020 Author Moderators Share Posted September 5, 2020 Quote Martinelli unfinished flagship disaster will cost $800 million The unfinshed Health City Posted 04/09/2020 The controversial City of Health that was to have been a flagship project of the Martinelli administration and was even designated to carry the former president’s name has become instead a symbol of maladministration and corruption and will end up costing about $800 million instead of the $554.3 million projected in 2012 and eight years later is still unfinished. On Thursday, September 3 The Social Security Fund (CSS) released its roadmap to conclude the project: administratively resolve the contract with the Spanish consortium Fomento de Construcciones y Contratas (FCC), investigated for the payment of massive bribes in Panama. According to its director Lau Cortés, the CSS legal team was instructed to begin the process, with all the consequences that this will entail. The agreement between both parties allows the CSS to declare the contract administratively terminated when one or more of the grounds for termination occur, determined in article 113 of Law 22 of 2006, on Public Procurement. One of those is the breach of the agreed clauses. The abandonment or suspension of work without prior authorization is also considered causal. According to the contract, the CSS must notify the contractor for rectification within 30 days and if after that time it does not do so, the entity may claim the bond. In fact, Lau Cortés considered that last week FCC requested to terminate the contract so that the CSS could not enforce the performance bond, of $55 million. Aida de Maduro, the representative of the National Council of Private Enterprise on the board of directors of the CSS, told La Prensa that the FCC has to comply with the contract; otherwise, the CSS should enforce the bond. “That is the solution we hope for. There is no other alternative, ”she said. President Laurentino Cortizo described as "inconceivable" and "a mockery" that FCC speaks of millionaire debts by Panama when it is public that it is involved in anomalies.[bribery] https://www.newsroompanama.com/business/martinelli-unfinished-flagship-disaster-will-cost-800-million Quote Link to comment Share on other sites More sharing options...
Moderators Moderator_02 Posted September 12, 2020 Author Moderators Share Posted September 12, 2020 Quote UN warned of risks in, mired Martinelli Health City project 8 years construction boondoggle and counting Posted 11/09/2020 The Ricardo Martinelli was by the United Nations Office for Project Services (Unops), about the great risk to public funds in the development of the pharaonic City of Health without a clear analysis or control of the investment and operating costs of the infrastructure represents a great risk for the use of public funds. Martinelli’s satraps at the CSS (Social Security Fund) had promised that y the $534 million project, which mushroomed to over $800 million, including massive bribes, would be named after him. The current administration is now involved in a multi-million dollar tug of war with FCC, the Spanish company that won the contract and distributed the payola. Unops also warned about the changes in the contract - from turnkey to payments for the progress of the work -, and the inclusion of the equipment in the tender, since, in its opinion, a construction company is not a specialist in medical equipment management especially state-of-the-art technology. In its evaluation, Unops told CSS: "the current structure of the CSS is not prepared to manage a project of this magnitude and complexity." The current CSS director, Enrique Lau Cortés, reported that the company Fomento de Construcciones y Contratas (FCC) filed a lawsuit before the International Arbitration Court against the CSS to demand $125 million for the work. t the request of Panama, Unops analyzed the City of Health, in 2016 and highlighted a series of problems in the overpriced development. and warned about critical points of the project, being built by FCC, which is being investigated for the payment of bribes in Panama and Spain. 8 years, still unfinished The City of Health, which was awarded in 2012 for $554.3 million, will end up costing about $ 800 million. Currently, construction is 65% complete, although the works are paralyzed due to a legal conflict between the CSS and FCC. “In this sense, Unops' experience in the management of hospital works contracts has not been the best when structural components are merged with the provision of equipment, while a construction firm is not a specialist in the management of medical equipment. and less if it is state-of-the-art technology ”, they noted. The UN office found more deficiencies: The absence of an investment plan and a project charter. These documents, which are prepared in the initial phase of all works, are the ones that formalize, among other aspects, the objectives of the project, its financial viability, and governance. Unops found that the CSS has a “rigid organization by departments” that, many times, operate as isolated compartments, something that for them plays against the work, since the management of a complex and multidisciplinary project in An environment that rigidly applies administrative rules represents a very important challenge, which can, by itself, but the project at risk. https://www.newsroompanama.com/business/un-warned-of-risks-in-mired-martinelli-health-city-project Quote Link to comment Share on other sites More sharing options...
Moderators Moderator_02 Posted September 13, 2020 Author Moderators Share Posted September 13, 2020 Quote No one to blame for the multi-million boondoggle Posted 12/09/2020 A report by the United Nations Office for Project Services, which analyzed the contract for the so-called City of Health in 2016, leaves no doubt how poorly conceived this work was, since its inception, which will end up costing hundreds of millions more than expected. And it is so, because its construction was the perfect excuse to strip policyholders of tens of millions of dollars. We must not forget that this work - along with the bribes - would be paid for by those who contribute money to this institution, which, as is known, has been dying for years. The United Nations study revealed deficiencies in the reforms that were made to the contract to benefit the company, to which must be added the problem that a construction company must also provide state-of-the-art medical equipment to a hospital complex. An internal report by the CSS found that there was no investment plan and that the supervision of the work was diluted between different departments of the CSS; It could even be considered that there was no established team to respond to the status and results of the project. Now many things have an explanation ... And still, no one takes the blame. -LA PRENSA, Sep.12 https://www.newsroompanama.com/opinion/no-one-to-blame-for-the-multi-million-boondoggle-1 Quote Link to comment Share on other sites More sharing options...
Moderators Moderator_03 Posted October 19, 2021 Moderators Share Posted October 19, 2021 Quote City of Health a million dollar unfinished horror movie Posted 19/10/2021 The City of Health, a flagship project of the Martinelli administration will end up costing over a billion dollars, more than double the original projection, after 11 years of delays, corruption probes, and court challenges. Is estimated to be ready in 24 months. The contract was awarded in 2012, for $554.3 million. The revelation came from the director of the Social Security Fund (CSS), Enrique Enrique Lau on Tuesday, October 19, at the headquarters of the Latin American and Caribbean Parliament, in a conference in which he offered financial details of the project that was originally in charge of Fomento de Construcciones y Contratas (FCC), currently investigated by the payment of bribes in Panama. After years of delays, changes in the design and scope of the work, in addition to the contractor's claim for more money, FCC ended up leaving the work and withdrew an arbitration proceeding against Panama for differences over the contract. In July of this year, the Cabinet Council authorized the CSS to sign with the Construcciones Hospitalarias consortium and the insurer Mapfre Panamá, SA “a transactional agreement” to complete the construction of the project. Lau specified that the new agreement was sent to the Comptroller General to receive in August. There is a period of 90 days to perfect the details of the agreement, a period that expires in November. The projection is that the work will be delivered in 2023, eleven years after Martinelli "The civil works at the moment looks like a scary movie," Lau said, referring to the state of the facilities built by FCC. According to the financial program for the work, of the $ 554.2 million agreed in the contract with FCC, $ 338.7 million have been paid; there is a budget available of $ 215.5 million and additional funds of $ 445.5 million are needed, for a total of $ 999.8 million. Later, during the presentation, Lau explained that in reality, the additional funds that are needed will amount to $486.6 million when the cost of financing is included, "so as not to hit the reserves of the Fund." That is to say, that the work, instead of ending up costing $999.8 million, as it had initially warned, will have a total cost of $1,040.8 million. In addition to the cost of financing, the CSS has budgeted in the additional item for the City of Health, funds for medical and technological equipment and civil works. https://www.newsroompanama.com/news/city-of-health-a-million-dollar-unfinished-horror-movie Quote Link to comment Share on other sites More sharing options...
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