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  • 2 days ago
A $191 million housing development is coming under scrutiny from the government, with Minister in the Ministry of Housing Phillip Alexander questioning the decision to build the project in what he describes as a gang "hot zone."

Sharla Kistow reports.
Transcript
00:00Citrus Close is where the previous PNM government decided to build a public housing complex.
00:06Minister in the Ministry of Housing, Philip Alexander, describes it as a hot zone.
00:11We are actually on a piece of property that is contested between two violent gangs.
00:19The Beatum Gang, the La Banteil Gang.
00:22And this is a hot zone where this development is.
00:29It's to the law enforcement, this is a hot zone.
00:35The project consisting of 10 buildings was awarded for approximately $191 million at a rental value of about $800 per
00:44month.
00:45Alexander said it will take the state more than 100 years to recruit their investment.
00:50And if bank interest was included, this would double to 200 years.
00:54The PNM, Camille Robinson Regis, Minister of Housing, entered into an agreement to build houses that cannot sell.
01:10They could only rent.
01:13So it would take 200 years to get that money back.
01:16Who did Camille Robinson Regis build these houses for?
01:21And there are even bigger questions surrounding the procurement process.
01:26He produced evaluation documents for three contractors.
01:30Rainbow Construction, Woodgreen Construction and NH International.
01:34Rainbow Construction's bid was the lowest bid to build these buildings.
01:44And were awarded the contractor, who awarded the contract.
01:48And at some point, the PDAC committee, the Procurement and Disposal Advisory Committee,
01:56took it upon themselves to vary the award of the contract
02:02and took the contract away from Rainbow and gave it to Woodgreen.
02:09The HDC document alleges possible breaches of the 2015 procurement legislation
02:14and raises concerns about waste, overspending and the management of public funds.
02:21Woodgreen Construction Services Limited provided a costing of $191,275,000 VAT inclusive.
02:29And Rainbow Construction provided a costing of $137,244,000 VAT.
02:36Being a difference of $54 million, there is no clear reason provided in the Evaluation Committee report
02:45for the waste, overspending, abuse and gross mismanagement involving public funds.
02:51Alexander maintains that the rental model means that taxpayers could wait generations to recover the money invested.
02:58He says approximately $51 million had already been paid when about 10% of the project was completed,
03:05representing a substantial portion of the contract value.
03:09More damning, Alexander says, is a relationship between Woodgreen Construction Services Limited and the previous government.
03:16What Trinidad and Tobago has to ask is, what did this contract with favorable terms
03:26to a company that had no experience and did not win the bid,
03:33did they get this contract because they were building Balizeh House?
03:40Because it is the same company.
03:43Shala Kistu, TV6 News.
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