THE $366.9M contract awarded to New York-based HDM Labs Inc. was done in a transparent manner and in keeping with the Procurement Act, Public Health Minister Volda Lawrence told the National Assembly on Thursday.

In recent days, the Public Health Ministry has come under criticism for the multimillion dollar contract, over claims that the process was flawed. The contract for the supply of Emergency Pharmaceutical Supplies for Regional and Clinical Services was awarded on August 31, 2017.

But on Thursday, Minister Lawrence sought to set the record straight for a second time within days. “According to the National Procurement and Tender Administration Board (NPTAB), all the relevant procedures were followed by the Ministry of Public Health in accordance with the Procurement Act of 2003,” Minister Lawrence told the House before presenting them with the facts.

It was stated that on April 28, 2017 a request for restrictive tendering was made to NPTAB for procurement of Emergency Pharmaceutical Supplies from the following six companies: Ansa McAl Limited, Caribbean Medical Supplies, Global Healthcare Supplies, International Pharmaceutical Agency, HDM Labs Inc. and Meditron Inc.

According to the Public Minister, Standard Bidding Documents were approved on May 3, 2017 and by May 23, 2017 Tenders were opened but only three bids were received. “On June 19, 2017, the National Procurement and Tender Administration Board (NPTAB) recommended that no award be made to any of the three bidders, as all bidders had failed to meet all the evaluation criteria at the preliminary stage,” she informed her colleagues sitting on both sides of the House.

As a result, on June 29, 2017, the Health Ministry requested permission from NPTAB, and restrictive tendering for the retender was approved on June 30, 2017.

“All six companies who had submitted bids in this process were then asked, Sir, by email on July 12, 2017, to resubmit, and only one company (HDM Labs Inc.) responded when bids were opened on July 18, 2017. On August 16, 2017, the Evaluation Report for retender was received by NPTAB with recommendation that the sole bidder be awarded the contract,” Minister Lawrence further explained. She stressed that it was NPTAB’s recommendation that the contract be awarded to the sole bidder, HDM Labs.
On August 29, 2017 a memo was submitted to Cabinet and by August 31, 2017 the Ministry’s Permanent Secretary was notified of the award by NPTAB.

“I wish to remind this Honorable House, Mr. Speaker, that in 2017, it was under this Government that the Procurement Department within the Ministry of Public Health was established to ensure that there was segregation of duties, transparency and accountability in the procurement of items and services for the Ministry of Public Health, while ensuring that the Ministry followed and adhered to the Regulations and Procedures stipulated by law,” she stated.

Minister Lawrence said while her Ministry welcomes the interest and monitoring of the system by citizens, she urged that it be done in a sensible and appropriate manner avoiding sensationalism and misrepresentation of facts.

She made it clear that her Ministry is not in the business of granting advanced payments.
“Mr. Speaker, may I further inform this Honorable House that the Ministry of Public Health does not grant advanced payments to suppliers without any order, request, quotations or contract. Sir, that happened in the past and no longer pertains now in the Ministry of Public Health,” she told the House before taking her seat.