CBIA Contracts Awarded Without Competitive Public Bidding
National Housing Authority · 2022
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What Happened?
Category: ProcurementIssue: Non-complianceThe National Housing Authority (NHA) did not hold public auctions or open bidding for its 21 Community-Based Initiative Approach (CBIA) housing contracts in 2022. The guidelines say this is allowed, but it means that competition among contractors was not used, which could lead to higher costs or favoritism.
Why It Matters
Recommended Actions
- Revise the provisions of the CBIA Omnibus Guidelines per MC No. 2021-027 dated August 2, 2021 to comply with the requirement of competitive public bidding prior to the awarding of contracts and to align and adopt appropriate governing laws cited in Section 7 of EO No. 423 dated April 30, 2005
Original Audit Finding Excerpt
"The CBIA Omnibus Guidelines do not require the process of public bidding for housing projects, hence, all of the 21 CBIA contracts reviewed in CY 2022 did not undergo competitive public bidding."