The Auditor General’s recent report has revealed significant issues with the management and planning of the Lautoka City Council’s (LCC) swimming pool project. The audit indicated that the LCC disbursed a sum of $289,542 to the principal consultant before a formal contract was signed, which raises concerns about proper financial oversight.
According to the report presented in Parliament, the council is urged to improve the planning and management of capital works projects. It emphasized that all contractual agreements must be duly drafted and signed prior to the initiation of any project. Accurate financial records are also crucial for ensuring transparency and accountability in project expenditures.
The audit scrutinized transactions associated with the swimming pool project, which totaled approximately $1,452,213. In contrast, only $540,518 was reflected in the Fixed Assets Schedule, indicating discrepancies in financial documentation. Notably, the agreement with the principal consultant, signed on December 18, 2017, was preceded by the consultant’s engagement beginning in 2016, resulting in significant prior payments without a formal contract in place. Furthermore, the contract lacked clauses related to delay damages, which is a critical aspect that protects both parties in project agreements.
The Auditor General also noted that project management was inadequate, leading to unanticipated delays and an incomplete project as of the audit’s conclusion in March 2024. The Lautoka City Council acknowledged the contractor’s departure from the site and cited inadequate oversight by the lead consultant as contributing factors to the delays. Compounding these issues, delays in government fund disbursement halted work entirely after September 2019.
In a positive statement, the LCC has committed to ensuring that all contractual agreements will be promptly finalized and signed before any future projects commence. This proactive approach reflects a willingness to learn from past mistakes and improve project management practices moving forward.
By addressing these weaknesses, the Lautoka City Council aims to foster better financial and project governance, which will ultimately benefit the community by ensuring timely delivery of much-needed public amenities.
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