The McGill University Health Center (CUSM) spent $ 2.1 million more than expected to buy medical supplies due to “poor planning” of its contractual needs, according to the Public Procurement Authority (AMP).
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In August 2019, the CUSM concluded a five -year contract totaling $ 9.4 million for the acquisition of medical supplies divides used during surgeries and medical examinations.
In reality, the expenditure was greater than expected, and the CUSM had to spend an additional amount of $ 1.6 million during this period, bringing the whole invoice to more than $ 11 million.
Once the contract is expired, the organization has also extended the contract twice, but accepting a price increase of 18% on average per article. In all and for everything, the invoice has inflated more than $ 2.1 million in eleven months.
Bad planning
At the end of his investigation, the public contracting dog concluded that the changes to the contract changed the duration, cost and scope.
“In this sense, these modifications were not allowed by the normative framework applicable to the CUSM”, can be read in an AMP document.
The analysis also revealed that the modifications were made without respecting the internal policies of the CHI: the staff who authorized the extensions of the contract did not have the power to do so, and certain changes were formalized after the due date of the initial contract, “which contravenes good practices in contractual management”.
In addition, the CUSM has not published the information concerning additional expenses on the electronic government tender system (SEAO), an omission which “constitutes a breach of the obligations of transparency and accountability which apply to public organizations”, underlined the AMP.
