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Spending rules eased for local authorities


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Spending rules eased for local authorities

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Communal boards have been involved in the distribution of food bags

Posted 09/10/2020

While local authorities welcome the relaxing of contracting rules enabling them to dip into “petty cash”  for minor purchases, civil society is concerned that it has provided more opportunities for inappropriate use of taxpayer dollars.

The contracting procedure that differs from other institutions in the country,  is said to be a temporary measure until March 2021.

The Executive exempted them from the compulsory use of the online trading platform of Panama Compra, for minor contracting procedures.

Mayors, communal boards, and provincial councils will not meet the requirements established in the public procurement law, but will be governed based on the petty cash manual guides from the Comptroller General of the Republic.

The decision adopted by the Executive, led by President Laurentino Cortizo, was well received by local authorities consulted reports La Prensa.  Some argued that most of these entities do not have the staff or the internet to make online contracts.

Organized civil society hopes that the new procedure will not lend itself to avoiding supervision and control in the midst of the pandemic.

Municipalities, communal boards and provincial councils will no longer have to use the online quote system to make minor purchases.

Hiring up to $3,000 will be made using petty cash and the Comptroller's guide. Those that exceed $3,000, but not $10,000, can be made with at least 3 quotes. And the contracts that do not exceed $25,000 must be done following several basic steps, among them, the publication on a board with the dates and specifications of the work or service

 

https://www.newsroompanama.com/business/spending-rules-eased-for-local-authorities

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OPINION: “What’s in it for me“ volunteers

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Posted 09/10/2020

The relaxation of purchasing processes at the level of mayors, communal boards, and provincial councils, which is also joined by those of the Directorate of Social Assistance - although for amounts greater than those of local governments - is clearly a mistake, but it is the It is a way to please the voracity exhibited by the ruling party, whose base, openly and shamelessly, also claim their share of the spoils, demanding appointments. They have removed the mask and, in doing so, they have also lowered the necessary controls in the handling of money. All this is a sort of conspiracy so that the taxes flow under the table, with what is formally institutionalized the “what’s in it for me”. At the same time, it is the calisthenics for the next elections, as has happened with the epidemic of creating new townships and districts. They are crude in what they do and think, and they think it doesn't show. The secretary-general of the PRD asks its bases not to publicly air the issue of the exchange of work in the electoral campaign for a position in the government. But there is nothing to worry about: there is nothing new in that, because we all know that this is how politicians win elections. – LA PRENSA. Oct, 9

 

https://www.newsroompanama.com/opinion/opinion-whats-in-it-for-me-volunteers

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