Senate wants upfront dealing on hemodialysis project

Senators called on public health and public works officials yesterday to be upfront about the funding needs and completion date of the “messed up” hemodialysis project.

“We’re willing to give you funding but can you give us an assurance that this is enough and that you won’t come back here next year asking for more? How much do you really need and when can you complete this project?” Sen. Joseph M. Mendiola, chairman of the Senate Fiscal Affairs Committee, asked in yesterday’s public hearing on the proposed reprogramming of $5.8 million to complete the construction of the new dialysis center at the Commonwealth Health Center.

“I don’t think we can give you a strong assurance of the completion date but we can give you all the projected costs,” said Public Works technical services director Richard Cody.

He said funding needs would depend on change orders. But he said that he is “fairly confident” with the $5.8 million additional appropriation.

Rota senator Paul Manglona said the government should better make sure that it is getting the right estimates from the contractor.

“Are you getting the best recommendation from the contractor? Projection depends on who’s sitting in the administration, just like what we had experienced on Rota,” he said, noting that Rota’s Health Center project has not been finished due to different recommendations of contractors.

The CHC hemodialysis center’s architectural and engineering was handled initially by Leo Daly. Due to its faulty work, however, a redesigned contract was given to Tanaguchi Ruth.

Meantime, Senate minority leader Pete Reyes asked the department officials if they would agree to amending the bill to place a provision that limits change orders to no more than 25 percent in cumulative amount.

But Cody quickly said that even right now, a change order requiring $3.8 million funding already reflects 60 percent of the contract.

The project’s original contract amounted to $5.6 million.

The House of Representatives earlier passed House Bill 14-258, which aims to reprogram $5.8 million for the completion of the Public Health and hemodialysis project and $2 million for the Kagman III road pavement.

The hemodialysis funding would be taken from the “idle” Kagman wastewater project while the road paving funds would come from the Dandan sewer project or the expansion of the Agingan sewer treatment plant.

The bill said that the Kagman wastewater funds, which include federal grants, may likely remain unused for at least another 18 months because of design changes and permitting delays.

The Babauta administration earlier asked the Legislature to approve the reprogramming of funds for the hemodialysis project, citing that the original appropriation has been depleted, with a remaining balance of only $857,000.

The hemodialysis project was originally given $11 million funding.

The bill acknowledged that the fund’s depletion was caused partly by several change orders “to correct certain design defects and to accommodate unforeseen circumstances during construction.”

Yesterday’s hearing was conducted by Sen. Henry San Nicolas’ Committee on Health, Education, Welfare and Programs.