Unfinished Martinelli showpiece to cost $300 million more

 

A HIGHLY TOUTED flagship project of the Ricardo Martinelli era which was once slated to carry the ex-president’s name, will require the present government to find an additional $300 million to finish the job.

The still unfinished  Hospital City project in Ancón, was tendered in 2011 for $517 million to the Spanish company FCC.

Currently the work is 45 percent advanced and it has been delayed for more than a year due to issues with building materials when walls were constructed with materials not acceptable in medical  facilities.

Additionally the original budgeting omitted a key factor – equipment for the facility to operate.

Meanwhile a war of words  has developed between the previous  Social Security (CSS) management and the previous administrators.

Social Security Director Estivenson Giron  said that adjustments to the health plan were made because the project had “shortcomings,” and the price increase is mostly due to equipment purchases not included in the original budget.

The $300 million estimate is based on an analysis of new costs that have been identified. They must be approved by the comptroller.

Former CSS  officials Guillermo Sáez-Llorens and Marlon De Sousa. Who have their own problems as they are in the center of a bribery investigation, disputed this claim, saying the project was carefully planned.

Sáez-Llorens said the decision was made at the time to exclude equipment from the cost of the project, so it should not be considered an additional expense.

De Sousa said that “the only irregularity with this construction is that the current authorities stopped work, causing damages and  cost overruns”..