Writing strategies, research and analysis in different sectors, preparation of regulations, rules and methodologies, as well as several other key activities in Bulgaria are entrusted to obscure private companies. Even the simple tasks of administration employ the so-called external experts or consultants who are paid dearly to replace officials in their duties.
Scandals with the development of new tourism logo or the creation of a Facebook profile of the programme for rural areas are just the tip of the iceberg. Actually this year the state has paid more than 815 million levs under 4500 contracts for various services received from private entities. For 2012 the amount came to around 950 million levs, while a year earlier – to more than one billion. And this is just the money that has left trace in the Public Procurement Register. Outside of it, there are still thousands of contracts signed without tender or competition, since their separate values were below the thresholds in the law .
For example, as illogical as it sounds, the Ministry of Regional Development has hired special consultants to advise on the preparation of opinions , analyzes, reports and recommendations relating to legislation and strategic documents for plumbing sector. For this purpose, Water and Sewerage Experts was selected and its contract is for 288 thousand levs. One shoukld not miss the fact that the entity was the only candidate, but despite the lack of real competition and limitations provided by the public procurement law, it nonetheless has been selected as a contractor.
According to the information system Daxy, ater and Sewerage Experts is managed by Petya Kolcheva whose husband is chairman of the board of directors of Elana Holding Kamen Kolchev. Owners of the consultancy firm are, with equal shares, the law firm Kolcheva, Smilenov, Koev and Partners, another law firm Andrey Delchevamp; Partners and Eurolex Bulgaria.
Accidentally or not the latter two companies of businessman Andrey Delchev (who is also chairman of Bulgarian Oil and Gas Association) via their union Eurolex Water 1 are employed by the Ministry of Regional Development for providing other activities. The task was the development of a draft Rules of Procedure of the associations in the water sector and a draft Regulation on the requirements and criteria for water operators as well as the qualifications of their staff. Contracts for these services were signed on 28 November 2012, and the amounts paid are respectively 65,520 and 66,480 levs . Here, too, as in the first case, the union Eurolex Water 1 was the only applicant for the tender.
Practice of the Ministry of Regional Development to choose its advisors through lame tenders without any competition continues even after the change of power. This is the case with the tender announced on 25 April this year for the selection of experts to analyze the existing legislation in the area of buildings for public services, education and science, healthcare, culture and arts, and to propose new legislation. The only candidate who turned up was the state company Scientific Research Construction Institute – NISI, but in spite of the fact there again was no competition, on June 18 the state decided to sign a contract with it. The contract value is 90,000 levs without VAT.
The same happens in the competition for a consultant to analyze, investigate and update regulations on energy efficiency for the design, construction and renovation of buildings. The competition was announced on April 10 this year, and on June 25 an agreement was signed with the only candidate – Consortium TU Technologies – BGBC Academy, which is headed by Georgi Kolarov. For its services the company will receive nearly 240,000 levs.
Otherwise, the Ministry of Regional Development has given nearly half a million levs to provide for specialized external legal services to the Managing Authority of Operational Programme Regional Development. For this purpose, three companies have been selected. For opinions and ex-ante and ex-post control of the legality of public procurement contractsq against 108,000 levs, was hired the law firm Popov and Partners. Advice on procedures for financial corrections is provided by law firm Djingov, Gouginski, Kjuchukov and Velitchkov, which will receive 72,000 levs for the purpose. The bulk of the money – 300,000 levs will be taken by union Eurolex , Modus and Novel . The key player in it is the already mentioned Andrey Delchev and the partnering law firm of Petya Kolcheva.
The BANKER
