31 August 2024

Restorer of the facade of a mysterious building in Odesa was chosen without auction for 15 million

(Photo collage: Intent)

The Capital Construction Department of the Odesa City Council has selected a contractor to restore the facade and roof of a building in Odesa for a little over 15 million.

The relevant information is available in the Prozorro electronic procurement system.

The tender documentation does not specify what kind of building it is or at what address it is located, but it is known that it is an architectural monument. The contractor was preliminarily selected as a limited liability company, Odeskolovpostach Repair and Construction Company.

The procurement was conducted in the format of an open tender with special conditions, and the company had no competitors.

Open bidding with special conditions means that almost all terms are shorter than in open bidding in accordance with the Law on Public Procurement. That is, this procurement is much faster than open tenders.

The period for submitting proposals is seven calendar days, and the period for challenging qualifications is five calendar days.

Often, there is no auction during such tenders, so the participant has no competitors.

However, in 2022, after the start of Russia's full-scale invasion, the Cabinet of Ministers of Ukraine temporarily changed the rules for bidding for the period of martial law in Ukraine and within 90 days from the date of its termination or cancellation.

Thus, the government temporarily canceled electronic auctions. Since then, tenders announced in Prozorro can be held without an auction.

According to the YouControl service, the company was registered in 1998. It is currently owned by Oleksandr Fridman. The company expects to receive UAH 15 million 32.3 thousand in the event of a deal.

However, it is quite possible that this will not happen, as in January the Capital Construction Department of the Odesa City Council changed its mind about signing an agreement on the reconstruction of the building of school No. 39 at 20 Uspenska Street with the private joint-stock company "Repair and Construction Site Odeskolovpostach". The company failed to correct the discrepancies in the information and documents it submitted as part of its tender proposal that were discovered by the customer after the tender was opened.

In December last year, the Capital Construction Department held a tender to select a contractor to be paid for the reconstruction of the building of school No. 39. The contract was expected to be awarded to Odeskholovpostach, which planned to reconstruct the school by December 31, 2024, and receive UAH 109 million 312.8 thousand for it.

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