Inside the Market Me contracts

THE National Contracts Commission (NCC) first gave its blessings to the Ministry of Health to enter into direct contracting negotiations with Market Me for the Jamaica Moves campaign in December 2016.

According to documents seen by theJamaica Observer, approval for the request was communicated in a letter dated December 2, 2016 addressed to the ministry’s then Permanent Secretary Elaine Foster-Allen, who has since retired from the public service and was last October named shadow Cabinet secretary for the Opposition People’s National Party (PNP).

The disclosure follows a demand by the PNP last week for Health and Wellness Minister Dr Christopher Tufton to speak on the issue of contracts awarded to the marketing and public relations company.

Noting that a series of allegations being circulated across social media, which have implicated Dr Tufton and the CEO of Market Me Jamaica, PNP spokesman on health Dr Morais Guy said if there was any truth to the allegations, “the existence of multiple contracts between Market Me Jamaica and the Ministry of Health and Wellness in such circumstances necessitates an investigation to ascertain whether Minister Tufton used his position as the portfolio minister to steer or influence, in part or whole, the contracts awarded to Market Me Jamaica”.

Dr Guy, in a news release, also said “at a minimum, the public needs to know whether these contracts were awarded based on the established due process regime under the provisions of the country’s procurement guidelines”.

“If true, it will amount to cronyism, nepotism and the abuse of public office, which would then necessitate an immediate investigation by either the Integrity Commission or the Auditor General’s Department,” added Dr Guy.

In its December 2016 correspondence to Foster-Allen, the NCC said: “Please refer to your letter dated 2016 November 28 requesting permission to accept an unsolicited proposal from Market Me Consulting Limited to deliver the ministry’s ‘Jamaica Moves Campaign’.

“The National Contracts Commission (NCC), having considered the matter via the round robin on 2016 December 2, offers ‘No objection’ to the Ministry of Health’s request to negotiate with Market Me Consulting Limited and to enter into direct contracting,” added the letter signed by NCC Chairman Raymond McIntyre.

The NCC noted that the contract was for $15,900,700 with the proposed areas for negotiation being:

• Support for walking zones — $1,084,200;

• Jamaica Moves testimonials — $2,216,500; and

• Development of the Jamaica Moves agenda — $12,600,000.

Last week, current permanent secretary in the Ministry of Health and Wellness, Dunstan Bryan reported during a virtual press conference that two contracts totalling approximately $55 million were awarded to Market Me between December 2016 and June 2019.

The second contract was awarded in June last year for $39 million. In both instances the contracts had not been put to tender.

In relation to the second contract, the Public Procurement Commission (PPC), in a letter dated May 9, 2019 addressed to Bryan, pointed out that it did not, at its May 1, 2019 meeting, approve the ministry’s recommendation for an award of contract to Market Me via the direct contracting methodology.

“The PPC noted that the ministry’s justification for the use of the direct contracting methodology is primarily on the basis that the company was previously engaged on a direct contracting basis and that the proposed contract is a follow-on contract where…’a contractor has already provided goods and services or work, and additional goods, services or works of a similar nature are required to complete the procurement requirements’ pursuant to section 1.1.4(e) of theHandbook of Public Sector Procurement Procedures,” stated the letter signed by McIntyre.

Pointing out that there may have been some misinterpretation of theHandbookrequirement which supports a follow-on contract, the PPC also said “there is not a clear demonstration that value for money will be achieved”. Also, “the recommended supplier had not met the minimum required score indicated in the…documents”.

However, the PPC said the matter was subsequently considered at its meeting held on May 8, 2019 and, “after due consideration” the commission offered no objection to the ministry awarding the contract via the direct contracting methodology.

The PPC advised the ministry to submit, for the record:

• Compelling confirmation that the programme’s requirements/objectives have to continue despite the existing contract coming to an end;

• Confirmation that the evaluation/scoring was a mechanism intended to make the firm more responsive for subsequent negotiations;

• Confirmation that the reduced scope being contracted will allow the ministry to achieve the expected outcomes.

The PPC also advised that before the expiration of the contract, appropriate measures should be put in place to put the ministry “in a position to go to the open market”.

Launched in April 2017 at Emancipation Park in New Kingston, the Jamaica Moves campaign is designed to promote healthy lifestyle habits among Jamaicans in order to reduce noncommunicable diseases.