Government to plough ahead with acquisition of St Philip's Hospital
After filing a motion calling for the suspension of the acquisition process, backbencher Franco Debono has ‘no comment to make’.
The Finance Ministry is going ahead with the signing of the contract to rent St Philip's Hospital despite calls to have the process suspended until the Auditor General, the Public Accounts Committee and parliament scrutinise the process.
"Government has decided to proceed with the signing of the contract," the ministry for finance said in a statement issued this evening.
To justify its decision despite the criticism raised by one of its own MPs and Independent MP Jeffrey Pullicino Orlando, the government said the private hospital was need in view of the acute need of beds.
"This will relieve important bed availability at Mater Dei Hospital," it said.
The ministry added that government was not buying but renting the property, with the purchasing option only exercisable as from the third year.
"If government decides to exercise the purchase option in the future, then prior to the signature of the deed of purchase, it will report to the Public Accounts Committee the reasons for the decision to purchase at that point in time and signature will only take place once the PAC review is completed," the ministry said.
When contacted by MaltaToday, backbencher Franco Debono said he had "no comments to make" despite having filed a motion in parliament calling for the process to be halted.
His call was supported by Jeffrey Pullicino Orlando and the Opposition.
Debono added that he has carried out his duty and it was now "up to the people to judge them".
In its statement, government went on to add that immediately following the signing of the lease agreement of the St Philip's Hospital, it would submit the contract to the Auditor General for a full review and evaluation of the process.
"The report that will be drawn up by the Auditor-General will then be presented to the Public Accounts Committee for full parliamentary scrutiny," the ministry said.
"The rent or acquisition of property by government is not subject to parliamentary approval both in terms of the Public Procurement Regulations and the Land Disposal Act."
It said that in terms of the Public Procurement Regulations, the purchase or rent of land or property is specifically exempt (under Regulation 17 (1) (f) Legal Notice 296/10), from the need to issue a tender and thus allowing Government to enter into direct negotiations if this is deemed appropriate. "Moreover, the Land Disposal Act requires government to go to Parliament for approval only if the property being sold - and not bought as in this case - has not followed a public tendering procedure," the ministry said.