Commission gives seven-day deadline to halt public procurement for UIO building in Banja Luka

(Patria) The Commission for the Fight against Corruption of the House of Representatives of the
Parliamentary Assembly of Bosnia and Herzegovina (PSBiH) adopted and forwarded to further
parliamentary procedure the Report on the implementation of public hearings
of representatives of the Office for Audit of Institutions of BiH, the Director of the Indirect Taxation Authority (UIO) of BiH, the President of the Independent Union of Civil Servants and Employees of UIOBiH, and the first President of the Independent Union of Civil Servants and Employees of UIOBiH, in connection with the planning, approval and implementation of the multi-year project for the procurement and construction of a facility for the Banja Luka Regional Centre and the Main Office of UIOBiH in Banja Luka.

Along with this Report, the Commission adopted and proposed to the House of Representatives the adoption of the following conclusions:

1. The House of Representatives of PSBiH once again warns of the inappropriate and inadequate conduct of the competent institutions of Bosnia and Herzegovina, especially the Ministry of Finance and Treasury of BiH and the management of UIOBiH, in connection with the project for a permanent solution for the accommodation of the Main Office and the seat of the Banja Luka Regional Centre. Particularly problematic is the fact that the funds planned for this
capital public procurement, contrary to applicable procedures and actual needs, were increased from 37.9 million KM to 103.4 million KM. During this process, the recommendations of the Office for Audit of Institutions of BiH regarding the initiation of the procurement in question were not respected, and the entire procedure was conducted contrary to
legal regulations, with indications of an intention to favour and obtain funds in the amount of 103.4 million KM.

2. The House of Representatives of PSBiH demands from the Council of Ministers of BiH, the Management Board of UIOBiH and the management of UIOBiH that, within 7 days, they suspend and annul the Procurement - open procedure for public procurement for the “Purchase of an existing building on the territory of the City of Banja Luka for the purpose of accommodating employees and accompanying equipment of the Indirect Taxation Authority for the Main Office and the seat of the Banja Luka Regional Centre”, number 743-1-1-50-3-45/25
of 01. 04. 2025.

3. Bearing in mind that, from the standpoint of spatial-functional norms and
financial rationality, the most optimal solution would be the construction of a purpose-designed facility for the accommodation of employees and accompanying equipment of UIOBiH – the Main Office and the seat of the Banja Luka Regional Centre, which would
fully satisfy all dimensional, material-formal, organisational-functional, infrastructural and access-traffic requirements, the House of Representatives of PSBiH obliges the Council of Ministers of BiH and UIOBiH to:

a) within thirty (30) days, hold meetings at the expert and technical level with the aim of considering the initiative of the Mayor and the city administration of the City of Banja Luka regarding the finding of a suitable location and land for the construction of a purpose-built facility for the needs of UIOBiH in the area of Banja Luka;

b) within ninety (90) days from the day of determining the location and resolving
property-legal relations, prepare and initiate a new public procurement procedure,
which will also include the procedure for the construction of a facility for the accommodation of employees and accompanying equipment of the Main Office and the seat of the Banja Luka Regional Centre.

The House of Representatives of PSBiH forwards the Report from the public hearing to the Prosecutor's Office of Bosnia and Herzegovina, given the observed illegalities, indications of corrupt conduct, and political favouritism in the process of initiating the public procurement and securing budget funds, with a request for active and continuous monitoring of the entire procedure related to the procurement, i.e., the construction of the facility for the accommodation of employees and accompanying equipment of UIOBiH – the Main Office and the seat of the Banja Luka Regional Centre.

"In the last 12 years, a public call has been issued five times with almost identical content, although the recommendation was to change the content of the public procurement. It is incredible that this was clearly aimed at favouring one person," said Branislav Borenović.