DELTA STATE GOVT GETS APPROVAL TO BORROW N1.064bn FOR REMODELING OF CENTRAL HOSPITAL ASABA.

375
views

The Delta State House of Assembly has given approval for the state government to issue an Irrevocable Standing Payment Order ISPO, to Fidelity Bank Plc in respect of a facility for the remodeling of the Central Hospital, Asaba.

The request for the facility is contained in a letter transmitted to the House by the state Acting Governor, Barrister Kingsley Otuaro.

In the letter, the Acting Governor said the state government originally awarded the contract for the remodeling of the Central Hospital, Asaba to Deux Project Limited at the sum of two point two billion naira, but that in the course of the project execution the contract was reviewed due to price variations.

The Acting Governor noted that due to the collapse of the peremeter fence occasioned by the 2017 flood in Asaba, it became necessary for government to reconstruct the fence with concrete at the cost of N46.2m, bringing the total contract sum to N3.014bn.

He said the state government had already paid the contractor the sum of N1.9bn, leaving a balance of N1.064bn.

Barrister Otuaro said the project would be executed by Open House Property Management Company Limited, adding that the purpose of the letter was to seek the approval of the House for the issuance of an appropriate Irrevocable Standing Payment Order in favor of Fidelity Bank for the full repayment of the facility.

The House Majority Leader, Honourable Tim Owhefere, moved separate motions for the House to receive the letter and approve the Acting Governor’s request.

The motions were seconded by Honourables Peter Onwusanya and Alphonso Ojo.

The request was approved following a voice vote by the members.

Share this news to: