Lira municipal officials have suspended the contract to manage revenue collection at Lira main Bus Park that had earlier been awarded to taxi operators.
The decision to suspend the contract that was already awarded to LAVOMA Ltd, a company owned by taxi operators, followed a petition by one JAMARA Ltd, another company that had also applied for the same contract.
According to the evaluation assessment report, JAMARA came second. The Evaluation committee reportedly found LAVOMA best fitting to manage revenue at the bus park.
But the petitioner is challenging the manner in which the evaluation was conducted and the legality of the award to the taxi operators which had quoted 41 million shillings compared to 43 million shillings quoted by the JAMARA.
This is the amount of money which the company that wins the tender to manage revenue at the bus park should be depositing to the municipality account monthly.
The taxi operators were advised by the municipal authority to form a legitimate business company in order for them to be given the contract to manage revenue at the bus park following instruction by the ministry of local government. Last year, the minister of local government Adolf Mwesige wrote a letter to all urban and town centers directing them to award the revenue management to vendors who are utilizing the facilities.
In Lira, the taxi operators formed a company and managed to scoop the contract, according to the municipality town clerk Ambrose Ocen.
But on Tuesday, Ocen said he has suspended the award of contract to allow him carry out proper review of the complaints raised by JAMARA Company.
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He said the quotation by JAMARA LTD was high but very unrealistic and that it does not mean that they should be given the contract.
Ocen said the review process is on adding that the revenue management at the park will for now as he carries the review process be manned by the Multihope company whose contract is about to expire.
Martin Odongo, one of the directors of LAVOMA suspected foul play by some municipal officials.
Odongo said nobody should dream of withdrawing the contract which had already been awarded to them.
Junior Omara, JAMARA company director who has raised the petition, says he is not happy because the entire procurement processes were not fair.
Revenue management at the main bus park was being manned by Multihope, a private company owned by Okwir Tumbu who also applied for the renewal of his contract but he lost it to LAVOMA.
