COA: PS-DBM accepted ventilators without backup batteries

The Commission on Audit (COA) has flagged the Procurement Service-Department of Budget and Management (PS-DBM) for accepting a delivery of mechanical ventilators even if they lacked a technical specification required in the contract.

COA said the P630-million contract required backup rechargeable batteries for the ventilators but the equipment that the PS accepted in 2021 did not provide this.

COA said this was enough ground to cancel the contract with supplier Saviour Medevices, Incorporated but the PS opted to accept the delivery despite the incomplete requirement.

The contract required the supplier to deliver 750 mechanical ventilators. 

The first batch of ventilators had no backup batteries, prompting the PS to initially issue a rejection notice.

Saviour then explained that because of their size, the ventilators “are impractical to be powered with batteries.” It also assured the PS that in the event of a power outage, the ventilators can continue working for three hours if connected to the hospital’s compressed gas pipelines or if they have separate gas tanks.

This, COA said, was already an “implied admission” of the supplier that its product did not have a rechargeable backup battery that can power a medical air compressor – a technical specification for the ventilator – contrary to the requirement in the contract.

Despite this, the audit team found out that the PS still accepted the delivery.

The officer-in-charge of the Operations Group of the PS endorsed the supplier’s request for reconsideration submitted to the Department of Health (DOH). 

“In its reply letter, the Undersecretary of Health gave favorable recommendation to the request for reconsideration which found the justification of the supplier acceptable,” the audit team said.

The decision was anchored on “the urgent need for mechanical ventilators” because of the COVID-19 pandemic.

The COA, however, noted that it was job of the PS to ensure that the supplier complies with all the requirements in the government contract, even if it involved an emergency procurement.

Aside from the fact that there were other suppliers who offered ventilators at less cost, state auditors also noted that the backup battery requirement was intended to provide additional protection for patients in the event of a power outage. 

“In cases of power outages at the hospitals, it is imperative that the mechanical ventilators continue to operate through a backup battery, precisely because mechanical ventilators provide support for patients with respiratory issues,” the auditors said.

In their comment on the audit report, the PS cited “extraordinary times” due to the pandemic.

“These medical supplies were procured amidst shifting quarantine classifications, community lockdowns, shifting work arrangements, and persisting effects brought about by COVID-19,” the PS said.

“Thus, it is important to take into consideration that existing rules and regulations may…be very difficult to implement considering the unpredictable and constantly changing situations,” the agency added. – Rappler.com