In his letter to John Higgins, assistant director of the Audits, Evaluation and Inspections of the Recovery, Accountability, and Transparency Board dated Jan. 19, Commerce Secretary Michael Ada said the Invitation to Bid Document 151, which was for lightning retrofit, was published in the local newspapers as well as on the www.cnmiarra.net Web site.
He said several firms submitted their proposal bids, which the assigned project managers then proceeded to evaluate.
Ada said the project manager initiated the verification of the use of U.S. manufactured products to ensure that the bidders complied with the Buy America Provision of the law.
But Commerce learned that the items listed in the proposal were not produced in the U.S.
Ada said the project manager then referred the case to the AGO.
“As the CNMI’s ARRA state point of contact, I can appreciate the heightened transparency and accountability requirements mandated by law and investigated by the…board,” Ada said.
He added that his office makes every effort to ensure that fraud, abuse and waste do not occur.
“I was shocked at the irresponsible headline that caused panic among local agencies, federal grantors, the CNMI public auditor and the general community,” Ada said, referring to the Jan. 14, 2010 news story “Fraud Found in the Use of ARRA Funds” published by the Saipan Tribune.
