BRIDGING THE FUNDING GAP IN PUBLIC CONSTRUCTION PROJECTS: (A CASE OF MINISTRY OF LOCAL GOVERNMENT, PUBLIC WORKS AND NATIONAL HOUSING)

ABSTRACT

The research project is about bridging the fund gap in public construction projects, the case of

Ministry of Local government, Public works and National Housing. The research was carried

out concurrently with the final semester as a visiting student at the Midlands State University.

The major objectives of the study were to establish the existence of the funding policy for

construction projects, identifying policy implementation guidelines which are in place,

determining controls in place to ensure that the policy implementation guidelines are applied

,to establish whether controls are reviewed for adequacy are in place and to recommend best

ways of funding construction projects.

The research data was collected through questionnaires and interviewing of the senior

officers and management. Questionnaires were distributed to officers in the construction,

engineering, administration, audit and accounts departments.

The major findings drawn out of the research study were that the management is not

operating in compliance with the macroeconomic policy and budget framework,

implementation guidelines are not documented and communicated to employees, there is no

risk based internal auditors, risk management policy, project managers, ineffective

procurement and no risk identification, assessment team and the ministry has not develop

public private partnerships.

The major recommendations made were that the management should maneuver in

compliance with the funding policy as delineated in the macro-economic planning and budget

framework, government should document the policy implementation guidance and training

be done to communicate the implementation guidelines to employees, government should set

up risk based internal auditors ,formulate risk policy, come up with risk identification

,assessment ,management team, appoint project manager and employ network analysis in

managing public construction projects, the government develop a public private partnership

framework for construction project.