Knec turns to KTTC to end shame of building started 37 years ago

Mtihani House

Kenya National Examinations Council headquarters, Mtihani House in South C in Nairobi, which has been under construction since 1986.

Photo credit: File | Nation Media Group

The Kenya National Examinations Council (Knec) has enlisted the services of the Kenya Technical Trainers College (KTTC) to help complete its headquarters and stop the haemorrhage that has seen the building complex exceed its original budget by more than 10 times.

The National Treasury has set aside Sh350 million to complete New Mitihani House, the building complex that was commissioned in 1986 but remains incomplete despite a budget that has grown more than tenfold and passed through the hands of seven contractors.

The National Assembly's Public Investment Committee on Governance and Education says Knec has now engaged KTTC to complete Tower C of the complex, noting that the construction of the headquarters in Nairobi's South C Estate has taken an inordinate amount of time.

"The project has spanned over 30 years with seven different contracts and is a classic example of the government embarking on projects with no foresight of funding through to completion," Jack Wamboka, who chairs the committee, said in a report to Parliament.

New Mitihani House

The New Mitihani House in Nairobi’s South C estate in this picture taken on April 7, 2021. The building is the proposed headquarters of the Kenya National Examinations council and has been under construction since 1986.

Photo credit: File | Nation Media Group

"The accountant general has settled all claims and waived court cases. He has also engaged KTTC to assist in the completion of the works. The Treasury has also allocated Sh350 million for the project in the current financial year."

Dr David Njengere, the Knec chief executive, told the committee that a cost-effective way of completing the project was already underway after the council signed a contract with KTTC for the completion of Tower C.

He said Knec will save Sh54.88 million that the exam body has been paying annually as rent and service charges to its offices at the National Housing Corporation (NHC) and the Ministry of Public Works for the Industrial Area premises.

"As a result, Knec staff have since relocated from the NHC town offices to New Mitihani House in South C," Mr Njengere added.

Knec's failure

"Meanwhile, for the next financial year 2023/24, the Ministry of Education through the National Treasury has allocated Sh350 million as final allocation and completion monies for the completion of the New Mitihani House," said the CEO who was appointed in June 2021.

Auditor-General Nancy Gathungu had questioned Knec's failure to complete the New Mitihani House, 37 years on.

Ms Gathungu said available records showed that Knec awarded Phase VI under contract number NMH-06/2012 to M/s Ongata Works Limited in 2013 for internal partitioning and finishes, fittings, building services and external works throughout the building at a contract sum of Sh1.49 billion for a contract period of 78 weeks.

It said although the contractor had extended the contract to July 31, 2017, as of March 10, 2020, the contract stood at 59 per cent completion and management had terminated the contract.

As of June 2019, Knec had paid Sh921,224,251 while the certified works stood at Sh1.29 billion, representing 61 per cent of the original contract sum. The budget set in 1986 was Sh248.9 million.

Ms Gathungu said by cancelling the contract, management was risking legal action from the contractor and further delay the completion of the project.

"Management has not provided a roadmap on how it intends to complete the project," Mr Gathungu said in an audit of Knec's accounts.

"Under the circumstances, the delays in completion may lead to cost escalation and stakeholders may not get value for their money if this project is not completed and utilised."

Ms Gathungu said further examination of the payment records for the project revealed that a payment of Sh368.98 million in respect of Certificate No 29 was still outstanding and continued to attract interest for late payment, which amounted to Sh44.69 million as of June 2019.

"No satisfactory reason has been given by the management for the delay in payment of the certificate resulting in these penalties and interest on late payment," Ms Gathungu said.