Shelter Arrangement in Kyiv: a Look at Prozorro
June 15, 2023
The DOZORRO project investigated what and how much was purchased in the capital for protective structures at the expense of budget funds, as well as who received these contracts.
Shelter Arrangement in Kyiv: a Look at Prozorro
In May, russia intensified the shelling of Ukraine. It is increasingly using combined attacks — with drones and cruise (and sometimes ballistic) missiles at the same time. The capital remains one of the main targets during such attacks.
The death of people who could not get into shelter during the attack on the night of June 1, including one child, raised the question of access to places of protection and their availability even more acutely. A full inspection of shelters was carried out in the city.
Its results are interpreted slightly differently by the city authorities and the Minister of Strategic Industries Oleksandr Kamyshin, who was instructed by Volodymyr Zelenskyy to check the protective structures in the capital. Kamyshin says that 15% of shelters are suitable for use, while the Kyiv authorities report on 65%. Deputy Head of the Kyiv City State Administration Petro Panteleyev emphasizes that the mentioned 15% are shelters to which there are no comments at all, while most of the other structures can still be used by Kyiv residents.
Currently, the officials are trying to decide how many shelters meet the requirements and who will be responsible for their condition. Meanwhile, we analyzed what was purchased for shelters in Kyiv, how, and by whom, as well as who received all those orders.
General statistics
First of all, it should be noted that we do not see all procurement transactions of repairs and arrangement of shelters. They are allowed to be purchased directly, and the obligation to report on direct contracts in the electronic system immediately, and not after the end of martial law, was restored only in autumn 2022. In addition, sometimes procuring entities purchased repairs / arrangement of several protective structures at once, and put only one address in the system — so it is not possible to automatically extract data on the full list of shelters in such contracts. You need to open the scanned PDF files of the agreements and check everything manually.
We selected all Kyiv procurement transactions, where the name mentioned shelters, refuges, or protective structures. The following contracts worth UAH 687 mln are visible on Prozorro for 2022-2023:
- in 2022 — for UAH 245 mln. At the same time, according to the data published by Kyiv MP Kseniia Semenova in her Telegram channel, last year, UAH 323 mln was paid from the local budget for the repair of shelters.
- in 2023 — for UAH 442 mln. A number of tenders continue — for UAH 130 mln (we did not include them in the subsequent statistics).
The peak months for such tenders during the full-scale war were August 2022 — UAH 122 mln, May 2023 — UAH 110 mln, and November 2022 — UAH 103 mln.
For all this money, at least 1,515 shelters should be repaired and/or arranged in Kyiv. The amount included procurement at the expense of not only the local budget, but also the national budget — for example, for shelters at universities.
The largest share in the total amount is taken up by orders for major and current repairs — UAH 488 mln (71%). Another UAH 30 mln was spent on generators, almost UAH 17 mln was spent on various furniture for shelter arrangement, and UAH 12 mln was spent on the procurement of household and kitchen equipment.
How many tenders were conducted in the districts
In the district distribution, the highest number of tenders for the repair and arrangement of shelters was conducted in the Dniprovskyi district of the capital — UAH 125 mln. Shevchenkivskyi district comes second — UAH 116 mln, Sviatoshynskyi district comes third — UAH 90 mln.
Dniprovskyi district — UAH 125 mln
Here, the district Department of Education concluded the most contracts for Prozorro – almost UAH 60 mln. In particular, it purchased the following for shelters in schools and kindergartens:
- 80 MUNICH TOOLS MT8500W generators and 75 ISBIR KDE8500EI generators — a total of UAH 10 mln;
- Joker, Jack Black chairs and benches — more than UAH 9 mln;
- current repair of premises — more than UAH 7 mln;
- multimedia equipment for classes in shelters — more than UAH 6 mln. One such set includesa projector and a personal computer, and the cost is UAH 66,000.
The Construction Department of the Dniprovskyi District State Administration comes second, having signed contracts for UAH 38 mln. All these funds were spent on major repairs of shelters in educational institutions and residential buildings. For example, in 2023, UAH 2.3 mln should be paid for major repairs of shelters of preschool educational institution No. 53, UAH 1.9 mln — for the repair of a shelter in the Berehynia educational complex, UAH 2.6 mln — for the repair of shelters in houses on 27 Raiduzhna str., 4-A Roman Shukhevych Ave., 16/2 General Karbishev Str.
Another UAH 9.6 mln was spent on shelter repairs by the Municipal Enterprise Managing Company for Servicing the Housing Stock of the Dniprovskyi District of Kyiv.
Dniprovskyi district was marked by non-standard procurement transactions for shelters: vegetable cutters, a multifunctional pan and a steam convection oven, drums for children to relieve stress in shelters, construction sets.
Shevchenkivskyi district — UAH 116 mln
In the Shevchenkivskyi district of the capital, the Department of Education of the Shevchenkivskyi District State Administration purchased the highest number of repairs and arrangement of shelters — for more than UAH 57 mln. UAH 47 mln, i.e., 84% of this amount, was planned to be spent on major and current repairs of protective structures in educational institutions of the district. For example, the current repairs of the shelter in school No.169 cost UAH 4 mln, in sanatorium school No.20 — UAH 3.6 mln, in school No.175 — UAH 2.8 mln. For another UAH 3.7 mln, the department purchased furniture for shelters: frameless poufs and benches.
More than UAH 46 mln was spent by the Department of Urban Planning, Architecture and Land Use of Shevchenkivskyi DSA. All these funds were allocated for the development of design and estimate documentation and major repairs of shelters and protective structures of civil protection.
Sviatoshynskyi district — UAH 90 mln
Half of the total expenditure of the district (UAH 46 mln) falls on the Department of Education of the Sviatoshyn DSA. Thus, it allocated UAH 26 mln for the current and major repairs of shelters in educational institutions of the district. For another UAH 9 mln, generators were purchased to equip shelters.
UAH 29 mln should be paid by the Department of Construction, Architecture and Land Use for the development of design and estimate documentation and major repairs of shelters. For example, forUAH 4.2 mln, it purchased major repairs of the shelter on 2-V Symyrenka Str., for another UAH 2.9 mln — on 16 Zodchykh Str., and for UAH 2.9 million — on 15 Academician Tupoliev Str.
Procurement for shelters in the Sviatoshynskyi district has already come under the scrutiny of law enforcement officers — prosecutors of the Kyiv City Prosecutor’s Office are investigating corruption in it. Thus, at one of the objects alone, they recorded incomplete and poor-quality performance of works and use of fire hazardous materials with an overpayment of more than UAH 1 mln.
Holosiivskyi district — UAH 70 mln
The construction department of the Holosiivskyi DSA purchased the most — for UAH 56 mln. Almost all of this amount falls on major repairs of shelters in educational institutions. Another UAH 10.6 mln was spent by the Department of Education of the Holosiivskyi DSA. There are also criminal proceedings — prosecutors are investigating the embezzlement of budget funds during the procurement of generators for shelters of educational institutions.
Pecherskyi district — UAH 61 mln
The highest value of procurement for shelters in this area, almost UAH 37 mln, falls on the management of housing and municipal services and construction of the Pecherskyi DSA. UAH 33 mln must be paid for major repairs of shelters. Thus, major repairs of basements in the residential building on 19 John Paul II Str. costs UAH 3.2 mln, the repair of the simplest shelters of the school No. 90 — UAH 2.9 mln, and the repair of the shelter on 2/37 Leiptsyzka Str. — UAH 2.5 mln.
Another almost UAH 21 mln was allocated for the procurement of repairs and arrangement of shelters of the Department of Education and Innovative Development of the Pecherskyi DSA. UAH 9.2 mln of this amount falls on the current repair of shelters.
Desnianskyi district — UAH 60 mln
The Department of Education of the Desnianskyi DSA purchased the most — for more than UAH 10 mln. All these funds must be paid for the current and major repairs of shelters, as well as services for the technical supervision of works in kindergartens. In particular, UAH 630,000 will be used to repair the shelter of kindergarten No. 797, UAH 585,000 — to repair the shelter of kindergarten No. 758.
A noticeable difference in the Desnianskyi district is that here schools conduct procurement independently, while in others, district administrations buy everything for the educational institutions in a centralized way. For example, school No. 283 of II-III degrees purchased repairs and arrangement of the shelter for UAH 2.7 mln: UAH 1 mln was allocated for the current repair of the shelter, almost UAH 1 mln — for major repairs of engineering networks in it, and another UAH 121,000 — for the generator.
Obolonskyi district — UAH 59 mln
The largest amount falls on the Department of Education of the Obolonskyi DSA — UAH 45 mln. Almost UAH 33 mln was spent on procurement of repairs, another UAH 3.6 mln — on generators,UAH 1.3 mln — on household goods, UAH 1.1 mln — on fire-fighting equipment.
Darnytskyi district — UAH 50 mln
The Department of Education of this district conducted procurement for UAH 43 mln, of which UAH 39 mln was spent on repairs of shelters in educational institutions. For example, UAH 2.4 mln was planned for major repairs of the shelter in school No. 280, UAH 1.9 mln — in school No.10, andUAH 1.5 mln — in the Kyiv Engineering School.
Solomianskyi district — UAH 34 mln
The district department of education conducted the largest number of tenders for shelters — for more than UAH 26 mln. UAH 17 mln of this amount falls on repair works in shelters, UAH 2.5 mln — on procurement of gymnastic mats, UAH 2.3 mln — on benches.
In this district, one of the largest procuring entities was not a municipal institution, but a state institution — State Higher Educational Institution Kyiv National University of Construction and Architecture. It conducted procurement for shelters for UAH 4.7 mln. In particular, the current repair of the basement with the arrangement of a shelter in the training and sports complex of the Kyiv National University of Construction and Architecture on 3 Education Str. costs UAH 2.7 mln.
Podilskyi district — UAH 20 mln
The district with the worst indicators of the state of shelters, according to Klitschko, conducted the fewest procurement transactions for shelters. The main procuring entity here is traditionally the Department of Education — it signed contracts for more than UAH 15 mln. UAH 6.6 mln accounts for repairs, UAH 2.5 mln — for generators, and UAH 1.4 mln — for the procurement of gymnastic mats.
Who received budget orders
In total, there are more than 500 contractors on procurement for shelters in Kyiv. The top ten leaders account for about 30% of orders.
Kyiv House-Building Company LLC has the highest value of contracts, UAH 38.2 mln. The company was registered in 2012, but it began to receive budget contracts from November 2022 — directly and only in the Shevchenkivskyi district of the capital. Until 2022, among the owners of the company was Vasyl Mozhar — the former head of the Department of Capital Construction and Housing and Municipal Services of the State Management of Affairs (until 2020) and the head of PJSC HC Kyivmiskbud (in 2009-2010).
At the time of Mozhar, the company had a phone number that coincided with the contacts of several other organizations, for example:
- NGO Orthodox Ukraine;
- LLC Budhouse Group from the group of companies of businessman and MP of the 5th convocation Anatolii Shkribliak;
- LLC Investment Construction Company Integral Group, which is among the companies belonging to the family of Lev Partskhaladze, ex-deputy head of the Ministry of Regional Development, and his brother George Tsagareishvili, member of the Kyiv Regional Council of the 7th and 8th convocations.
LLC Kyiv House-Building Company is involved in several criminal proceedings regarding illegal expenditures of budget funds. For example, one of them concerns the fraud of the company and officials in the repair of a shelter for school No.8 on Vyshhorodska Street.
The second in terms of the amount was LLC Mega Style Construction Company. This contractor was not limited to one district, but received orders from four at once: Dniprovskyi, Desnianskyi, Obolonskyi, and Solomianskyi. A total of UAH 35.8 mln. Like the previous company, this one is also involved in criminal proceedings — at least six in the past 5 years. One of them concerns the repair of a shelter in Lyceum No.20 on Obolonskyi Avenue. Another proceeding coincides with the one against LLC Kyiv House-Building Company. According to police investigators, both companies inflated the prices of plastic windows, which were replaced in boarding school No.21 after the shelling of russia.
A man with the same name and surname as the head of Mega Style, Volodymyr Kuksa, was detained in December 2022 for driving his Lexus RX 300 under the influence. He was fined UAH 17,000, but in April, Kuksa appealed this decision to the Court of Appeal, and the proceedings were closed.
LLC Kyiv Mechanization Department comes third in terms of the value of orders — UAH 21.3 mln, allocated for shelters in Shevchenkivskyi and Obolonskyi districts. The company was founded in 2017, and 5 months later, it received its first contract with the Department of Education of the Obolonskyi DSA of Kyiv.
In addition to LLC Mega Style Construction Company and LLC Kyiv House-Building Company, a number of leading contractors are involved in criminal proceedings:
- LLC Frame Construction — orders for UAH 20.9 mln for repairs of shelters in Dniprovskyi, Desnianskyi, and Darnytskyi districts. Criminal proceedings were opened against the company, according to which law enforcement officers checked the cost of repairs in schools last year.
- LLC Construction Company Elitmiskbud — orders only in the Pecherskyi district for UAH 15.5 mln. The company was registered in July 2017, and in September, it received a budget order for the dismantling of a greenhouse in Darnytskyi district. It appears in two criminal proceedings on fraud with budget funds for repairs, which in 2018 and 2019 were opened by the fiscal service and police. By the way, another company is also involved in the investigation of the Main Directorate of the State Fiscal Service of Kyiv, which also received an order for the repair of shelters over the past year — for UAH 8.7 mln. This is LLC Integral Bud-Standard, which in 2018 began expensive repairs of the Krakiv cinema on Rusanivska Embankment. But after an unsuccessful decision with the roof that began to leak, the contract with the company was terminated.
- LLC Ukrmontazhlux — an order in the Desnyanskyi district for UAH 14.8 mln. The company has been operating since 2004 and is a subject of anti-corruption investigations by law enforcement officers from time to time. One of the earliest such available mentions in the register of court decisions dates back to 2014. The last case was opened in 2019 — on suspicion of embezzlement of funds for repairs ordered by the Management of Housing and Municipal Services of the Pecherskyi district of Kyiv.
Given the distribution of orders, we can say that there is no clear distinction between contractors by districts. However, a conclusion on this can be drawn only after an analysis of all subcontracts of these companies.
In almost all districts of the capital, except Holosiivskyi and Pecherskyi, the municipal education sector is the leader in terms of procurement for shelters. The relevant departments and schools signed contracts for almost UAH 380 mln. This is more than half of the total amount in the city. Moreover, other procuring entities can buy works and products for shelter in schools and kindergartens, as it was in the Dniprovskyi district.
Regarding at least half of Kyiv’s districts, criminal cases of abuse in procurement for shelters were opened: Sviatoshynskyi, Desnianskyi, Podilskyi, Holosiivskyi, and Solomianskyi. In addition, five of the seven largest contractors on Kyiv shelters are involved in criminal proceedings.
In the near future, the number of tenders for protective structures in the capital should increase: they were announced not for all the funds that were allocated in the budget for 2023, and on June 8, members of Kyiv City Council allocated another UAH 750 mln for such needs. At the same time, the Kyiv authorities announced plans to purchase about 200 modular reinforced concrete shelters for rapid deployment, as well as to equip the shelter with an automated opening system.
Written in collaboration with DOZORRO project journalist Daryna Synytska.
The material was prepared in collaboration with the journalist of the DOZORRO project of Transparency International Ukraine and with the support of USAID / UK aid project Transparency and Accountability in Public Administration and Services/ TAPAS.
Source: lb.ua
