Defense disburses Q767 million for road contract with US Army engineers.

Home News Defense disburses Q767 million for road contract with US Army engineers.
Defense disburses Q767 million for road contract with US Army engineers.

The Ministry of Defense (Mindef) has already disbursed the funds to contract with the United States Army Corps of Engineers (Usace, for its acronym in English) the feasibility and construction studies of six priority infrastructure projects that will be located in different parts of the country, according to the Guatecompras portal.

Award with the United States Army Corps of Engineers It was finalized on April 28, for an amount of Q767 million through the direct acquisition modality.

The funds to make the payment were transferred by the Ministry of Communications, Infrastructure and Housing (CIV), as part of the Administrative Agreement of Interinstitutional Cooperation between the Ministry of Communications and the Ministry of Defense to improve the infrastructure of roads, highways, viaducts, crossings and intersections in Guatemala.

Among the documents available in Guatecompras is the letter sent on April 22 of this year by the War Department of the United States-Guatemala Military Group to the Minister of Defense, Henry Saenz, which records the verification of the payment made by the Ministry of Defense.

The first payment was for an amount of US$99 million 935 thousand and the second for US$65 thousand. The transaction carried out through Foreign Military Sales (FMS), totals US$100 million.

The spokesperson for the Ministry of Defense was consulted about the details of the award process carried out by the ministry with the United States Army Corps of Engineers. However, at the time of writing this note, no response was received.

The projects

The Army Corps of Engineers, which is the purchasing unit according to the information published in Guatecomprasissued the technical opinion in December of the previous year, which established that the United States Army Corps of Engineers will be carrying out feasibility studies of six projects to improve road mobility in different parts of the country, these being:

  • Construction of a viaduct on Martí Street, Guatemala City
  • Construction of a highway distributor in Quetzaltenango
  • Construction of a viaduct on the CA-9 North highway, kilometer 56, in Sanarate, El Progreso
  • Construction of the Arco Noroccidente highway, CA-9 Norte, kilometer 56, CA-1, Western highway, kilometer 40, in El Progreso, Guatemala and Sacatepéquez
  • Expansion of the CA-2 Oeste highway in the Río Nahualate-San Bernardino bridge section, in Mazatenango, Suchitepéquez
  • Improvement of the RD-SOL-04 highway in the Santiago Atitlán-San Marcos La Laguna section, in Sololá

According to the Ministry of Communications, the execution of these projects is planned for the medium and long term, so it is necessary to have the corresponding studies to determine the viability of each of the projects, as well as the conditions of the land in the localities where they are expected to be built.

On whether there is any guarantee that these studies, which will be carried out by the United States Corps of Engineers, They will not be discarded by the next administrations, both the central government and the Ministry of Communications, it was indicated:

“In accordance with the General Agreement on Technical Cooperation – (1954), an agreement signed between the State of Guatemala and the United States of America, and the Bilateral Military Assistance Agreement – (1955), they create a commitment of the State and not of the Government, which guarantees the continuity of the road projects, beyond the current period.”

About the payment made

Among the documents contained in Guatecompras is the letter sent on April 22 of this year by the War Department of the United States-Guatemala Military Group to the Minister of Defense, Henry Saenz, which records the verification of the payment made in two parts by the Ministry of Defense. The first payment was for an amount of US$99 million 935 thousand and the second for US$65 thousand. According to the letter, payment was made in full on March 26, one month before the award.

The document also indicates that the verified payment was made through Foreign Military Sales (FMS), for the amount of US$100 million.

The spokesperson for the Ministry of Defense was consulted about the details of the award process who carried out the portfolio with the United States Army Corps of Engineers. However, at the time of writing this note, no response was received.

What does the agreement between the CIV and Mindef stipulate?

The Administrative Agreement of Interinstitutional Cooperation between the Ministry of Communications and the Ministry of Defense, signed on February 24 of the current year, aims to improve the infrastructure of roads, highways, viaducts, crossings and intersections in Guatemala through feasibility studies and construction of six priority road projects.

As establishedthe technical execution will be carried out through the United States Army Corps of Engineers (Usace), under the modality of Foreign Military Sales (FMS), thanks to the signing of current bilateral agreements between Guatemala and the United States.

In it establish the six projects mentioned above, as well as the amount of US$100 million, which are stipulated that they will be payable in quetzals at the official exchange rate in force at the time of each transfer. Regarding its validity, it is indicated that it will have a duration of three years from the signing, extendable by mutual agreement through an addendum.

Regarding funds, indicates that the CIV will manage before the Ministry of Public Finance (Minfin) the transfer of resources to the Defense portfolio; The latter will be in charge of managing the funds according to the letter of offer and acceptance (LOA) with the United States.

Regarding the main obligations, the CIV provides the terms of reference, technical support and logistical support. The Ministry of Defense manages internal controls, budgets and the relationship with US military engineers.

Importance of cooperation

At the discretion of the former vice chancellor and former ambassador Luis Fernando Andrade Falla, The cooperation that the United States has resumed with Guatemala responds to an operational need and constitutional that had been postponed for years.

Likewise, he highlighted that this openness and the cooperation that the United States has shown during the last year with the Guatemalan Army responds to the “key” role that the Army has shown in the fight against transnational challenges such as drug trafficking, organized crime and other events that occurred on the border with Mexico.

He also highlighted the role that the current Government has given to the Army so that it can play the constitutional role that corresponds to it.

“The government has fortunately rectified it, it has given its constitutional role to the army and the United States, in light of what has been seen in the country, because it has also accelerated these changes, this help and has given it in a realistic dimension. In my opinion there is still a lack of internal budgetary resources and increasing them, but it is a good step, it has finally been taken and now the effectiveness responds to good coordination and collaboration, the equipment that is going to be provided, the issue of intelligence as well, that is, it is also a technological and training battle, so it will be very good for the army,” said the expert.

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