KP “Goloseyevo-stroyinvest” has made another deal for the renovation of gymnasium No. 59 named after Boychenko in the Goloseevsky district of the capital. The new contract is worth almost UAH 50 million and it has been awarded to Bud-Optima-Construction LLC. Last year, this company replaced the original contractor, who was linked to the controversial real estate developer Maxim Nikitas. However, switching contractors didn't seem to bring the reconstruction closer to completion. The project, which was initially planned to finish in fifteen months, has already seen contracts worth nearly UAH 333 million, and city officials keep increasing the estimated cost, making it possible to spend another hundred million hryvnias on the project.
According to the announcement in the ProZorro electronic system, on December 15, 2022, Goloseevo-stroyinvest entered an agreement with Bud-Optima-Construction LLC to complete construction works for the gymnasium No. 59 named after Boychenko. The contract is priced at UAH 49.88 million.
The contract stipulates that the contractor must complete earthworks, facade, electrical work, as well as work on the foundation, walls, ceiling, roof, windows, and doors by the end of May 2023.
The purchase was conducted through “open bidding with features” which is allowed under the decree of the Cabinet of Ministers of October 12, 2022 No. 1178 on public procurement under martial law, allowing contracts to be concluded without an auction.
Based on the results of procurement monitoring on December 23, 2022, the State Audit Service requested Goloseevo-stroyinvest to provide documents justifying the technical and qualitative characteristics of the procurement item and its expected cost. As of December 27, the customer had not responded to the auditors in the ProZorro system.
The reconstruction of gymnasium No. 59, including the addition of buildings and structures, has been in progress since 2018. The initial contract for the reconstruction was signed by KP Goloseevo-Stroyinvest on July 16, 2018, with North Ukrainian Construction Alliance LLC, associated with the controversial developer Maxim Mykytas, with a price of UAH 172.9 million. The second contract for additional construction work, with the same company, was concluded through negotiations on August 13, 2020, at a price of UAH 83.2 million. The work under the first contract was supposed to be finished by the end of 2020, and the second one by the end of August 2021. However, reports on their implementation in the ProZorro system had not been published as of December 27, 2022.
In 2021, Goloseevo-stroyinvest decided to change the contractor for the gymnasium reconstruction to Bud-Optima-Construction LLC. Despite this company's more expensive tender offer, they signed a UAH 26.84 million agreement for additional work, scheduled to be completed by the end of the last year. Another contract worth UAH 26.15 million was signed on February 14, 2022, but it was terminated in the summer due to the Russian invasion of Ukraine with no payment made.
Thus, for 4.5 years, Goloseevo-stroyinvest has already signed contracts for the reconstruction with the addition of buildings and structures of Boychenko Gymnasium No. 59 for UAH 332.92 million (excluding the terminated contract and contracts for design work) .
We also remember that while the reconstruction was happening, the Kyiv City State Administration (KSCA) increased the total estimated cost multiple times. Originally, the project was approved on August 30, 2018 with an estimated cost of UAH 180.2 million. In May 2019, it was re-approved with an estimated cost of UAH 270.42 million, and in July 2021, the estimate was raised to UAH 434.77 million. Despite the increase in cost, the planned capacity of the educational institution after reconstruction remains the same – 1,521 students in 52 classes.
According to the Youcontrol analysis system, Bud-Optima-Construction LLC was established in 2017 in Kyiv. The authorized capital is 1,000 hryvnias. The founders are Alexander Kalinichenko and the director is Sergey Serbin.
According to Clarity-project, Bud-Optima-Construction LLC signed 9 contracts worth UAH 158 million through public procurement. The largest customer is KP Goloseevo-stroyinvest, with which 3 contracts were signed for almost UAH 103 million. The remaining 6 contracts worth UAH 55.11 million with Bud-Optima-Construction LLC were made by the Engineering Center for overhaul at the Kiev City Maternity Hospital No. 1.
Since January 2021, Bud-Optima-Construction LLC has been part of a criminal investigation by the investigative department of financial investigations of the Main Directorate of the State Fiscal Service in Kyiv (proceeding dated January 19, 2021 No. 42021100000000038). According to the case materials, Bud-Optima-Construction and other companies are suspected of large-scale tax evasion in 2019-2020.
KP Goloseevo-Stroyinvest was established by the Kyiv City Council in 2003 with an authorized capital of UAH 2.06 million. The current director since August 2020 is Ivan Kudelya. The previous directors were Alexander Kotsyuba (from July 2017 to November 2018), Yevgeny Osadchy (from November 2018 to September 2019, and Sergey Putilin (from June to July 2019, and from September 2019 to August 2020).
Previously, KV reported that since January 2020, the National Police has been investigating criminal proceedings No. 42020101010000004 regarding the possible embezzlement of budget funds by officials of the KP Goloseevo-Stroyinvest in favor of North Ukrainian Construction Alliance LLC, the first contractor of the reconstruction. Officials of Golosiyevo-Stroyinvest deliberately exaggerated the scope and cost of the procurement costs. As a result, they signed fake work performance acts and overpaid for reconstruction materials.
KP Golosievo-Stroyinvest is under the Goloseevskaya Regional State Administration, which has been led by the ex-head of the Department of Urban Improvement and Conservation of the KSCA Sergey Sadovoy since November 17, 2019. The activities of the Goloseevskaya Regional State Administration are coordinated by the Deputy Chairman of the KSCA Vladimir Prokopov.
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* Municipal enterprise for capital construction, reconstruction and investment “Goloseevo-stroyinvest” (EDRPOU code: 32525198 )
** Bud-Optima-Construction LLC (EDRPOU code: 41236299)
*** North Ukrainian Construction Alliance LLC (EDRPOU code: 35129952)