The Urban Development Corporation (UDC) has reiterated that the Government Oval and Downtown Development will create local jobs, as the memorandum of understanding (MOU) with China Construction America, South America division (CCASA) only covers the preliminary master planning stages, and not the design and build stages.

The UDC was responding to a demand from the Construction Industry Council (CIC) to withdraw the MOU.

Last week, the CIC — the umbrella group for construction industry professional organisations — called on the Government to halt what it described as an “ill-conceived” agreement with CCASA to complete concept designs for a new Parliament building, approximately 17 ministries and agencies, and commercial and residential developments around National Heroes’ Park in Kingston.

The CIC cautioned the Government against incurring large debts on mega construction projects with overseas companies, and urged the Administration to seek consultations with local interests on the slew of projects which will comprise this proposed Government zone.

However, last Thursday, UDC General Manager Dr Damian Graham, in a news release, insisted that the agreement does not limit local involvement. He said that the MOU is non-exclusive, non-binding, and for a limited time.

“It still allows local entities to make their own, separate, stand-alone arrangements with the UDC for the provision of similar master plan completion services,” Dr Graham said.

“The MOU is limited to providing augmented technical capacity to develop the master plan, or, put another way, the detailed terms of reference that will govern the entire scope of work for the project, and doesn’t include detailed design nor building,” Dr Graham added.

He also revealed that it was never the intention of the Government or the UDC to engage non-Jamaicans to design and build the Parliament building which will fall within the area being called Government Oval Campus.

“The building of the new Jamaican parliamentary complex was always intended for Jamaicans,” the UDC release quotes Dr Graham.

Although still very much in the planning stage, based on extrapolated data from similar projects, it is estimated that staffing for the entire infrastructure project, over an eight-year period, may bring over 5,000 jobs, the UDC said.

The project is expected to foster a transference of knowledge throughout each stage to completion, the agency added.

It said that following the completion of the preliminary master planning stage, the detailed design and build required for Phase 1 (Government Campus and Houses of Parliament) and Phase II (a multimodal transport centre; cruise ship pier, and housing projects), will go to public tender, where both local and international companies will be invited to offer their proposals.

“All these projects will be at no additional cost to the Jamaican taxpayer as the contracts with the winning bids will provide the immediate financing within their scope,” Graham said.

“The Government Oval Campus project is self-financing in the long term with respect to the net impact on the Government of Jamaica’s budget. The UDC-budgeted development costs, estimated to be well below US$1 billion, will be utilising the pool of funds currently under expenditure by the Government for the maintenance, lease, rental and operation of disparate governmental buildings,” Dr Graham added.

The UDC said the cost savings are well within the scope of the public sector rationalisation programme that drives the country towards Vision 2030.