NRPB terminates final contract with non-performing contractor under ERP-1

GREAT BAY--The National Recovery Program Bureau (NRPB) has terminated a third contract under the Emergency Recovery Project 1 (ERP-1) due to the contractor’s failure to mobilize for the planned expansion of the Emergency Operations Center (EOC) building.

This follows the earlier termination of two other contracts with the same contractor, which covered repairs to several school gyms and public sports facilities. All three contracts were awarded through open, competitive bidding processes under World Bank procurement guidelines. While this outcome was not ideal, the NRPB followed standard escalation procedures and made the decision in full consultation with the Government of Sint Maarten and the World Bank.

As with the previous cases, this step was taken to protect the integrity of the project and ensure responsible use of public resources. Approximately 10% of each contract was paid in advance, in accordance with international practices. Financial safeguards, including advance payment guarantees and reimbursement mechanisms, were in place to secure these payments. Though the NRPB hoped for a better result, its priority remains delivering the work the public expects and deserves.

The school gyms, sports facilities, and now the EOC building were among the final activities planned under ERP-1. To date, ERP-1 has funded repairs to numerous social and private homes, restored 19 schools, strengthened emergency services and shelters, and supported the reconstruction of key public infrastructure across Sint Maarten. Discussions are ongoing with the Government and the World Bank to determine the best path forward for completing the terminated works.

To support public understanding and reduce misinformation, the NRPB has published a Q&A addressing questions about contract scope, contractor selection, financial safeguards, and next steps. It also confirms that this was the final contract awarded to the company in question.

This outcome does not reflect the overall strength of ERP-1, which has delivered critical results for the country. The NRPB remains committed to transparent communication and will provide further updates as the situation develops.

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