In a report released Thursday, the Montgomery County Inspector General condemned the county’s lack of a formal written policy on use of field orders in construction projects, leading to a higher chance of fraud and abuse.
According to the report, field orders were approved and issued without evidence of first having met required conditions under procurement regulations.
Therefore, the Office of Inspector General (OIG) recommended that the county both implement a policy for field orders and a process that ensures compliance.
The county accesses contingency funds for capital improvement construction and renovations through field orders. A field order is a specific written directive modifying the scope of work in a previously approved project.
According to the OIG, county departments often “used a different process to issue a field order and each process was deficient in demonstrating that the use of the field order was justified and complied with County regulations.”
The report reviewed orders at the Department of Environmental Protection, the Department of Transportation and the Department of General Services.
While improving, the report noted that the county has “not gone far enough,” and as a result it is vulnerable to fraud and abuse.
The report, therefore, recommends that the county create “a universal policy governing the use of field orders, and a process that insures compliance.”
In response, County Chief Administrative Officer Rich Madaleno agreed with the OIG’s recommendations, but explained that during emergencies, field orders may become immediately necessary so as not to add even further costs or delays.
