Federal funds returned due to lack of building certification, state assembly told


Suhaimi says millions in federal funds were returned because buildings lacked proper documentation.

KOTA KINABALU: The Sabah government has had to return federal allocations over the years because many of its buildings lack proper certification, including Occupational Certificates (OC), the state assembly was told.

Nominated assemblyman Datuk Suhaimi Nasir (BN) raised the matter during the question and answer session on Wednesday (April 16), saying that long-standing problems involving ownership status and missing inspection approvals had blocked progress on several public facilities.

He cited Sandakan as an example, where markets and even religious buildings had failed to benefit from millions in federal support due to such bureaucratic hurdles.

“A RM2.7mil allocation to upgrade the Gum-Gum weekly market couldn’t be used because of ownership issues. The building was under the municipal council, but the ministry did not give approval for the funds to be channelled,” he said.

“Another RM500,000 allocation was also withdrawn for similar reasons,” Suhaimi added.

He explained that some buildings, including facilities in Batu 7 and Batu 8, have been standing for over 15 years but still lack the necessary safety inspection documents. He said these buildings do not have complete paperwork, including the Occupational and Safety Inspection (OSI), which has led to federal agencies pulling back previously approved funding.

“This is a recurring problem. The allocations are there, but we can’t use them because of incomplete documentation. It’s a waste and the public loses out,” he said.

In response, Deputy Chief Minister II Datuk Seri Dr Joachim Gunsalam (GRS-Kundasang), who is also the Local Government and Housing Minister, confirmed that certification issues are a major obstacle when it comes to accessing federal funding for development and repair works.

He said many older government buildings were constructed at a time when certain approvals, such as OCs, were not required. However, under current federal procedures, any new allocation must meet all regulatory compliance requirements.

“In the past, buildings didn’t need an OC and could still be used. But now, each time we receive federal allocations, the lack of an OC becomes an obstacle,” he said.

“We are currently working on how to address this issue and ensure that buildings can be approved and certified properly,” Joachim added.

He also acknowledged that this has impacted how the state can respond to federal opportunities, as certification issues now need to be resolved before development funds can be channelled.

Suhaimi urged the state government to take this matter seriously and ensure that buildings under local authorities are brought up to standard so that federal allocations are not lost.

“The issue is not about the availability of funds. The issue is our readiness to receive them,” he said.

 

 

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