Czech Senate criticizes fundamental flaws in digitization of construction proceedings

22 August 2024

The Senate has expressed serious concerns over the digitization of construction proceedings in the Czech Republic, highlighting fundamental flaws and errors in the system. In a resolution passed today, the Senate urged the Ministry for Regional Development (MMR) to consider appointing a crisis manager and forming a working group that includes representatives from building authorities and the Czech Chamber of Architects (ČKA).

During a three-hour debate, senators warned of potential economic repercussions, the possible exodus of workers from construction offices, and the risk of lawsuits against the state for compensation. Despite these concerns, Regional Development Minister Ivan Bartoš (Pirates) indicated that he has already compiled a list of the system’s shortcomings but intends to present it to the government before making it public.

“The system has been non-functional for a month and 21 days since its launch,” stated Hynek Hanza (ODS), who initiated the debate on the issues with electronic construction proceedings. He emphasized the non-political nature of the issue, pointing out the significant consequences for future construction proceedings. Senator Jiří Čunek (KDU-ČSL) added, “The economic and subsidy consequences could be severe, amounting to billions at risk.”

Several senators called for a temporary suspension of the new construction law, advocating for a transitional period during which the original law would govern construction activities. Raduan Nwelati (ODS) labeled the system as “absolutely dysfunctional,” expressing skepticism that it could be fixed in a matter of months. Senator Jan Sobotka (STAN) echoed these concerns, warning that many workers might leave construction offices due to the ministry’s approach.

The debate also touched on specific changes in the permitting of apartment buildings and the approval process for new constructions, which the Senate addressed in its resolution. Minister Bartoš acknowledged errors in the approval process for buildings permitted before July and noted that the ministry had issued a methodology to address these issues.

Senator Petr Vícha (SOCDEM) went so far as to call for Bartoš’s resignation, stating, “I personally think that the only thing to do is to commit harakiri and resign, allowing someone new to take over and try to resolve this.” Vícha criticized Bartoš for seemingly being the only one who believes the system is functioning. However, Bartoš received some defense from Adéla Šípová (Pirates), who argued that his efforts to digitize construction procedures should not be in vain. “If he were to resign now, all progress would be lost,” she said.

The Senate’s resolution includes a 14-point plan, recommending that the Ministry examine whether the integrated construction management system and the builder’s portal contain critical errors. The Ministry is also urged to outline the current state of affairs, identify deficiencies, and present a clear plan and timeline for addressing them. Additionally, the Senate suggested exploring legislative steps that could temporarily suspend the new Construction Act or allow the old and new laws to operate concurrently, providing time to refine the digitization system.

Minister Bartoš has been meeting regularly with builders, planners, and municipal representatives, who have long criticized the current form of digitized construction procedures. He has assured them that some of the system’s fundamental flaws will be addressed by the end of August. The MMR has also published a timetable outlining further changes planned for the systems by the end of the year. However, CCA Chairman Jan Kasl questioned whether these planned steps would be sufficient, particularly concerning the operationalization of the Construction Management Information System used by civil servants. He supported the Senate’s call for a crisis manager and a task force to provide an external, independent perspective on the issues.

Despite these recommendations, MMR spokesperson Peter Waleczek expressed skepticism that appointing a crisis manager would resolve the system’s issues quickly. “The MMR team has spent years working on the amendment to the Construction Act and the digitization process. A newly appointed crisis manager would not be able to grasp this complex issue in a matter of weeks, regardless of their experience or capabilities,” said Waleczek.

Minister Bartoš was expected to present the progress of the new system’s implementation and a plan to address its problems at a cabinet meeting today. The meeting was convened at the request of TOP 09, and several coalition politicians have urged Bartoš to ensure the construction management systems are fully functional by the end of August.

Source: CTK

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