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GE2015: AHPETC has surplus of $1.7 million: WP's Sylvia Lim

The front office of the Workers' Party-run Aljunied-Hougang-Punggol East Town Council in February 2015. (Yahoo File photo)

The Aljunied-Hougang-Punggol East Town Council (AHPETC) has recorded an annual operating surplus of $1.7 million, its chairman Sylvia Lim said in an open letter to residents. This, she clarified, is after taking into account government grants of some $7.2 million, which has not been given to AHPETC.

The Workers' Party (WP) chairman said, in what is her second open letter to residents, that "though these accounts show AHPETC in annual deficit, this is because AHPETC has still not received its annual S&CC operating grant of $7.2 million from the government, which would normally have been paid to all Town Councils in April 2014".

She added, "The past operating deficit was largely the outcome of higher tender price for various service contracts and start-up costs.

"The current positive position came about through a combination of steps taken by AHPETC. These included lowering its utilities costs by using contestable energy, reducing its general and administrative expenditure, and increasing its revenue."

The AHPETC saga has been reignited in recent days, with the PAP and WP clashing again over the matter as Nomination Day and Polling Day approach.

ON CONFLICT OF INTEREST

Lim also stressed that there was no conflict of interest between FM Solutions and Services (FMSS), AHPETC's former managing agent (MA) and the Town Council.

"First, there is no longer any issue, as AHPETC is now directly managed and does not outsource its work to an MA. The previous MA contract expired on 14 July 2015, and there were no bidders to take over the MA services after 14 July 2015," she wrote.

"Since 15 July 2015, AHPETC has been self-managed."

She also said that "neither WP nor any of its MPs or members has any interest in the business of FMSS.  None of the directors and shareholders of FMSS is a member of WP".

Read the full letter here.



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