Andong-si, Cost Review Conducted Before Contract... Saved 620 Million KRW in the First Half of the Year

[Asia Economy Yeongnam Reporting Headquarters Reporter Dongwook Park] Andong City, Gyeongsangbuk-do announced on the 8th that it saved 620 million KRW in budget through the review of 89 contract costs in the first half of this year.

The contract cost review is a system that examines the appropriateness of cost estimation before proceeding with contracts for various project orders such as construction, services, and goods procurement. The project targets are construction costs of 300 million KRW (200 million KRW for specialized work), services of 50 million KRW, and goods procurement of 2 million KRW or more. In addition, for construction projects over 500 million KRW, if there is a design change resulting in an increase in project costs by 10% or more of the original amount, it is also subject to review.

Looking at the results of the contract cost review in the first half of this year by sector, 460 million KRW was saved from 34 construction cases, 120 million KRW from 39 service cases, and 40 million KRW from 16 goods procurement cases.

Kim Bonghyun, Director of the Public Relations and Audit Office, stated, "We will continue to strive to prevent unnecessary budget waste through thorough cost analysis in advance and work towards improving sound financial management."

This content was produced with the assistance of AI translation services.