Concerns Mount Over $16 Million Contract with Aguas de Escazú Consortium for AyA Restructuring
San José, Costa Rica – September 2, 2025 – The National Association of Public and private Employees (ANEP) has raised serious concerns regarding a contract with the Consorcio Aguas de Escazú, awarded to oversee restructuring within the Costa Rican Institute of Aqueducts and Sewerage Systems (AyA). To date, over $16 million (USD) has been paid to the consortium, funded through a combination of a loan from the Central American Bank for Economic Integration (BCIE - loan 2129) and a non-refundable contribution from the Central America Water and Sanitation Program II (MC RANC-EE).
Originally contracted for $16,695,083.01 USD, the scope of the Aguas de Escazú consortium’s services was recently expanded by 50%, adding an additional $8,347,541.50 financed by AyA funds, bringing the total contract value to over $25 million.ANEP alleges the contract represents a misuse of public funds, citing several key issues. These include allegations of technical and administrative irregularities in the hiring process, unjustified cost increases, and a lack of demonstrable improvements in service delivery despite the substantial financial investment. The association claims the payments made to date have not yielded tangible benefits for either AyA or Costa rican citizens, and that these costs are ultimately passed on to consumers through service rates.
Furthermore, ANEP questions the consortium’s qualifications, noting they were tasked with proposing an institutional restructuring despite lacking documented experience in such processes.Independent review from within aya’s Legal Directorate and the Ministry of Public Works and Transportation (MOPT), the governing body of AyA, appears to corroborate concerns about the restructuring proposal. A letter from MOPT (MOT-DM-2025-1652), signed by Minister Efraim Zeledón, reportedly denies endorsement of the plan, citing multiple deficiencies. These include:
Lack of detailed seat analysis: The proposal fails to specify the number of positions created, eliminated, or modified, or how staff would be relocated.
Inconsistent data: Discrepancies exist between reported staffing numbers (4,354) and internal records (4,045).
procedural violations: Affected employees were not consulted, perhaps violating constitutional guarantees. Structural inconsistencies: The proposal outlines new dependencies despite claiming no new structures would be created.
Weakened strategic planning: The restructuring is seen as undermining AyA’s mission and vision.
Opaque financing: The proposal does not meet requirements for detailing costs associated with personnel changes.
* Missing approvals: The Institutional Planning Unit, a mandatory body for restructuring approvals, was not consulted.
ANEP asserts that the AyA reorganization exemplifies wasteful spending and irregular management of public funds, and calls for accountability from those responsible, including General manager Alejandra Mora and Sub-manager María José Castillo, who remain in their positions.The association maintains that a thorough investigation is necessary to determine the full extent of the issues and ensure responsible stewardship of public resources.
