Professor thinks Joensuu city mismanaged the €30 million music house competition: 'It's pouring into the cooperative's pocket'
A public law professor has criticized Joensuu city's handling of the competition for a €30 million music and cultural center, suggesting it may constitute hidden state aid.
Professor Tomi Voutilainen has raised serious concerns about Joensuu city's process in selecting a private operator for a €30 million music and cultural center, suggesting the city's actions could represent covert state assistance. He pointed out that the bid appears to favor the North Karelia Cooperative (PKO), leading to criticism from local businesses regarding the competitive nature of the procurement. The Joensuu city council is set to make a decision on this issue on February 23, with a unanimous proposal from the city board prepared by Mayor Jere Penttilä. The proposal involves a 25-year rental agreement with a private entity, obligating the city to a maximum payment of €30 million for the use of the facility. Penttilä defended the procurement process, although the lack of competing bids has raised eyebrows. The controversy underscores broader implications for public procurement practices in Finland, particularly regarding transparency and competition. With only PKO responding to the call for bids, questions arise about whether the competitive bidding process was adequate or effective, potentially leading to broader scrutiny of how local governments manage large public projects and allocate resources.