Critical Analysis of Contractual Addendum in Public Services

In the execution of public services, the incidence of contractual terms and value additions is a strong indication of failures in the execution of the planning phase by the public management. This work aims to investigate the existence of flaws in the public contracting process, in the period from 2009 to 2011, as well as the main causes of discrepancies, with values and deadlines, from those foreseen when the bidding process took place. We conducted a case study based on the Mineiro Triangulum Federal Institute (IFMT). The results confirmed the existence of a critical problem by revealing that 100% of the services analyzed presented an addendum for deadline extension and value increase of the total project. On average, the execution time of the analyzed works was 6.5 (six and a half) times longer, as well as the final cost was 23% higher than planned. The results obtained demonstrated that the main factors causing contractual amendments are time and value. We also identified that the conception and preparation of basic projects represent the main problems in the construction services provided by public management in the studied case.