Made not to do

By ETCO

Source: Jornal do Commercio Brasil - RJ, 08/04/2009

Several criticisms can be made of the PAC. But it is the most valuable tool in anti-cyclical policy, which interests everyone. The main cause of the delay in its implementation is the institutional straight jacket represented by the rules that regulate the supply of goods and services to the state, as is the case with the execution of public works. The exaggerated rigor of the rules applies from the selection of the supplier, goes through the hiring and other steps, until the receipt of the invoices by the executor. Such rigor, however, has not prevented corruption.

The dense web of requirements is made up of bureaucratic-legal and environmental aspects that go beyond, even, the standards used in developed countries, implying costs that are sometimes absurd. On the other hand, the lack of clear definitions of the regulation provides arbitrary and paralyzing interventions by the courts of auditors, public ministries, in addition to the contractor's inspection, making everything more expensive.

This stems, first, from the imperfections of Law 8666/93, an advance at the time of its edition, but which was born with many defects. Second, to these were added other requirements from different bodies: compliance with taxes, certifications, etc. Third, it is necessary to observe exquisite HSE rules (occupational health, environment and safety), which were edited over time by technocracy, without a careful assessment of their real need in a poor country.

Bureaucracy. Thus, a bureaucratic barrier was created, which is very expensive to overcome by the taxpayer. On the other hand, the environmental licensing of the works requires a long time for the approval of studies and reports of environmental impact (EIA / RIMA), in addition to holding public hearings with the presence of various bodies and representatives of the community. Only after the discussion and approval of the EIA / RIMA will the Preliminary License for the execution of the work be issued, normally with a long list of requirements, regulated by the Equipment Installation License (social, road, sanitary, etc.). Often, they are mitigating and compensating measures for the effects of the work, which also burden the enterprise. And finally, if all are fulfilled, an Operation License is issued that allows the population to use the equipment.

Obtaining licenses can become a crucis way, as the environmental agencies do not have technical staff in sufficient number and quality. The deadlines for issuing a license in the State of Rio de Janeiro, for example, can vary from 60 to 360 days, depending on the complexity of the work.

Several movements result from all this to escape the exaggerated restrictions. The administrators try to characterize the government purchase as one of the cases of exemption from bidding (unenforceability, notorious specialization, etc.), because they know that a very successful competition takes at least six months to a year to complete. Suppliers, on the other hand, change the company's name successively, to facilitate obtaining negative certificates.

Finally, bureaucracy has become the main problem to be solved in engineering works. Rather than charging Justice with punishment for those responsible for the frauds committed, hysteria against corruption causes new rules to be created. These have not represented an improvement in control over the quality of public spending. They serve only as obstacles for the honest public administrator to carry out the projects. Or, if there are dishonest public officials, they serve to raise the value of tuition fees.

It would be necessary to revive the spirit of Hélio Beltrão, to simplify things and make the PAC and the newborn housing program happen.