TRANSPARENCY AND GOVERNANCE IN THE PUBLIC SECTOR: AN ANALYSIS OF THE ECONOMIC AND FINANCIAL QUALIFICATION OF COMPETING COMPANIES IN THE STATE OF SANTA CATARINA

Abstract

This study analyzes the economic-financial variables associated to public bidding, in the competition form, that took place in the State of Santa Catarina as well as how organizations justify their financial condition. First, a literature review is presented as well as a discussion of Federal Law No. 8.666/93 which addresses the economic-financial qualifications of organizations. Following, data collection and analysis methods area described. A total of 457 edicts have been analyzed during the period of January 2003 and October 2005, in the executive, legislative and judiciary ambits. Findings evidence some incongruence on the adopted criterion by the government in the bidding process. Financial rations used to evaluate companies vary both on their formulation as well as in their rate for similar bidding objects. The great majority of edicts mention the Kanitz’s insolvency scale (1974) as the only indication to verify the economic-financial situation of organizations. In conclusion, this study wishes to contribute to the construction and to the improvement of public administration research as it presents an initial discussion about a subject, yet incipient in Brazilian literature: the economic-financial qualification on public bidding.