Sao Paulo court demands changes for sanitation concession

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Sao Paulo court demands changes for sanitation concession

The Federal Court of Accounts of São Paulo (TCE / SP) has recently published some changes for the bidding process of the Marília sanitation concession in the mid-western region of the state of São Paulo.

The points to be corrected in a potential new tender process, among others, are the following:

  • The prohibition of participation of entities which are unable to participate in a bidding process under the subsection III of article 87 of Law 8.666 / 93.
  • The tax compliance demonstration requirements shall be limited to taxes that keep relevance to the bid object.
  • The technical proposal and economic proposal evaluation criteria should be reconsidered.

As we reported in February, Sao Paulo’s Federal Court of Accounts suspended the sanitation concession in Marília. The decision was taken after Sao Paulo’s Court received information about the tender process from Isabela Abreu dos Santos, who questioned the competitive process.

The concession involves the provision of water supply and sewage treatment services in the municipality of Marília. The contract has a period of 35 years and it has a value of R$600 million (US$149.7 million).

The deadline for the submission and opening of the proposals was February 5, 2016.

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