Mato Grosso Court vetoes subcontracting for construction material procurement

The State Court of Accounts (TCE) has vetoed the use of a 'subcontracting' model for the acquisition of construction materials in Mato Grosso. The decision follows a consultation from the municipality of Porto Alegre do Norte regarding whether it could hire a specialized company to manage a network of accredited suppliers.

In his ruling, counselor Antonio Joaquim stated that this model is atypical and lacks legal provision under current public procurement regulations, including Law No. 14,133/2021. While the model is permitted in specific logistical cases—such as fuel management, fleet maintenance, and transportation or food vouchers—it is not applicable to the procurement of construction materials.