Justice suspends Curitiba public transport bidding process following request from bus companies

Justice suspends Curitiba public transport bidding process The Court of Justice of Paraná (TJPR) suspended, on Thursday night (25), the bidding process for Curitiba's public transport, the announcement of which had been published hours earlier by the city government of the Paraná capital. The decision is subject to appeal. The preliminary injunction was issued by Judge Leonel Cunha, following a request from the companies that have held the current service contract since 2010. The contract initially had a 15-year term but was extended for 24 months. ✅ Follow the g1 PR channel on WhatsApp Given the proximity of the expiration of the concession contracts, the City of Curitiba initiated negotiations with the concessionaires to verify if there is any pending imbalance in the contract and to analyze the best way to continue the service – whether to renew or bid again. A working group was created and a foundation was hired to support the studies, preparing reports and technical opinions aimed at the economic-financial, operational, and legal evaluation of the system. However, according to the companies, even without the conclusion of the studies, the City of Curitiba and Urbanização de Curitiba (Urbs) "unilaterally interrupted the work" and started the new bidding process. The Court understood that, despite the existence of the working group and the hiring of the foundation, the City of Curitiba is not obligated to extend or renegotiate the current contracts. However, it would not be appropriate to interrupt the studies already started. Thus, the judge set a deadline of 180 days – six months – for the technical studies to be resumed and for the necessary administrative measures to be taken for the formal conclusion of the negotiations. "During this period, or until the conclusion of the studies, the respondents [Municipality of Curitiba and Urbs] must refrain from publishing a public tender notice for a new concession for Curitiba's public transport service. If the notice has already been published, acts tending to the continuation of the contest are suspended for the same period," says the injunction. Justice suspends Curitiba public transport bidding process following request from bus companies Curitiba City Hall READ ALSO: Environment: Ibama fines Curitiba City Hall R$ 525,000 for irregularities in tree cutting on Avenida Arthur Bernardes World Cup: Curitiba will not have an optional holiday for Brazil vs. Japan; see how public services will operate Video: Cars collide at intersection, and woman and child crossing the street are hit What does the City of Curitiba say? In a note, the City of Curitiba and Urbs informed that they "respect the judicial decision, but will appeal the injunction because they understand that the new public transport concession process was built with broad popular participation, technical support from BNDES, monitoring by the State Court of Accounts, and studies conducted over the last few years." "The new concession is important to improve the lives of those who depend on the bus every day. The project provides for a renewed fleet, more electric buses, air conditioning in vehicles, temporal integration, more comfort for passengers, better control of service quality, and a more efficient network for the population. The City's goal is to ensure more modern, comfortable, and reliable public transport for those who use the system daily," the note says. What do the concessionaires say? The consortia that operate Curitiba's public transport question the reason for the city abandoning an analysis already contracted, partially funded with public resources, and created precisely to indicate the best and most efficient alternative for Curitiba. "By not enabling the completion of this work, URBS and the Municipality engage in contradictory behavior and violate the principles of objective good faith, protection of trust, legal certainty, and the coherence of administrative action, as recognized by the decision issued by the Court of Justice of the State of Paraná." "With the continuation of the bidding and the non-completion of the studies that were contracted, there is a risk of wasting public resources and giving up fundamental technical information for a decision that will have a direct impact on passengers, workers, taxpayers, and the public transport system itself. Furthermore, the 1st Public Treasury Prosecutor's Office of Curitiba has already warned, in an opinion issued in the case files, that this conduct could, in theory, raise discussion even about the possible characterization of an act of administrative improbity on the part of the public power," the note says. VIDEOS: Most watched on g1 Paraná Read more news on g1 Paraná.