History of Europe

Public works awards in Ancient Rome and the solution for cost overruns

All adjudications of "the public" (works, exploitation of services, supply of goods, licenses...) today are made following a regulated, transparent, lawful and, logically, public procedure - as long as you do not snoop on someone judge or journalist and uncover that it has not been so. Well, they acted in a very similar way in Rome when awarding the publicus , with the difference that there was no one here who dared to snoop around.

The conquests of the Republic implied large spoils of war, new income via stipendium (tribute that the defeated cities had to pay) and vast extensions of land, but after the corresponding celebration of the triumphus (solemn entry into Rome of a victorious general with his army) it was necessary to govern and manage the resources of the new possessions, in addition to satisfying the needs of the countrymen who inhabited them, now subjected. And although all roads led to Rome, its administrative tentacles were not long enough to reach where it was required, so it had to use third parties, the publicani . The publicani they were private entrepreneurs or even companies (societates publicanorum ) that were used for the construction of the necessary public works (aqueducts, sewers, roads...), religious (temples), propaganda (statues, monuments...) and cultural (amphitheatres, theaters, circuses...) , in addition to the repair when any of them were damaged. Once the Senate had approved the expense and the bids had been submitted on papyrus or parchment rolled and sealed, the censors they studied the bids and awarded the work to the project that had the best quality/price ratio. Although in theory the Senate controlled the decision-making of the censors , being generous with them or belonging to their circle of friends made your chances of success increase proportionally to your generosity or degree of friendship.

Not only in this field of the publicus did the Republic of the publicani serve They were also in charge of exploiting public goods (mines, salt pans, land...) and even collecting taxes from the Roman provinces. These activities were awarded by auction to the highest bidder (from the Latin sub , under and up , spear; when the soldiers finished the battle, they stuck the spear and under it all the booty that was sold to the highest bidder). In this way, the state coffers received money periodically and an amount guaranteed by the lease of these public assets, normally for five years, in addition to removing the thankless task of tax collection at a stroke of the pen. But like a good people bathed by the Mediterranean, the publicani they stretched their position of privilege too much to get higher profits. Since their profit margin was the difference between what was paid for the adjudication and what was obtained through direct exploitation, they squeezed the people and committed all kinds of abuses, becoming responsible for some revolts that had to be quelled by sending the legions. Augustus stripped them of the privilege of collecting taxes and the publicani they had to reinvent themselves by acting more in purely private businesses than in public.

Vitruvian

Similarly, public works awards had hanging in the past, and have in the present, two labels that accompany them wherever they go:the award for reasons other than those stipulated in the call and the extra cost of the works . Regarding the first, it will be that we are human, and regarding the second we should pay attention to what the Roman architect Vitruvius said back in the 1st century BC

When an architect agrees to take charge of a public work, he must promise what its cost will be. His estimate is delivered to the magistrate, and he deposits his property as collateral until the work is completed. Once finished, if the price coincides with his estimation, he is honored with decrees and plaques. If not more than a fourth part of the calculation of it is to be added, it is obtained from the public treasury, and is not penalized in any way. But if more than that quarter has to be spent, the money required to finish the work is obtained from the architect's properties.

Isn't that a good solution?

Source:Inventions of the Ancients