Public Value — Re-contract the Oxygen & Home-Care Service at SMS-VV

A four-round, advanced public-procurement simulation set inside the Secretaria Municipal de Saúde de Vale Verde (SMS-VV), the health secretariat of a fictional Brazilian municipality of 720,000 in interior São Paulo (R$540 million budget, R$95 million annual procurement). On 9 March 2026 the incumbent supplying oxygen, respiratory-equipment rental and home-care delivery to 1,900 chronic and post-discharge patients defaults mid-cycle, and a winter respiratory surge is forecast in 63 days. SMS-VV must re-contract a R$22 million / 12-month service fast, award and mobilise by day 49, and prove — to a municipal Controladoria and the state Tribunal de Contas (TCE) — that public procurement can be agile AND accountable at the same time. Playing the Procurement Officer under Lei 14.133/2021, you (1) diagnose why the original lowest-price-only award failed and choose the procurement instrument that fits the 63-day clock; (2) design and publish a defensible evaluation model across three bids (R$18.6M lowest-but-risky to R$24.3M premium-with-SLAs), justifying any non-lowest-price choice to survive TCE review; (3) calibrate outcome-based SLA incentives inside the ±8% band (≈R$1.76M), avoiding both toothless 'best efforts' clauses and penalty-overload that triggers price-padding, metric-gaming and bidder flight; and (4) choose the oversight mechanism (in-house, third-party audit, telemetry at ~R$240k/year, or hybrid), absorb a mid-contract shock, and defend a final scorecard of lead-time, quality, life-cycle cost and compliance. The math operationalises Sandro Cabral's public-value framework — agility, cost, quality and accountability as complementary, not opposed — and makes each of the five classic errors measurably underperform: the lowest-price reflex that recreates the default, unjustified weightings, vague SLAs, penalty overload, and under-investing in oversight until you fall back on emergency dispensa. Final KPIs track Public Value, Service Quality, Accountability and the day-49 lead-time clock against the surge.