INTEGRATING COMPLIANCE AND COST CONTROL IN PUBLIC INFRASTRUCTURE AND AFFORDABLE HOUSING CONSTRUCTION CONTRACT MANAGEMENT

Public infrastructure and affordable housing projects play a critical role in fostering inclusive economic growth,enhancing social welfare, and bridging urban-rural development gaps. However, these projects are often plaguedby delays, budget overruns, regulatory non-compliance, and corruption—challenges that undermine their intendedsocial impact. In this context, integrating compliance and cost control mechanisms into construction contractmanagement has become a strategic imperative for governments, donors, and contractors. This paper offers acomprehensive exploration of the intersection between regulatory compliance and financial discipline in themanagement of public construction contracts, with a particular focus on infrastructure and affordable housingprojects. The study begins by examining the broader landscape of public infrastructure development, highlightingthe institutional and financial constraints that impede project delivery. It then narrows the focus to contractualframeworks, identifying key risks associated with inadequate cost estimation, bid rigging, change order abuse,and misalignment with legal standards. Drawing upon global best practices and case studies, the paper proposesa hybrid management framework that fuses compliance auditing with real-time cost monitoring using digital toolssuch as Building Information Modeling (BIM), Enterprise Resource Planning (ERP), and blockchain-enabledprocurement systems. Furthermore, the study underscores the importance of multi-stakeholder engagement,regulatory harmonization, and capacity building to institutionalize these practices at scale. By aligning fiscalresponsibility with transparency and legal adherence, the proposed approach fosters a culture of accountability,minimizes financial waste, and enhances project sustainability. This integration is especially vital in affordablehousing, where cost efficiency directly impacts the viability and accessibility of housing for low-incomepopulations. Overall, the paper provides a strategic roadmap for policymakers, construction managers, anddevelopment partners seeking to reform contract governance in large-scale public construction initiatives