Identification and Analysis of the Causes of Problems in the Implementation Stage of Construction Projects with APBD Funding Sources in West Sumatra Province

Aims to determine and analyze the causes of problems that often arise at the implementation stage of construction projects with APBD funding sources in West Sumatra Province. The research method used is descriptive qualitative research, data collection through interviews, field observations and analysis of related documents. This research revealed several main causes of these problems, including a lack of thorough planning, frequent design changes, and problems in supervision and coordination between related parties. The results of this research can provide valuable insight for the West Sumatra Provincial Government in increasing the effectiveness of implementing construction projects with APBD funding sources. By understanding the causes of existing problems, corrective steps can be taken to optimize budget use and ensure the smooth running of construction projects. This research can also be a reference for construction researchers and practitioners in similar contexts in other fields.


Introduction
Infrastructure growth is a crucial determinant of a region's development (Sukwika, 2018).This development is being realized in large part by construction projects funded by the Regional Revenue and Expenditure Budget (APBD) (Tumbel, 2017).However, there are frequently issues and barriers that affect the efficiency, effectiveness, and accountability of the use of public funds when construction projects are implemented using APBD funding sources (Labolo, 2017).Construction is a sector of the economy that is still expanding.According to information from Timetric's Construction Intelligence Center (CIC) study and the US Bureau of Labor Statistics, the construction sector will experience the fastest growth through 2020 (Santoso, 2023).
A research titled "Global Construction Outlook 2021" was released by Market Research Hub (MRH) in May 2017 (Ogunnusi et al., 2021).The growth of the worldwide construction industry was stable in 2016, increasing by 2.4%, according to this report's extensive study of the industry's prospects through 2021.The following five years saw improvement, with average growth of 2.8%.The global economy is anticipated to expand by an average of 3% year between 2017 and 2021.In the meantime, over the past three years, Indonesia's construction sector has grown significantly, by almost 30%.(Ministry of Public Works and Public Housing, Director General of Construction Development (PUPR, 2017).Through federal and provincial government-implemented initiatives, Indonesia, a developing nation, continues to carry out national development, particularly infrastructure development (Mahadiansar et al., 2020).Indonesia's construction sector never ceases due to government-sponsored infrastructure development.Infrastructure development is also being improved in Java, Sumatra, and Bali.
The contract serves as a binding agreement between the project owner, who is the service user (owner), and the service provider, who is the contractor (Efrijal et al., 2014).The contract uses simple language and explicit technical, commercial, and legal terms to express the type of cooperation (Maddepungeng et al., 2016).Due to the complexity and danger of the present construction business, strong and legally grounded work bonds are required.There are several instances of construction claims and disputes in Indonesia alone.This is a result of varying viewpoints on the clauses in the building contract and a lack of comprehension of the clauses.Every building project in the region uses APBD funding, and since each region creates its own construction contracts based on the requirements of its own projects, there is a chance that claims and disagreements will arise (Kesek & Hardjomuljadi, 2020).
According to Tumebow (2016), issues with service providers as well as service users frequently arise during the execution of building work contracts.There are a number of potential factors that could result in legal issues during the execution of construction work.These issues can be categorized into three (3) aspects: the first is a payment delay; the second is an implementation time frame that is inappropriate in light of the agreement; and the third is a factor that does not correspond to the drawing's column structure.installed.The three factors of late payment, nonpayment, and length of work all have an impact.(Jannah & Musjtar, 2019) claims that are not served, such as late payment, late completion of work, discrepancies in the interpretation of contract provisions, and both technical and managerial ineptitude of the parties, can result in construction disputes, among other things.In addition, if service users or service providers perform management jobs improperly or do not have adequate financial support, construction disputes may also result.In a nutshell, it can be claimed that a construction dispute develops when one of the parties causes harm (by default or otherwise).
Laws or regulations that govern the procurement of construction services are applied to government construction projects at every level to ensure that the job is completed without difficulty.In actuality, every contract document, most notably the actual contract or agreement, is lawful.According to Article 1338 of the Civil Code, all agreements formed in good faith are binding on their parties (Ali & Fitrian, 2022).
However, despite the fact that all phases of construction work are governed by laws with legal power, a number of issues still arise during project implementation that even lead to issues like contract violations or legal issues.One of them is that delays will result in losses for connected parties, particularly owners and contractors, because they frequently come with disputes, requests for time and money, and deviations in the caliber of project completion (Nurtsani et al., 2017).
According to the preliminary data that researchers have gathered from various sources over the course of at least 2016-2021, there are over one hundred APBD budget construction work packages in West Sumatra that are experiencing difficulties during the project execution phase.This information is in Appendix 1.In Figure 1, the graph of the issues is displayed:  In order to complete all development in line with expectations, service providers, in this case qualified and professional consultants and contractors, are actually required.The choice of service providers in the construction sector is crucial and must be taken into consideration due to the enormous number of construction projects that the government undertakes.For businesses and governments responsible for the success of a construction process, the evaluation and selection of contractors is a crucial and relevant issue (Sari, 2015).It's crucial to select a contractor who is capable of completing the job successfully (Simanjuntak, 2019).
The Presidential Regulation (Perpres) Number 54 of 2010 concerning Government Procurement of items/Services and its revisions govern the entire procurement process for items, work, and construction services paid for out of regional or state budgets.The selection and evaluation of construction service providers and contractors who are qualified to carry out building projects is the goal of the procurement process.These laws must be followed by the provincial, district, and city governments in East Java and Bali that enjoy regional autonomy.Public auctions are essentially used to choose the suppliers of products and services for the government.Public auctions are a technique of choosing suppliers of goods, building work, and other services for all work in which all suppliers of goods, construction work, and other services who meet the conditions can participate.
E-procurement, or the procurement of goods and services through information technology and electronic transactions in line with statutory laws, is how auctions are conducted electronically in Indonesia (Soetanto et al., 2015).The procurement service unit (ULP), on the other hand, serves as the organizational unit that is responsible for carrying out the acquisition of goods and services.The concepts of efficiency, effectiveness, transparency, openness, competition, fairness/non-discrimination, and accountability must be used when implementing the purchase of products and services.The two steps of the procurement process-selection preparation and selection implementation-of the suppliers of the goods or services have numerous substages in each.The procurement process should be able to run smoothly in accordance with the anticipated principles and objectives if there are binding regulations and procurement ethics that are followed.
Contrary to popular belief, there are still challenges and issues with the procurement process, which involves numerous parties and technology.To ascertain whether there were any signs of fraud and whether e-procurement may lessen this fraud, Purwanto (2008) studied the procurement processes for building services.According to Sohail and Cavill (2008), issues and corruption were still present at every stage of the construction process, including the tendering procedure, therefore three principles of accountability were required.Collusion, which frequently occurs, specifically in terms of paying commissions to win auctions, is one of the variations in the behavior of construction service actors, according to Kaming and Panuntun (2012).According to Mokoginta (2012) one form of conspiracy that often occurs in the auction/tender process is collusion, while online auctions which continue to increase also give rise to the potential for irregularities (Ningrum, 2018).

Theoritical Perspective 1) Government Construction Project Contracts
According to (Taurano & Hardjomuljadi, 2013), is a collection of requirements or expectations that bind the parties to the agreement.Generally speaking, the shape of a contract is based on how much of it will actually be implemented.The form of the contract typically includes: a. proof of purchase or payment; b. receipt.Letter of Work Order (SPK) d. a letter of agreement; e. a mail order.The Construction Services Law Number 2 of 2017 mandates that "the regulation of work relations between service users and providers must be stated in the construction work agreement" (Cahyono, 2022).A construction work agreement is defined as the whole contract instrument that governs the legal relationship between service users and service providers in the provision of construction services in Article 1 paragraph (8).
According to Law No. 2 of 2017's definition of a construction work contract, a construction work contract has the following components: a) The presence of parties, namely service users and service providers.b) A shared goal, namely construction, has been established.c) The availability of legal instruments governing the contractual arrangement between service recipients and service providers.A construction work contract is a legal document containing an agreement between the service user and the service provider in the provision of construction services, wherein each party is required to abide by the terms of the contract that has been made.regulations for public construction projects.Every building project in the region uses APBD funding, and since each region creates its own construction contracts based on the requirements of its own projects, there is a chance that claims and disagreements will arise (Kesek & Hardjomuljadi, 2020).
The Construction Services Law No. 18 of 1999, Government Regulation No. 29 of 2000, Presidential Regulation No. 54 of 2010, and Government Regulation No. 70 of 2012 are among the laws and regulations that govern construction contracts in Indonesia (Kesek & Hardjomuljadi, 2020).As a type of work contract, the agreement must be made in accordance with article 1320 of the civil code, which states that four requirements must be met for a contract to be valid: the consent of the parties who will be bound, their capacity to enter into an agreement, and a particular thing or a cause that is not prohibited.According to Article 1338 of the Civil Code, all contracts that have been made legally apply as law for the parties involved if they satisfy the conditions for a contract's validity as outlined in Article 1320 of the Civil Code.This is known as the Pacta Sunt Servanda principle.the feat.As a result, the parties to the contract are required to submit to and abide by its terms.

2) Construction Project Problem Solving
Settlement of construction services conflicts that cannot be handled by discussion and agreement is intended to take place outside of court and results in the resolution of disputes through peace, according to (Poerdyatmono, 2007).The term "institutions for resolving disputes or differences of opinion through procedures agreed upon by the parties, namely settlement outside the court by means of consultation, negotiation, mediation, conciliation or expert assessment" is defined in Article 1 number 10 of Law Number 30 of 1999.Construction service problems that cannot be handled via discussion and agreement are settled outside of court, which results in peace-based dispute resolution.The following avenues can be used to settle contractual disputes (Priyambodo, 2021): a. Route for Consultation The "client" and the "consultant" are the two parties involved in a "personal" action known as consultation.To suit the demands of the client, this expert offers advice.In the sphere of construction services, consultants are crucial in resolving technical issues, particularly if they are planning or project supervisor consultants.Their judgment is heavily weighted in determining how smoothly the project will proceed.b.Negotiation Techniques Peacemaking can be done before or after the court trial process, both outside and inside the court session, whereas negotiation is an alternative institution for dispute settlement that is carried out outside the court.The legal literature demonstrates that, in addition to being a dispute resolution institution, it is also informal, even though it can occasionally be formal.c.Mediation Roadmap A third party (either a human or an independent organization), impartial and neutral, whose job it is to mediate the interests and is nominated and approved by the parties to the conflict, is the definition of mediation, according to a number of extant definitions.The mediator meets with the parties to the disagreement and brings them together, acting as an impartial third party without the power to compel agreement.The mediator can assess a case's strengths and weaknesses using this information before compiling it into a proposal that is then directly discussed with the parties.Because it must be able to provide favorable circumstances and conditions for the disputing parties to compromise and reach a mutually beneficial agreement, mediation plays a significant role in the resolution of disputes.Another form of alternative dispute resolution is mediation.d.The Path of Peace The peace route is the first stage prior to the holding of a court trial, and the peace provisions governed by the Civil Code are also an additional method of resolving disputes outside of court, with the exception of subjects or disputes that have already received a ruling.judges with existing legal authority e. Routes taken by Arbitration Institutions for Legal Opinions In addition to being entrusted with settling disagreements or disputes between the parties to the main agreement, arbitration is a type of institution that can also offer advice in the form of legal or other expert opinions at the request of the parties to the agreement.The legal opinion of the arbitration institution is binding, and any violation of the legal opinion provided means a violation of the agreement.

Method
In order to pinpoint and examine the root causes of issues that develop during the implementation phase of building projects using APBD funding sources in West Sumatra Province, this study will employ a qualitative methodology.Through study of contextual information, non-numerical data, and the perspectives of project stakeholders, a qualitative method will enable researchers to develop a deeper understanding of the problems.
The selection of a sample of building projects to be investigated is the first step in this process.Based on factors including project kind, project scale, and level of complexity, project samples will be chosen.The variety of problems that can be analyzed will be ensured by choosing a representative sample.Data collecting is the next phase.A variety of qualitative methodologies will be used to gather the data, including in-depth interviews with key participants like members of the local government, consultants, contractors, and affected populations.Additionally, project documentation including progress reports, budgets, and contracts will be analyzed, along with field observations.The third step is data analysis, which involves utilizing a theme analysis approach to examine the gathered data.Finding trends, topics, and classifications that arise from the data will be required for this.To determine the root causes of issues, which may include managerial, technological, policy, or other pertinent variables, data will be coded, categorized, and thoroughly evaluated.Data validation is the fourth phase.The first findings will be confirmed with the respondents or stakeholders involved in the initiatives to strengthen the validity of the research.This will make sure that the analysis' findings reflect their perceptions and experiences.
It is hoped that this qualitative research approach will offer a thorough understanding of the reasons behind issues with the execution of construction projects funded by the APBD in the West Sumatra Province and serve as a foundation for suggestions for enhancements that can boost the effectiveness and efficiency of these projects.

Result and Discussion
1) Analysis of Factors Causing Problems in West Sumatra APBD Construction Projects.
Because construction project work is unique, non-repetitive, the result of planning, and handmade, there is a tendency for errors to arise, not all series of activities run peacefully, easily, and without any barriers during the course of project work.As they carry out their task, a number of unforeseen circumstances may occur and maybe get out of control, resulting in a variety of issues and conflicts.These occurrences produce work that is thought to be in accordance with what was committed and planned, but due to the construction implementers' ignorance of the regulations' provisions or their willful disregard for them, conflicts and issues arise.
An analysis of the causes of the problems is identified and discussed in this section based on the results of interviews that have been conducted regarding the causes of problems in the West Sumatra APBD construction project and the chronology, in order to determine the factors that lead to problems that occur in the West Sumatra APBD construction project as previously explained in the background section.cases as a result of court decisions.By grouping each statement from the interview findings and the timeline in the court decision into each coding that was identified as a variable contributing to construction project issues, coding analysis was used to carry out the study.
Interviews and document studies were undertaken based on the elements that have been identified to determine the main causes of issues based on the responses of those who were interviewed and information from court decisions.These findings are displayed in Appendix 3 below: Project control is the primary cause of construction project problems at the implementation stage, according to respondents and information from court decision data.Ineffective project management control aspects by field people or personnel who lack the necessary skills.Then, if the material quality factor does not meet the technical requirements, it may result in work being completed late or unsuccessfully, which is supported by PPK orders to repeat the work, leading to other issues, such as the contractor's work not being paid because it is believed to have violated the terms of the contract.Repetition of the task and unpaid employment by the service provider lead to additional issues, such as cash flow issues for the contractor or trouble managing project expenses.These elements result in project delays and budget year overruns.The delay in bringing in project human resources is a further project control.
The negligence of governmentappointed officers can also result in issues with construction projects during execution.Even though the competencies demanded by PPK and PPTK have been met, problems with construction projects at the implementation stage can still arise as a result of work provider officers' negligence that is caused externally by officer personnel, such as being busy or relying on supervisors in the field.Additionally, there are still regular instances of theft or thuggery in West Sumatra during active building projects, when the expenses of recovery are not accounted for in the project budget plan.This will certainly cause problems in controlling project costs later.In road work, there are still problems with land that is not yet free, which prevents work from starting.
Another aspect that contributes to issues is the contractor's failure to execute all of the administrative tasks required to fulfill the guarantee.Because there is no evidence of supporting quality from the results of the material testing, when the inspection presents a problem the work cannot be handed over, and when the building's quality inspection does not meet the necessary standards it will become a finding.
Furthermore, based on data from court decisions, there are problems with companies borrowing or subcontracting all work to other parties because the company being loaned is deemed to meet the qualification requirements during the tender or there is a conflict of interest therein.Respondents from the Goods and Services Procurement Bureau also said that there were still many incidents of company borrowing in the tender process, but when the proof was still being made, the executor was offered and the contract was signed by the director according to the deed or if it was authorized there was proof of the power of attorney, the problem in the field was the personnel who were in the field during the work progress is not in accordance with what is offered or the personnel in the field are personnel who do not have the technical ability to control the work so that due to inability to control, the work is delayed.

2) Analysis of the Impact of Problems that Occur at the Construction Project Implementation Stage
The author further analyzes the causes and effects of construction project problems based on the factors discussed in the previous sub-discussion so that readers are aware of how the causes of problems can result in projects being late, lasting past the budget year, breaking contracts, late payments, lack of payment, and overpayment.The cause instruments utilized in studying the cause and effect of this building project problem are as follows: a) Contract Law and Administration Legal factors and contract administration refer to guidelines for implementing the entire series of work because the essence of law and contracts are agreements and propriety that must be implemented (Ismaryadi et al., 2023).
During implementation, problems from this aspect can arise which can hamper the implementation process.The results of the descriptive analysis for cause and effect of legal factors and contract administration can be seen in the following table:   e) Supervising consultants The party or staff member whose responsibility it is to supervise and make sure that all plans are carried out in the actual project while keeping to the contract is known as the supervising consultant.Supervisory consultants may also be the cause of implementation phase problems with construction projects (Martanti, 2019).based on information gathered from interviews and judicial rulings.The table below shows the findings of the descriptive analysis for the causes and effects of the supervising consultant factors:

g) Project Conditions
Each construction project has unique physical requirements, such as the degree of difficulty of the task, as well as site-specific requirements, such as the nature of the soil or the surrounding environment (Noumeiry, 2017).Construction project issues might also arise during the implementation stage, depending on the circumstances of the project.The results of a descriptive analysis for the cause and effect of the supervisory consultant factors may be seen in the table below, which was based on information from interviews and court judgments:    (Priyambodo, 2021).
According to respondents in the interviews, contracts and talks between service providers and contractors are what problem resolution refers to.We return to the auction documents and the settlement is in accordance with regulations, technical regulations, and legal regulations; the law is contract law.This is based on the results of the interview the author conducted regarding the resolution of problems according to the source of the errors that occurred in such a way.Therefore, the contract system and regulations are used to resolve the issue.The next sub-discussion shows how the problem-solving procedure determined from the interview results; a) Late and Missing the Fiscal Year They were given SCM three times to expedite the job in accordance with the agreement, and they had to demonstrate their dedication to completing the work, according to the findings of the late fine interview.The health test was found to be positive at the first meeting, and SCM decided to cancel the contract because it was no longer necessary.If the work is not finished in SCM 1, 2, or 3, the PPK will be fined, and the amount of the fine will depend on whether the contractor can do the work.
The Contract Signing Officer offers the Supplier the chance to finish the work with the imposition of a late penalty in the event that the Supplier fails to finish the work by the end of the contract implementation period but the Contract Signing Officer believes the Supplier is capable of finishing the work.b) Giving an opportunity / Extension of time Holding an SCM and granting the Provider the chance to do the job in accordance with the health tests decided upon when the SCM was conducted constitutes providing the Provider with the opportunity to do so.The contract addendum, which governs the application of fines, also specifies the providing of opportunities.giving the provider the chance to finish the job within 50 (fifty) calendar days following the conclusion of the work implementation term.Giving providers the chance to finish their task may go beyond the fiscal year.c) Late Fine Late fines are given to the Provider and an extension of the validity period of the Performance Guarantee (if any).The amount of the late fine if there is a delay in completing the work is 1‰ (one per mil) per day of the price of the Contract part stated in the Contract or 1‰ (one per mil) per day of the Contract price.
The procedure for payment of fines is regulated in the Contract Documents.In the construction work regulations themselves which regulate the resolution of late fines problems are contained in Presidential Regulation number 16 of 2018 article 79 paragraphs 4 and 5, it is concluded that the settlement of late fines is determined by the PPK with work contract guidelines with provisions for late fines of 1% of the value.contract or the value of part of the contract for each day of delay.
Institution Regulation Number 9 of 2018 concerning fines and compensation letter e regarding late fines, it is concluded that the amount of late fines is 1% per day of the contract value.And Head of Institution Regulation No. 14 of 2020 concerning fines and compensation, it is concluded that late fines determined by the PPK and the amount of the late fine is 1/1000 of the price of the part of the contract price which is stated in the contract and has not yet been completed, while the procedures for payment of fines and/or compensation are regulated in the contract document.
There is a problem that extends beyond the fiscal year, according to one of the sources and the regulations.
Settlement by collusion is a settlement reached through an agreement to provide an official report, in which case the work may not have been finished but has been acknowledged as such in the report.Additionally, a settlement is provided by imposing a fine and providing an opportunity.The issue with the contract has already been resolved.The contract serves as a guide for the handler because it contains the relevant regulations.Negotiations are the best course of action in such a situation.On the basis of agreements (negotiations) and work contract contracts between linked parties, issues that cause delays or go beyond the budget year on building projects in West Sumatra are resolved.

d) Contract termination
According to the interview's findings, the penalty for breaching the contract is a year's worth of blacklisting as well as the payment of performance guarantees.Contractbreaking businesses will be put on a blacklist.Therefore, if there is a breach of contract or termination of the contract, there must first be an understanding between the service provider and the client, and if this project cannot be completed, there is a government regulation or a witness in the form of a blacklist.
On the basis of work contract contracts, which make reference to regulations, issues relating contract termination on construction projects in West Sumatra are settled.The contractor may submit a claim for payment in order to address the issue of overdue and underpaid invoices on the grounds that the work implementation was covered under the work contract.To settle the issue of late payments, negotiations between the service provider and the work provider may be conducted.If an agreement cannot be reached during the negotiations, the service provider may propose a resolution of the issue to court.

f) Overpayment
According to data on overpayment issues in the execution of West Sumatra APBD budget construction projects, overpayment issues tend to be disputes that arise from violations of legal requirements that are found during the audit and are therefore handled by inspection officials rather than disputes between work providers and service providers.
1)Payment for Work Performance, as per Head of Institution Regulation No. 14 of the Year (Part C sub I) 2) The PPK is responsible for paying the Supplier for agreed-upon work performance, provided that: a) The Supplier has submitted an invoice and a work progress report; b) Payment is made on a monthly basis or according to the terms specified in the Contract Documents; c) Payment is made for the value of the installed work, excluding materials and equipment at the work site; and d) Monthly/term payments must be subtracted from down payment installments.e) Payment requests for contracts containing subcontracts must be accompanied by documentation showing that all subsuppliers have been paid for their contributions to the project.3) After the job is entirely finished and the minutes of the initial handover are published, the last payment is made.
As stated in the appendix to Chapter 3 of PUPR Ministerial Regulation Number 7 of 2011, Participants and parties involved in this purchase are required to abide by the applicable procurement laws by refraining from the following actions: In order to meet the standards outlined in the Election Document, an entity must either: a. present fraudulent or inaccurate papers or information; b. be shown to be plotting with other participants to set the offering price; or c. be shown to have used KKN in the provider selection process.
The overpayment happened as a result of negligence and mistakes made by the parties involved in the implementation, which were found to have violated KKN in project work and caused the budget paid to be out of line with the actual completion of the project work.Regulations that have been broken and the requirements of the fines imposed determine how the issue will be resolved.

Conclusions
This study has identified and examined a number of the root causes of issues that cropped up in the West Sumatra Province during the execution stage of construction projects funded by APBD.Inadequate planning, frequent design modifications, and difficulties with supervision and coordination between connected parties are a few major contributing causes.The findings of this study offer a clearer comprehension of the difficulties encountered in carrying out construction projects using local APBD funding sources.
The study's findings suggest that the West Sumatra Provincial Government has to enhance the way in which building projects are planned, managed, and coordinated.Among the options here include enhancing project management, utilizing more complex project management tools, and enhancing coordination among all pertinent stakeholders.Furthermore, it is crucial to think about adopting more precise rules or regulations to deal with design modifications and scope adjustments during project execution.
It is advised to carry out a more thorough investigation of the effects of design changes on the price and timeline of project implementation as part of subsequent research.In order to discover best practices and lessons gained across areas, it is also crucial to compare construction project management methods using APBD funding sources in West Sumatra Province with those in other provinces.In order to obtain a more comprehensive understanding of the implementation of construction projects in this area, additional research might also engage a wider range of stakeholders, including contractors, consultants, and local residents.

Figure 1 .
Figure 1.Frequency of construction project problems per year

Table 1 .
Data on the number of construction project problems

Table 3 .
Factors causing Top Problems

Table 2 .
Cause and Effect of Construction Project Problems at the Implementation Stage from the Legal and Contract Administration Aspects

Table 8 .
Cause and effect of Construction Project

Table 9 .
Cause and effect of construction project problems at the implementation stage of technical aspects of the work

Table 10 .
Cause and Effect of external factors