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General

Reasonableness Assessment

Assessment of bid price reasonableness by the authority, particularly for conspicuously low or high prices.

What is a Reasonableness Assessment?

The reasonableness assessment is the authority's obligation to check bid prices for appropriateness, with particular focus on abnormally low tenders and unreasonably high prices.

Legal Framework

  • Section 60 VgV: Abnormally low tenders (above EU thresholds)
  • Section 44 UVgO: Price review below thresholds
  • Art. 69 Directive 2014/24/EU: Abnormally low tenders

Steps

  1. Price comparison among bids and with the cost estimate
  2. Identification of conspicuous deviations (often > 20%)
  3. Requesting explanation of the price calculation from the bidder
  4. Assessment of plausibility
  5. Decision: acceptance or exclusion

Abnormally Low Tenders

The authority must request written explanation of the price calculation. Exclusion is only permitted if the explanation does not satisfactorily account for the low prices.

How Patterno Helps

Patterno provides market data and benchmarks for assessing price reasonableness, supporting both authorities and bidders.

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