Slimmed-Down Bids

A public client in Germany may also describe only the requirements a building must meet and leave the design to the bidder. This is called a Funktionalausschreibung, a functional tender. In April 2023 the audit office for municipalities in Baden-Württemberg published a notice on it. It cites the legal literature: the description with a bill of quantities is the normal case, and the functional tender is die stets begründungsbedürftige Ausnahme, the exception that always needs a justification. Among the risks, the auditors name Abmagerungsangebote, slimmed-down bids. When a lump-sum price is agreed and the standards of execution are not set precisely enough, bidders can trim the standard to their own advantage.

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