Method for Setting Minimum Restriction Prices in Construction Contracts

In accordance with the revision of the low bid price investigation standards established by the Ministry of Land, Infrastructure, Transport and Tourism, we would like to inform you that the calculation standards for the minimum restricted price in Inagi City have been revised as follows.
This will be applied to projects for which notification of designation will be made on or after October 1, 2024.

Amendment Details (Effective October 1, 2024)

<Surveying and Geological Investigation>
Change the inclusion rate of various expenses from 0.48 to 0.50
<Design and Compensation Consultant>
Change the inclusion rate of general management expenses, etc. from 0.48 to 0.50
Change the range of standards from "0.60 to 0.80" to "0.60 to 0.81"

Target Project

Contracts for surveys, geological investigations, and other investigations (including inspections and diagnostics) and design, where the estimated price exceeds 500,000 yen, will be subject to competitive bidding.

Setting Range

The total amount, which is the sum of the amounts listed in the table below (1) to (4) for the type of contract related to the construction to be ordered (and (1) to (3) for surveying), will be the amount plus the equivalent of consumption tax.

Industry Classification	(1)	(2)	(3)	(4)	Setting Range
Surveying Business	Amount of Direct Measurement Costs	Amount of Survey and Investigation Expenses	The amount obtained by multiplying the total expenses by 5 divided by 10	None	From 6/10 to 8.2/10
Construction consulting services related to architecture	Direct personnel expenses amount	Amount of Special Expenses	The amount obtained by multiplying the cost of technical fees and other expenses by 6/10	The amount obtained by multiplying the total expenses by 6/10	From 6/10 to 8.1
Civil Engineering Construction Consulting Services	Direct personnel expenses amount	Amount of Direct Expenses	The amount obtained by multiplying the cost of other expenses by 9/10	The amount obtained by multiplying the general administrative expenses by 5 out of 10	From 6/10 to 8.1
Geological Survey Services	Amount of Direct Investigation Expenses	The amount obtained by multiplying the indirect investigation cost by 9/10	The amount obtained by multiplying the cost of analysis and survey work by 8/10	The amount obtained by multiplying the total expenses by 5 divided by 10	From two-thirds to eight and a half tenths
Compensation Consultant Services	Direct personnel expenses amount	Amount of Direct Expenses	The amount obtained by multiplying the cost of other expenses by 9/10	The amount obtained by multiplying the general administrative expenses by 5 out of 10	From 6/10 to 8.1

Note: The values changed from October 1, 2024 are in bold

If the calculated standard amount is within the range set forth in the table above, the standard amount will be the minimum reserve price.
However, if the calculated standard amount exceeds the set range: (minimum reserve price) = (estimated price) × (upper limit of the set range)
If it does not meet the set range: (minimum reserve price) = (estimated price) × (lower limit of the set range) will apply.

• Note: The minimum limit price is not disclosed at all before the bid.
• Note: The breakdown of the design amount will not be disclosed before or after the bid.

Related Links

• Method for Setting the Minimum Restriction Price in Construction Contracts