Regarding the method of setting the minimum price limit for construction contracts
Updated: October 1, 2024
We would like to inform you that due to the revision of the low bid price investigation standards set by the Ministry of Land, Infrastructure, Transport and Tourism, the calculation standards for the minimum bid price in Inagi City have been revised as follows.
This will apply to cases in which notice of designation is given on or after October 1, 2024.
Amendment details (applied on October 1, 2020)
<Surveying and Geological Survey>
Change in the cost entry rate from 0.48 to 0.50 (Design and compensation consultant)
Change the general administrative fee entry rate from 0.48 to 0.50 Change the standard range from "0.60 to 0.80" to "0.60 to 0.81 "
Target project
Consignment contracts for surveying, geological surveys, other surveys (including inspections and diagnoses), and design with an estimated price exceeding 500,000 yen, which are subject to competitive bidding.
Setting range
Consumed for the total amount of (1) to (4) ((1) to (3) in surveying) listed in the table below, which was the basis for calculating the planned price, for each industry category of consignment related to the ordered construction. The amount will be calculated by adding the amount equivalent to tax.
| Industry classification | （1） | （2） | （3） | （4） | Setting range |
|---|---|---|---|---|---|
| Surveying work | Amount of direct survey cost | Amount of Survey Expenses | The amount obtained by multiplying the amount of miscellaneous expenses by 5/10 | none | From 6/10 to 8.2/10 |
| Building-related construction consulting business | Amount of direct labor costs | Amount of special expenses | Amount obtained by multiplying the amount of expenses such as technical fees by 6/10 | Amount obtained by multiplying the amount of miscellaneous expenses by 6/10 | 6/10 to 8.1 /10 |
| Construction consulting services related to civil engineering | Amount of direct labor costs | Amount of direct expenses | Amount obtained by multiplying the amount of other costs by 9/10 | General administrative expenses multiplied by 5/10 | 6/10 to 8.1 /10 |
Geological survey work |
Amount of direct research expenses | Amount obtained by multiplying the amount of indirect research expenses by 9/10 | Amount obtained by multiplying the amount of research work expenses such as analysis by 8/10 | The amount obtained by multiplying the amount of miscellaneous expenses by 5/10 | 2/3 to 8.5/10 |
| Compensation-related consulting services | Amount of direct labor costs | Amount of direct expenses | Amount obtained by multiplying the amount of other costs by 9/10 | General administrative expenses multiplied by 5/10 | 6/10 to 8.1 /10 |
Note: Numbers changed from October 1, 2024 are in bold.
If the calculated base price is within the setting range listed in the table above, the base price will be the minimum price limit.
However, the calculated standard amount is
If the set range is exceeded: (minimum limit price) = (scheduled price) x (upper limit of set range)
If it is less than the set range: (minimum limit price) = (scheduled price) x (lower limit of set range).
Note: The minimum price limit is not announced at all before bidding.
Note: We will not disclose the breakdown of the design cost, regardless of whether it is before or after the bidding.
Related Links
How to set the minimum price limit in the construction contract (internal link)
Inquiries regarding this page
Inagi City General Affairs Department General Affairs Contract Division
2111 Higashi-Naganuma, Inagi-shi, Tokyo
Phone: 042-378-2111 Fax: 042-377-4781
