Reverse Auction Ban for Complex Design and Construction Services
New law prohibits the use of reverse auctions for complex design and construction services contracts with the government. This aims to ensure higher quality services by preventing contractors from excessively lowering prices, which could compromise work quality. Citizens may experience this through improved public infrastructure and buildings.
Key points
Reverse Auction Ban: The government cannot use reverse auctions (where companies bid down prices) for complex design and construction projects.
Improved Service Quality: The goal is to ensure the government selects contractors based on quality, not just the lowest price, leading to better roads, bridges, and public buildings.
Definition of Complex Services: The act defines what constitutes "complex, specialized, or substantial" services, including site planning, architectural and engineering services, interior design, and major construction work.
Impact on Public Funds: This change aims to optimize public spending by ensuring investments are carried out by competent contractors, potentially preventing costly future rectifications.
Became Law
Additional Information
Print number: 117_HR_26
Sponsor: Rep. Comer, James [R-KY-1]
Process start date: 2021-01-04