The indicator tells if the procuring entity, with regard to technical and professional capacity, restricts the setting of eligibility criteria unduly by setting geographilcal requirements e.g. equipment, capacity within a distance, availability of an estate etc. This redflag is built upon expert knowledge and scrutiny of dubious Hungarian practical examples.
The indicator shows if the expiry of the deadline for the submission of bids/requests to participate is shorter than the legal minimum, in accordance with the EU law (in case of an open proceudre, the expiry of the deadline for the submission of the bids is relevant).
The indicator tells from the wording of the relevant fieled of the procurement call if the procuring entity allows a deviation of 50% or more with regard to the total quantity (to be acquired) or allows a deviation from the total quantity without charging a fee. This redflags indicates unvertainty in the procurement that restricts competition.
This redflag indicates risk if the list of contracts for goods, works, and services is not consistent with the project requirements OR specific line items in the bill of quantities are not required to carry out the work and may be used for personal purposes by officials or later serve as bribes.
This redflag indicates risk if there is unreasonable pre- and post-qualification criteria (e.g., abnormally high annual turnover, liquidity reserves, or years of experience in the country)
This redflag indicates risk if there is a suspicious bid pattern that consists of unreasonably high bid prices submitted by losing bidders for which there is no legitimate explanation and which cannot be attributed to an error. The World Bank does not indicate accurate ratio for suspiciously high amount.
This redflag indicates risk if bid prices of all bidding companies are very close for items where some variation is expected (e.g., civil works, customized goods, and consulting services) AND/OR submitted bids include unit prices which are almost identical AND/OR the bid prices are a fixed percentage apart (e.g., 3 percent, 4 percent, 5 percent and 6 percent above that of the lowest bidder) AND/OR sequential bid securities, indicating that the same person picked up the securities at the same bank, same branch, and on the same day AND/OR bids have commn formal attributes
This redflag indicates risk if there are two or more contracts issued for identical items over a short period of time for no apparent reason, which results in the application of a less competitive procurement method. It also indicates risk if the purchase of items that should have been procured jointly, but are procured by each sub-unit (eg one vehicle for on department).