Federal Act
on Public Procurement
(PPA)

¹ The con­tract­ing au­thor­ity shall es­tim­ate the prob­able value of the con­tract.

² A pub­lic con­tract may not be split up in or­der to cir­cum­vent pro­vi­sions of this Act.

³ When es­tim­at­ing the value of the con­tract, all of the goods, work and ser­vices to be put out to tender, as well as re­mu­ner­a­tion that is closely re­lated ma­ter­i­ally or leg­ally, must be taken in­to ac­count. All re­mu­ner­a­tion com­pon­ents must be taken in­to ac­count, in­clud­ing ex­ten­sion op­tions and op­tions for sub­sequent con­tracts, as well as all ex­pec­ted premi­ums, fees, com­mis­sions and in­terest, ex­clud­ing value ad­ded tax.

⁴ In the case of fixed-term con­tracts, the con­tract value is cal­cu­lated on the basis of the total re­mu­ner­a­tion over the en­tire term, in­clud­ing any ex­ten­sion op­tions. As a rule, the fixed term may not ex­ceed 5 years. A longer term may be en­vis­aged in jus­ti­fied cases.

⁵ For open-ended con­tracts, the con­tract value is cal­cu­lated by mul­tiply­ing the monthly re­mu­ner­a­tion by 48.

⁶ In the case of con­tracts for goods, work or ser­vices re­quired on a re­cur­ring basis, the con­tract value is cal­cu­lated on the basis of the re­mu­ner­a­tion paid for such goods, work or ser­vices dur­ing the last 12 months or, in the case of an ini­tial con­tract, on the basis of the es­tim­ated re­quire­ments over the next 12 months.