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Blizzard Clause

Discussion in 'Bidding & Estimating' started by JTVLandscaping, Mar 2, 2011.

  1. JTVLandscaping

    JTVLandscaping Senior Member
    Messages: 860

    Even though March just began, I'm setting my sights on next year. This was my first year with seasonals and even though it was a big year for snow, I loved having my seasonals. In the end, I'm still making money but with the blizzards we've had, not as much as I would have liked. I've heard people mention adding blizzard clauses to their contracts. I never thought of it before. I definately would like to add something in about that next year, just looking for advice as to what it needs to say. I'm sitting here with my current contract in front of me with a blank stare. Just looking for somewhere to start. Thanks!
     
  2. qualitycut

    qualitycut PlowSite Fanatic
    Messages: 24,227

    From what I have seen other people on here say they have something stating additional charges for lets say over 8 inches. My contracts on per push have pricing for 1-3.9 then I have an additional charge for over 4 inches. if you kept good logs you should be able to figure out your time and cost for that amount of snow. Jmo
     
  3. Mick76

    Mick76 2000 Club Member
    from Maine
    Messages: 2,157

    Seasonals are just that...seasonals. No "blizzard" clauses here... just figure a few PITA storms into your seasonal pricing... your happy with your figures and the customer is happy knowing there won't (and shouldn't) be any additional costs.
     
  4. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    I'm with Mick,you made the deal stick with it. If you do get a 'Blizzard" get them plowed out, but don't beat your truck doing it. Then go back and sell them loader work.You will make more money that way then adding a couple of bucks to the contract.
     
  5. mullis56

    mullis56 Senior Member
    from Indiana
    Messages: 824

    Agreed, seasonals are seasonals. They should carry you in a bad year.
     
  6. JTVLandscaping

    JTVLandscaping Senior Member
    Messages: 860

    I'm glad I asked, because this is always what I thought. Seasonals are seasonals, sometimes you win sometimes you lose. But, I've seen people on here talking about clauses to cover extraordinary snow events. I guess I hit it good because despite the major events I'm still ahead, I was just looking for input. Thanks a ton!
     
  7. mullis56

    mullis56 Senior Member
    from Indiana
    Messages: 824

    Have seen some seasonal contracts with a cap say 6" above average year of accumulation, with a range of snowfall 20" to 40", below a refund and above a per push price.
     
  8. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Don't sound seasonal to me.
     
  9. mullis56

    mullis56 Senior Member
    from Indiana
    Messages: 824

    Agree just saying seen them before
     
  10. swtiih

    swtiih PlowSite.com Addict
    Messages: 1,179

    You can create whatever you want in your contract. Why not try it and see what happens.
    Just a thought but maybe wording like any single storm over 12" will be an additional 2% extra charge on the contract. You know your accounts so you can choose how many inch and what % extra
     
  11. snowman55

    snowman55 PlowSite.com Addict
    Messages: 1,071

    problem with seasonal is they want it priced at average snow fall. here townhomes go for $30-40 per unit. this last storm we spent 378 manhours doing walks on a property. Than is almost what is budgeted for the whole season. We have a clause that over 10" snowfalls may be billed hourly. They squak about their budget when they get bill but what about my budget. I put a bid out based on average and if I plow them 4 extra times fine but the equipment and man power for a true blizzard cannot be covered or even estimated.
     
  12. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    In this case can't you do seasonal on the plowing and hourly on the walks ?
     
  13. NW Snow Removal

    NW Snow Removal Senior Member
    Messages: 533

    It's good to have a blizzard clause to allow for additional loader work upon request for hauling, relocating, or stacking snow.
     
  14. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    In 2001 we had 7 feet of snow in 5 days no one called it a blizzard it was just called a snow storm and you went out and plowed it. No extra cost or anything for it. After that a few places called to push back the piles wasn't that big of a deal.
     
  15. NW Snow Removal

    NW Snow Removal Senior Member
    Messages: 533

    whats the average snowfall up there grandview? the clause has effectiveness in areas with around or less than 60 inches average.
     
  16. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    This year we just made avg of our 100 inches.
     
  17. snobgone

    snobgone Senior Member
    from CT
    Messages: 122

    Seasonal contracts can be designed any way you want if the customer understands them and the potential risks. You can have seasonal average contracts that cover up to x inches then its converts to per push after that (as someone mentioned). There can be a floor minumum too that way if the season is way below average the customer does not feel banged up over it. To cover yourself for excessive snow, relocation or removal of snow can be billable too. We offer multiple variaions of seasonal contracts and let our customers choose what is best for them and their budget. Ultimatlely, it is good to have a mix of per push and seasonal so no matter what the season brings, you do ok.
     
  18. got-h2o

    got-h2o 2000 Club Member
    Messages: 2,439

    Neither does that
     
  19. JTVLandscaping

    JTVLandscaping Senior Member
    Messages: 860

    :eek: IRONMAN
     
  20. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    I think i know what I mean ,just not sure of your reply .