Snow Plowing Forum banner
1 - 4 of 4 Posts

· Registered
Joined
·
15 Posts
Discussion Starter · #1 ·
How are you guys writing contracts so that a spike in salt prices is included in fixed term contracts? Been at this for nearly 20 years and all the wild price hikes in salt are quite concerning. I read in plow magazine one of the largest contractors in the US got hit with a 230% increase in price mid season last year even though his supplier guaranteed his price.

I have increased my contract prices based on my August price, but when I run out in February that isn't much help. My increase mid season was 53%. My bin holds 40 tons.

The wording in the contracts will have to be specific to market price increases, but for a condo board, will they be able to sign into that? It is a very different market we are going into.
 

· Registered
Joined
·
15 Posts
Discussion Starter · #3 ·
Last season we had 5 weeks of freezing rain, used up salt really quickly. Never had that much ice here before. Some people are building larger bins to make sure they make it through. 10% seems like a good place to start the surcharges. It is the non average winter that catches you off guard. It seems too, that the non average winter is becoming more of the norm.
 

· Registered
Joined
·
1,735 Posts
I found 10% works good and is fair, a few years ago fuel went thur the roof so I also have fuel cost cap allowing surcharges just like the trucking industry. I did have one client complain about it so I ripped his sign off the front door notifing everyone of 11% hike in sheetrock pricing and fuel surcharge on all deliveries!!! HMMMM wondering how that went after!
 
1 - 4 of 4 Posts
This is an older thread, you may not receive a response, and could be reviving an old thread. Please consider creating a new thread.
Top