Questions worth
asking.
Choosing a commercial snow and property services contractor is a bigger decision than most bid sheets suggest. This is what we would want a property manager to know before signing with anyone, including us.
How to find a winter services provider.
Before you start calling contractors, two questions are worth answering honestly. They will shape every bid you receive.
Beyond keeping the lot or drive plowed, will you need a deicer applied? Do you want a provider equipped to handle high accumulation storms? Will snow need to be hauled off the site entirely? Answer these before you begin your search. A bid can only be as accurate as the scope behind it.
Does your current provider have the financial position to weather slow economic periods, maintain their equipment, retain drivers, and staff your property properly? Can they handle an unexpected storm or an equipment breakdown? Is your current service actually lowering your exposure to slip and fall litigation? If you can answer yes to all of those, there may be no reason to change. A long term, mutually beneficial relationship with a provider is in your interest.
What to look for in a provider.
Six things worth verifying before you sign anything. The first one is not negotiable.
This should be non negotiable. If a contractor does not carry proper coverage, their bid should not be considered at all. Consider the cost to you if something happens on your property and your provider is uninsured or underinsured. Do not hesitate to ask for proof of insurance. Any professional will be glad to provide it.
Look for a provider who is knowledgeable and stays current on changes in products, equipment, and technology. Do they belong to a professional organization? Affiliation with a trade association such as the Snow & Ice Management Association indicates a contractor who is invested in doing the work well and staying current with industry changes. Glacier has served the Fargo and Moorhead market for over 25 years and is a member of both SIMA and the Accredited Snow Contractors Association.
When you check references, make sure you are comparing like properties. Excellent service at a small restaurant does not necessarily qualify a contractor to maintain a hospital that has to stay open and accessible 24 hours a day, seven days a week.
When you request an estimate, expect the contractor to visit the property before giving you a number. It is the only way to determine how the job will be approached, and it is how they identify what could be damaged if they do not know it is there: flowerbeds, fire hydrants, mailboxes, irrigation heads, and low curbs.
A contract should clearly define the level of service provided, the pricing of those services, and the payment terms. It should also disclose the cost of any additional services that may be required, such as stacking or hauling snow off site. If a contractor is reluctant to put the scope in writing, that is worth noting.
Pricing should be one of the last points of comparison, though it is often the deciding factor. As a customer, an hourly rate tells you very little, because it varies with the equipment each contractor intends to use. What you actually want to know is what it will cost to clear your property to your specifications.
The four ways providers price their work.
Most contractors price in one of four ways, or in a mix of them. Understanding the difference is the fastest way to compare bids honestly.
Most often used by newcomers to the industry, and a favorite of national accounts because it simplifies the bidding process. This method requires a great deal of trust, because the customer is generally not on site in the middle of the night while the work is being performed.
Per push pricing requires real expertise, because the contractor has to know their equipment and production capabilities in order to price the job correctly. Responsible contractors include a clause allowing additional charges when accumulation exceeds a set amount. If a site has to be plowed more than once during a single storm, each visit is charged.
Usually tied to other services such as landscape maintenance, parking lot sweeping, or full grounds maintenance, and normally written as at least a three year agreement. Because the price is based on the average number of snowfalls in a season, a multi year term lets both the customer and the contractor benefit from the law of averages. The customer does not absorb the cost of an above average snowfall year.
Generally reserved for very large accounts in regions where seasonal snowfall totals swing dramatically from one year to the next. Universities, airports, and very large sites are the typical examples.
Why the lowest bid is rarely the best value.
A professional will price the work to be competitive, to serve the needs of the property, and to sustain the business behind it.
A professional is maintaining insurance, payroll taxes, and overhead, and reinvesting in the business. They are committed to service and quality, keeping equipment operable, and buying the materials needed to maintain their accounts. They are typically members of a trade association that keeps them current in a changing industry.
Use caution. A business bidding well under the market may not be properly insured, and if they are underbidding they may not have the cash flow to survive the season. A contractor who disappears mid winter leaves you without service at the worst possible time. Always choose a professional.