13 acres for $6301.00

Discussion in 'Lawn Mowing' started by foxlawn, Feb 22, 2009.

  1. foxlawn

    foxlawn LawnSite Member
    Posts: 24

    Last week a local municipality bid out mowing and fertilizing for about 13 acres. Was too include weekly mowing (around 28 times), trimming, edging sidewalks twice a season, & 3 applications of fertilizer. The low bid came in at $6301.00 for the season. It consisted of basically too locations which included detention ponds, along right of ways with berms, trees and landscape beds, & cul de sacs.

    The going rate for fertilizing around here is between $115.00 - $145.00 per acre. So you would have to figure at least $4500.00 for fertilizing alone, if you where do do it right.

    The funny part was that next two lowest bidders where under $7000.00. One of the guys that bid just under $7000.00 was complaining that "these low ballers are starting to get out for control" Oh well I guess bidding $6.90 per acre for mowing is not considered being a low baller. :dizzy:
     
  2. pieperlc

    pieperlc LawnSite Senior Member
    from Midwest
    Posts: 525

    They'll cut as many corners as possible hoping not to lose there @$$. I'm sure the fert apps. won't be put down full rate. The worst part is unless the muni keeps track of them, they'll probably get away with it.
     
  3. TMlawncare

    TMlawncare LawnSite Bronze Member
    Posts: 1,197

    Fert apps at $115-145 is really low also. This guy must really be into punishing himself. For an acre around here fert app is around $185-200. Its hard to do it for less with the price per bag skyrocketing. I don't even want to talk about is mowing rate, he might as well pay them to do it.
     
  4. Fife Lawn&Lane

    Fife Lawn&Lane LawnSite Member
    Posts: 97

    Hey look at me I have a municipal contract. That is all they were thinking.
    The local airport here was just tendered, 42 acres minimum 18 cuts, there was 3 bids under $18000.00. You can easily get $40 an acre here plus there is a ton of trimming involved.
     
  5. Lawnut101

    Lawnut101 LawnSite Silver Member
    Posts: 2,254

    They may just bid it low to keep cash flowing. I've heard of companies doing this type of stuff early in the year. However, I do think they went way to low!
     
  6. topsites

    topsites LawnSite Fanatic
    Posts: 21,654

    Word on the street has it there's guys around my neck of the woods
    working for 15-20 an hour and they weren't talking about employees.
     
  7. I think municipalities drive the price down so low so the property will look as bad as if they did it themselves..

    My local park has a budget including salaries over $200,000. Makes you wonder where the money goes.
    It's something over 30 acres.

    There's no reality concerning municipal bids. I guess food stamps must be considered when they let those kind of bids.
     
  8. Fleur De Lawn

    Fleur De Lawn LawnSite Member
    Posts: 197

    I know a guy that bid a municipal contract so low that hey was paying paying his guys more to do it, but he was bidding another contract that was for millions of dollars but required that yu have done other work for the municipality. He lost on the mowing gig but it was worth it to him.
     
  9. ford550

    ford550 LawnSite Member
    from PA
    Posts: 221

    Yikes. I just put a bid out today for 14 acre property and the fert program (5 apps) was $12,600 alone. Nothing like morons bidding on things they have no idea what they are doing. And don't anyone say that their overhead is lower, they don't want to make as much per hour blah, blah, blah. It BS. They are that low because they really, really just picked the numer out of the sky and said, yeah that sounds good. They don't even know they will be in the red or they just won't show up.
     
  10. ford550

    ford550 LawnSite Member
    from PA
    Posts: 221

    If we were smart, we would hire these guys as subs and just add our mark up and we wouldn't have to even own a piece of equip or any overhead. Sit back a sip margarita's. :hammerhead:
     

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