Municipal Bid, I'm still in shock.

Discussion in 'Business Operations' started by EcoGreen Services, Mar 4, 2010.

  1. cgaengineer

    cgaengineer LawnSite Fanatic
    Posts: 15,782

    This is correct. I just attended a bid hearing...all sealed bids were opened and read in front of the bidders. The winning bid was not announced at the bid hearing because they actually check credentials before deciding. They also said they will not accept a low ball bid.
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  2. sgallaher

    sgallaher LawnSite Senior Member
    Posts: 265

    Wow! He'll end up defaulting on the contract, and the municipality deserves that for going with the cheapest bidder!
     
  3. sgbotsford

    sgbotsford LawnSite Member
    Posts: 107

    Interesting discussion. Our local municipalities state in the bidding, that the lowest bid will not necessarily be accepted. I've also had good results from pointing things out e.g. "12 cuts will not be sufficient to maintain neat appearance. Given our climate it will take 3 cuts in May, 6 in june, 4 in july, and 2 each in August and September, and a final one in October. Total 18 cuts. Price can be reduced if trimming can be done as needed. Usually every 2nd or 3rd cut. Suggest that you grant permission to use Casoron around the trees, and add mulch to the bowls. Turf repair varies too much from year to year. I will include 500 square feet or 20 patches whichever comes first. It is responsibility of the contract supervisor to request these in writing with GPS coordinates.

    Here the word gets around. The town and county guys know their peers in the surounding counties. You blow one job, and you won't work for the muni's until you change your name.

    The reverse works too. Contracts below a certain amount (25,000) do not have to be formally tendered, but can be handed out at the discretion of the administrator. You'd think this would lend to abuse. It may result in a contract going for more money than it should, but if the job is badly done, then the admin's rep suffers. And the admin is under pressure to get good value for the funds he oversees.
     
  4. Ben Bowen

    Ben Bowen LawnSite Bronze Member
    from PNW
    Posts: 1,051

    That's too bad... for everyone involved.
     
  5. sgbotsford

    sgbotsford LawnSite Member
    Posts: 107

    Eh? Which is too bad? That they don't do the formal bid process for small jobs?

    Tendering is expensive. Most of the time the local admin knows who's done good work, and he will drop invite proposals for what he wants to do. He'll phone, or do a walk around talking about the job. By using an RFP he takes advantage of my knowledge. There are usually several back and forth nailing down the details, then he asks for a quote. If the quote is in line with other stuff in the area, he'll go with it. Not much point in spending another thousand bucks to get a bid that is $100 less.
     

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