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I always include them in my contracts. This year may be the first I have to impliment them. Fuel was under $1.10 a gallon in January when I mailed my original batch of contracts to existing clients. My clause adds 5% at $1.50 - and prices here just went over $1.60. I will be enclosing a reminder letter moting the 5% increase in all prices as of September 1, 2003. The newer contracts (any newer accounts acquired after 3/1) received a higher pricing structure and fuel was higher, so their prices won't move until gas surpasses $2.00/ gal.
I for one hope that this will be a short lived fuel hike - my 460s d 351 just love the stuff too much.
 

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Relax as soon as all the last minute vacations and all the college travel has subsided the gouging will lighten up. Remember don't buy any soda or ciggs from these --- holes.
 

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Hadn't thought of that. Not a bad idea now that I have pondered it. But you know something? (here we go.......).....

America has been strapped to the table by the environmentalist's incessant lobbying of all legitimate U.S. governing bodies in existence.......for the continued hampering of our own countries ability to provide for itself with regard to petroleum based fuels!!!!! I am sick of hearing about gas shortages when so much more drilling technology exists today than 10 years ago. AND WE HAVE DISCOVERED that there is more oil available (exponentially) than previously thought!!!

Makes me sick that we are so dependent on countries that would just as soon nuke us if the opportunity presented itself.:angry:

MY OPINION!!! (whilst I beat my chest!)
 

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At $100 per cut (im assuming you charge per cut up where you are) that will pay the price difference for 10 gallons. $5 extra per cut X >50 per gallon. You wont use nearly that much in gas soo you will definately come out ahead. It just seems like alot of work to me. And written agreement or not some will think your being cheap evan though your not.
 

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if im not mistaken this increase is due to the ruptured lines that the crazy iraqis blew up causing a so called shortage. i dont know why the u.s. cant tap into the reserves weve had for years and dont use, especially if this will be an all time record high for fuel prices. i think we (the u.s.) should be more self sufficient, and less dependant on other countries resources. just my .02 gas in my area is around 1.70 for reg.
 

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5% seems a little too much to me.

If you mow a lawn for $40 and it takes 1 hour of running one mower that would be about 1 gal to 1.5 gal of gas.

So $40 x 5% = $2.00

Now gas went up from 1.10 to 1.60 or .50 cents

So $0.50 x 1.5 gal = $0.75 in additional cost to you. Your now charging $1.25 extra for what?

Now I know there are other fuel costs (truck, 2 cycle etc.) but I still think 5% is too much. Will your customers go for it?
 

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Oil prices are controlled by the big oil companies, not the gas station owners. To penalize the small mom and pop operations for the price of gas won't help the problem. Big oil uses every excuse imaginable to raise prices ( refinery fires, ruptured supply lines, labor strikes, etc.). All of it is a bunch of crap. Big oil has been raping the American public for generations and will continue to do so as long as they can buy the Washington polititicians.
 

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Instead of whining about drilling for more oil and blaming people who would like to see the earth around for a while, we should blame those in charge that bend to the oil companies and the big 3 and prevent an honest quest for alternative fuels. Then we wouldn't be slaves to OPEC and need to screw around with the middle east because of oil.
 

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I just read on MSN that they are blaming the increases on the broken line in Nevada, and the power outage in the East. I agree that the Goverment needs to lighten up on all the taxes because its getting nuts.

Send me a $400.00 tax relief check but then tax the he!! out of me everywhere else. It all equals out in the end, but some people dont see it.
I expect gas prices to start dropping shortly. Seems like when the people start complaining and mentioning how much tax is added (and suggest that the government should ease up)the prices start to drop.

Back to the question at hand. My margins are never so thin that I have to worry about a $.50 per gallon increase in gas prices. I will eat it and increase accordingly the following year. If your customers can do the math I think they should have reason to complain. However, they were the fools who signed the contract so they have no right to complain.

Jimbo
 

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Uhhhh yeah! This should piss you off....

Estimates of the volume of potential oil in the U. S. shale deposits have grown steadily since they were first studied in detail by the USGS in the early 1900’s. Duncan (1981) states "The oil shale deposits of the United States can be considered collectively as an enormous low-grade source of oil, hydrocarbon gas, or solid fuel. Deposits with an estimated yield of 10 gallons or more oil per ton of rock contain more than 2 trillion barrels; their possible extensions may contain an additional 3 trillion barrels; and, speculatively, other unappraised deposits may contain several times as much oil."

A publication of the State of Utah (1980) reports "The potential of oil shale is enormous. While found throughout the world, nearly 62 percent of the world's potentially recoverable oil shale resource are concentrated in the United States...The largest of the U. S. oil shale deposits is found in the 16,500 square-mile Green River formation in northwestern Colorado, northeastern Utah, and southwestern Wyoming. The richest and most easily recoverable deposits are located in the Piceance Creek Basin in western Colorado and the Uinta Basin in eastern Utah...The deposits are estimated to contain 562 billion barrels of recoverable oil. This is more than 64 percent of the world's total proven crude oil reserves."

Enthusiasm in the popular press and investment publications was boundless in the 1960s as the U. S. began the attempt to unlock these great oil resources. An ad in the March 1, 1968 Forbes magazine read: "FANTASTIC--But True! Five trillion dollar U. S. shale oil treasure and 'ground-floor' investment potentials...An incredible mountain of oil--a veritable treasure of black gold...so plentiful it can supply this country's needs for at least 200 years." An Associated Press dispatch did even better stating "Tucked beneath the peaks and buttes of western Colorado lies enough oil to keep the United States rolling along at its current gas-guzzling rate for another 500 years."

Here's the link
http://hubbert.mines.edu/news/v98n4/Youngquist.html
 

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........when someone posts good factual information obtained through scientific means!!!!

If domestic oil is not in short supply (as it is now because we can't go after it) then gas prices are not as high. It's the ol rule of supply and demand we learned in 6th grade.

!!!!!
 

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Originally posted by Harley58
Uhhhh yeah! This should piss you off....

"Tucked beneath the peaks and buttes of western Colorado lies enough oil to keep the United States rolling along at its current gas-guzzling rate for another 500 years."

Here's the link
http://hubbert.mines.edu/news/v98n4/Youngquist.html
Unfortunately, reading a little further reveals the impractical methods needed to recover and process this resource. "Shale oil--fuel of the future and always will be."

Rick

On a side note, my dad worked for Occidental in the early to mid ‘70’s. And as a kid, I remember exploring and running through the mines. Playing on the huge equipment. Oh, the good old days.
 

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i was watching a news channel recently and the gas taxe was aorginally instated to build the federal interstate system.. with the project called offically complete around 1993 the taxes were not dropped... they kept rising each year and are around .60$ a gallon or around there depending where you are and 60% of the tax revenue generated from the gas tax is not spent on the highway system in any way. it goes everywhere and any where imaginable except into the maintanace of the roads........it is 1.85$ they say its supposed to go down next week we'll see......wish we all could go back a few years to when we thought .99$ was expensive and stock up on the stuff. what is america coming to... pretty soon we are gonna be paying more than the brit's are over seas......sorry for venting... its just when you spend 100$ at the pumps and not even fill everything and that only lasts maybe a day or 2... its rough.
 

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Last year I bought gasoline for $0.99 per gallon. Last year I also bought gas for $1.99 per gallon. Lets not cry, it will come down again. Gasoline is still very inexpensive here compared to many other places, so until it hits $4.00+ per gallon, we won't start to die off.
It is true that gas prices are set by the corporation, they will call any time of the business day and tell the gas station manager "go up 10 cents tomorrow", and the manager does not have a choice unless he wants to drop his name brand. Don't punish the station owners for not buying gas from from, punish OPEC (if that is possible).
 
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