By trade
How to get government landscaping contracts
Public grounds maintenance is the most under-competed recurring revenue in the green industry. Every city park, every school campus, every housing authority property, every water district well site and every mile of state highway shoulder has to be mowed, edged, sprayed and pruned on a schedule, forever. Somebody holds that contract. In most markets it is three or four firms bidding against each other year after year, and the reason it is only three or four is that the paperwork filters everyone else out before price is ever opened.
That filter is the opportunity. The work itself is not technically difficult for a crew that already maintains commercial properties. What is difficult is the pesticide licensing documentation, the bid bond, the unit-price schedule that has to foot correctly, the insurance certificates naming the right additional insureds, and the addenda acknowledgements. Contractors who get that machinery right compete against a small field for contracts that renew for three to five years.
This guide covers what these contracts are actually worth, who buys them, what you need in hand before you can submit, how the bids are scored, and what a realistic first year looks like. It is written for someone already running crews who is deciding whether to build a bid function.
On this page
The short version
- Grounds maintenance recurs. Most public landscaping contracts run a one-year base with two to four renewal options, which is why winning one changes your revenue base rather than your quarter.
- The overwhelming majority are low-bid invitations to bid scored on a unit-price schedule, not written proposals. Your bid is a spreadsheet, and it has to foot.
- State commercial pesticide applicator licensing is the single most common disqualifier. You need the business license, the certified applicator, and the right category before the bid date, not after award.
- Solicitations cluster January through April for spring starts and a July 1 fiscal year. If you are not registered on the portals by December, you miss the season.
- Snow and ice removal is frequently bid as the winter companion to the same grounds contract, and combined awards are common.
- Prevailing wage applies more often than landscapers expect: federal service contracts fall under the Service Contract Act, and many states have their own wage requirements for public maintenance work.
Who actually buys grounds maintenance, and roughly what they spend
Landscaping is unusual among the trades because nearly every category of public buyer purchases it, and most of them buy it every single year. That breadth is what makes the market worth building a bid function around, but the buyers behave very differently from one another.
- Municipal parks and public works departments. The core market. A mid-sized city maintains parks, medians, rights of way, civic building grounds, sports fields and cemeteries. Larger cities keep an in-house crew for signature parks and contract out the peripheral inventory. See how to sell to municipalities and city government for how city procurement works.
- Counties. County facilities departments handle courthouses, health complexes, road shoulders, drainage easements and county park systems, often spread across a large geography. Geography is the differentiator here, and it is where regional firms beat national ones. See how to sell to county government.
- School districts. Athletic fields, campus grounds and bus lots across dozens of sites. Districts are attractive because the site list is stable and the work is concentrated in a calendar you can plan around. Athletic field maintenance is a separate, higher-margin speciality. See how to sell to school districts.
- State agencies and DOTs. Roadside mowing cycles, rest areas, state facility grounds. DOT mowing is typically let by district or by route segment on a per-acre or per-cycle basis and rewards firms with tractor fleets and flagging capability. See how to sell to state agencies.
- Housing authorities. Scattered-site and multifamily property grounds, usually under HUD funding rules that bring their own procurement and wage requirements. See how to win public housing authority contracts.
- Special districts. Water and sewer districts with well fields and treatment plant sites, park and recreation districts, cemetery districts, community facilities districts, fire districts, airport authorities. These are the least-competed buyers in the entire market because most contractors do not know they exist. See how to sell to special districts: water, fire, transit and parks.
- Universities, colleges and health systems. Large contiguous campuses with high aesthetic standards. These are more likely to be scored on qualifications rather than pure low bid. See how to sell to universities and colleges and how to sell to public hospitals and health systems.
Spending scales with acreage and standard. A small municipality may contract out $60,000 to $150,000 a year of mowing and median work. A mid-sized city parks system routinely contracts $300,000 to $1,200,000 annually across several packages. Large county and campus systems run into several million per year, and the very largest institutional grounds contracts in the country run into the tens of millions over a base-plus-options term.
What the contracts are worth, and why they recur
The structural feature that makes public grounds maintenance worth pursuing is the renewal option. The standard shape is a one-year base term with two to four one-year renewal options exercised at the buyer's discretion, or a straight three-year term with two option years. Once you are the incumbent and you are performing, renewal is an administrative act rather than a competition. That is the difference between winning a job and winning a revenue line.
Federal contract records give a public, verifiable picture of what the top of this market looks like, and the base-plus-options structure is visible right in the award records. These are real awards recorded on USAspending.gov under NAICS 561730, Landscaping Services.
| Contractor | Award ID | Buyer | Value | Scope |
|---|---|---|---|---|
| Greenleaf Services Inc | W91QV120C0016 | Department of Defense | $37,269,024 | Arlington National Cemetery turf and grounds maintenance, base plus four option years |
| Western Construction & Equipment | FA500020C0014 | Department of Defense | $25,156,859 | Grounds maintenance and snow removal services |
| Discount Tree Service Inc | W91QV120C0021 | Department of Defense | $15,892,465 | Tree and shrub maintenance, Arlington National Cemetery |
| GC Logistics LLC | 36C25621P0010 | Veterans Affairs | $2,933,850 | Landscaping services, Gulf Coast VA health system |
| AFC Development Inc | 70FA2019C00000005 | Homeland Security | $2,858,882 | Grounds maintenance, phase-in plus base and four option years |
| Yard Chief Yard Care Inc | 36C26021P0287 | Veterans Affairs | $2,831,403 | Snow removal and groundskeeping, Anchorage VA |
Two things in that table matter more than the headline numbers. First, notice how often a single award covers grounds maintenance and snow removal, or grounds and pest control. Buyers consolidate. Second, notice the phase-in periods and the base-plus-four structures. A buyer who writes a four-option contract is telling you they intend to keep the same contractor for five years. State and local awards are smaller but structured the same way.
How the money is structured: the unit-price bid schedule
Public landscaping is almost never bid as a single lump sum. It is bid on a unit-price schedule, and understanding the schedule is most of the skill. The buyer publishes a list of pay items with estimated quantities. You price each unit. The estimated quantities are multiplied by your unit prices, the extensions are summed, and the lowest total wins. You are then paid for actual quantities performed, not the estimate.
A typical parks and grounds schedule looks something like this:
| Pay item | Unit | How it is usually estimated |
|---|---|---|
| Turf mowing, improved areas | Per acre per cycle, or per site per visit | Acreage times number of cycles in the season |
| Turf mowing, unimproved / rough | Per acre per cycle | Fewer cycles, higher acreage |
| String trimming and edging | Per linear foot, or included in mowing | Curb and bed linear footage |
| Bed maintenance and weeding | Per square foot per visit, or per month | Bed inventory by site |
| Fertilisation | Per 1,000 square feet or per acre per application | Application schedule, typically three to six rounds |
| Herbicide / pesticide application | Per acre or per 1,000 square feet per application | Named rounds per year |
| Mulch installation | Per cubic yard installed | Annual or semi-annual refresh |
| Shrub and hedge pruning | Per shrub, per linear foot, or per hour | Counted inventory |
| Tree pruning under a set height | Per tree by size class | Inventory by DBH class |
| Irrigation inspection and repair | Per zone, plus hourly labor and parts markup | Zone count plus allowance |
| Leaf removal / seasonal cleanup | Per site per event | Two to four events |
| Additional work as directed | Hourly by labor class plus equipment rates | Allowance |
The critical discipline is that your unit prices must be individually defensible. Bid packages routinely reserve the right to reject a bid as materially unbalanced, meaning the total is competitive but individual unit prices are distorted. The classic error is front-loading mobilization and early-season items and starving the late-season items, or pricing an item the buyer intends to use heavily at near zero to buy the total down. Evaluators do compare your line items against the field, and an obviously unbalanced schedule gets rejected. Related reading: how much does it cost to bid on a government contract?.
The licenses you must hold before the bid date
This is where most first-time public bidders fail, and it fails them at the responsiveness check rather than on price. The license must exist, be current, and be attached to the bid. Getting licensed after award is not an option because the bid is evaluated as submitted.
State commercial pesticide applicator licensing
If your scope includes any herbicide, insecticide, fungicide or plant growth regulator application on public property for hire, you need a commercial applicator credential in that state, and the credential is category-specific. The naming varies considerably, which is why contractors working across state lines get caught out.
- California. The Department of Pesticide Regulation issues a Qualified Applicator License and a Qualified Applicator Certificate, and separately licenses the business itself. DPR also issues a distinct Maintenance Gardener Pest Control Business License for landscape maintenance operations. The category letters matter: landscape maintenance and right-of-way are separate categories, and holding one does not authorize the other.
- Florida. The Department of Agriculture and Consumer Services administers commercial applicator certification, with Lawn and Ornamental as the category most relevant to grounds work, plus a Limited Certification pathway aimed at commercial landscape maintenance personnel.
- Texas. The Department of Agriculture licenses commercial and non-commercial applicators covering lawn and ornamental, right-of-way and public health categories. Exams have been administered through a third-party testing vendor since 2025, which adds scheduling lead time you need to plan for.
In every state, expect a licensed business entity, at least one certified applicator supervising, continuing education units for renewal, and recordkeeping obligations on every application. Public bid packages very often require you to attach copies of both the business license and the individual applicator certification, and to identify by name the certified applicator who will supervise the contract.
Irrigation and backflow
If the scope includes irrigation, many states and most water purveyors require a licensed irrigator or a certified backflow prevention assembly tester to test and certify assemblies annually. Backflow certification is usually issued through a state health department or a water authority program rather than through the landscape licensing scheme, and it is a separate credential from your irrigation license.
Arboriculture
Tree work above a stated height or diameter threshold is normally carved out of the general grounds contract, and where it is included, buyers ask for an ISA Certified Arborist on staff, ANSI A300 pruning standards compliance and ANSI Z133 safety compliance. If you intend to bid tree work near energised conductors, a Line Clearance Arborist qualification is a separate matter and utility work has its own rules.
General business credentials
Registration to do business in the state, local business license, workers compensation coverage in the state of performance, and registration in the buyer's vendor system. On federal work you also need an active SAM.gov registration with a Unique Entity ID.
Bonding and insurance: what is actually required
Grounds maintenance bonding is lighter than construction bonding, which is one of the reasons this trade is a sensible first move into public work.
Bid bond. Commonly required on contracts above a threshold the buyer sets, typically 5 percent of the bid amount, and often satisfied with a cashier's check or certified check for smaller packages. Many maintenance solicitations under six figures require no bid bond at all. See bid bonds and performance bonds explained for how these work and how to get one.
Performance and payment bonds. Where required on a maintenance contract, these tend to be 100 percent of the annual contract value, renewed at each option year rather than bonded for the full multi-year total. That is an important distinction for your surety capacity: a five-year contract worth $2.5 million usually only consumes $500,000 of your bonding line at any one time. Some buyers accept an irrevocable letter of credit instead.
Insurance. Expect commercial general liability at $1 million per occurrence and $2 million aggregate as the common floor, with $2 million per occurrence on larger institutional contracts. Automobile liability at $1 million combined single limit. Workers compensation at statutory limits with employers liability, usually $1 million. An umbrella or excess policy is frequently required on campus and health system contracts. Pesticide and herbicide application is a specific exposure and many general liability forms exclude it, so check that your policy does not carry a pollution or chemical application exclusion that would make your certificate non-compliant.
Two mechanical details cause more rejected certificates than anything else: naming the buyer and its officers as additional insureds on the exact form edition the contract specifies, and providing a waiver of subrogation where required. Get the sample certificate language out of the bid documents and send it to your agent before you submit, not after.
How landscaping bids are scored, and what that means for you
The single most useful thing to understand about this trade is that most of it is scored on price alone. Grounds maintenance is treated as a commodity service with a well-defined specification, so the standard instrument is an invitation to bid or invitation for bid, awarded to the lowest responsive and responsible bidder. Responsive means your bid complied with the requirements. Responsible means the buyer believes you can perform. Neither is a judgment about quality relative to other bidders. If you are responsive and responsible and low, you win. See RFP vs RFQ vs IFB vs ITB for the distinction between instruments.
The practical consequences:
- Narrative does not win low-bid work. Your beautifully written approach section is not scored. Effort spent there is wasted; effort spent making sure every required form is signed and attached is not.
- Responsibility is where the buyer's discretion lives. Buyers can and do find a low bidder non-responsible on the basis of references, equipment, financial capacity or past performance. This is the mechanism by which quality enters a low-bid process, and it is why your reference list and equipment schedule matter.
- The bid schedule is the deliverable. Signed, complete, arithmetically correct, with every addendum acknowledged.
A meaningful minority of this market is qualifications-based. Large park systems, university campuses, health system campuses and any solicitation described as a request for proposals will score technical approach, staffing plan, equipment, quality control program, safety record and references alongside price, typically with price weighted somewhere between 30 and 50 percent. These are the contracts worth writing for, and they are where a contractor with genuine horticultural depth can beat a cheaper competitor. If you are new to written proposals, how to respond to an RFP and how to build an RFP compliance matrix cover the mechanics.
Some buyers also use best-value hybrids: a pass-fail qualifications screen followed by price competition among the qualified. Read the evaluation section of every solicitation before you decide how much time to spend on it.
The bid calendar: why January through April decides your year
Landscaping solicitations are driven by two calendars at once, and they interact. The growing season dictates when the work must start. The fiscal year dictates when the money becomes available. Most public entities run a July 1 to June 30 fiscal year, with a substantial minority on October 1 and some, particularly school districts, on other cycles.
| Period | What is happening | What you should be doing |
|---|---|---|
| September to November | Budget preparation for the following fiscal year. Departments identify which contracts expire. | Vendor registrations, prequalification, license renewals, surety line review. Meet facilities and parks staff now. |
| December to February | Heaviest posting window for spring-start grounds contracts. Bids for the coming season are advertised. | Bidding. This is the concentrated work period. Pre-bid site walks happen here and are often mandatory. |
| March to April | Awards and council or board approval. Contract execution and phase-in. | Mobilize, hire, order equipment. Chase award notices. |
| May to August | Performance season. Very few new grounds solicitations. | Perform flawlessly. This is what buys your option year and your references. |
| June to July | Fiscal year rollover. New-year contracts start July 1. Year-end money gets spent. | Watch for small enhancement and one-off projects funded from expiring budget. |
| August to October | Snow and ice season solicitations post in northern markets. | Bid the winter companion contract. |
The practical takeaway is that missing the December to February window costs you a full year. Vendor registration, prequalification and licensing all have lead times measured in weeks, so the preparation work has to be finished in the autumn.
One more timing note that catches new bidders: award is not the end. Contracts above a dollar threshold usually require approval by a city council, county commission or school board, which meets on a fixed schedule. A bid opened in March may not be executed until the board meets in April or May. Build that lag into your hiring plan.
Prevailing wage on grounds contracts
Landscapers are often surprised to learn that prevailing wage reaches maintenance work, because they associate it with construction. It reaches it through two different doors.
Federal service contracts. The Service Contract Act covers federal contracts exceeding $2,500 whose principal purpose is furnishing services through service employees. Grounds maintenance is a textbook covered service. Under the Act, the Department of Labor issues wage determinations setting minimum hourly rates and health and welfare fringe benefits by labor category and locality, and you must pay them. The relevant categories are things like Groundskeeper, Gardener and Tractor Operator. The fringe benefit obligation is a real cost, payable in benefits or cash, and it catches contractors who priced from their commercial wage structure.
State and local prevailing wage. Many states have their own prevailing wage statutes, and their coverage of maintenance work varies widely. Some cover only construction. Some explicitly extend to public building service and grounds maintenance contracts. California, New York, New Jersey, Washington and Illinois are among the states where public agency maintenance work commonly carries a wage obligation. Local ordinances add another layer, and some cities impose living wage requirements on service contractors independently of state law.
Where prevailing wage applies, the compliance burden is certified payroll, submitted on a schedule the contract sets, listing each worker, classification, hours, rate and deductions. Getting the classification wrong is the most common finding, and back-wage liability plus penalties can exceed the margin on the contract. If the bid documents include a wage determination, read it before you price, and price from it. See Prevailing wage and Davis-Bacon for contractors.
Snow and ice: the winter contract that makes the summer contract work
In any market with winter, snow and ice removal is the natural companion to grounds maintenance, and public buyers frequently bid them together or award them to the same contractor. The federal award records above show it plainly, with several grounds maintenance contracts explicitly bundling snow removal and ice control into the same instrument.
The commercial logic is straightforward. You already have the site knowledge, the equipment is partially shared, and your crews need winter work. The buyer gets one accountable contractor and one phone number at 3am.
Snow contracts are priced differently from grounds work and the pricing structure carries most of the risk:
- Per-event or per-push, often tiered by snowfall depth bands. Volume risk sits with you in a light winter and with the buyer in a heavy one.
- Per-hour by equipment class, with rates for loader, plough truck, skid steer and hand crew. Lower risk, but buyers dislike it because their exposure is uncapped.
- Seasonal fixed price, a flat fee for the season regardless of events. You take all the weather risk. Price it against long-run local snowfall data, not last year.
- Materials, priced per ton of salt or per gallon of brine applied, sometimes with a separate application charge.
Watch the response time clause and the liquidated damages that attach to it. A requirement to have lots cleared by 6am with a per-hour penalty for late completion is common at school districts and hospitals, and it dictates how much equipment you must have standing by. Price the standby, not just the pushing.
The three reasons landscaping bids get thrown out
Almost every rejected landscaping bid falls into one of three buckets, and none of them is about price or capability.
1. Missing or expired license documentation
The bid required a copy of the state commercial pesticide applicator business license and the individual certification of the supervising applicator. The bidder attached one and not the other, or attached a license that expired between the pre-bid meeting and the bid date, or attached a certification in the wrong category. This is the number one cause. Build a license register with expiry dates and check it against every bid package.
2. Incomplete bid schedule or unacknowledged addenda
A unit-price schedule with a blank line is non-responsive. So is one where the extensions do not foot, though many jurisdictions allow the buyer to correct obvious arithmetic errors by treating the unit price as controlling. Addenda are worse: buyers issue them right up to the bid deadline, changing quantities, sites or dates, and failure to acknowledge a material addendum on the acknowledgment form is a routine grounds for rejection. Check the portal the morning of the bid.
3. Materially unbalanced or non-conforming pricing
Distorted unit prices that front-load the schedule, or pricing that fails to follow the stated unit of measure, such as bidding per visit where the schedule asked per acre. Also in this bucket: qualifying or conditioning your bid. Attaching your own terms, exceptions or a note that pricing is subject to fuel adjustment turns a responsive bid into a counter-offer, and counter-offers get rejected. Take exceptions during the question period, not in your bid.
A fourth, less common but fatal, is late or misdelivered submission. Electronic portals close on the second and there is no grace. If a package must be delivered in hard copy to a specific room number, deliver it the day before.
When you do lose, request a debrief or the bid tabulation. Bid tabulations are public records in every state and show every bidder's unit prices line by line. That is the best competitive intelligence available in this industry and it is free. See how to request a debrief after losing a bid.
What a realistic first year looks like
Contractors consistently underestimate the ramp and overestimate the hit rate. A grounded first year for a firm doing $3M to $30M in commercial work, entering public bidding deliberately, looks roughly like this.
| Quarter | Activity | Realistic outcome |
|---|---|---|
| Q1 (autumn prep) | Register on state and regional portals, complete vendor and prequalification forms, verify licenses, confirm surety and insurance can meet typical requirements, build a target list of expiring contracts | No revenue. This is the investment quarter. |
| Q2 (bid season) | Attend pre-bid site walks, submit 8 to 15 bids across cities, districts and special districts within your service radius | Expect a hit rate of roughly 10 to 20 percent as a new entrant on low-bid work |
| Q3 (award and mobilize) | One to three awards, contract execution, board approval lag, hiring and equipment | First revenue lands 30 to 90 days after bid opening |
| Q4 (perform) | Execute the contracts flawlessly, document everything, build the past performance record | Performance here determines renewal and every future reference |
Set expectations on hit rate honestly. On pure low-bid unit-price work with four to six regular bidders, a competent new entrant wins roughly one in five to one in eight. That improves substantially in year two, not because your pricing gets better but because you have bid tabulations showing where the field actually sits, and because you have public past performance to cite.
The financial shape of year one is also worth naming. Public buyers pay on net 30 to net 45 terms after invoice approval, and approval can add weeks. You are funding payroll, fuel and materials ahead of collection, and if the contract requires prevailing wage you are funding a higher payroll than you are used to. Have the working capital in place before you mobilize, not after.
The payoff is on the other side of that ramp. A portfolio of three or four multi-year grounds contracts is a revenue base that does not disappear when the private market softens, is renewed rather than rebid most years, and is entirely visible to you in advance.
Where these solicitations are actually posted
There is no single place. That fragmentation is the reason most contractors only ever see the handful of opportunities that land in their inbox by accident.
- Individual agency portals. Most cities, counties, districts and universities run their own procurement page or a hosted e-procurement system. Registration is free and usually generates email alerts by commodity code. Register with the correct NIGP or UNSPSC codes, because that is how the alerts are triggered.
- State-level procurement portals. Every state runs a central portal for state agency purchasing, and many allow local entities to post there voluntarily. Coverage of local work varies enormously by state.
- Regional bid consortia and councils of government. Groups of municipalities that advertise jointly.
- Legal advertisement. Many jurisdictions still statutorily require publication in a newspaper of record, and some small entities advertise nowhere else.
- Cooperative purchasing contracts. National and regional co-ops let one lead agency competitively award a contract that other public entities can then buy from directly without running their own bid. For a landscaping firm, holding a co-op contract turns one win into many.
- SAM.gov for federal work.
Registration alone is not enough. Alerts are keyword-driven and grounds maintenance gets coded inconsistently, filed variously under landscaping, grounds maintenance, mowing, custodial and facilities services. Contractors who rely purely on inbound alerts miss a large share of what is actually published in their radius.
Browse what is currently open at open opportunities.
Is this channel worth your time?
It is worth it if three things are true. Your crews already perform to a commercial standard and can absorb route density in a defined geography. You can carry receivables on net 30 to 45 terms without stress. And someone in your organization will own the bid calendar as an actual job, not as something the estimator does after hours in February.
It is not worth it if you need cash inside 60 days, if your pricing depends on flexible scope and change orders, or if you cannot hold the licensing and insurance posture consistently. Public buyers are procedurally unforgiving and comparatively slow, and they trade that against multi-year certainty and a customer who does not go out of business.
The honest arithmetic is this. The first year is an investment year with a modest hit rate. From year two, an established public book renews rather than resets, gives you a predictable spring hiring plan, and compounds because past performance is the currency in every subsequent bid.
If you want to see what is currently open for your trade in your service area, and get an honest read on whether the volume in your radius justifies building a bid function, book a call and we will walk through the actual opportunities with you.
Common questions
Do I need a pesticide license if I only mow?
If your scope is strictly mowing, trimming and blowing with no chemical application, you generally do not need an applicator license. But most public grounds contracts bundle fertilisation and weed control into the same package, and once any application for hire is in scope, the state commercial applicator credential is required. Read the bid schedule before you assume. If there is a herbicide line item, you need the license, and you need it attached to your bid.
Can I subcontract the chemical application instead of getting licensed?
Usually yes, and it is a common route into this work. Public bid packages almost always require you to identify subcontractors, their scope and their licenses at bid time or shortly after, so you need the subcontractor lined up before you submit rather than after you win. Watch for self-performance requirements: some contracts require the prime to self-perform a minimum percentage of the work, which limits how much you can push out.
How much does it cost to bid a public landscaping contract?
Far less than construction. The direct costs are the bid bond premium if one is required, and staff time. The real cost is time: a first bid with a mandatory site walk across a multi-site inventory takes a couple of days of someone senior counting acreage, beds and trees. Subsequent bids to the same buyer are much faster because your site take-offs carry forward. Budget for the take-off effort, not for the paperwork.
Is it worth bidding if the incumbent has held the contract for years?
Sometimes, and the way to tell is to pull the bid tabulation from the last cycle, which is a public record. If the incumbent won by a hair against three others, the contract is genuinely competitive. If they won by 30 percent against nobody, either they are underpriced or the specification has a hidden cost you have not found. Long-tenured incumbents also get complacent about renewal pricing, and unhappy buyers signal it in the way they rewrite the specification.
What does the buyer mean by non-responsible, and can I fight it?
Non-responsible means the buyer has determined you lack the capacity, experience, equipment, financial standing or integrity to perform, and it is a distinct finding from non-responsive. It usually comes with a right to be heard, and jurisdictions differ on the process. Because a non-responsibility determination can follow you, take it seriously: respond in writing, supply the missing evidence about equipment or references, and request a debrief.
Should I bid the snow contract if I have never done public snow work?
Only with your eyes open on the pricing structure. Seasonal fixed-price snow contracts put the entire weather risk on you, and a single heavy winter can wipe out several years of margin. Per-event tiered pricing or hourly equipment rates are far safer for a first contract. Also read the response time and liquidated damages clauses carefully, because they determine how much equipment must sit on standby rather than how much snow you move.
Do multi-year grounds contracts allow price escalation?
Some do and some emphatically do not. Look for an escalation clause tied to a published index in the renewal terms. Where there is none, your option-year prices are the prices you bid, which means a five-year contract priced at today's labor cost can erode badly. If the solicitation is silent, ask during the question period. If escalation is prohibited, build the expected wage growth into your out-year unit prices rather than bidding flat.
What insurance limits should I carry to be competitive across most public bids?
Commercial general liability at $2 million per occurrence and $4 million aggregate, automobile liability at $1 million combined single limit, workers compensation at statutory with $1 million employers liability, and a $2 million to $5 million umbrella will meet the requirements of the large majority of state and local grounds solicitations. Confirm your general liability form does not exclude pesticide or herbicide application, which is a common exclusion that makes an otherwise adequate certificate non-compliant.
Sources
- USAspending.gov, federal award search, NAICS 561730 Landscaping Services
- 41 U.S.C. § 6702, Service Contract Act coverage and $2,500 threshold
- U.S. Department of Labor, Service Contract Act wage determinations
- California Department of Pesticide Regulation, licensing and certification
- Florida Department of Agriculture and Consumer Services, pesticide licensing
- Texas Department of Agriculture, pesticide applicator licensing
- International Society of Arboriculture, Certified Arborist credential
- SAM.gov, federal contract opportunities and entity registration