Win Government Contracts

“Outsourcing” is a word with negative connotations in some quarters. But, experts say landscapers, in particular, need to consider personal benefits from outsourcing, because government agencies at all levels (city, state and federal) are putting tree trimming, parks maintenance and more out to bid.

Jim Martin, president of the Professional Landcare Network (PLANET), calls government work a huge trend that is putting substantial dollars in the pockets of landscapers who understand the how-to of landing the contracts.

Three kinds of landscaping work are outsourced commonly and, among them, they cover the gamut of jobs performed by landscapers, Martin says.

• Routine maintenance: “More governments are outsourcing maintenance of parks and the grounds around public buildings,” Martin says.

• New landscaping projects: “When roads are put in, for instance, usually landscapers are contracted to install trees, hedges and the like along the roadway,” he adds.

• Emergency repairs: “After storms, there often is a lot of work that needs to be done quickly,” Martin says. Even cities and counties that don’t routinely outsource landscaping will turn to outside contractors for emergency tree removal and replanting, laying sod and doing the many jobs that need doing to restore a storm-ravaged landscape.

All that work adds up to big money for landscapers, but most simply don’t know how to get into the running.

Network for Work
Get started in the hunt for government work by networking where government officials are, advises Marnie Green, principal consultant of the Management Education Group Inc. in Chandler, Ariz. Put faces with names and let them get to know you, too. This step can involve stopping by relevant government offices for an introductory meeting, and joining local business groups that government officials are involved in.

This “getting to know you” part of the campaign can pay off richly when emergency work is handed out, Martin says. When time is short, bidding processes are suspended or shortened, and work typically will be awarded to contractors who are at top-of-mind and who have let it be known they are able to tackle a project on short notice. That’s why letting government officials—especially the head of the parks department or a mayor—know about your services can be a key step in building a log of government accounts.

Martin suggests targeting governments that are nearby your base of operation. “Windshield time is the enemy,” he says. That is all the truer with government contracts that frequently involve thin margins. Stay close to home and there are profits to be made, but travel widely and those profits may evaporate.

Bid Timing
Ask target governments when the next bidding cycle will occur, Martin advises, and recognize that many contracts are put up for bid only once every year, or sometimes every three years. Also ask for information on past contracts that resemble your expertise. Upon request—sometimes this has to be in writing—a government will provide full details on contracts, such as who won the work and at what price. “This lets you decide if you want to put in a bid when the contract comes up again,” Martin says.

This is a stumbling block that catches many landscapers unprepared. Getting government work is a slow process. “It usually will take at least a year to get the first projects,” Martin says.

Another step: Many government contracts require a winning contractor to be bonded. A landscaper who is serious about pursuing government work needs to check with a bonding group to get any prerequisites handled, Martin says; most want to see detailed personal and business financial statements, for instance.

Martin acknowledges that “the first contract is the toughest to win.” Working with the government requires you to understand the unique way in which things get done.

Martin also acknowledges that most contracts are awarded to the lowest price from a qualified bidder (the government typically reserves the right to exclude bids that seem unrealistic). Although that means these jobs require an efficient, well-organized landscaper to make money, for the right landscaper, government work genuinely is the road to economic success.

“More and more landscaping work is outsourced by government to private contractors,” Martin says. “This is a growth area in our industry.”