An October plant list meets a September price book
You bid the plant schedule off one season's availability sheet and buy it off the next one, and nobody will write escalation language into a list that looks like part numbers.
Steel and copper escalation arguments run off a public index both sides can read. Your exposure is living inventory plus trucking, with no index, no futures market, and a price book that resets on a growing season. On a job bid 12 to 18 months before buyout, the plant and bulk lines carry the entire move by themselves.
The size of it
On a material-heavy landscape job, one season of grower repricing is enough to erase the gross margin you bid.
Growers publish new availability and pricing every season. A winter storm, a drought, or a disease quarantine moves price hard on specific genera, and it hits the species the landscape architect specified rather than the list as a whole. Because a plant schedule reads like a catalog, GCs and owners refuse escalation on it the same way they refuse it on light fixtures. The same bid also carries topsoil, mulch, aggregate, and decomposed granite, where freight and fuel surcharge can exceed material cost per yard and the haul distance is set by where the pit sits, not by your number.
Three moves, in order
Step 04: Estimating system
The estimate maps one to one onto the job cost codes, so variance means something the day it appears.
What else costs landscaping and irrigation contractors money
The same mechanism in other trades
What landscaping and irrigation owners ask
Plant prices went up between bid and install no escalation clause?
You bid the plant schedule off one season's availability sheet and buy it off the next one, and nobody will write escalation language into a list that looks like part numbers.
What does it cost?
On a material-heavy landscape job, one season of grower repricing is enough to erase the gross margin you bid.
What do I do first?
Date-stamp every plant and bulk quote in the estimate and write the quote expiration into the proposal as a condition of the price.
What are landscaping and irrigation contractors supposed to be making?
Landscaping and irrigation runs 22% gross margin, 15% overhead and 7% net profit before taxes at $1M–$5M. The all-trade average is 7%, so this trade sits right on it. The CFOS target is 10%.
Which part of the system fixes it?
The step is number 04, estimating system. The estimate maps one to one onto the job cost codes, so variance means something the day it appears. It comes from chapter 4 of CONTROL: The Construction Financial Operating System.
