Hey guys how much is the fuel cost affecting your hourly rate? We’re located in southern Oklahoma and red diesel in bulk is up to $3.60 per gallon. About $3 more per gallon then a couple summers ago.
I'm considering the fuel surcharge angle here. Reason being there are quite a few customers around here that get touchy when rates are increased due to fuel costs. They are very vocal that "you say this now, but when fuel comes back down, the rate stays the same". If I do a fuel surcharge, when fuel does come down, I can drop the surcharge. Bigger question is, are any of you out there concerned about actual supply?? We all can charge whatever we want, but if we can't get diesel period, it doesn't do us any good.
We don't do much hourly work at all, mostly hard bid or lump sum negotiated jobs. Putting together a bid for an 11 story building at one of our local universities and I am adding 2% in my general conditions to help offset fuel prices. This will be around a $400K bid so I am adding roughly $8,000 additional for the fuel increases. This project has a decent amount of dump trucking (500 loads in and out) so I am factoring $105 per hour for a tri-axle even though current rate is $95. There is no way the dump truck company we use can absorb the price increase and keep rates the same.
Is $10 per hour going to be enough? I'm afraid the elevator hasn't stopped moving yet,
I don’t think we have seen the end of it neither. And people still charge like diesel hasn’t gone up. The reason I asked is I have a potential customer wanting pricing by the hour for D8r series II 345dL 2 621e/f With those you can go through some fuel in a day.
Can you price a "base cost" for each machine by the hour and then state "due to price volatility, all fuel used will be invoiced at cost".? Dunno whether that would work.
Probably not but also don't want to price ourselves out of the market either. How big of a job?
A lot of our work is a per ft charge. Tile drainage, waterways and surface drains and drainage ditch cleaning. Thinking like Shimmy and looking at a fuel surcharge so we are not changing per foot prices every few days
That’s just it I havnt gottten down to the knittt gritty yet. It would be for building pads, roads and maintaining roads. In yalls opinion what do you think the going rate on 8r is? Scrapers I charge around $10 per cubic yard. So 621e=$210 an hour 615=$160 an hour
I read that and first thought DAMN I need to get into scraper work for $10 a yard! $10 per yard is my average cut and fill number on our regular commercial jobs before markup. Fine grade, backfilling curbs, stripping topsoil, etc. is another line item.
Dang! Need to move closer to you guys. We were at 3.75 to 4.00 yd with scrapers on wetlands jobs last summer. We got a couple and were high on a couple at that
$10 a yard in cut/fill is great money around here! I’d like to get some of that action cm!
No you don't. If you have looked at any of his pics, most of what CM gets into should be paying more than that.
That's average on a 1-5K yard small commercial project. 17% markup on top of those line items as well. Rough cut and fill are just two line items. Import/export, fine grading, scarifying/conditioning backfilling curbs etc all have their own line items with their own markup. Rock, unsuitable soils and engineered fill are all CY unit prices measured in the field by the owners rep which is usually the geo-tech.