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Services can be difficult to purchase, primarily due
to poor communication. The provider sometimes doesn't know
exactly what is expected of him, and the user does not always
understand what her contractual dollar provides. Regarding
the procurement of janitorial services, the easy part of the
pricing equation is to determine the number of square feet and
the population density of the structure. The costly and more
difficult part of pricing a contract has to do with the level
of service desired, as well as soft-dollar costs regarding
user satisfaction, management attention to issues between user
and provider, and insurance claims created from using the
vendor. To obtain your best value, offer a "winner-take-all"
contract, offering all of your business to a solitary vendor,
when and if it is possible. Then you can take advantage of
volume discount. Of course, the employee, who is not
concerned with the expense, wants her space to be cleaner than
her own home. As budget manager, it is up to you to set
cleaning criteria.
I recommend a basic level of service be provided two or
three times per week, with a comprehensive cleaning (outside
windows, carpets and baseboards) every six months. To keep
costs down, require employees to be responsible for their own
desks and for emptying their own wastebaskets in a nearby,
common, trash container. Your explicit service requirements
must be written and included as an addendum to your contract,
and given to the department manager. This formal and complete
disclosure will prevent most complaints about poor service,
because everyone will clearly know for what each is
responsible. Also, you should insist upon a complaint/service
log for each facility. This log should be used as a means for
the cleaning crew (who generally do their work at night) to
communicate with the daytime employees. This formal
communication should be collected quarterly and sent to the
proper manager, who should utilize the log as one way of
evaluating the level of service provided. You may ask why a
contract is needed for this simple task, performed by minimum
wage persons, in the middle of the night. The answer lies in
the issue of liability, in cases of accidents and property
loss. The janitor has unsupervised access to your facility.
The problems this causes include petty theft, damaged fixtures
and false-alarm expenses. Many of these mom & pop cleaning
firms lack property damage and liability insurance. Any claim
will land squarely at your feet. A contract with proof of
insurance avoids that problem. Regarding cleaning costs, we
saved a substantial sum of money by implementing a self-help
program. To save money and staff jobs, we all agreed to take
turns cleaning the lobby, bathroom and break room, on a
weekly, rotating schedule. Each person was responsible for his
own office space. We hired janitorial service only for an
annual carpet cleaning, sharing the money saved with the
company. The company retained 50% of the expense as a savings,
and the "self-help gang" used the balance for free lunches.
Occasionally, we did get a slacker who didn't want to clean,
but loved to eat. In most instances, peer pressure resolved
those bumps. Final word of advice, do not purchase supplies
from your cleaning service. Toilet paper and other items are
found much cheaper elsewhere, as these people generally only
provide product as a convenience to you. However, cleaning
firms generally purchase their supplies from a discount
environment, such as from the Price Club. As with any other
firm, the cleaning firm will mark-up the cost of product to
you, from anywhere between twenty to fifty percent. After all,
they are providing a convenience, and price is commonly
overlooked.
LANDSCAPE SERVICES
With regard to landscape procurement, I buy this service
almost exactly the way I buy janitorial services. The problems
are similar, except the work is performed during the day,
rather than at night, and outside, rather than inside.
Regarding indoor plants, I recommend that employees adopt a
plant to permanently maintain, or to purchase artificial
and/or dried floral arrangements. Your primary guide to asking
the right questions and controlling this expense is to utilize
the Landscaping Contract, which is shown after the Janitorial
Contract, at the end of this chapter. RESULT: The formal,
contractual process affords minimal complaints, which in turn
results in lower, management expense. Liability is also
reduced or transferred to the vendor, minimizing a possible
change in insurance rates, due to fewer claims. Lastly, up to
a 50% savings can be realized by an innovative sharing of
responsibility.
JANITORIAL CONTRACT
THIS AGREEMENT, between (Company) hereinafter called (THE
FIRM),and
____________________________________________________________
Address_____________________________________________________
Phone_______________________________________________________
hereinafter called CONTRACTOR.
W I T N E S S E T H:
1. DUTIES OF CONTRACTOR. The contractor shall furnish all
labor, material, equipment and supplies required to
satisfactorily perform all of the janitorial services required
by THE FIRM in and about the premises hereinafter described,
in an acceptable manner and to the satisfaction of THE FIRM,
including but not limited to the services described in
"Exhibit A" attached hereto and by this reference made a part
thereof.
The property in which said services shall be performed is
known and described as:
FIRM________________________________________________________
Address_______________________________________________________
Phone________________________________________________________
2. TERM. This contract shall commence on________19___, and shall
continue in force as set forth herein unless terminated
according to the provisions set forth below.
If at any time the Contractor violates any of the provisions
hereof, or performs in an unsatisfactory manner, in the sole
judgment of THE FIRM, or in the event the premises or a major
part thereof be sold, leased, vacated, demolished, or if the
place of doing business is relocated or substantially changed,
THE FIRM, in any of such events, may on three (3) days written
notice to the Contractor terminate this contract. This
Contract may be terminated for any other reason on thirty (30)
days written notice by either party. 3. CONTRACT PRICE. THE
FIRM shall pay Contractor, upon receipt of Contractor's
invoice, on or before the tenth of each and every month during
the term of this agreement, after the services have been
satisfactorily performed for the preceding month, the sum of
$______, for faithful performance of all the services herein
required of Contractor, and Contractor agrees to accept said
sums in full payment for any and all services rendered by
Contractor or Contractor's employees and for equipment and
supplies furnished or used in connection with this agreement.
No change in the contract price will be allowed earlier than
one (1) year from the commencement date shown in item "2.TERM"
above, and subsequently, no earlier than one (1) year from the
effective date of the last previous change. Any request for
price change must be presented in writing to the undersigned a
minimum of 30 days prior to the requested effective date.
THE FIRM reserves the option to deduct from payments due
Contractor, a pro-rata amount for any normal service day that
service is not performed (legal holidays excepted), based on
the normal price divided by the number of service days in the
month in which service was missed.
THE FIRM reserves the option to deduct from payments due
Contractor, any and all sums THE FIRM must pay, as a result of
the Contractor not following security procedures upon entry or
exit of the premises. 4. CONTRACTOR IS INDEPENDENT
CONTRACTOR. In carrying out the provisions of this contract,
the Contractor shall not be under the control or direction of
THE FIRM in any way except as to the result of the work to be
done. No employer-employee relationship of any sort shall
exist between employees, agent, and servants of Contractor and
THE FIRM. 5. INDEMNIFICATION AGREEMENT. Contractor agrees to
indemnify, defend and save harmless THE FIRM for any and all
loss, liability, damages, claims, or demands or expenses
(including attorney's fees) of any kind caused by the
negligence or misconduct of Contractor or its employees while
engaged in the performance of any of the provisions hereof, or
in any way related to Contractor and/or its employees having
access to the premises or its contents. 6. CONTRACTOR TO
REPAIR DAMAGE. All damage, scars or disfigurements to any
materials or property constituting a part of or contained in
said premises, resulting from the methods or materials used or
employed by the Contractor or from the acts of its employees,
agents or servants, in fulfilling its duties hereunder and
accomplishing the purposes hereof, shall be promptly repaired
or replaced by the Contractor at its own cost; such repairs or
replacements to be made to the satisfaction of THE FIRM.
7. INSURANCE. Contractor shall secure and keep in force during
the life of this agreement at its sole cost and expense the
following insurance policies with companies acceptable to THE
FIRM.
(a) Property Damage and Liability Insurance
Contractor shall maintain a policy of property damage and
public liability insurance which shall protect THE FIRM, the
owner of or person occupying the premises described in
paragraph "1" above and such other entities as may be
designated by THE FIRM against any liability for damages, for
injury to or theft of property or for bodily injuries
including death, suffered or claimed to have been suffered by
reason or in consequence of any act or omission of any
employee, servant or agent of Contractor. The liability
coverage under such insurance shall not be less than $500,000
for any one person injured or killed, not less than $500,000
for any one accident and not less than $500,000 for property
damage. Contractor shall furnish THE FIRM with one (1)
certificate of all said policies.
(b) Worker's Compensation Insurance.
Contractor shall maintain coverage in non-performance with the
Worker's Compensation Law of the State of XXXX. Contractor
shall furnish THE FIRM with one (1) certificate of all said
policies, including an endorsement which states that such
insurance will not be cancelled or amended until THE FIRM
shall have been given thirty (30) days notice in writing of
the intention of said insurer to cancel or amend any such
policy. Each such policy (other than the property damage
policy) shall contain a provision that the insurer and all
other persons shall have no right of sobrogation against THE
FIRM and such other persons as THE FIRM shall designate as
insureds thereunder. All payrolls of contractor upon which
premiums for any insurance required hereby may be calculated
shall be subject to verification by THE FIRM.
8. ASSIGNMENT
AND DELEGATION. This is a contract for personal services and
Contractor represents and warrants that it and its employees
shall perform the contract work. Contractor shall not assign
this Agreement nor delegate any of said work without the
written consent of THE FIRM. In the event Contractor delegates
any portion or part of this Contract, Contractor shall remain
fully liable for the subcontractor's timely and proper
compliance with all of the terms of this Agreement. 9. NO
FEES TO AGENTS. Contractor represents and warrants that the
execution of this contract is not contingent upon the payment
of any fees to outside agents. If in fact any such fees or
commissions are due, they are the sole responsibility of the
Contractor.
CONTRACTOR:__________________ THE FIRM
By:_____________________________ By:__________________________
signature signature
Title:___________________________
Title:_______________________
Date Signed:___________19___ Date Signed:____________19__
Never sign a contract with an automatic extension and never
give a contract a life span of more than 24 months. Always
build in an opportunity to re-bid.
LANDSCAPE CONTRACT
The following "exhibit A" would be a part of the
aforementioned Janitorial Contract, when contracting for
landscaping services.
"EXHIBIT A"
Specifications for Landscape Maintenance
Contractor shall furnish all labor, materials, equipment,
transportation, insurance, taxes and any other items of cost
necessary to perform the complete landscape maintenance
services including (but not limited to) the following
services:
Work Included:
a. Maintain lawns by mowing, weeding, raking, airification,
fertilizing, reseeding, and watering as necessary to maintain
the turf in a thick and healthy condition all year.
b.
Maintain ground-cover by cultivating, weeding, fertilizing,
spraying, pruning, and edging, mulching, watering and
replanting care areas. c. Maintain trees and shrubs in a
healthy, thriving condition by pruning, shaping, watering,
fertilizing, staking, mulching, spraying and replacement. d.
Maintain sprinkler system in proper working order by cleaning
and adjusting heads and risers and replacing any broken units,
control valves, wires, and properly adjusting the schedule on
the automatic controllers. Repairs to the system, when
required for reasons other than contractor caused damage, will
be pre-authorized, and charged for on a time and material
basis. e. Maintenance cleaning will include the removal of
all debris from planted areas by raking and hand pick-up,
washing down of walks, curbs and gutters adjacent to work
area, removal of all debris from site, upon completion of
work, at no additional cost to (THE FIRM).
Materials:
a. Commercial fertilizer shall be 16-6-8, or higher
concentrate.
b. Mulch shall be nitrolized redwood shavings, or comparable
substitute approved in advance.
Work Schedule & Description:
Lawns:
a. Mowing shall be performed at such frequency as may be
required by the season of the year, but at least once each
week, at a height of 1.5 inches to 2 inches, collecting all
clippings in catches. b. Edges shall be trimmed at each
mowing. Trim around trees, valve boxes, and all other items
each mowing. c. Remove all weeds by whatever means
necessary. d. Grass shall not be allowed to invade plant
areas and other areas not intended to be lawn. e. Contractor
shall control gophers and moles by trapping or poison gases.
Contractor will maintain continuous control against insects,
sod web worms, cut worms, grubs and fungus in turf grass areas
by treating with appropriate chemicals.
Ground-Cover:
a. Cultivate weekly and remove all weeds by digging out the
roots.
b. All ground covers shall be trimmed neatly away
from shrubs, trees, walks and header boards, tapering edges.
Shrubs:
a. Cultivate weekly and remove all weed growth. b. Remove
all spent flowers and hand prune as a continuous operation to
remove undesirable growth. c. Hose off plants weekly to
remove accumulated dust.
Container Plants - Outdoor:
a. Check weekly for water, do not over water. b. Remove old
leaves and hose off plants to remove accumulated dust. c.
Remove rubbish from containers weekly.
Trees: a. Provide water to insure proper growth. Deep water during
dry seasons. b. Prune to remove dead wood, low branches,
misshapen or mis-directed branches and damaged wood. Prune in
fall, for general clean-up. All cuts over 1/2-inch diameter in
size shall be treated with pruning compound. c. Loosen ties
and repair staking as required. d. Size of a tree determines
if its care is included in the charge for this contract. Any
tree with growth which cannot be reached from a six foot
ladder, or from the ground with a pruning pole, is not
included. Any work on these trees above the height described,
is an additional expense and must be pre-approved.
Fertilizing and Mulching:
a. Lawns shall be fertilized four (4) times per year with
16-6-8 commercial fertilizer at the rate of 10 pounds per
1,000 square feet. Other compositions may be used for
particular soil conditions upon approval by (THE FIRM).
b.
Shrub and ground cover areas shall be fertilized twice per
year with 16-6-8 commercial fertilizer at the rate of 10
pounds per 1,000 square feet. c. Azaleas and other acid
loving plants shall be fertilized with acid food, three (3)
times per year. Application shall be made after the blooming
period. d. Ground-cover and shrub areas will be mulched as
needed with 1.5 cubic yards of nitrolized shavings per 1,000
square feet. e. All applications of fertilizer shall be
performed according to the manufacturer's instructions and
well-watered immediately after application.
Area Policed:
a. At the time work is performed, all turf, shrub, rock and
garden areas are to be policed and all loose trash and debris
removed.
b. Clear all plant clippings from walk areas. c.
Maintain bedding materials, bark, rock or mulch, in proper
areas.
Not Included:
Replacement or addition of plant materials, tree work beyond
Contractor's capabilities - as specified and repairs to
sprinkler systems, when required, for reasons other than
damage caused by contractor, and not included in the contract
charges. Such work is to be estimated and submitted for
approval. A Purchase Order will be issued for such work.
Contractor is to invoice separately against the Purchase Order
in such cases.
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