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In snow removal, there are three types of contracts: seasonal, per event, and per occurrence. A seasonal contract involves a fixed price for the whole winter, based on average snowfall, typically covering snowfalls of 1-2 inches. For example, if a company estimates a snowfall average of 37-38 inches, they might charge around $20,000 for complete service during the season. This type of contract is a gamble, as it accommodates fluctuations in snowfall, requiring providers to balance costs against unexpected heavy snow years. This pricing structure ensures consistent service regardless of snow amount, whereas per event and per occurrence contracts differ in billing based on specific snow events.
