Municipal and larger commercial snow contracts can anchor an Alberta snow business for several seasons. They also come with bid documents that spell out insurance limits, additional insured wording, WCB standing and safety rules, and a bid that misses one of those can be set aside.
This guide explains how public snow work is procured in Alberta, the kinds of insurance clauses to expect, and how to get ready before a tender closes.
General information only, not legal or insurance advice. Requirements vary by bid; read each document and confirm details with the buyer and your broker.
How Alberta Municipalities Buy Snow Removal
Municipalities, school boards, universities and health authorities are known as the MASH sector. Under the New West Partnership Trade Agreement, open procurement is required at or above "$75,000 for goods or services, and $200,000 for construction." Below those amounts, the process depends on each buyer's own purchasing policy.
Alberta's trade agreement guidelines name Alberta Purchasing Connection as the electronic tendering site where Alberta public entities post notices for covered procurements. Many municipalities also post opportunities on their own websites.
What Snow Tenders Commonly Ask For
Every bid package is different. Here is one real example we reviewed.
A Real Example: Town of Slave Lake
The Town of Slave Lake's snow removal tender for its Government Centre, for a term of November 1, 2020 to April 30, 2023, stated:
- "All Bidders must be able to list the Town of Slave Lake as additional insured and be able to provide proof of Commercial General Liability in an amount of $5,000,000.00"
- Automobile liability "with limits of $2,000,000.00"
- Personal protective equipment meeting Alberta's OHS Act, Regulation and Code
That is one tender from one town. Other municipalities and commercial clients set their own limits and wording, so never assume one bid package reflects them all.
Additional Insured and Certificates
Naming the owner or municipality as an additional insured, and supplying a certificate of insurance before work starts, are common requests. A certificate is evidence of coverage, not the policy itself; coverage is set by the policy and its endorsements. See what is an additional insured.
WCB Clearance
WCB Alberta advises principals to get clearance letters before work starts, during the contract, and before final payment, because a principal can become liable for a contractor's unpaid premiums. Some clients may ask for yours, although the Slave Lake tender above did not include a WCB clause, so check each document. Some contracts also require personal coverage for owners. See WCB Alberta for snow removal businesses.
Vehicle and Safety Rules
Larger trucks may need a Safety Fitness Certificate and inspections under Alberta's commercial vehicle program. See Alberta commercial auto requirements for plow trucks.
Commercial Contracts: Property Managers, Retail and Institutions
Private contracts are not bound by trade agreement thresholds, but property managers, plazas and institutions may ask for similar paperwork: liability limits, additional insured status, WCB clearance and proof of auto coverage. Contract terms such as service levels, trigger depths and indemnity clauses can shift a lot of risk to the contractor. Read snow removal contracts and insurance before signing.
Related pages: municipal snow contractors, property management snow contractors and institutional snow contractors.
How to Prepare Before a Tender Closes
- Read the insurance section first. Note every limit, endorsement and deadline.
- Send it to your broker early. Raising limits, adding an umbrella policy or arranging additional insured wording can take time.
- Check your WCB standing and whether personal coverage is required.
- Confirm your vehicles meet any SFC or inspection rules for their registered weight.
- Look for bonding requirements. Check whether the bid documents ask for bid or performance security. See bonds for snow contracts.
- Keep records ready. Buyers may ask about safety programs and past work.
Ice claims on municipal property follow special rules, including a 21 day notice period for claims against municipalities. See Alberta occupiers' liability and snow contractors.
Sources
- New West Partnership Trade Agreement: MASH sector FAQ
- Government of Alberta: Guidelines to procurement obligations under trade agreements (2021)
- Town of Slave Lake: Government Centre snow removal bid package (2020)
- WCB Alberta: Coverage for contractors and subcontractors
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Frequently Asked Questions
Where are Alberta municipal snow tenders posted?
Alberta's trade agreement guidelines name Alberta Purchasing Connection as the electronic tendering site for covered public procurements. Many municipalities also post on their own websites.
How much liability insurance do Alberta municipal snow contracts require?
It varies by buyer. For example, the Town of Slave Lake's 2020 to 2023 Government Centre tender asked for $5,000,000 CGL naming the Town as additional insured and $2,000,000 auto liability. Check each bid document.
Do Alberta snow contracts require WCB?
Some clients may ask for a WCB clearance letter, because WCB Alberta advises principals to get clearances before, during and at the end of a contract. WCB notes personal coverage is a requirement of some contracts. The Slave Lake tender we reviewed had no WCB clause, so check each document.
When does a municipality have to tender snow removal publicly?
Under the New West Partnership Trade Agreement, open procurement is required at or above $75,000 for goods or services and $200,000 for construction.