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NW Ohio | I would assume that at $5/acre he is doing a RTK topo survey. That really isn't out of line if you take into consideration his time/equipment/software. The amount of acres increases their time doing the actual survey (driving the field). It also depends on how rolling or flat the field is. The flatter the field, the farther apart the swaths can be reported. If you price laying out a tile design, the price can be 2 to 3 times that amount.
You are talking about using LIDAR data which, in some areas, can be obtained for free and putting it into software to obtain the topo/watershed/tributaries. This normally takes about one hour.
If the land owner uses RTK, and purchases either Ag Leader SMS or Trimble Ag Business Solutions desktop software (formerly Farm Works Mapping) they can easily do the same thing themselves. If they do a little research and have LIDAR available, they can do the same thing you are.
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