REPORT TO THE CITY COUNCIL
April 19, 2018
FROM: JERRY P. DYER, Chief of Police
Police Department
THROUGH: ANDREW HALL, Deputy Chief
Police Department
BY: RICHARD TUCKER, Lieutenant
Traffic Safety and Support Services Section
SUBJECT
Title
HEARING regarding the authorization of Non-Exclusive Franchise Tow Agreements with 29 local tow operators.
1. ***Authorize the Chief of Police to execute three-year Non-Exclusive Franchise Tow Agreements with 29 local tow operators. (Subject to Mayor’s veto)
2. ***BILL NO. B-17- (Intro. 4/5/18) (For adoption) - Amendment to Article 17, Chapter 9, Section 9 1707 of the Fresno Municipal Code to change the minimum number of tow operators authorized to tow and store vehicles impounded by the Fresno Police Department from 30 to 20. (Subject to Mayor’s veto)
Body
RECOMMENDATION
It is recommended that Council authorize the Chief of Police to execute a three year Non-Exclusive Franchise Tow Agreement with 29 local tow operators for the towing and storage of vehicles impounded by the Fresno Police Department. The proposed franchises were introduced in a resolution of intention passed by the Council on April 5, 2018, and published in the Business Journal on April 6, 2018, as required by the City Charter. The tow operators are currently working under a temporary extension of a previous franchise agreement. It is also recommended that the Council amend Article 17, Chapter 9, Section 9-1707 of the Fresno Municipal Code (FMC) as it relates to tow trucks, which was introduced at the April 5, 2018, Council meeting.
EXECUTIVE SUMMARY
The Non-Exclusive Franchise Tow Agreement (the “Agreement”) with the tow operators will replace the existing Agreement which expired on December 28, 2017. The Agreement contains subtle changes, including modification of the provision related to additional terms and conditions. This Agreement will allow for two, one-year extensions, if both the City and the Tow Truck Companies consent to the extensions. The additional one-year extensions will allow for a five-year term of the Agreement.
Article 17, Chapter 9, Section 9-1707(f) of the FMC currently requires the City to add tow truck companies to the Fresno Police Department tow truck rotation list if we have less than thirty companies. Article 17, Chapter 9, Section 9-1707(f) will be amended to allow for additional companies to be added if the tow truck rotation list drops below twenty. The reduction of tow truck companies will only be reduced through attrition, resignation, or through termination by breach of the Agreement. The reduction of companies will allow for closer oversight and accountability of tow truck companies.
The proposed Agreement and changes to Article 17, Chapter 9 of the FMC have been reviewed and approved by the City Attorney’s office. The insurance requirements and indemnification provisions have been reviewed and approved by the City’s Risk Manager.
BACKGROUND
The Agreement closely mirrors our previous Non-Exclusive Franchise Tow Agreements that have been in effect for the last six years. The Agreement will continue to allow our local tow companies to release impounded vehicles directly from the tow yard seven days a week. The tow operators will continue to collect the City’s administrative fees from the registered owners, or pay the administrative fees for those vehicles not picked up by their owners.
The Agreement also continues to mandate that tow companies utilize Dispatch and Towing Software (DTS). DTS allows the Police Department to manage, control, and audit our contracted tow companies. This software provides an internet portal to assist citizens with locating their impounded vehicles and allows them to view an invoice associated with the impounded vehicle. DTS has been extremely beneficial in providing oversight of our tow operators and tracking vehicles that have been impounded by the Police Department.
The Agreement has been reviewed and approved as to form by the City Attorney’s Office and by the Risk Management Division.
ENVIRONMENTAL FINDINGS
Not applicable since the amendment and agreements do not constitute a project.
LOCAL PREFERENCE
Not applicable since no goods or services are being procured by the City.
FISCAL IMPACT
There is no impact to the general fund.
Attachments:
Tow Agreements
Ordinance Amending FMC 9-1701