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CR 11-102 Approve Towing Agreement with Matt's Auto Service• December 6, 2011 Proposed Action loca City of Hopkins Council Report 2011-102 Approve Towing Agreement with Matt's Auto Service Staff recommends that the Council approve the following motion: Authorize the City Manager to renew the City's towing agreement with Matt's Auto Service. Approval of this motion will continue the City's agreement with Matt's Auto Service. Overview The towing agreement with Matt's Auto Service was last updated several years ago. Staff is recommending that the City exercise its option and renew the agreement effective December 7, 2011. Primary Issues to Consider ■ Does Matt's Auto Service provide good service? Matt's Auto Service has provided good service. Cars are towed in a timely manner. Malt's Auto Service is • very responsive to the needs of the police and public works departments. The owner and his staff have been very easy to work with during the tenure of previous agreements. • Supporting Information • Towing Agreement (revised November 2011) • The revised Agreement has been reviewed and approved by the City Attorney Tony Hanlin Captain, Police Department Financial Impact: $ 0.00 Budgeted: Y/N N Source: Related Documents (CIP, ERP, etc.): Notes: 0 AGREEMENT FOR TOWING SERVICES THIS AGREEMENT FOR TOWING SERVICES ("Agreement"), entered into this 7th day of December 2011, between the City of Hopkins, 1010 1St St S, Hopkins, Minnesota 55343 (City), and Matt's Auto Service, Inc., 6282 Industrial Drive, Eden Prairie, Minnesota 55346 (Contractor). In consideration of the mutual covenants contained herein, the City and Contractor agree as follows: I. Contractor's Services. The Contractor agrees to provide all services required by the City for the towing of vehicles, as that term is defined in Minn. Stat. 169.011, subd. 92. These services shall be provided in accordance with the terms of this contract. The Contractor shall furnish the equipment, personnel, supplies, and facilities sufficient to fulfill all the terms of this contract. 2. Personnel. Contractor shall only provide drivers who possess a valid driver's license for the class of vehicle to be driven and who do not have any active arrest warrants. The City's Police Department shall perform the necessary records checks prior to the driver's assignment. Contractor agrees to train all drivers in the proper towing of vehicles containing hazardous materials in accordance with federal and state laws. • 3. Storage Facility. The Contractor shall provide a storage facility for towed vehicles, which shall be fenced and locked in a secure manner. The facility shall have space for no fewer than 150 vehicles and shall be within five miles of the City limits. 4. Operation. No vehicle shall be towed under this contract without specific authorization from an employee or agent of the City. All vehicles shall be towed, not driven (except when authorized) without damage to the vehicles, to the storage facility. Contractor shall maintain and provide a telephone answering service 24 hours a day for the purpose of receiving requests for service pursuant to this contract, and provide and maintain mobile radio service with all towing units. 5. Notification of Owner. Upon the deposit of a towed vehicle in the storage facility, the Contractor shall send, within 72 hours, by certified mail, to the registered owner a notice specifying the date and place of the tow, the year, make, model, and serial number of the vehicle towed, and the procedure to reclaim the vehicle. A record of this notice shall be retained by the Contractor. 6. Release of Impounded Vehicles. No vehicle shall be released without proper proof of ownership. Vehicles ordered held by the Police Department shall not be released without written or verbal authorization from said department. Vehicle impounds not kept on a "police hold" shall be released by the Contractor after obtaining proper proof of ownership and, if the vehicle is to be driven out of the impound lot, proof of current insurance coverage. The Contractor reserves the right to specify the manner of payment for all charges and fees. Contractor agrees to supply personnel and reasonable hours of operation for the release of vehicles. Minimum hours shall be 8:00 a.m. to 5:00 p.m., Monday 1 through Friday; 10:00 a.m. to 1:00 p.m., Saturdays; and 2:00 p.m. to 3:00 P.M. on Sundays and holidays. Contractor agrees to provide emergency service beyond those hours at the request of the police department. 7. Towing and Storage Charges. The 24-hour towing rate schedule, effective the date of this agreement, for the City of Hopkins impounded vehicles is: TOWING RATES -POLICE IMPOUNDS Impounded vehicles $80/ $90 Flat Bed Vehicles with attached trailers $5 additional if vehicle can be safely towed with trailer attached Accidents $80/ $145 Flat Bed Lowboy & Tractor service $95/hour, plus actual cost to Contractor of renting additional necessary equipment Dollies (Additional) $45/ $65 small truck Winching (Additional) $25 to $45 small truck $225 big truck Semi truck tractors and trailers $100 min. charge • On -scene additional labor charges $45/hour STORAGE RATES - POLICE IMPOUNDS Two wheel motor vehicles, mopeds, $30/day ATVs, and snowmobiles Other vehicles (ex large trucks) $45/day Inside storage $45/day Tractor -trailers, large trucks $45 to $65/day These rates shall be effective unless/until either of the parties request an amendment in writing and both parties agree to the amendment. Note: (1). If Contractor is reasonably unable to tow a vehicle by conventional means due to unusual factory or after -market equipment installed, then that vehicle will be impounded at the lowboy and tractor service rate, plus reasonably necessary additional labor charges, which the Contractor must justify. Note: (2). Additional labor charges include, but are not limited to, unlocking vehicles, disconnecting transmission linkages or • drive -shafts, unusual road clean up, snow shoveling, any addition -all equipment needed, and vehicles located off the main roadways. Labor charges must be justified as reasonably necessary by the Contractor. 2 All towing or storage charges shall be the responsibility of the vehicle owner, except that (a) public safety vehicles requiring towing within the City of Hopkins area shall be towed without charge to the City, (b) vehicles towed and/or stored in error (at the request of the City) shall be returned to the owner at no charge. 8. Forfeited Vehicles. Vehicles towed and stored pursuant to seizure/forfeiture under Minnesota Statutes 609.531 to 609.5318 and 169A.63 shall be towed and stored at the following rates: • Vehicles released within 15 days of the impound and no longer subject to forfeiture will fall under the procedures and fees outlined in paragraphs 6 & 7; • Vehicles held for forfeiture will not be charged a storage fee if removed from the Contractor's property within five days. Beginning the 6th day storage fees of $15.00 per day will apply. Contractor will charge the City of Hopkins $10.00 per vehicle for owner notification and $10.00 per vehicle for Lien holder notification to cover staff time and materials related to forfeited vehicles. If the owner/lien holder does not pick up the vehicle within 30 days of being notified by the contractor by certified mail to do so, and the vehicle has been in storage over 60 days total, the vehicle may then isbe subject to the storage rates outlined in paragraph 7, beginning with the 31St day after receiving such notification. Release of all vehicles shall be governed by Minnesota Statutes 609.531 to 609.5318 and 169A.63. The contractor shall reimburse to the City of Hopkins any storage or towing fees paid by the registered owner, which have already been paid by the City. Administrative Fee. The Contractor agrees to pay the City $3.00 for clerical and administrative expenses for each vehicle referenced in an impound towing report filed by the Police Department. These fees shall be paid annually by January 31St. Vehicles not claimed and destroyed by the Contractor will be exempt from the administrative fee. 9. Records and Reports. Contractor shall prepare an annual report of all vehicles towed, stored, released, and still held, in a form acceptable to the City. This report shall be forwarded to the police department at the same time as payment of the administrative fees referenced in Section 8 of this Agreement. The report shall include the reasons why, if any, vehicles towed have not been released. All records of services provided by the Contractor pursuant to this agreement shall be available for inspection by the City upon request. • 10. Sales and/or Disposal. The contractor may dispose of unclaimed vehicles pursuant to Chapter 168 B, Abandoned Motor Vehicles. The Contractor shall report all transactions of sale or disposal, including the proceeds received, in the annual report referenced above in paragraph 10. If the contractor suffers a 3 • loss due to disposal of a vehicle, the City agrees to pay up to a $25.00 disposal fee per vehicle. 11. Liability. The Contractor shall be responsible for the loss of, or damage to, any vehicle, equipment thereon, and contents due to the fault of the Contractor or his agent, from the time he, or his agent, takes custody of the vehicle, whether that be by signing the receipt for the vehicle or by hooking or hoisting the vehicle. The Contractor shall be responsible for the safe keeping of personal property, within or on the vehicle, as identified on the vehicle impound form. 12. Indemnification. The Contractor shall indemnify and hold harmless the City, its employees and agents from, and against, all claims, damages, losses and expenses, including attorneys' fees, which they may suffer or for which they may be held liable because of bodily injury, including death, or damage to property, including loss of use, as a result of the fault of the Contractor, his employees, agents or subcontractors in the breach or performance of this agreement. 13. Insurance. The Contractor shall obtain and maintain liability insurance for coverage of not less than the following amounts: Hazardous Load Worker's Compensation Employer's Liability Bodily Injury & occurrence Property Damage Fire & Theft Garage keeper Liability As required by fed/state laws Statutory $100,000/$500,000/$l 00, 000 $1,000,000 each $30,000 each occurrence $30,000 each occurrence The insurance shall cover all operations under this agreement, whether undertaken by him, subcontractors or anyone employed or retained by them. Coverage for bodily injury and property damage shall be written under comprehensive general and comprehensive automobile liability policy forms, including coverage for all owned, hired and non -owned motor vehicles. The insurance shall also cover the indemnification liability set forth in paragraph 13. The insurance company shall deliver to the City certificates of all required insurance on a form provided by the City, signed by an authorized representative. The representative shall have in effect errors and omissions coverage in limits of not less than $300,000 per occurrence and $1,000,000 aggregate. By requiring Contractor to maintain insurance, the City does not intend to waive any of its statutory or common law immunities or limitations on damages. 14. Non -Discrimination. The Contractor agrees during the life of this agreement not to discriminate against any employee, applicant for employment, or other individual because of race, color, sex, age, creed, national origin, or any other basis prohibited by federal, state or local law. The Contractor will include a 0 similar provision in all subcontracts entered into for performance of this agreement. 15. Sub -Contractors. The Contractor shall not sub -contract all or any portion of this agreement without prior written approval of the City, except for assistance in emergency or unforeseen circumstances. All sub- contractors shall be bound by, and covered by, all terms of this agreement. 16. Agreement Period. This agreement shall become effective on December 7, 2011. This agreement may be terminated by either party upon 30 days written notice if the other fails to perform in accordance with the terms of this contract through no fault of the terminating party. This agreement may also be terminated by either party upon 90 days written notice without cause. 17. Independent Contractor. At all times and for all purposes hereunder, the contractor is an independent contractor and not an employee of the City. No statement herein shall be construed so as to find the Contractor an employee of the City, 18. Compliance with Laws. In providing services pursuant to this agreement, the Contractor shall abide by all statutes, ordinances, rules and regulations pertaining to the performance of this contract. Any violation shall constitute a material breach of this agreement and entitle the City to terminate this 40 agreement. 19. Agreement Review. The contractor reserves the right to renegotiate certain fees should fuel prices rise significantly during the time frame of this agreement. 20. Whole Agreement. This agreement embodies the entire agreement between the parties including all prior understanding and agreements, and may not be modified, except in writing, signed by all parties. 21. Radio Communication. The City of Hopkins agrees to furnish Matt's Auto Service with one portable police radio during a City of Hopkins declared snow emergency. This radio is to be used for the sole purpose of scanning the Hopkins Police Department's radio channel for towing coordination. The radio shall remain the property of the City of Hopkins. 22. By: MA -FT'S AUTO SERVICE, INC. CITY OF HOPKINS Owner 0 DATE: 5 City Manager DATE: