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HomeMy WebLinkAbout19- police Department ORIGINAL CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION From: Keith L. Kilmer, Chief of Police SUbj eCt: Resolution of the Mayor and Common Council of the City of San Dept: Police Department Bernardino establishing tow carrier franchise fees as required by resolution 2005-286 and Date: February 3, 2010 the City's existing Tow Service Agreements. M/CC Meeting Date: February 16,2010 Synopsis of Previous Council Action: August 15,2005- Resolution 05-286 Established Standard Towing Criteria. December 19,2005- Resolutions 05-434 through 05-439 Authorized Tow Service Agreements With Six Tow Carriers. September 2, 2008- Resolution 2008-347 Set Franchise Fees at$38,841 Per Month Total and Amended Resolution 05-286 and the City's Existing Tow Service Agreements to Require the Police Department to Determine the Franchise Fees Once Each Year. Recommended Motion: Adopt Resolution. I-EITHKKKL. I,-,I�` M-EEI??C---HIEF OF POLICE Contact person: Sergeant Brett Birnbaum Phone: 388-4919 Supporting data attached: Yes Ward: All FUNDING REQUIREMENTS: Amount: None Source: N/A Finance Council Notes: Agenda Item No. Iq CITY OF SAN BERNARDINO- REQUEST FOR COUNCIL ACTION STAFF REPORT Council Meeting Date: February 16,2010 SUBJECT Resolution of the Mayor and Common Council of the City of San Bernardino establishing tow carrier franchise fees as required by Resolution 2005-286 and the City's existing Tow Service Agreements. BACKGROUND On August 15, 2005, the Mayor and Common Council passed Resolution 2005-286 establishing standard towing criteria for the six tow carriers on the City's tow rotation. On December 19, 2005, Resolutions 2005-434 through 439 were passed approving contracts with the six tow carriers to tow vehicles at the City's request. On September 8, 2008, Resolution 2008-347 was passed amending resolution 2005-286 and the existing Tow Service Agreements to require the police department to determine Tow Carrier Franchise Fees annually based on a cost analysis and the average number of tows during the prior fiscal year. This resolution authorized the execution of amendments to agreements for tow services with the six tow carriers and set the monthly towing franchise fees at $38,841 per month total for the City's six tow carriers. Pursuant to Resolution 2005-286 and the City's existing Tow Service Agreements, as amended, the franchise fees must be changed to $31,689.28 per month or $5,281.55 per tow carrier based on the required cost analysis performed by the Police Department and the average of 688 vehicles towed in fiscal year 2008/2009. Adopting this resolution will decrease the monthly towing franchise fee from $38,841 to $31,689.28. This result is a monthly decrease of$7151.72 and an annual decrease of$85,820.64. FINANCIAL IMPACT The 2009-2010 budget includes $466,000 in tow franchise fees in Account #001-000-4215. The Police Department will begin collecting the new fees on March 1, 2010. Total fees for the four months remaining in the 2009-2010 financial year will be $126,757.12. The total decrease in fees for FY 09-10 will be $28,606.28. For FY 10-11, tow franchise revenue will be budgeted at $380,300 which is $85,700 less than the current FY 09-10 budget. RECOMMENDATION Adopt resolution. TOWING FRANCHISE FEE COST ANALYSIS Position Labor Rate Hours Per Unit/Tow Cost Per Unit Police Sergeant $79.2988 .17 13.48 Police Detective $70.4075 .17 11.97 Police Officer $60.8650 .17 10.35 CSO/Clerical $28.1540 .17 4.78 Dispatcher $32.1301 .17 5.46 Per Unit/Tow Total: 46.04 I Coply RESOLUTION NO. 2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY 3 OF SAN BERNARDINO ESTABLISHING TOW CARRIER FRANCHISE FEES AS 4 REQUIRED BY RESOLUTION 2005-286 AND THE CITY'S EXISTING TOW SERVICE AGREEMENTS. 5 WHEREAS, Resolution 2005-286 and the City's existing Tow Service Agreements, as 6 7 amended by Resolution 2008-347, require the City to adjust the monthly tow franchise fees 8 each year based on a cost analysis and the average number of tows conducted during the prior 9 fiscal year; and 10 WHEREAS, the Police Department has done a cost analysis and has determined that the i I average number of tows during fiscal year 2008/2009 was 688 per month; 12 BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE 13 CITY OF SAN BERNARDINO AS FOLLOWS: 14 SECTION 1: The Mayor and Common Council of the City of San Bernardino 15 hereby set the Tow Carrier Franchise Fees pursuant to the Tow Services Agreements with 16 Wilson Towing, LLC• Big "Z" Auto Works Incorporated; Danny's Towing; Tri-City hTowing, 17 18 City Towing; and Hayes Towing at $5,281.55 each per month for a total of $31,689.28 per 19 month, effective March 1, 2010. The tow carriers shall begin paying those fees to the City on 20 March 1, 2010. 21 22 23 24 25 26 27 28 -/� w 1 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY 2 OF SAN BERNARDINO ESTABLISHING TOW CARRIER FRANCHISE FEES AS REQUIRED BY RESOLUTION 2005-286 AND THE CITY'S EXISTING TOW 3 SERVICE AGREEMENTS. 4 5 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor 6 and Common Council of the City of San Bernardino at a meeting thereof, held 7 on the day of , 2010, by the following vote, to wit: 8 9 Council Members Ayes Nays Abstain Absent 10 ESTRADA 11 BAXTER 12 BRINKER 13 SHORETT 14 15 KELLEY 16 JOHNSON 17 McCAMMACK 18 19 Rachel G. Clark, City Clerk 20 21 The foregoing Resolution is hereby approved this day of , 2010. 22 23 Patrick J Morris, Mayor City of San Bernardino 24 Approved as to Form: 25 1 26 �cx,�.; V ( 27 James . Penman, City Attorney 28