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HomeMy WebLinkAboutDocuments Submitted by Michael SchaeferREQUEST FOR PROPOSAL TOWING SERVICE ROTATION LIST FOR THE CITY OF HIGHLAND TOW SERVICE ROTATION PROGRAM 2018-& 2019 City of Highland 27215 Base Line Highland, CA 92346 September 19, 201-7 REQUEST FOR PROPOSALS TOW SERVICES ROTATION LIST FOR THE CITY OF HIGHLAND TOW ROTATION PROGRAM The City Council of the City of Highland is inviting proposals from qualified Towing Companies who wish to enter into an agreement with the City for the provision of rotational towing services for the removal of vehicles from the public right-of-way (i.e. "Off -Site Vehicle Removal") and for the removal of inoperative vehicles from private property (i.e. 'Vehicle Abatement Services") at no cost or charge to the City of Highland, its Fire Department and/or the City's Police Department as well as the towing of City vehicles (i.e. cars, trucks, police / sheriff patrol cars, and fire trucks and equipment) as necessary. The Agreement attached contains rules and regulations a tow company must agree to comply with in orderto receive a position on a rotation tow listing with the City of Highland. Participation in the City of Highland Rotation Tow Program is voluntary. Compliance with the terms and conditions of the Tow Services Agreement is mandatory for towing companies participating in the City of Highland Program.. GENERAL REQUIREMENTS: 1. No Tow Company submitting an application for the City of Highland Tow Rotation Program shall have a financial interest in any other Tow Company and/or applicant within the City of Highland. Financial interest includes: business license, insurance, tow truck and equipment ownership, and employees. 2. The Tow Company must be located within a one and one-half (1 'h) mile radius from the City limits in order to respond in less than twenty (20) minutes (maximum Response Time shall be 20 minutes) and have an active City business license to be considered for the Tow Rotation Program. A Tow Company that cannot obtain a business license or said license becomes inactive, shall be removed from the Tow Rotation Program as set forth in the Agreement. Each location, if an Operator has more than one Storage Facility, will be reviewed on an individual basis and be approved by the City's Planning Division (and/or the Planning Commission) before the location is part of the Tow Rotation Program. 3. The performance period of the Agreement will for two (2) years, beginning January 9. 2098, and terminat►nu on December 39, 2098. Tow companies and/or operators not participating in the Request for Proposal (RFP) process will not be eligible to participate in the City's Tow Rotation Program until the City establishes an open enrollment period. Page 2 TOW RFP 2018 - 2019 SCOPE OF WORK: This RFP includes the information necessary to be considered for the City of Highland Tow Rotation Program. The RFP contains the following documents: 1. Agreement for Towing Services (included herein) - The Agreement sets forth the parameters a tow company must adhere to such as; A. Tow truck classifications and driver requirements. B. Rate structures or limitations. C. Response to calls regulation and restrictions. D. Storage facility requirements. E. Insurance requirements and limitations. F. Inspections, audits, and compliance with the law provisions. G. Procedures for disciplinary action and hearing process. 2. Attachments to the Agreement include: A. Definitions. B. Applicable California Vehicle Code and Civil Code Laws. C. General Equipment Specifications and Use Requirements. D. Reserved for Operator's Proposal. PROPOSAL SUBMITTAL REQUIREMENTS: The following items must be submitted to City to be considered for the Tow Rotation Program: 1. Completion of the California Highway Patrol Form CHP 234A (Form CHP 234A is to be used as the City of Highland Tow Rotation Program Application). Current Vehicle Inspection Certification (Form CHP 2348) shall be submitted on each vehicle to be used in the City of Highland Tow Rotation Program. Vehicles may be added to the list of approved vehicles as outlined in the Agreement. 2. Proof of insurance from a California admitted or approved company verifying required levels and amounts of coverage. 3. A Rate Schedule as identified in the attached Agreement. Form CHP 234A may be used as long as all -required rates of the Agreement are included on said Form. 4. A copy of the City of Highland Business License for the Tow Company / Operator. 5. A fully dimensioned Site Plan of the tow company's business and storage yard Page 3 TOW RFP 2018 - 2019 shall be submitted with the Application package. Plans shall be drawn to an engineer scale not to exceed 1" = 50' or less than 1" = 20', with a north arrow oriented to top of the Plan. The Plan shall include the following information: A. Name, address and phone number of the applicant / tow company. B. Property lines and lot dimensions. C. Dimensions of all access points to the Site (pedestrian and vehicular), off- street parking areas, loading areas, and parking spaces for customers and employees. D. Location of all building structures and the distances between buildings and the property lines. E. Location of all driveways and landscape planters or areas. F. Location of all building security lights and parking lot lights. G. Location and type of perimeter fencing. Tow companies and operators interested in participating in the City of Highland Tow Rotation Program shall submit the requested information, completed Forms, and any other pertinent information to: Lawrence A. Mainez Community Development Director City of Highland 27215 Base Line Highland, CA 92346 All proposals are due to the City of Highland by no later than 5:30 p.m. on Thursday. September 28, 2017. An applicant shall submit three {33 conies of the proposal. One f 1 ] proposal must be a reproducible , unbound copy (no colored copies). Failure to comply with the instruction set forth in the RFP and the Agreement will be considered as non-responsive and will not be accepted. Furthermore. the City Council reserves the right to reject any and all bids at any time duri CITY OF HIGHLAND NOTICE OF AVAILABILITY REQUEST FOR PROPOSALS A REQUEST FOR PROPOSALS HAS BEEN ISSUED BY THE CITY OF HIGHLAND FOR TOWING SERVICES FOR 2018 AND 2019. City Contact: Lawrence A. Mainez, Community Development Director Subject: Tow Service Contract for 2018 and 2019 Issuer: City of Highland Proposal: The City of Highland has issued a Request For Proposals (RFPs) for Tow Services by local Tow Companies. The related contract will be a two (2) year contract for calendar years 2018 and 2019. The contracts may be extended at the option of the City Council. Location: City-wide (within Highland Corporate Boundaries) Obtaining a copy of RFP: A copy of the Request For Proposals can be obtained by contacting the City of Highland at 27215 Base Line, Highland, CA 92346. Deadline for Submittals: Thursday, September 28, 2017 by 5:30 p.m. (All submissions after that date and time will not be accepted). Any persons interested in responding to this request for proposals may contact Lawrence Mainez, or Brandy Littleton should you have any questions at (909) 864-8732. The request for proposals may be obtained at City of Highland — Public Information Desk at 27215 Base Line, Highland California during regular business hours. AGREEMENT BETWEEN THE CITY OF HIGHLAND AND FOR TOWING SERVICES IN THE CITY OF HIGHLAND THIS AGREEMENT, made and entered into this day of , 2017, by and between the City of Highland (hereinafter referred to as "CITY") and , a Towing Company, whose signatures appear below (hereinafter referred to as the "OPERATOR"). WITNESSETH WHEREAS, CITY seeks to engage the services of the OPERATOR to participate in CITY Tow Rotation Program for towing services throughout the City of Highland for the removal of vehicles from the public Right -of -Way (i.e. "Off -Site Vehicle Removal") and the removal of inoperable vehicles from private property (i.e. "Vehicle Abatement Services") at no cost or charge to the CITY, or its contract services with the San Bernardino County Sheriffs Department. WHEREAS, CITY agrees to utilize, on a rotational basis, for Off -Site and Vehicle Removal and Vehicle Abatement Services, only those OPERATOR(S) located in the City of Highland or in close proximity, as defined herein, who have signed an Agreement with the CITY. WHEREAS, the OPERATOR who is a signatory to this Agreement, has completed and submitted the necessary Towing Applications and other Documents required by CITY and has been approved by the CITY to provide rotational towing services within its Corporate boundaries. WHEREAS, OPERATOR represents that it has the necessary expertise, equipment, storage facilities, personnel and insurance to meet all requirements of CITY to provide towing services within the City of Highland. WHEREAS, CITY has relied upon OPERATOR representations in entering into this Agreement. NOW, THEREFORE, in consideration of the mutual covenants herein contained, the parties hereto agree as follows: Section 1. General Responsibilities of OPERATOR. A. OPERATOR shall provide towing services at the request and direction of the San Page 5 TOW RPP 2018 - 2019 Bernardino County Sheriffs Department (herein after referred to as "HIGHLAND POLICE DEPARTMENT") and CI7YS Code Compliance Division for all tows necessary from public Right -of -Way and from private property. Calls for towing services from public Right -of -Way shall be initiated by the HIGHLAND POLICE DEPARTMENT and calls for towing services from private property shall be initiated by the CITY'S Code Compliance Division under the CITY'S Vehicle Abatement Program. B. The OPERATOR shall be responsible for reasonable cleanup of debris left at the scene of a collision oratthe direction of the HIGHLAND POLICE DEPARTMENT. C. There shall be no charge or fee to the CITY, or HIGHLAND POLICE DEPARTMENT or the CITY'S Code Compliance Division for any towing services by the OPERATOR to include vehicles towed at the request of _the CITY/HIGHLAND POLICE DEPARTMENT in which the vehicle is used in the commission of a crime or other matters in which the vehicle must be impounded for investigation and/or further anal sis. All charges or fees shall be applied only to the legal owner or registered owner of the vehicle or to the property owner as appropriate. All reference to charges or fees in this Agreement and in exhibits thereto shall refer to charges against the vehicle owner and not to the CITY, HIGHLAND POLICE DEPARTMENT or CITY'S Code Compliance Division. D. If the OPERATOR called is unable to respond within 20 minutes, the OPERATOR must advise the originator of the call (either the HIGHLAND POLICE DEPARTMENT or CITY'S Code Compliance Division, as appropriate) - at the time of the call - regarding the anticipated response time. If the anticipated response time is unacceptable, other towing arrangements will be made by HIGHLAND POLICE DEPARTMENT or CITY. E. The OPERATOR will provide a receipt, with a copy placed in the stored vehicle and a copy to the area office, whenever any item is removed from a stored vehicle and taken to another place of storage. F. The OPERATOR will furnish satisfactory evidence of liability insurance, provide adequate protection of disabled vehicles, and any property contained in such vehicles, while being towed and during storage. Policy expiration dates and any notice of cancellation will be furnished to the CITY immediately upon receipt. G. The OPERATOR shall maintain records of tow services furnished including a description of vehicles, nature of service and time and location of calls. Such records maybe inspected at anytime by the HIGHLAND POLICE DEPARTMENT and CITY. The OPERATOR shall mark the windshield of each vehicle towed as part of the CITY Tow Rotation Program to read: "City of. Highland" and either Page 6 TOW RFP.2018-2019 "impounded" or "stored." H. The OPERATOR and its tow track drivers shall be properly licensed, in accordance With California Vehicle Code Section 12804 and the CITY. Towing vehicles will be maintained in compliance with the provisions of Sections 24605, 25253, 25300, 27700, and 27907 of the California Vehicle Code and Section 9701 of the Revenue and Taxation Code. J. The OPERATOR will comply with California Vehicle Code Section 10652 in reporting the storage of vehicles over 30. days. The HIGHLAND POLICE DEPARTMENT will be furnished a copy of the Report, which the tow operator is required to fumish the Department of Justice by Registered Mail. K. The OPERATOR shall also be available as necessary to tow any CITYvehicle at no chgM . Such vehicles will include: CITY Vehicles, Highland Fire Department/ CDF Trucks and associated Vehicles, and Highland Police Patrol Cars and associated Vehicles (Note — anticipated number of Vehicles which may be towed per month is three). Further, the OPERATOR shall assist the CITYin changing flat tires, iump stars dead batteries and/or other incidental vehicle problems that may occur from time -to -time during the Contract Period. L. The OPERATOR shall provide to the CITY applicable Forms CHP 234A, CHP 2348 and CHP 234F and be kept current during the time period of this Agreement (forms included with Operator's proposal - see Attachment D). Section 2. Responsibilities of CITY. A. The HIGHLAND POLICE DEPARTMENT and CITY'S Code Compliance. Division shall each establish and maintain separate rotational lists composed solely of the OPERATOR(S) who are signatories to the Agreement unless as otherwise provided for by HIGHLAND POLICE DEPARTMENT or CITY procedure. Section 3. Rotation Lists. A. Within the City of Highland, the CITY shall maintain a Rotational Tow List for each class of tow truck to ensure an equitable distribution of calls. B. Nothing shall prohibit a Class B, Class C, or Class D OPERATOR from maintaining a place on a lighter Class Rotation List. Regardless of the class of tow truck, utilized or responding to the call, charges shall not be more than the class of vehicle towed or serviced, except when recovery operations (as defined in Attachment A) require a Page 7 TOW RFP.201 &2019 larger class of truck. C. A call to an OPERATOR shall constitute one turn on the List and the OPERATOR shall be moved to the bottom of the List. This includes when the OPERATOR fails to answer the phone, is unable to respond, or is canceled due to excessive RESPONSE TIME. If it is determined that the OPERATOR is not needed and is canceled by the HIGHLAND POLICE DEPARTMENT, up to and including arrival at the scene there shall be no charges and the OPERATOR will be placed back on top of the List. 1. If the OPERATOR is canceled by the vehicle's owner or agent prior to the OPERATOR taking possession (as defined in Attachment A) of the vehicle, there shall be no charges for towing. The OPERATOR shall immediately contact the HIGHLAND POLICE DEPARTMENT and advise them of the cancellation. The OPERATOR will then be placed back at the top of the List. 2. If service, other than towing and recovery, has begun and is canceled by the vehicle's owner or agent, the OPERATOR may charge a minimum of one- half of the regular hourly service charge, for the time expended on the call. For purposes. of cancellation, service begins when physical work on the vehicle has begun, not the response. No lien shall arise for the service unless the OPERATOR has presented a written statement to the vehicle's owner or agent for the signed authorization of services to be performed. a. The OPERATOR shall not attempt to take possession of the vehicle in order to establish a lien for any non -towing services performed, or begun and subsequently canceled, when not entitled to such lien by law. Refer to Civil Code Section 3088.1 for when a lien begins. D. If two or more OPERATORS are called to the same incident, distribution of the vehicles shall be at the discretion of the deputy in charge. The deputy in charge may direct an OPERATOR to move vehicles to help clear a roadway orfor lifesaving operations. OPERATORS shall provide the requested assistance. E. HIGHLAND POLICE DEPARTMENT Watch Commander may direct a City of Highland's rotation tow operator to move vehicles to help clear a roadway or for lifesaving operations. OPERATORS shall provide the assistance as directed. There shall be no charge for this assistance, and the assistance provided shall not change the OPERATOR'S place in the rotation. F. An OPERATOR may have a business office and/or storage facility located within Page 8 TOW RFP.2018-2019 the City. A secondary business and storage facility, whether within the City limits or not, does not qualify the OPERATOR for an additional position in the Tow Rotation List. G. OPERATORS applying for a Tow Rotation Listing shall have a minimum of three (3) years verifiable for -hire -towing experience, as an owner or principal, prior to the final filing date of an enrollment period in orderto qualifyfor a City of Highland Tow Rotation Program. Ownership status will be investigated and determined by the CITY. Section 4. Tow Truck Classifications. A. An OPERATOR shall equip and maintain towtrucks covered under this Agreement in accordance with the provisions set forth in the California Vehicle Code (CVC), Title 13 of the California Code of Regulations and the specifications contained in this Agreement, and consistent with industry standards and practices. 1. Notwithstanding Section 615 CVC, all tow trucks shall have recovery capabilities, wheel lift capabilities, and a boom meeting the specifications contained in this Agreement. For the purpose of the Agreement, "a trailer for hire that is being used to transport a vehicle" shall not qualify as a primary tow truck for Tow Rotation Lists. 2. An OPERATOR who has a car carrier may be exempted from the recovery, wheel lift, and boom capability requirements. However, the car carrier must be an additional unit. B. A violation of the Gross Vehicle Weight Rating (GVWR) and safe loading requirements of a tow truck shall be cause for immediate suspension (as defined in Attachment A). This includes exceeding the tow truck's -GVWR, front axle weight rating, rear axle weight rating, maximum tire weight ratings, or not maintaining 50 percent of the tow truck's unladen weight on the front axle when lifting 1 carrying a load. C. There will be four classes of tow trucks covered under this Agreement. 1. Class A -Light Duty a. An OPERATOR shall maintain a minimum of one tow truck with a manufacturer's Gross Vehicle Weight Rating (GVWR) of at least 10,000. Class A equipment specifications can be found in Attachment C of this Agreement. 1) The CITY may require more than one (1)truck in areas where Page 9 TOW RFP.2018-2019 rapid response for congestion relief is required. 2) A "trailer for hire" shall not be approved for listing as a Class A tow truck. 3) Tow companies whose equipment had previously been approved, but do not have wheel lift capabilities, may apply for and receive a Class A Tow Rotation Listing. However, equipment purchased on or after July 1, 2000, shall not be approved unless the equipment brings the OPERATOR into compliance with the minimum requirements. 2. Class B - Medium Duty a. An OPERATOR shall maintain at least one tow truck with a manufacturer's Gross Vehicle Weight Rating (GVWR) of at least 19,501 pounds. The truck shall be equipped with air brakes and must be capable of providing and maintaining continuous air to the towed vehicle. Class B equipment specifications can be found in Attachment C of this Agreement. 1) The CITY may require more than one (1) truck in areas where rapid response for congestion relief is required. 3. Class C - Heavy Duty a. An OPERATOR shall maintain at least one three -axle tow truck with a manufacturer's Gross Vehicle Weight Rating (GVWR) of at least 33,000 pounds. The truck shall be equipped with air brakes and must be capable of providing and maintaining continuous air to the towed vehicle. Class C equipment specifications can be found in Attachment C of this Agreement. b. The CITY may require more than one (1) truck in areas where rapid response for congestion relief is required. 4. Class D - Super Heavy Duty a. An OPERATOR shall maintain at least one three -axle tow truck with a manufacturer's Gross Vehicle Weight Rating (GVWR) of at least 50,000 pounds. The truck shall be equipped with air brakes and must be capable of providing and maintaining continuous air to the towed vehicle. Class Equipment specifications can be found in Attachment C of this Agreement. Page 10 TOW RFP.2018-2019 b. The CITY may require more than one (1) truck in areas where rapid response for congestion relief is required. 5. To properly and safely tow and service the wide variety of vehicles being operated on the highway, a towing procedure may require the use of auxiliary equipment specifically designed for the purpose. This auxiliary equipment should be used when appropriate. A listing of service and auxiliary equipment for each classification can be found in Attachment C of this Agreement. D. The OPERATOR shall only use those Tow Trucks approved bythe CITYto be part of the CITY Tow Rotation Program. Section 5. Tow Drivers. A. The OPERATOR shall ensure that towtruck drivers responding to calls initiated by the CITY are qualified and competent employees of his/her company. The OPERATOR shall ensure that the tow truck drivers are trained and proficient in the use of the tow truck and related equipment, including, but not limited to, the procedures necessary for the safe towing and recovery of the various types of vehicles serviced through the CITY'S rotation. Tow truck drivers shall be at least 18 years old and possess the following minimum Class Driver's License: 1. Class A Tow Truck - A valid Class C License, or a valid Class A License with valid Medical Certificate. 2. Class B Tow Truck - A valid Class C License for non-regulated vehicles, or a valid Class A License with valid Medical Certificate for regulated vehicles pursuant to Section 345000.CVC. 3. Class C Tow Truck - A valid Class A License with valid Medical Certificate. 4. Class D Tow Truck - A valid Class A License with valid Medical Certificate. B. The Class A Licenses must be -endorsed to allow operation of special vehicle configurations and/or special cargoes (Refer to Attachment B). C. The OPERATOR shall maintain a current list of drivers. 1. The OPERATOR shall provide a current list of his/her drivers to the CITY. The OPERATOR shall notify the CITY upon any change in driver status, including the addition of any new driver(s), or the deletion of any driver(s). An updated list shall be provided to the CITY within seven (7) calendar days Page 11 TOWRFP.2018-2019 of any change in driver status. 2. OPERATORS, shall at a minimum, maintain the following information for each employee (Form CHP 234F may be used to provide the information): a. Full Name. b. Date of Birth. C. California Driver License Number. d. Copy of valid Medical Certificate (if required). e. Job Title / Description. f. Current Home Address. g. Current Home Telephone Number. h. Type(s) of Truck(s) Driver has been trained and instructed to operate. D. All tow truck drivers and owner/OPERATORS shall be enrolled in the Pull Notice Program. 1. Upon the addition of new drivers, an OPERATOR will be granted a maximum of 30 days to enroll in the Pull Notice Program. 2. Pull Notices shall be kept on file, signed, and dated by the OPERATOR. 3. The CITY may require an OPERATOR to provide copies of Pull Notice Reports to the CITY from time -to -time. Section 6. Rates. A. Fees charged for response calls originating from the San Bernardino County Sheriff, on behalf of the HIGHLAND POLICE DEPARTMENT, shall be reasonable and not in excess of those rates charged for similar services provided in response to requests initiated by any other public agency or private person. The reasonableness of the fees charged will be determined in the following manner (Form CHP 234A may be used to list rates for services): i 1. The OPERATOR shall submit his/her proposed hourly rate to the CITY. The CITY shall determine the validity and reasonableness of the submitted Page 12 TOW RFP.2018-2019 r rate. a. Validity will be based upon telephone quotes, posted rates, charges to retail customers, etc. Any submitted rate in excess of an OPERATOR'S retail rate (as defined in Attachment A) will be considered invalid and will not be accepted. An OPERATOR who submits an invalid rate shall not be allowed to resubmit a new rate and will be disqualified from CITY'S Tow Rotation Program until the next enrollment period. b. Reasonableness shall be determined as compared to other rates. An OPERATOR who submits a rate that is determined to be excessive shall be allowed to resubmit his/her rates only once. B. The rate for towing shall be from portal to portal (i.e., from the time a driver receives a request for service until the tow truck is available for a new service call) and may be at a one hour minimum. Charges in excess of one hour may be charged in fifteen (15) minute increments. There shall be no additional charges for mileage, labor, etc. and/or for an OPERATOR'S time to release a vehicle when the storage facility is not at the same location and the request for the vehicle's release is made within typical business hours and days. In addition, if the HIGHLAND POLICE DEPARTMENT requests a tow from a storage facility to the Special Investigation Division (SID) of the Sheriff's Department, at no additional charges to the CITY or owner of the vehicle. Secondary towing requested by the customer may be negotiated by the OPERATOR in accordance with his/her private business practices. The OPERATOR may charge up to a one-hour minimum per call on public safety response calls (as defined in Attachment A). 2. The OPERATOR shall base towing charges upon the class of vehicle being towed regardless of the class of truck used, except when vehicle recovery operations require a larger class truck. C. Rates for service calls (out of gas, lockouts, etc.) shall be from portal to the end of the service, and may be at the hourly rate with a thirty -minute minimum. Charges in excess of thirty -minutes may be charged in fifteen -minute increments. D. Fees for Special Operations. For special operations involving Class B, C, and D Tow Trucks, the OPERATOR shall submit his/her proposed fees for vehicle recovery operations and load salvage operations (as defined in Attachment A) to the CITY. Fees shall be reasonable and consistent with industry standards for Page 13 TOW RFP.2018-2019 similar operations. Charges in excess of thirty -minutes may be charged in fifteen (15) -minute increments. a. Hourly rates shall be established for the following: 1) Auxiliary Equipment, e.g., airbags, converter gear / dolly, additional trailers, etc. 2) Contracted Equipment, e.g., airbags, converter gear / dolly, additional trailers, forklifts, scoop loaders, etc. 3) Contract labor. b. The CITY shall determine -the reasonableness of the fees for these types of operations, based upon the average of the proposed fees submitted and a comparison to industry standards for similar operations. 2. OPERATOR shall submit a mark-up rate (percentage of the cost to the OPERATOR) for retail equipment and specialized labor not otherwise listed on the Application. 3. If OPERATOR performs a service for which a required rate was not submitted to, and approved by the CITY, the OPERATOR shall only be entitled to charge for the actual cost of that service. Example: contract labor rate not submitted, the OPERATOR may only charge for the actual rate paid for the labor. E. The total fees charged for after hours release shall be no more than one-half the hourly rate, and shall only be allowed if there is no person on duty at the storage facility for release and a call back is required outside normal business hours. F. Storage Fees. 1. The OPERATOR shall submit his/her proposed storage fees, for inside and outside storage, to the CITY. The CITY shall determine the reasonableness of the fees for inside and outside storage, based upon the average of the proposed fees submitted by those applying for rotation. 2. The OPERATOR shall display in plain view at all cashier's stations, a sign as described in Section 3070 of the Civil Code, disclosing all storage fees and charges in force, including the maximums storage rate. 3. Vehicles stored 24 hours or less shall be charged no more than one day Page 14 TOW RFP.2018-2019 storage. Each day thereafter shall be calculated by calendar day. G. This element of the Agreement shall not apply if the OPERATOR responds to a CITY call in a location where towing rates for all tow companies are established by a City or County Ordinance. H. The schedule of rates charged by the OPERATOR shall be made available upon demand to person(s) for whom the tow services were provided or his/her agent, or any CITY'S representative. I. Rate requirements represent the maximums an OPERATOR may charge on a CITY call. An OPERATOR is not precluded from charging less when deemed appropriate by the OPERATOR. These requirements shall not be construed as requiring a charge when an OPERATOR would not normally charge for such service. 1. No OPERATOR 'or employee shall refer to any rate as the minimum required or set by the CITY. Any proposed changes to the Rate Schedule submitted as part of this Agreement shall be submitted at least 30 days before the rate change takes effect. The changes to the Rate Schedule shall be reviewed in accordance with this Agreement in determining the reasonableness of the proposed changes. Section 7. Response to Calls. A. The OPERATOR shall respond to CITY calls 24 hours a day, seven days a week, within the maximum RESPONSE TIME as established by the CITY and as specified in Section 1 of this Agreement. The OPERATOR will advise HIGHLAND POLICE DEPARTMENT dispatch, on the behalf of the CITY, at the time of the notification, if they are either unable to respond or unable to meet the maximum RESPONSE TIME. If, after accepting the call, the OPERATOR is unable to respond or will be delayed in responding, the OPERATOR shall immediately notify the HIGHLAND POLICE DEPARTMENT Communication Center, The OPERATOR shall not assign initial calls to other OPERATORS. Failure(s) to respond and/or failure(s) to meet the maximum RESPONSE TIME requirements shall constitute failure to comply with the terms and conditions of this Agreement. a. The CITY may take immediate disciplinary action for any flagrant violation of the requirement to respond with the maximum response Page 15 TOW RFP.2018-2019 time. b. When an OPERATOR will be temporarily unavailable to provide services due to a preplanned / scheduled activity, e.g. vacation, maintenance, medical leave, etc., he/she shall notify the CITY at least 24 hours prior to the date that services will be unavailable, noting the times and dates of the unavailability. B. The OPERATOR, or his/her employee(s) responding to a CITY call, shall perform the towing or service required for which he/she was called. This requirement may be waived by the CITY'S Watch Commander, if the requested equipment is inadequate for the service to be performed. Any refusal to respond or to perform the required towing or service will subject the OPERATOR to suspension, if deemed appropriate by the CITY. C. An OPERATOR shall not respond to a CITY call assigned to another OPERATOR, unless requested to do so by the CITY. There may be times when the OPERATOR assigned the initial CITY call may require the assistance of an additional OPERATOR at the scene. The OPERATOR assigned the initial call may, subject to prior agreement with the CITY, and with the concurrence of the CITY'S Watch Commander, request a specific OPERATOR to assist him/her. The request shall be routed to the additional OPERATOR through the CITY. 2. There may be times when an OPERATOR, who was not called to a scene, comes upon a collision scene where a vehicle or vehicles are blocking a roadway and a HIGHLAND POLICE DEPARTMENT officer requests his/her assistance in clearing the roadway. In such a case, the OPERATOR may be requested to move the vehicle to a safe location, as directed by the HIGHLAND POLICE DEPARTMENT officer and leave it. There shall be no charge for this assistance, and the assistance provided shall not change the OPERATOR'S place in the rotation. D. Only the tow truck personnel and equipment requested shall respond to a CITY call. Additional tow truck personnel and equipment shall be at the approval of the CITY'S Watch Commander. This shall not preclude the OPERATOR from responding to an incident to ascertain if additional assistance or equipment is required. There shall be no additional charge for any personnel or equipment that is not necessary to perform the required service. Section 8. Storage Facility. Page 16 TOW RFP.2018-2019 A. The OPERATOR shall provide adequate security of vehicles and property at the place of storage. As a minimum, a fenced or enclosed area shall be provided. The OPERATOR is responsible for the reasonable care, custody, and control of any property contained in towed or stored vehicles. B. If an OPERATOR has a Storage Facility within the CITY, said Facility shall be in compliance with all Zoning and'Development Regulations in effect at the time this Agreement is executed. In addition to current Zoning and Development Regulations for such a use, OPERATOR shall comply with the following additional improvements: Vehicle storage area shall be improved with an impervious material such as Portland Concrete Cement (PCC) or Asphaltic Concrete (AC) or other surface as approved by the CITY'S Planning Division. Bare soil is not permitted. 2. All non -conforming signs shall be removed. 3. The storage lot shall be fenced and screened from view. The screening material can be either landscaping (i.e. vines, bushes) or fencing material (i.e. slats), or combination thereof. 4. Security lighting shall be provided in the storage lot area. C. If the Storage Facility does not comply with the CITY'S Zoning and Development Regulations and -the conditions set forth in this Section 8 at the time the Tow Rotation Program Contract begins, the OPERATOR shall not be eligible for the Tow Rotation Program. Once the improvements are made pursuant to the CITY'S Zoning and Development Regulations and Section 8 of this Agreement to the satisfaction of the CITY, the OPERATOR will be included in the Tow Rotation Program. If the Storage Facility is not improved within six (6) months from the date of the beginning of the contract period, the OPERATOR will have forfeited its eligibility to be on the Tow Rotation Program list of eligible operators. D. The OPERATOR shall notify the HIGHLAND POLICE DEPARTMENT in writing, priorto the removal of propertyfrom a stored vehicle and will provide a receipt, with a copy placed in the stored vehicle. The requirement to notify the HIGHLAND POLICE DEPARTMENT prior to the removal of property may be waived by the CITY if determined that proper safeguards and procedures are utilized by the OPERATOR. 1. This requirement may not be waived in cases where a vehicle has been impounded for evidence or investigation. Page 17 TOW RFP.2018-2019 2. The OPERATOR shall release personal property from the vehicle at the request of the vehicle owner or his/her agent. If such a release is made, the OPERATOR shall notify the HIGHLAND POLICE DEPARTMENT in writing. a. Personal property is considered to be items which are not affixed to the vehicle. 1) Personal property includes: papers, transportable cellular telephones, pull-out radios, portable radios and/or portable stereo equipment, clothes, luggage, tools, etc. 2) Personal property from a stored vehicle shall be released upon request of the vehicle owner or agent. 3. Cargo shall be released upon demand of the carrier or pursuant to a court order. E. The primary storage facility shall normally be at the same location as the business address and shall not be located greater than one and one-half (1.5) miles from CITY limits. If the OPERATOR utilizes a second storage facility, there shall be no charge for any additional distance traveled to and from a secondary location. The vehicle and personal property shall be released at the primary storage facility upon request of the owner or a person having a legal entitlement to the vehicle. There shall be no additional charge of transporting an impounded and/or stored vehicle from the OPERATOR'S secondary storage facility to the primary storage facility if requested to do so by the CITY or the owner of the vehicle or his/her authorized representative. Prior to the utilization of new storage facilities not listed on the Application for Rotation Tow Listing, the OPERATOR shall obtain the CITY'S approval and furnish the address. 1. Secondary storage facilities shall be located reasonably close to the main business office and approved by the CITY. Any changes to the location of the secondary storage facility without written approval by the CITY shall be prohibited and subject to Disciplinary Action as set forth in Section 17, F. OPERATOR shall maintain sufficient storage spaces. G. An OPERATOR'S place of business and storage facility if separate from the place of business shall have a sign that clearly identifies it to the public as a towing service. The sign shall also include information to which a customer can file a complaint with the CITY regarding the Tow Rotation Program. The sign shall have letters that are clearly visible to the public from the street. The sign shall be visible at night. Page 18 TOW RFP.2018-20 1 9 H. For the purpose of this Agreement, "normal business hours" shall not be less than 8a.m. to 5p.m., Mondaythrough Friday, and shall be manned during said business hours, except for the following holidays: New Year's Day, President's Day, Memorial Day, Independence Day, Labor Day, Veteran's Day, Thanksgiving Day, day after Thanksgiving Day, and Christmas Day. 2. Business hours shall be posted in plain view to the public at both the place of business and/or storage facility. I. Employees shall be properly trained to conduct business transactions related to towing, storage and release of vehicles / property. J. The release of vehicles shall be conducted in accordance with local HIGHLAND POLICE DEPARTMENT procedures. Section 9. Insurance. The OPERATOR shall maintain the following minimum levels of insurance from an insurance carrier admitted in California or admitted in the State in which the OPERATOR'S business is located and is authorized to do business in California: A. Minimum Scope of Insurance: Insurance Services Office Commercial General Liability coverage (Occurrence For CG 0001). 2. Insurance Services Office Form Number CA 0001 (Ed. 1/87) covering Automobile Liability, Code 1 (any auto). 3. Workers' Compensation Insurance as required by the State of California and Employers' Liability Insurance. B. Minimum Limits of Insurance: 1. Commercial Business Automobile Liability: $750,000 per accident for bodily injury and property damage with a combined single limit for Class A Tow Trucks. The combined single limits for Class B, C, and D shall be not less than $1,000,000. These minimum standards are to include non -owned and hired auto coverage. 2. Employers Liability: $1,000,000 per accident for bodily injury or disease. Page 19 TO W RFP.201 &2019 3. On -Hook Coverage: Insuring the vehicle in tow with limits based on the size of the tow truck. a. Class A Tow Truck $ 75,000 b. Class B Tow Truck $100,000 C. Class C Tow Truck $200,000 d. Class D Tow Truck $250,000 4. Garage Liability: Includes premises and operations. Coverage for bodily injury and property damage with a combined single limit of not less than $500,000. 5. Garage Keepers Liability: Shall be the same minimum as on -hook coverage for vehicles in the care, custody, and control of the OPERATOR in the storage yard. 6. Uninsured Motorist: Legal minimum, combined single limit. 7. In no case shall the required insurance coverage have a deductible greater than $1,000. C. Deductibles and Self-insured Retention: Any deductible or self-insured retention must be declared to and approved by the CITY. At the option of the CITY, either: the insurer shall reduce or eliminate such deductibles or self-insured retention as respects the CITY, its officers, officials, employees and volunteers: or the OPERATOR shall provide a financial guarantee satisfactory to the CITY guaranteeing payment of losses and related investigations, claim administration and defense expenses. D. Other Insurance Provisions: The general liability and automobile policies are to contain, or be endorsed to contain, the following provisions: The CITY, its officers, officials, employees, and volunteers are to be covered as insured with respect to liability arising out of automobile owned, leased, hired or borrowed by or on behalf of the OPERATOR; and with respect to liability arising out of work or operations performed by or on behalf of the OPERATOR including materials, parts or equipment furnished in connection with such work or operation. General liability coverage can be Page 20 TOWRFP.2018-2019 provided in the form of an endorsement the OPERATOR'S insurance, or as a separated owner's policy. 2. For any claims related to this project, the OPERATOR'S insurance coverage shall be primary insurance as respects the CITY, its officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by the CITY, its officers, officials, employees, and volunteers shall be excess of the OPERATOR'S insurance and shall not contribute with it. 3. Each insurance policy required by this clause shall be endorsed to state that coverage shall not be canceled by either party, except after thirty (30) days' prior written notice by certified mail, returned receipt requested, has been given to the CITY. 4. Any failure to comply with reporting provisions of the policies shall not affect coverage provided to the CITY, its officers, official, employees or volunteers. E. Acceptability of Insurers: Insurance is to be placed with insurers with a current A.M. Best's rating of no less than A:VII. F. Verification of Coverage: OPERATOR shall furnish the CITY with original certificates and amendatory endorsements effecting coverage required by this clause. The endorsements should be on forms provided by the CITY or on other than the CITY'S forms or a separate policy, provided those forms or policies are approved by the CITY and amended to conform to the CITY'S requirements. All certificates and endorsements are to be received and approved by the CITY before service commences. The CITY reserves the right to require complete, certified copies of all required insurance policies, including endorsements affecting the coverage required by these specifications at any time. Section 10. Inspections. A. The HIGHLAND POLICE DEPARTMENT may conduct annual inspections of all tow trucks, at no charge to the OPERATOR and without notice during normal business hours. The OPERATOR shall not dispatch a tow truck to a HIGHLAND POLICE DEPARTMENT call or CITY Code Compliance that has been found in violation of Page 21 TOW RFP.2018-2019 the terms and conditions of this Agreement. The HIGHLAND POLICE DEPARTMENT shall inspect a tow truck within thirty (30) calendar days of a request from an OPERATOR. 1. Any OPERATOR who fails an inspection is entitled to only one re- inspection. Failure to pass the re -inspection shall be cause for the disqualification of the tow truck from use on CITY'S rotation. The tow truck shall be disqualified until the next enrollment period. Section 11. Business Records. A. The OPERATOR shall maintain records, at his/her place of business, of tow services furnished. 1. Invoices shall at a minimum include a description of vehicle(s), nature of service, start time, end time, location of call, and itemized costs of towing and storage. 2. Records for each call shall indicate the tow truck driver's name and truck used. B. The OPERATOR shall also maintain business records relating to personnel, insurance, personnel taxes, payroll, applicable operating authorities, local operating authorities, lien sale actions, FCC licensing, and non -HIGHLAND POLICE DEPARTMENT tows. C. The HIGHLAND POLICE DEPARTMENT may inspect all OPERATOR'S records without notice during normal business hours. D. OPERATOR shall permit the HIGHLAND POLICE DEPARTMENT to make copies of business records at their place of business, or to remove business records for the purpose of reproduction. 1. The HIGHLAND POLICE DEPARTMENT shall provide a receipt for any original records removed from the place of business. E. Records shall be maintained and available for inspection for a period of two years plus the current term of this Agreement. F. Failure of the OPERATOR to comply with the inspection requirements shall be cause for suspension, if deemed appropriate by the HIGHLAND POLICE DEPARTMENT. Section 12. Financial Interest. Page 22 TOW RFP.2018-2019 A. No OPERATOR or Applicant shall be directly involved in the towing related business of any -other OPERATOR or Applicant within the same Tow District. "Directly involved" shall mean anything in common between OPERATORS or Applicants with regards to any of the following: Business Licenses; 2. Insurance; 3. Tow Truck or Equipment Ownership, and; 4. Employees. B. Storage facilities owned by an OPERATOR, and shared with another OPERATOR, shall only be approved if the owner/ OPERATOR charges forthe space exclusively on a flat monthly rate rather than a vehicle -by -vehicle basis, or combination thereof. Facilities shared by OPERATORS shall be physically separated and secured from each other. The CITY may delete this requirement if deemed appropriate. C. The sale or transfer of the controlling interest in a company shall immediately terminate an Agreement. The new owner(s) may apply for a Tow Rotation Listing at any time during the remainder of the current Agreement term, regardless of the CITY'S enrollment period. D. A terminated or suspended OPERATOR and the tow business he/she owned at the time of his/her suspension or termination (as defined in Attachment A) shall not be eligible for a Tow Rotation Listing for the duration of the suspension or termination. 1. This provision applies to the OPERATOR working in any capacity within any tow business, or operating any tow business, and to the tow business, even if operated under new ownership. E. Any violation of this element is cause for suspension, if deemed appropriate by the HIGHLAND POLICE DEPARTMENT. Section 13. Annual Meetina. A. The HIGHLAND POLICE DEPARTMENT may conduct an annual meeting to discuss issues concerning the tow rotation if it is determined that problems have Page 23 TOW RFP.2018-2019 surfaced and/or operational issues may necessitate a change in the administrative procedures. The meeting shall be mandatory for the OPERATOR or his/her designee wishing to remain on rotation. The CITY shall give the OPERATOR thirty days written notice (as defined in Attachment A) of such a meeting. Section 14. Demeanor and Conduct. A. While involved in CITY rotation tow operations or related business, the OPERATOR and/or his/her employee(s) shall conduct oneself in a manner which places the highest priority on providing exceptional customer service for the City of Highland and shall refrain from any act(s) of misconduct, to include, but not be limited to, any of the following: 1. Rude or discourteous behavior. 2. Lack of service, selective service, or refusal to provide service which the OPERATOR is and/or should be capable of performing. 3. Any act of sexual harassment or sexual impropriety. 4. Unsafe driving practices. 5. Exhibiting any objective symptoms of alcohol and/or drug use. 6. Appearing at the scene of a CITY rotation tow call with the odor of an alcoholic beverage emitting from -his/her breath. a. The OPERATOR / tow truck driver shall submit to a preliminary alcohol screening test upon demand of the HIGHLAND POLICE DEPARTMENT. B. All CITY related tow service complaints received by the CITY against the OPERATOR or his/her employee(s) will be accepted and investigated in a fair and impartial manner. As a result of the investigation, the CITY may initiate disciplinary action as deemed appropriate. In any event, the OPERATOR will be notified of the results of any investigation. C. Should the filing of criminal charges be a possibility the CITY will conduct the investigation to conclusion or assist the lead investigating agency, and, if warranted, request prosecution. D. Any violation of this element is cause for suspension, if deemed appropriate by the CITY. Page 24 TOWRFP.2018-2019 Section 15. Compliance with Law. A. The OPERATOR and his/her employee(s), shall at all times, comply with Federal, State, and Local Laws and Ordinances applicable to the OPERATOR (Refer to Attachment B, or applicable Vehicle Code and Civil Code Sections). 1. In the event of a minor traffic violation(s) by the tow truck drivers) which is/are known by the CITY, the OPERATOR shall be advised of the violation(s) by the CITY. The OPERATOR will be granted the opportunity to take necessary steps to ensure that his/her driver(s) drive(s) in compliance with law. Any subsequent traffic violation(s) may be cause for disciplinary action against the OPERATOR and/or the involved employee(s). 2. Any flagrant traffic violation(s) may be cause for immediate disciplinary action against the OPERATOR and/or the involved employee(s). B. The provisions contained in this Section, Compliance with Law, do not preclude the CITY from taking appropriate enforcement or administrative action for any violations of law. C. Any conviction of the OPERATOR involving a stolen or embezzled vehicle, fraud related to the towing business, stolen or embezzled property, a crime of violence, a drug related offense, felony driving while under the influence of alcohol and/or a drug, misdemeanor driving while under the influence of alcohol and/or a drug while involved in a CITY rotation tow call, or moral turpitude shall be cause for denial of Application or termination of the Agreement. D. Any conviction of an employee involving a stolen or embezzled vehicle, fraud related to the towing business, stolen or embezzled property, a crime of violence, a drug related offense, felony driving while under the influence of alcohol and/or a drug, misdemeanor driving while underthe influence of alcohol and/ora drug while involved in a CITY rotation tow call, or moral turpitude shall be cause for the removal of the employee from the List of current CITY rotation tow truck drivers. E. An OPERATOR, or employee, arrested/charged for a violation involving any of the above crimes may be suspended until the case is adjudicated. F. The OPERATOR shall strictly comply with all Federal, State and Local laws and Regulations, including, but not limited to the Immigration Reform and Control Act of 1986, codified at 8 U.S.C. §§ 1324a and 1324b (the "IRCA"), which require and ensure the hiring and retention of employees who are United States citizens, permanent residents and/or who are otherwise authorized by law to work in the United States of America, and, as required by the IRCA, shall affirmatively verify the identity and employment authorization of every employee as a condition of Page 25 TOW RFP.2018-2019 employment or continued employment. The OPERATOR shall further include this requirement in any subcontract made pursuant to this Agreement. Section 16. Compliance with Aareement. A. The OPERATOR agrees, as a condition of inclusion on the Tow Rotation List, to comply with the terms and conditions of this Agreement. Furthermore, the OPERATOR agrees that failure by the OPERATOR or his/her agents to comply with these terms and conditions shall be cause for WRITTEN REPRIMAND (as defined in Attachment A), suspension or termination by the CITY. Alleged violations of the Agreement will be investigated by the TRAFFIC SERGEANT. The OPERATOR will be notified of the TRAFFIC SERGEANT findings within thirty (30) days of the initiation of the investigation. Section 17.. Disciolina Action. A. The CITY shall take disciplinary action against OPERATOR for violations investigated and confirmed or sustained. 1. The CITY shall retain discretion regarding the length of any suspension imposed pursuant to the terms and conditions of this Agreement. B. Records of violations shall be retained by the CITY for at least thirty-six (36) months. C. A violation of the equipment requirements related to safety shall be cause for immediate suspension. The period of the suspension shall be determined by the CITY. The suspension will remain in effect until the period of suspension is completed and the HIGHLAND POLICE DEPARTMENT has conducted an inspection and found that the OPERATOR is in compliance. D. A violation of the GVWR and safe loading requirements of a tow truck shall be cause for immediate suspension. This includes exceeding the tow truck's GVWR, front axle weight rating, rear axle weight rating, maximum tire weight ratings, or not maintaining fifty percent (50%) of the tow truck's unladen weight on the front axle when lifting/carrying a load. E. A violation of overcharging shall be cause for suspension. The period of the suspension shall be determined by the CITY. The suspension will remain in effect until the period of suspension is completed and the OPERATOR has presented proof to the CITY that reimbursement has been made to the aggrieved customer(s). F. A violation of the Biennial Inspection of Terminals (BIT) Program requirements Page 26 TOW RFP.2018-2019 shall be cause for suspension. The period of the suspension shall be determined by the CITY. The suspension will remain in effect until the period of suspension is completed and the OPERATOR has presented proof of compliance with the BIT requirements. Any unsatisfactory rating shall be cause for suspension. G. Failure of the OPERATOR to satisfy a court mandating reimbursement to the vehicle or property owner for the damage or loss which occurred while the vehicle was in his/her custody will result in a suspension. The period of the suspension shall be determined by the CITY. The suspension will remain in effect until the period of suspension is completed and the OPERATOR has presented proof of the reimbursement. H. Failure of the OPERATOR to comply with the inspection requirements of this Agreement will result in a suspension. The period of the suspension shall be determined by the CITY. The suspension will remain in effect until the period of suspension is completed and the OPERATOR has complied with the inspection requirement. Failure of the OPERATOR to maintain the minimum insurance requirements set forth in the Agreement will immediately nullify the Agreement and is deemed to be a major violation of the Agreement. 1. The OPERATOR will be subject to an additional suspension for failure to notify the CITY in advance of the insurance policy expiration or cancellation. J. Failure of the OPERATOR or employee to comply with Section 14, Demeanor and Conduct, and/or Section 15, Compliance with Law, of this Agreement, may be cause for suspension if deemed appropriate by the CITY. 1. Minor traffic violations may be considered as minor violations of the Agreement. , 2. A towtruck driver, not underthe immediate observation of the OPERATOR, while on -duty and driving a tow truck, who is arrested and subsequently convicted for misdemeanor driving under the influence of alcohol and/or drugs, will be subject to suspension from participating as a tow truck driver underthe provisions of this Agreement. The length of suspension will be at the CITY'S discretion. K. if the OPERATOR is serving a suspension for one year or more, he/she shall be required to comply with all terms and conditions of the current Agreement at the time of the reinstatement. There will be no approval of equipment that is not in Page 27 TOW RFP.2018-2019 compliance with the equipment specifications contained in the Agreement at the time of the reinstatement. Elements of this Agreement which are commonly referred to as "grandfather clauses" shall no longer apply to the OPERATOR who is suspended for one year or more. L. Major Violations. Violations of the terms and conditions of the Agreement that are subject to suspension for the first violation are categorized as major violations. Any subsequent or continuing major violations may be cause for termination. Termination shall be invoked if, in the CITY'S judgment, continued participation in the Rotation Tow Program by the affected tow OPERATOR may result in a hazard to public safety and/or welfare, or the OPERATOR has been convicted of a crime listed in Section 15 of this Agreement. 2. In lieu of termination, the CITY may impose additional suspensions for longer periods, if deemed appropriate. M. Minor Violations. Except as specifically stated in the Agreement, minor violations of the terms and conditions of the Agreement may be cause for disciplinary action in the following manner: 1 st Violation in 12 months - letter of written reprimand. 2. 2nd Violation in 12 months - 30 day suspension. 3. 3rd Violation in 12 months - 60 to 90 day suspension. 4. 4th Violation in 12 months - termination of the Agreement. a. In lieu of a termination, the CITY may impose additional suspensions for longer periods, if deemed appropriate. N. Nothing herein shall be deemed to prohibit the CITY from immediately suspending any OPERATOR whose conduct, orthat of his/heremployee(s), in the discretion of the CITY, is deemed to be a danger to the motoring public or who has engaged in conduct constituting a flagrant violation of the CITY Tow Service Agreement. Section 18. Hearing /Appeal. A. In the event the CITY serves the OPERATOR with a WRITTEN REPRIMAND or SUSPENSION, the OPERATOR may request a HEARING within seven (7) calendar days by submitting a request in writing to the CITY. If a HEARING is requested, it shall be held within thirty (30) days of acceptance of the request. The HEARING shall be conducted by the Public Nuisance Hearing Board and the Page 28 TOW RFP.2018-2019 OPERATOR shall be entitled to present all relevant facts and circumstances in support of his position. The OPERATOR shall be further entitled to present testimony of at least one representative of a tow truck association or other qualified person. The OPERATOR shall be notified in writing of the decision of the CITY within seven (7) calendar days of the date of the HEARING. B. Following a hearing, if the OPERATOR is dissatisfied with the Hearing Board's decision, the OPERATOR may request an appeal (as defined in Attachment A) by submitting a request in writing to the City Clerk of the CITY within seven (7) calendar days. If an appeal is requested, it shall beheld within thirty days of accepting the request. The appeal shall be conducted by the CITY'S City Council. The OPERATOR shall have the same rights as those provided at the Board Hearing. The OPERATOR shall be notified, in writing, of the decision of the City Council within ten (10) business days of the date of the appeal. The City Council's decision shall be subject to no further administrative appeal. C. A suspension shall not take effect until the hearing and appeal process has been exhausted, with the exception of OPERATORS whose conduct is deemed to be a danger to the motoring public or whose conduct grossly violates the terms and conditions of the CITY'S Tow Service Agreement. If an OPERATOR fails to request a hearing or appeal within the specified time or fails to appear at a scheduled hearing or appeal, the action taken by the CITY shall be final and the suspension shall take effect upon written notification to the OPERATOR by the CITY. Section 19. Midterm Review of the Terms and Conditions of the Aareement. A. The purpose of this Section is to provide a process for a midterm review of the terms and conditions of the Agreement in the event that there is a legitimate and substantial change in conditions or law affect the OPERATORS. Examples of conditions may include, but not be limited to: 1. Substantial increase or decrease in business expenses. 2. Advances in technology in the industry related to safety issues. 3. Changes in law requiring the CITY or the OPERATORS to perform specific functions or operations in order to comply. 4. Proposed changes to the terms and conditions agreed upon by the CITY and. the OPERATORS at the time that the Agreement was signed (e.g. response times). Section 20. Advertisina. Page 29 TOW RFP.2018-2019 A. The OPERATOR shall not display any sign or engage in any advertisement indicating an official or unofficial connection with the CITY or the Department of Motor Vehicles. 1. Examples include Official CITY ToW', "Approved by the CITY", "CITY Rotation Tow", etc. 2. This will not preclude the CITY from implementing a system to mark and identify particular tow trucks as having passed the CITY'S inspection or as being assigned to specific tow districts within the CITY. B. Any violation of this element is cause for suspension. At a minimum, the suspension should be for the duration of the advertisement. Section 21. Cancellation. This Agreement may be canceled by either party without prejudice by giving thirty (30) days written notice to the other party. Section 22. Performance Period. A. This Agreement shall begin on the date first written above and terminate on December 31, 2019. At the end of the Agreement period, CITY may establish an open enrollment period. Section 23. Indemnification, Defense and Hold Harmless. A. The OPERATOR shall indemnify, defend and hold harmless the CITY, and HIGHLAND POLICE DEPARTMENT, and its officer, officials, employees, agents and volunteers from any against any and all liability, loss, damage, expense, costs (including without limitations, costs and fees of litigation), claims, of every nature arising out of or in connection with OPERATOR negligent performance of services hereunder or its failure to comply with any of its obligations contained in the Agreement or Attachments thereto, except such loss or damage which was caused by the sole negligence or willful misconduct of CITY or HIGHLAND POLICE DEPARTMENT. Section 24. Independent Contractor. A. The OPERATOR is, and shall be, acting at all times in the performance of this Agreement as independent contractor, and not as officers or employee or agents of the CITY, County or State. OPERATOR shall secure at their own expense, and be responsible for any and all payments of all taxes, social security, State disability Page 30 TOW RFP.2018-2019 insurance compensation, unemployment compensation and other payroll deductions for OPERATOR and its officers, agents and employees and all business licenses in connection with services to be performed hereunder. Section 25.. Termination of Agreement. A. All services required hereunder, by OPERATOR, its employees and agents shall be performed in accordance with the rules and regulations contained herein and all Federal, State and Local Laws, regulations and procedures, as well as with generally accepted standards for performing similar services. CITY has relied upon OPERATOR representation of skill and expertise as an inducement for entering into this Agreement. In the event of default in performance or failure to meet all rules and regulations or any provision of this Agreement, this Agreement may be immediately terminated by either party by written notice to the other and the OPERATOR may be removed from the rotational list. The CITY/HIGHLAND POLICE DEPARTMENT may also terminate this Agreement without cause, if it elects to temporarily or permanently abandon this service or Agreement. Upon notification by CITY all services will cease immediately except as specifically authorized in writing by the CITY. Any termination of this Agreement by CITY shall be made in writing through the City Manager. Notice of which shalt be delivered to OPERATOR as provided in Section 27 herein. Section 26. Assignment of Aureement. This Agreement shall not be delegated or assigned by OPERATOR to any other person or entity without the prior written consent of CITY. Section 27. Notices. All notices, requests, demands or other communications required to be given in writing under this Agreement shall be deemed to have been given, if delivered in person, orwhen received if mailed by Certified Mail with Return Receipt Requested, or otherwise actually delivered. Notice to CITY shall be sent to both: City of Highland City of Highland Police Dept 27215 Base Line AND 27215 East Base Line Highland, CA 92346 Highland, CA 92346 Attention: City Manager Attention: Chief of Police (909) 864-8732 (909) 425-9793 Page 31 TOW RFP.201 &2019 Notice to OPERATOR shall be sent to: Attention: , Owner Section 28. Entirety. The foregoing Agreement, including Attachments A, B, C, and D hereto, constitute the entire Agreement of the parties concerning the subject matter hereof and supersedes all prior and contemporaneous agreements between the parties. This Agreement may be amended only by an instrument in writing which expressly refers to this Agreement and specifically states that it is intended to amend it. Section 29. Severability. The City Council hereby declares the it would have approved this Agreement, and each Section, subsection, sentence, clause, phrase, or portions thereof, irrespective of the fact that any one or more sections, subsections, clauses, phrases or portions thereof be declared invalid or unconstitutional. If for any reason any portion of this Agreement shall be declared invalid or unconstitutional, then all other provisions hereof shall remain valid and enforceable. Section 30_ Execution_ This Agreement may be executed in several counterparts each of which shall constitute but one and the same Agreement. IN WITNESS WHEREOF, the parties have executed this Agreement the day and yearfirst written above. CITY OF HIGHLAND OPERATOR By: By: Penny Lilburn, Mayor Owner/ Representative Signature ATTEST: Elizabeth Hughes, City Clerk Print Name Page 32 TOW RFP.2018-2019 APPROVED AS TO FORM: Craig Steele, City Attorney Page 33 TO W RFP.2018-2019 ATTACHMENT A DEFINITIONS APPEAL The final level of review for written reprimands, suspensions, terminations, or review of a CITY'S decision regarding disciplinary action. AREA City of Highland Corporate Boundary. BASE SERVICES Any service or tow which is performed when the vehicle operator or agent is present and the vehicle is not stored at the direction of an officer. CHP The Department of the California Highway Patrol. ENROLLMENT PERIOD The period of time when a tow company may submit an application for inclusion on the CITY'S Rotation Tow List. The enrollment period will be open at least 30 days as determined by the CITY. LOAD SALVAGE OPERATIONS Any operation involving the recovery of a load which has been spilled, or the off-loading and reloading of a load from an overturned vehicle performed in order to upright the vehicle. This will be limited to operations involving Class B, C, and D tow trucks. NOTICE All notices relating to this Agreement shall be in writing and delivered to the other party in person, via FAX, or by US Mail. Towing2018-19RFPAGR.ATT 1 OPERATOR A tow service which has signed the Tow Service Agreement, and is approved to receive CITY referred calls. The term, `operator" refers to the company, its owner(s), and its manager(s) who have authority to enter into an Agreement with the CITY for towing services and to conduct business in accordance with the terms of this Agreement, and its employees. PARTY OF INTEREST Refers to the registered owner of the vehicle, or his/her agent. An agent is a party who may lawfully act on behalf of the registered or legal owner of the vehicle. PORTAL TO PORTAL Service shall start at the time of departure from the place of business or point of dispatch, whichever is closer to the location of the call, and shall end at the estimated time of return to the place of business or the completion of the call, if another call is pending, whichever is shorter. Return to place of business includes a reasonable and verifiable amount of time required to place the tow truck back into service when unusual circumstances require additional time that are not part of normal operating procedures. (Examples: 1) 4 X 4 recovery I the mud: reasonable to charge for cleaning mud from truck and equipment; 2) burned car on car carrier: reasonable to charge for cleaning bum debris from carrier bed; 3) car towed from side of road on misty night and leaves mud track on bed of carrier: not reasonable to charge for cleaning of•carrier bed.) POSSESSION Pursuant to Section 3068 of the Civil Code, possession is deemed to arise when the vehicle is removed and is in transit. PUBLIC SAFETY RESPONSE A response which results in a storage of a vehicle at the direction of an officer. This does not include storage at the request of the vehicle operator, registered owner, or agent. REPRESENTATIVE. A person or group of persons appointed by the operators within the CITY, designated to represent their interests to the specified commander. Towing2018-19RFPAGR.ATT 2 RESPONSE TIME The period of time from an operator's notification by the CITY Communications Center of a call to the arrival of the tow truck at the location requested. RETAIL RATE The usual customary retail rate charged by an operator to individual retail customers. This is the competitive rate a company has posted in the office and quotes over the phone. SUSPENSION Removal of an operator from the CITY'S Rotation Tow List for a specified period of time, Suspensions .may be for periods longer than the current term of the Agreement. TERMINATION Permanent removal of a tow operator from the SITY'S ROTATION TOW LIST for the remainder of the term of the Tow Service Agreement and disqualification from any further participation in the CITY'S Tow Rotation Program. TOW TRI 1r.K A tow truck as defined in Section 615 of the California Vehicle Code. Also includes slide back carriers and wheel life vehicles. TOW DISTRICT The geographical area in which an operator may receive CITY referred calls. TOW SERVICE AGREEMENT A document which sets forth the terms and conditions of an Agreement between the OPERATOR and the CITY. VEHICLE RECOVERY OPERATION An operation involving the process of updghting an overturned vehicle or returning a vehicle to a normal position on the roadway which requires the use of auxiliary equipment due to the size or location of the vehicle. This will normally be limited to operations requiring a Class B, C or D tow truck(s). Towing2018-19RFPAGR.ATT 3 WAIVER OF REQUIREMENTS Provides for temporary relief from selected terms and conditions of the Tow Service Agreement. WRITTEN REPRIMAND A written notice to an operator which specifies any violation(s) of the Tow Service Agreement, orders corrective action, and warns of further action(s) to be taken if corrective action is not taken. Towing2ol8-19RFPAGR.ATT 4 1 ATTACHMENT B APPLICABLE CALIFORNIA VEHICLE CODE AND CIVIL CODE PROVISIONS General. A. The OPERATOR shall be able to properly conduct a lien sale as outlined in Division 11, Chapter 10, Article 2, beginning with Section 22851 of the California Vehicle Code (CVC). B. The OPEATOR and/or his/her agents, who drive tow trucks, shall be properly licensed in accordance with Section 12804 of the California Vehicle Code. 1. Section 15201 (b) CVC defines a "commercial motor vehicle" as a motor vehicle or combination of motor vehicles used in commerce to transportpassengers or property if any of the following apply to the vehicle: a. Has a gross combination weight rating of 26,001 or more pounds inclusive of a towed unit with a Gross Vehicle Weight Rating (GVWR) or more than 1.0,000 pounds. b. Has GVWR-of 26,001 or more pounds. C. Is designed to transport 16 or more passengers, including the driver. d. Is used in the transportation of hazardous materials. 2. Commercial driver's licenses must be endorsed to allow operation of special vehicle configurations and/or special cargoes. The following Table shows the correct License Class and Endorsement for the vehicle or cargo being transported. Vehicle Type or Cargo Class Endorsement License Code Pulling more than one trailer A T Transporting passenger for hire A or B P Tank Vehicle A or B N Hazardous Materials A, B or C H Tank Vehicle with Hazardous A, B or C X Materials Towing2018-19UPAGR.ATT 5 a. Tow truck drivers shall have the proper Class of License and Endorsement(s) for the vehicle and cargo being transported, as shown above. 1) Whenever tank vehicles, double trailers, and/or hazardous materials carriers are towed or driven, the driver is required to possess the appropriate Class of License and Endorsement. 2) Empty buses can be towed without the passenger transport endorsement, but the tow truck driver must have the passenger transport endorsement if the bus is driven by him/her, even without passengers. b. Tow truck drivers may obtain a Class A Driver's License that is restricted to towing other vehicles. 1} The actual driving of damaged vehicles or vehicles being serviced requires that the Class A License not be restricted to towing vehicles. C. In order to obtain an unrestricted Class A License, the Applicant must pass the driving test in a conventional type Class A vehicle (tractor and semitrailer, truck and trailers, etc.) 3. Commercial vehicle operators or operators of vehicle requiring a special certificate, must posses both the appropriate License and Certificate and be in possession of a valid medical card. C. The OPERATOR shall comply with the provisions contained in Division 6, Chapter 2 (Reports of Stored Vehicles) of the Califomia Vehicle Code. D. The OPERATOR shall comply with the provisions of Section 10854 of the California Vehicle Code. E. The OPERATOR shall comply with the provisions of Section 12110 of the California Vehicle Code. F. The OPERATOR shall comply with the provisions of Sections 3068 through 3074 of the California Civil Code. G. Tow trucks shall comply with appropriate lighting and equipment requirements for motor vehicles as contained in the California Vehicle Code. Towing2018-19UPAGR.ATT 6 H. Tow trucks towing disabled legal vehicles or legal combination of vehicles shall comply with the vehicle size and weight limitations contained in Division 15 of the Califomia Vehicle Code. 1. Tow Operators may obtain transportation permits, which allow specific variances on these vehicle length and weight limitations, through the Califomia Department of Transportation or Local authorities with respect to highways under their respective jurisdictions. a. The Califomia Department of Transportation issues permits to requesting OPERATORS on an annual basis. The permit allows the movement of disabled legal vehicles under the following conditions: 1) Disabled legal vehicles or legal combination of vehicles may be towed on State highways to the nearest appropriate place of repair, or nearest secure storage area that is appropriate for the vehicle or load, whichever is closest and most accessible. It is not the intent of this permit to allow these combinations to be towed to their ultimate destination for convenience, unless that destination meets the foregoing criteria. 2) Disabled legal vehicles or combination of vehicles, when connected to a tow truck, may exceed legal gross weight limitations. When one end of a truck or truck tnactor of legal weight is elevated by a tow truck, the drive axles, the tow truck and/or the drive axle(s) of the disabled vehicle may exceed legal axle or axle group exceeds weight limitations. If any axle or axle group exceeds legal weight, movement will be limited to specific routes. b. Disabled vehicles or combination of vehicles whose movement is authorized by a transportation permit, or any disabled vehicle or any combination of vehicles which, because of damage, has incurred distortion in width or height, causing the vehicle to be in excess of legal dimensions, may be moved at the direction of a peace officer or single trip permit issued by the Califomia Department of Transportation. Towing2018-19RFPAGR.ATT 7 C. The driver of a tow truck, operating under a transportation permit, shall comply with all the terms and conditions of the permit. II. Specific California Vehicle Code Requirements Relating to Tow Trucks. A. Summarized California Vehicle Code Provisions. Unlawful Advertising (25). "it is unlawful for any person to display any sign, mark, or advertisement indicating an official connection with either the Department of Motor Vehicles or the Department of California Highway Patrol unless such person has lawful authority, permission, or right to make such display " 2. Tow Truck (615). �a. A 'Tow Truck' is a motor vehicle which has been altered or designed and equipped for, and exclusively used in the business of towing vehicles by means of a crane, hoist, tow bar, tow line, or dolly or is otherwise exclusively used to render assistance to other vehicles." "b. Persons licensed as a repossession agency pursuant to Chapter 11 (commencing with Section 7500) of Division 3 of the Business and Professions Code may utilize a tow truck when repossessing vehicles. NOTE: A vehicle which is not exclusively used in the business of towing vehicles nor used to render assistance to other vehicles is not a 'tow truck' as defined above and need not comply with the requirements of the California Vehicle Code Sections cited in this Attachment. Such a vehicle shall not be equipped with the flashing amber warning lights permitted on 'tow trucks' and is not entitled to special parking privileges under Section 22513. 'Tow truck' does not include an automobile dismantlers' tow vehicle." 3. Portable Dolly (6014). "Any portable or collapsible dolly carried in a tow truck or in a truck used by an automobile dismantlers and used upon a highway exclusively for towing disabled vehicles is exempt from registration." Towing2018-19RFPA6R.ATT 8 4. License Plates (5201). "a. The rear license plate on a tow truck may be mounted on the left-hand side of the mast assembly at the rear of the cab of the vehicle, not less than 12 inches nor more than 90 inches from the ground." 5. Tow Service Unlawful Acts (12110). "a. Except .as provided in Subdivision (b), no towing service shall provide and no person or public entity shall accept any direct or indirect commission, gift, or any compensation whatever from a towing service in consideration of arranging or requesting the services of a tow truck. As used in this Section, `arranging' does not include the activities of employees or principals of a provider of towing services in responding to a request for towing services." 6. Stopping or Parking (22513, 22520). "The owner or operator of a tow truck who complies with the requirements of this Code elated to tow trucks may stop or park such tow truck upon a highway for the purpose of. rendering assistance to a disabled vehicle, except that such person may not stop or park upon a freeway which has full control of access and no crossing at grade unless the tow truck has been summoned to render assistance to a disabled vehicle or the owner or operator of the tow truck is operating under an agreement with the Department of the California Highway Patrol for the purpose of rapid removal of impediments to traffic." 7. Stop Lamps, Tail Lamps, Reflectors (24600, 24603, 26607). In addition to required lighting equipment, tow trucks may be equipped with additional Stop Lamps, Tail Lamps, and Rear Reflectors which may be mounted not lower than 15 inches nor higher than the maximum allowable vehicle height and as far forward as the rearmost portion of the driver's seat in the rearmost position. Such additional Tail Lamps shall be lighted whenever the headlamps are lighted. Towing2018-19UPAGR.ATT 9 8. Two Trucks and Towed Vehicles (24605). "a. A tow truck or an automobile dismantlers' tow vehicle used to tow a vehicle shall be equipped with and carry a tail lamp, a stop lamp, and tum signal lamps, and a portable electric extension cord for use in displaying the lamps on the rear of the towed vehicle." "b. Whenever a tow truck or an automobile dismantlers' tow vehicle is towing a vehicle and a stop lamp and tum signal lamps cannot be lighted and displayed on the rear of the towed vehicle, the operator of the tow truck or the automobile dismantlers' tow vehicle shall by means of an extension cord display to the rear a stop lamp and tum signal lamps mounted on the towed vehicle, except as provided in Subdivision C. During darkness, if a tail lamp on the towed vehicle cannot be lighted, the tow truck or the automobile dismantlers' tow vehicle operator shall by means of an extension cord display to the rear tail lamp mounted on the towed vehicle. No other lighting equipment need be displayed on the towed vehicle." Kc. Whenever any motor vehicle is towing another motor vehicle, Stop lamps and turn signal lamps are not required on the towed motor vehicle, but only if a stop lamp and tum signal lamp on each side of the rear of the towing vehicle is plainly visible to the rear of the towed vehicle. This Subdivision shall not apply to driveaway-towaway operations." 9. Utility Flood Lights (25110). Tow trucks that are used to tow disabled vehicles may be equipped with utility flood or loading lamps mounted on the rear, and sides, which project a white light illuminating -an area to the side or rear of the vehicle for a distance not to exceed 75 feet at the level of the roadway. Two trucks may display such utility flood lights only during the period of preparation for towing at the location from which a disabled vehicle is to be towed. The flood lamps shall not be lighted during darkness, except which the vehicle is parked, nor project any glaring light into the eyes of an approaching driver. Towing2418-19RFPAGR.ATT 10 10. Warning Lamps on Tow Trucks (25253). Tow trucks used to tow disabled vehicles shall be equipped with flashing amber warning lamps. Tow trucks may display flashing amber warning lamps while providing service to a disabled vehicle. A flashing amber warning lamp upon a tow truck may be displayed to the rear when such tow truck is towing a vehicle and moving at a speed slower than the normal flow of traffic. 11. Use of Flashing Amber Warning Light (25268). "No person shall display a flashing amber warning light on a vehicle as permitted by this Code except when an unusual traffic hazard exists." 12. Warning Devices on Disabled or Parked Vehicles (25300). "a. Every vehicle which, if operated during darkness, would be subject to the provisions of Section 25100, and every truck tractor irrespective of width, shall be equipped with at least three red emergency reflectors. The reflectors need to be carried by only one vehicle in a combination and shall be maintained in good working condition." "b. When any such vehicle is disabled on the roadway during darkness, reflectors of the type specified in Subdivision a. shall be immediately placed as follows: 1) One at the traffic side of the disabled vehicle, not more than 10 feet to the front or rear thereof, 2) One at a distance of approximately 100 feet to the rear of the disabled vehicle in the center of the traffic _lane occupied by such vehicle, and; 3) One at a distance of approximately 100 feet to the front of the disabled vehicle in the center of the traffic lane occupied by such vehicle. 4) If disablement of any such vehicle occurs within 500 feet of a curve, crest of a hill, or other obstruction to review, the driver shall so place the reflectors in that direction as to afford ample warning to other users of the highway, but in no case less than 100 nor more than 500 feet from the disabled vehicle. Towing2018-19RFPAGR.ATT 1 5) If disablement of the vehicle occurs upon any roadway of a divided or one-way highway, the driver shall place one reflector at a distance of approximately 200 feet and one such reflector at a distance of approximately 100 feet to the rear of the vehicle in the center of the lane occupied by the stopped vehicle, and one such reflector at the traffic side. of the vehicle not more than 10 feet to the rear of the vehicle." "c. When any such vehicle is disabled or parked off the roadway but within10 feet thereof during darkness, warning reflectors of the type specified in Subsection a shall be immediately placed by the driver as follows: one at a distance of approximately 200 feet and one at a distance of approximately 100 feet to the rear of the vehicle, and one at the traffic side of the vehicle not more than 10 feet to the rear of the vehicle. The reflectors shall, if possible, be placed between the edge of the roadway and the vehicle, but in no event less than 2 feet to the left of the widest portion of the vehicle or load thereon." "d. Until the reflectors required by this Section can be placed properly, the requirements of this Section may be complied with temporarily by either placing lighted red fuses in the required locations or by use of tum signal lamps, but only if front tum signal lamps at each side are being flashed simultaneously." "e. The reflectors shall be displayed continuously during darkness while the vehicle remains disabled upon the roadway or parked or disabled within 10 feet thereof." "f. Subdivisions b, c, d, and a do not apply to a vehicle under either of the following circumstances: 1) Parked in a legal position within the corporate limits of any city. 2) Parked in a legal position upon a roadway bounded by adjacent curbs." Towing2018-19RFPAGR.ATT 12 "g. In addition to the reflectors specified in Subdivision a, an emergency warning sign or banner may be attached to a vehicle which is disabled upon the roadway or which is parked or disabled within 10 feet of a roadway." 13. Use of Fuses (25405). "a. No person shall place, deposit, or display upon or adjacent to any highway any lighted fuses, except as a warning to approaching vehicular traffic or railroad trains, or both, of an existing hazard upon or adjacent to the highway or highway - railroad crossing." b. "It is unlawful to use any fuses which produces other than a red light." 14. Brakes (26453, 26456, 26458). Disabled motor vehicles equipped with power brakes are exempt from the provisions of Vehicle Code Section 26458 which requires a single control on the towing vehicle to operate the brakes on the towing vehicle to operate the brakes on the towed vehicle. Such combinations must meet the stopping distance requirement of 50 feet from an initial speed of 20 miles per hour. The service brakes on the tow truck shall be adequate to control. the movement of and stop and hold the combination of vehicles under all conditions and on any grade on which they are operated. Brakes are required to be maintained in good working order at all times. 15. Broom, Shovel and Extinguisher (27700). "Tow trucks shall: a'. Be equipped with. one or more brooms, and the driver of the tow truck engaged to remove a disabled vehicle from the scene of an accident shall remove all glass and debris deposited upon the roadway by the disabled vehicle which is to be towed. b. Be equipped with at least one fire extinguisher of the dry chemical or carbon dioxide type with an aggregate rating of at least 4-B. C. units and bearing the approval of a laboratory nationally recognized as properly equipped to make such approval." ToWng2018-19RFPAGR.ATT 13 16. Signs, Tow Truck (27907). "There shall be displayed in a conspicuous place on both the right and left side of a tow truck, or an automobile dismantlers' tow vehicle used to tow or carry vehicles a sign showing the name of the company or the owner or operator of the tow truck or the automobile dismantlers' tow vehicle. The sign shall also contain the business address and telephone number of the owner or driver. The letters and numbers of the sign shall be not less than 2'/z inches in height and the lettering shall be in contrast to the color of the background upon which they are placed." NOTE: California Vehicle Code Section 25 prohibits the display of any sign, mark, or advertisement indicating an official connection between any tow service and the Califomia Highway Patrol. 17. Safety Chains (29004). "a. Every towed vehicle shall be coupled to the towing vehicle or tow truck by means of a safety chain, cable, or equivalent device in addition to the regular drawbar, tongue or other connection. b. All safety connections and attachments shall be of sufficient strength to control the towed vehicle in event of failure of the regular hitch, coupling device, drawbar, tongue or other connection. C. No more slack shall be left in a safety chain, cable or equivalent device than is necessary to permit property turning. When a drawbar, as defined in Section 300, is used as the towing connection, the safety chain, cable or equivalent device shall be connected to the towed and towing vehicle and to the drawbar so as to prevent the drawbar from dropping to the ground if the drawbar fails." Towing2018-19RFPAGR.ATT 14 ATTACHMENT C I. GENERAL EQUIPMENT SPECIFICTIONS AND USE REQUIREMENTS A. Tow Truck and Car Carrier Classifications 1. Tow truck and car carrier classifications are based on the truck chassis manufacturer's Gross Vehicle Weight Rating (GVWR), and the classification system used by the American Trucking Association and truck manufacturers. a. Class 3 - 10,000 —14,000 pounds GVWR b. Class 4 - 14,001 —16,000 pounds GVWR C. Class 5 - 16,001 — 19,500 pounds GVWR d. Class 6 - 19,501 — 26,000 pounds GVWR e. Class 7 - 26,001 — 33,000 pounds GVWR f.. Class 5 - 33,001 or more GVWR B. Equipment Limitations 1. All towing equipment, recovery equipment, and carrier ratings are based on structural factors only. Actual towing, carrying, and recovery capacity may be limited by the capacity of the chassis and the optional equipment selected. C. Towing Limitations 1. The criteria to determine the safe towing limits for a truck are: a. The total weight of the truck, including the lifted load, must fall within the Manufacturer's Gross Vehicle Weight Rating (GVWR) and not exceed_ either the Front or Rear Axle Weight Ratings (FAWR, RAWR). b. The truck must meet all applicable State and/or Federal Standards. C. For proper steering and braking, the front axle load must be at least 50% of its normal or unladen weight after the load is lifted. Towing2Q18-19RFPAGR.ATT 15 D. Identification Labels 1. Each piece of towing equipment shall have a label or identification tag permanently affixed to the equipment in a prominent location to identify the manufacturer, serial number, model, and rated capacity. E. Recovery Equipment Rating 1. The basic performance rating of the recovery equipment is the weight the equipment can lift in a winching mode, when the boom is static at a 30 degree elevation with the load lines vertical and the lifting cables sharing the load equally, measured with a live load (weight or load cell). a. The structural design of the recovery equipment must have a higher load capacity than the performance rating(s). b. Winches shall conform to or exceed the specifications set forth by the Society of Automotive Engineers (SAE) Handbook, SAE 1706. C. All ratings for cable and chain assemblies are for the undamaged assembly condition. All cable and chain assemblies should be the same type, construction, and rating as specified by the Original Equipment Manufacturer (OEM) for the equipment. F. Safety Chains 1. Safety chains shall be rated at no less than the rating specified by the OEM. G. Control / Safety Labels 1. All controls shall be clearly marked to indicate proper operation, as well as any special warnings or cautions. II. Tow Truck Classifications and Equipment Specifications A. Class A Tow Truck 1. Equipment Specifications a. 90,000 —19,500 pounds GVWR Chassis Towing2018-19RFPAGR,ATT 16 b. 4 ton recovery equipment rating C. Hydraulic or mechanical winch(es) d. 100 feet 318" X 19 cable or Original Equipment Manufacturer's (OEM) Specifications e. Tow chains, 5/16" alloy or OEM Specffications, JIT Hook assembly f. Safety chains, 5/16" alloy or OEM Specifications g. Tow sling rating 3,000 pounds h. Wheel lift safety straps i. Tow dolly j. One 3 -ton snatch block k. Wheel lift rating - retracted 3,000 pounds - 95" extension* 3,000 pounds 2. Class A Car Carrier — One Car K� a. Equipment Specifications 1) 10,000 —19,500 pounds GVWR Chassis 2) Hydraulic or mechanical winch 3) 50 feet 318" 6 X 9 cable or OEM Specifications 4) J/T Hook loading bridle / chains 5) Safety chains, 5/16" alloy or OEM Specifications; two pairs of safety chains for the vehicle being transported Class A Car Carrier — Two Cars a. Equipment Specifications 1) 16,001 —19,500 pounds GVWR Chassis 2) Hydraulic or mechanical winch Towing2018-19WPAGR.ATT 17 3) 50 feet 318" 6 X 19 cable or OEM Specifications 4) J/T Hook loading bridle / chains 5) Safety chains 5/16" alloy or OEM Specifications, two pairs of safety chains for the vehicle being transported and two safety chains for the vehicle being towed B. Class B Tow Truck 1. Equipment Specifications a. 19,501 — 33,000 pounds GVWR Chassis b. Air brakes or hydraulic w/air hookup package C. 14 ton recovery equipment rating d. Hydraulic or mechanical winch(es) e. 150 feet 7/16" 6 X 19 cable or OEM Specifications f. Tow chains, f" alloy or OEM Specifications g. Safety chains, Y2" alloy or OEM Specifications h. Tow sling rating 7,000 pounds i. Two 8 -ton snatch blocks j. Wheel lift safety straps k. Wheel lift or Under lift rating - retracted 10,000 pounds 2. Class B Car Carrier a. Equipment Specifications 1) 19,501 pounds or more GVWR Chassis 2) Hydraulic or mechanical winch 3) 50 feet 3/8" 6 X 19 cable or OEM Specifications 4) J/T Hook loading bridle / chains Towing2018-19RFPAGR.ATT ig El 5) Safety chains 5/16" alloy or OEM Specifications, two pairs of safety chains for the vehicle being transported and two safety chains for the vehicle being towed C. Class C Tow Truck 1. Equipment Specifications a. 33,000 — 50,000 pounds GVWR Chassis, 200" wheelbase b. 200" wheelbase with truck hitch C. 240" wheelbase with under -lift d. Air brakes w/air hookup package e. 25 ton recovery equipment rating f. Hydraulic or mechanical winch(es) g. 200 feet 5/8" 6 X 19 cable or OEM Specifications h. Tow chains, 5/8" alloy or OEM Specifications i. Safety chains, 5/8" alloy or OEM Specifications j. Tow sling rating 12,000 pounds k. Two 12 -ton snatch blocks 1. Under lift rating - retracted 25,000 pounds - 100" extension'" 12,000 pounds D. Class D Tow Truck 1. Equipment Specifications a.. 50,00.0 pounds GVWR Chassis, 300" wheelbase b. 240" wheelbase with truck hitch C. A minimum of 270" wheelbase with under -lift d. Air brakes w/air hookup package e. 30 ton recovery equipment rating Towing2018-19WPAGR.ATT 19 I f. Hydraulic or mechanical winch(es) g. 250 feet g/" 6 X 19 cable or OEM Specifications h. Tow chains, 5/8" alloy or OEM Specifications i. Safety chains, 5/8" alloy or OEM Specifications j. Tow sling rating 20,000 pounds k. Two 124on snatch blocks 1. Under lift rating - retracted 32,000 pounds - 100" extension*" 16,000 pounds Measured from the center line of the rear axle of the towing vehicle to 10 inches behind the back face of the lifting bar. ** Measured from the center line of the rear axle to the center of the lift forks. III. Auxiliary Equipment A. Class A 1. For each type or classification of towing equipment (sling, wheel lift, or carrier), certain types of equipment are required: a. Required Equipment 1) Towing Sling — a XT Hook tow chain assembly, a 4" X 4" X 48" and a 4" X 6" X 60" wooden crossbeam, a pair of spacer blocks, a steering wheel clamp, a towing dolly, and safety chains i 2) Wheel Lift — wheel safety straps, steering wheel clamp, towing dolly, and safety chains 3) Car Carrier — JIT Hook loading bridle, a 4" X 4" X 48" and a 4" X 4" X 60" wooden crossbeam, a pair of spacer blocks, and two pairs of safety chains 4) Extension — Brake and tail lamps Towing2018-19RFPAGR.ATT 20 5) Fire Extinguisher 6) Broom 7) Shovel 8) Reflective Triangles 9) Flares 10) Trash can(s) with absorbent 11) One 3 -ton rated snatch block 12) Shop to truck radio (C/B excluded) b. Service and Other Equipment — For service calls, each tow truck shall be equipped with the following service equipment: 1) Adequate emergency supply of fuel in an approved container 2) Booster battery or hot box starting system 3) Hydraulic jack capable of handling passenger cars and light trucks 4) Metric and Standard lug wrenches 5) Rubber mallet / hub cap tool 6) Lockout tools 7) Motorcycle straps 8) First Aid Kit 9) Tool kit — should include: a) Assorted open end wrenches; Standard, - 7/8" and Metric, 6 —19 mm b) Assorted screwdrivers; Straight blade and Phillips c) Crescent wrench Towing2018-19RFPAGR.ATT 21 d) Ball ,peen hammer e) Pliers f) Battery and terminal cleaning tools g) Point file h) Allen wrench for Deco distributors 1) Mechanic's wire j) Plastic electrical tape / duct tape k) Tire valve core tool 1) Miscellaneous fuses m) Small pry bar n) Shop rags o) Flashlight P) Socket Sets; %4" —1" and 6 —19 mm q) Rachet and extensions 10) Sledge hammer 11) Bolt cutters 12) Crow bar A. Class B 1. For each type or classification of towing equipment (sling, wheel lift or carrier), certain types of equipment are required: a. Required Equipment 1) Towing Sling — a J/T Hook tow chain assembly, a 4" X 4" X 48" and a 4" X 4" X 60" wooden crossbeam, a pair of spacer blocks, a steering wheel clamp, a towing dolly, and safety chains Towing2018-19RFPAGR.ATT 22 2) Wheel Lift — wheel safety straps, steering wheel clamp, towing dolly, and safety chains 3) Truck Hitch — tow chain assembly, 4" X 4" X 60" and 6" X 6" X 60" wooden crossbeams (as necessary), aluminum tow angle(s), and safety chains 4) Under Lift — an assortment of lift forks / adapters, safety tie down chains and safety chains 5) Extension — Brake and tail lamps 6) Fire Extinguisher(s) 7) Broom 8) Shovel 9) Reflective Triangles 10) Flares 11) Trash can(s) with absorbent 12) Two 8 -ton rated snatch blocks 13) Axle covers / caps 14) Air hoses and necessary fittings to provide air to the towed vehicle 15) Shop to truck radio (C/B excluded) b. Service and Other Equipment — For service calls, each tow truck shall be equipped with the following service equipment: 1) Refer to Class A, Service and Other Equipment (III A, 1.b. above) C. Classes C and D 1. For each type or classification of towing equipment, certain types of equipment are required: Towing2018-19UPAGR.ATT 23 a. Required Equipment 1) Towing Sling — a tow chain assembly, a 4" X 4" X 60" and a 6" X 6" X 60" wooden crossbeam, a pair of spacer blocks, a steering wheel clamp, and safety chains 2) Truck Hitch — tow chain assembly, 4" X 4" X 60" and 6" X 6" X 60" wooden crossbeams (necessary), aluminum tow angle(s), and safety chains 3) Under Reach — assortment of lift forks / adapters, safety tie down chain(s) and safety chains 4) Extension Brake and tail lamps 5) Fire Extinguisher(s) 6) Broom 7) Shovel 8) Reflective Triangles 9) Flares 10) Trash can(s) with absorbent 11) Steering wheel clamp 12) Two 12 -ton rated snatch blocks 13) Axle covers / caps 14) Air hoses and necessary fitting to provide air to the towed vehicle 15) Shop to truck radio (C/B excluded) b. Service and Other Equipment — For service calls, each tow truck shall be equipped with the following service equipment: 1) Refer to Class A, Service and Other Equipment (III A, 1.b. above) for general service equipment requirements Towing2018-19UPAGR.ATT 24 ATTACHMENT D OPERATOR'S Submitted Proposal Towing20l8-19RFPAGR.ATT 25 FRANCHISE AGREEMENT BETWEEN THE CITY OF COLTON AND --------------TOWING FOR TOW TRUCK SERVICES THIS FRANCHISE AGREEMENT (the "Agreement") is made and entered into upon award resulting from a formal bidding process, between the CITY OF COLTON, a municipal corporation ("City"), and , a, ("Franchise" }. RECITALS A. Pursuant to California Vehicle Code section 22660, Cit fCs the authority to grant a non- exclusive franchise to a tow truck operator(s) to provide t �, an /_ rage services for the abatement and removal as public nuisances, of abandone %' ed, dismantled, or inoperative vehicles or parts thereof from pri2201 public pro within the, boundarie of the City. The police Department will have into require' n v r �s to be towed to the City's Impound Lot. The eceiC�'QQ the ve ed to the City's Impound lot will not be consid . % w �'�i''cul%the gross re ue for payment of the Franchisee's monthl- chile �% B. City, for the purpose of ins uritE', ontui�& c tion and pry ervation of the public health, welfare and conveniences eopl fires to grant Franchisee a non- exclusive franchise agreement fo" , j, F icn the City. C. Franchisee desires ', ` ' , such t�g i" es uj6h the terms and conditions set forth herein. �f%�,. r%r.� NOW, TH201/cli . ��RE, in co • %�� atioff j� e promises and of the covenants and conditions hereinaid, Citylb/Franc ee mutually agree as follows: herein 1. "Recitals" coi fute a material part hereof, and are hereby incorporated by reference Section 2. ETOK6aenient of Franchisee City hereby des Franchisee to provide Towing Services as provided herein. Franchisee shall have throughout the term of this Agreement the non-exclusive right to engage in the business of providing Towing Services to City within the boundaries of City as the same now exist, and within any territory City hereafter annexes, except to the extent that Towing Services within such territory annexed would be unlawful or violate the legal rights of another person. Section 3. Term This Agreement shall be deemed to have become effective on July 1, 2015. The term of this Agreement shall terminate at midnight on the 30' day of June, 2018, unless otherwise terminated earlier pursuant to the Agreement. The City currently holds and intends to maintain three (3) Franchise Tow Vendors for the term of three (3) years, with two (2) one-year (1) options for renewal. Section 4. Franchisee's Obligations Franchisee must at all times throughout the term of this Agreement comply with the regulations set forth in Chapter 10.40 of the Colton Municipal Co ity Code") as it may be amended from time to time. Franchise shall also comply with an all applicable law, including any rules and regulations adopted pursuant to City C / ection 10.40.030 ("Towing Rules and Regulations")Without limiting Franchisee's obligatiori� the Exhibit A is a list of operational requirements currently set forth in the Towing Rules lations. Franchisee shall comply with such requirements until modified or nded by Ci _ { chisee er understands and agrees that City may modify and amenowing Rule R ons in its sole discretion and Franchisee shall comply titch ents upon Ictive date. Section 5. Indemnification Franchisee shall indemnify, d dNP, ho ss the City,'Wfelected and appointed officers, employees, and agents against hol ' save the and each of them harmless from any and all actions, claims, damagens or - erty, penalties, obligations or liabilities that may be asse r claimed , ftton, ntity, corporation, political subdivision or other or mg oui�� oecti with any of the Towing Service operations or activities by the '�� its cersts, or employees, whether or not there is concurrent passi or active n eni art of ffie City, its officers, agents or employees (but a such acts' cl iages to persons or property, Penalties, obligations, or liabfrom ti ole negligence or willful misconduct of the City, its elected or ointed cee z10 ees�' ents who are directly responsible to the Ci and in _4ppoi ��} � �. , �' ��,� Y P City V. f 1. '�e Franchisee will defend any actions filed in connection with any of s� esl nalties, obligations or liabilities and will pay all costs and expenses, inc�di gg AWes incurred in connection therewith. The Franchise will promptly Pay any judgment rendered against the Franchisee or '' covering such claims, damages, penalties, obligations and liabilities arising out of or in connection with such Towing Services operations, or activities of the Franchisee hereunder; and the Franchisee agrees to save and hold the City harmless therefrom. 3. In the event the City is made a party to any action or proceeding filed or prosecuted against the Franchisee for such damages or other claims arising out of or in connection with the Towing Services operations or activities of the Franchisee hereunder, the actions or proceedings, together with reasonable attorneys' fees. 2 Section 6. Insurance A. Without limiting the Franchisee's indemnification of the City, the Franchisee shall obtain and provide and maintain at its own. expense during the term of this Agreement a policy or policies of liability insurance of the type and amounts described below and satisfactory to the City, in its sole discretion. Such policies shall be signed by a person authorized by that insurer to bind coverage on its behalf and must be filed with the City prior to exercising any right or performing the Towing Services. Said policies shall add as additional insured's the City, its elected officials, officers, employees, and agents for all liability arising from the Franchisee's Towing Services a described herein. ,%1j, 1. Prior to the commencement of th�`, Services, the Franchisee shall provide to the City certificates of insurance with original en In d copies of policies, if requested by the City, of the following insurance, with B s A or better carriers: (a) Worker's compe sur' covering all' es and principals of the Franchisee, in a minimum zl t ''t�id f. (b) Commer liability risks, including without limi million ($1,000,000) combined single ' property damage. If commercial general I aggregate limit is used, el a general general aggregate limit s=ftrR the nsurancirthird party lity, in a mW -g m amount of one for bodily injury, personal injury, and pr other form with a general f�,�separately to this project, or the (c) AME ol;� msurance covering all Tow Drivers, employees, princi d tow of / hisee, in a minimum amount of one million dollars ($1,000,00(�)��pident, �tive per Whe laws of the State of California. A'.%%- 7/y� 'lr� of/policies shall be endorsed to state that coverage shall a suspended, ce y either party, or reduced in coverage or in limits except-, r thirty 30) da or notice has been given in writing to the City. The Franchisee shall gil f" m f d timely notice of any claim made or suit instituted arising out of the Franchiseeys oiler finder. „ The Franchisee shall also procure and maintain, at its own costand expense, any additi 41 11-nds of insurance, which in its own judgment may be necessary for its proper protection and performance of the Towing Services. Section 7. Prohibition A,.ainst Transfers or Assh_mnients Franchisee shall not sell, transfer, lease, assign, sublet, mortgage or dispose of in whole or in part, either by forced or involuntary sale, or by ordinary sale, contract, consolidation or otherwise, the franchise or any rights or privileges therein granted, without the prior written consent of the City Council. The City Council's approval of a transfer or assignment of the 3 franchise shall be conditioned upon the Franchisee's sale or disposal of all ownership right in the Franchisee's franchise tow truck business. If Franchisee desires to transfer or assign its franchise tow truck business, because he or she intends to sell or dispose of all interests in the tow truck business that is franchised with the City, Franchisee shall make a written request for a transfer or assignment of the franchise. The written request, a deposit of One Thousand Dollars ($1,000.00) and the proposed sale agreement or other document evidencing disposal of the franchised tow truck business shall be submitted to the City's Central Services Office at least one hundred twenty (120) calendar days before the requested effective transfer or assignment date. The Central Services Office and the City's Police Department shall investigate the proposed transferee or assignee and determine whether the transferee or assi ' ,is qualified to serve as a tow truck operator franchisee pursuant to the criteria and require set forth in the City Code, Towing Rules and Regulations and other applicable Iaw. If the 's Central Services Office and Police Department determine that the proposed transferee or ee ' alified to be a tow truck operator franchisee, they shall recommend that the City Counc 'e the transfer or assignment. Upon completion of the City Council's ap' al or denial, entral Se 'ces Office shall provide Franchisee with an accounting of thl strative al associated with the City's review of the Franck' f ,que , f a transfer or ent of the franchise. The new Franchisee shall pay sue per{ / pr: g any Tow ervices under the assigned franchise. Any attempt to sell, tip' er, leas ssign h spose of the franchise without the prior consent of *,Ci il s , be null Section8. Franchise Fees A. The Franchisee's gross revenue has been completed; provi, include revenues attributal Towing Services,'IF Impound Lot. For credits, revenues, pre to gen�dgACCevte( Franc ' "e, its affiliates, r has a cial interest or arising' rhisee shay' y Y ty an t equal to ten (10%)percent of f ble to /To �Servi �s, whether or not a storage form r'c Avenlo ho'%Ver, that Gross Revenues shall not ON lien sales in excess of accumulated fees for S rfed fr City for vehicles towed to the City's us Agent, the berm "Gross Revenues" means all cash, kind oi��e or other consideration as determined according �l les Ensistently applied, derived directly or indirectly by ars es,'�nts, and any other person or entity in which Franchisee has a financial interest in Franchisee's tow truck business, F.- Towing Services. B. F hisee fee payments due to the City as specified in subsection "A" above shall be comput 'arterly. For the purpose of the franchise fee payment computation, the applicable acco' period shall be quarterly unless otherwise agreed to in writing by City and Franchisee. C. The quarterly franchise fee payments shall be due and payable on or before the 20a` (Twentieth) day of the month of that quarter. The quarterly franchise fee payments will follow the City's fiscal year schedule with payments beginning in September. Each payment shall be accompanied by a brief report from the Franchisee showing the basis for the computation and a written statement, signed under penalty of perury by Franchisee, which identifies in detail the sources and amounts of Gross Revenues received by Franchisee during the 4 quarter for which payment is made. No acceptance of any payment shall be construed as an accord that the amount paid is in fact the correct amount, not shall such acceptance of payment be construed as a release of any claim that the City may have for further or additional sums due the City by Franchisee. D. Any franchise fees which remain unpaid after the date specified in subsection "C" above shall be delinquent, shall result in a penalty equal to 10% of the unpaid amount and the unpaid amount shall thereafter accrue interest at 10% per year, compounded daily, until paid. E. Franchisee or Franchisee's designated rep 'atives shall, upon five (5) days written notice from the City, make available to the City o ' 's designated representatives its accounting records for inspection and audit. If the results of th it s franchise fee underpayment of greater that two (2%) percent, Franchisee will pay of the audit in addition to any amount owed as shown by the audit. A% results of to t show an underpayment of less than two (2%) percent or an overp�t, the City Vaycosts associated with the audit. Any underpayment di d un%lus subsectioult in a penalty equal to 10% of the underpayment oea rtof s� �aymaccrue interest at the rate of 10% per annum, comps Wed dail �, im th the rpayment should have been paid pursuant to subsection above: it the a the unWf ent is paid. Any overpayment shall be promptly reimb� Ci �� an aterestof enalP P Y �?Y Y P Ymp ty. F. In the event the discretion, elect to arbitrate Franchisee shall each sele g upon the results of the audit. audit, a third audip will be determination. Mm ,,, tdisputed, the City may, at its sole cts to arbitrate, the City and o cost. The two auditors will agree rs cannot agree upon results of the nt auditors to make a final auditor will be final. G. ''% '.�J this fthise, Franchisee irrevocably waives the defenses of . , accL. r any sta limitatioache dor Me equitable doctrine of similar import or effect in any a brought by th recoy-franchise fee, interest or penalties due under the H. ""'"" cc�ng this franchise, Franchisee agrees that if it challenges the right of the City to collect the chase fee provided by this Agreement, any relief requested by Franchisee and awarde �it by virtue of such challenge shall be prospective only from and after the date of the filiri %� e initial pleading seeking such relief in a court of competent jurisdiction. Franchisee hereby waives any and all claims or rights to collect back from the City, or obtain credit against future payment obligations, any amounts collected by the City prior to the filing of the initial pleading seeking such relief. In the event Franchisee's challenge to any franchise fee payments should result in an initial judgment in its favor, Franchisee shall continue to make all franchise fee payments in accordance with this Agreement pending an appeal by the City. In the event the court of appeal, or trial court if the City elects not to appeal, determines that the City is not entitled to collect any or all of the franchise fees, the City shall refund to Franchisee those portions of the franchise fee which the. court deems the City was not entitled to 5 collect which were made subsequent to the filing of the initial action by Franchisee, exclusive of interest on such amount. I. The City shall retain the right to impose alternate forms of taxes and/or fees in the event that the franchise fees provided for in this Agreement are no longer assessable due to a subsequent change in Federal, State or local law. Section9. Event of Default A. The City reserves the right to revoke the frgranted by City pursuant to this Agreement and to rescind all rights and privileges ociated if. 1. Franchisee defaults in the performs '' f its., erial obligations under this Agreement ("Event of Default"); or 2. Franchisee fails to provide" amtain in fift ce ' ect the insurance coverage as required by this Agreem rmi enses or Ian rovals required by the City or any other local, coon to er� cyto condu . - fts Towing Services operations at the Lot or Business or W,%!/i. 3. Franc having jurisdiction over Franchisee or ruling is being contested by Fran 4. ', persons to whom it provides and obligations, or %Ulgh-W to be of the fy to pursue for ruling oNVY regulatory body s tow truck business, unless such order W/oceedings conducted in good faith; or df deceit upon the City or upon by a court of law; or unable or unwilling to pay its debts Tanchisee's franchise shall in no way effect any right Agreement or any other provision of law. G"��j,/�/�, tanding any provisions to the contrary set forth herein, Franchisee shall not bemed toy ult if Franchisee's failure to perform under this Agreement is due to Franchisee s mab to perform same by reason of public calamity, war or other causes beyond Franchisee's c, Section 10. Termination Franchisee shall be deemed to be in default under this Agreement if it commits an Event of Default as set forth in Section 9 above. If Franchisee commits an Event of Default, City shall have the right, but not the obligation, to terminate this Agreement and, thereby revoke the franchise granted to Franchisee hereunder. City shall provide Franchisee with written notice of the termination of this Agreement within two (2) days after the decision to terminate is made by C City. Termination of this Agreement shall be deemed effective when notice of termination is deemed made pursuant to Section 11 below. Section 11. Notices Any notice required to be given under this Agreement shall be given by placing such notice in the United States mail, postage prepaid, addressed as follows: or t mai mai the parl invz and effect. Franchisee: Section 14. Attorney's Fees and Costs ;erred he U.S. t have -tive :o be al force If any legal action or other proceeding is brought for the enforcement of this Agreement or because of an alleged dispute, breach, default, or misrepresentation in connection with any provisions of this Agreement, the successful or prevailing party shall be entitled to recover 7 reasonable attorney's fees and other costs incurred in that action or proceeding, in addition to any other relief to which it may be entitled. Section 15. Governin , Law and Venue This Agreement shall be.construed in accordance with and governed by the laws of the State of California. Any lawsuit brought to enforce this Agreement shall be brought in the appropriate court in San Bernardino County, State of California. Section 16. Waiver No waiver of any provision of this Agreement shall be waiver of any other provision, whether or not similar, nor shall aft, waiver continuing waiver. No waiver shall be deemed a waiver and no wail executed in writing by the party making the waiver an�,pepted by Section 17. Day Any term in this Agreement deemed to be calendar days and not Section 18. Entire Ameen This Agreement c / the any prior or written statem�� modification, or amendment s! both City and Franlajsee. VIOL Section 19. days: or shall constitute a iver,cinstitute a 1"�e binding unless N,Otv and Franchisee. shall be of Cd Franchisee and supersedes Fity 2 Franchisee. No supplement, ending unless executed in writing by ions of this Agreement shall be binding and shall of City and Franchisee. The captions of ` '.various articles and paragraphs of this Agreement are for the convenience and ease erence only, and do not define, limit, augment, or describe the scope, content, or intent o _ _ greement or of any other part or parts of this Agreement. Section 21. Construction In all cases, the language in all parts of this Agreement shall be construed simply, according to its fair meaning and not strictly for or against any party, it being agreed that the City and Franchisee or their respective agents have all participated in the preparation of this Agreement. Section 22. Cooperation/Further Facts City and Franchisee shall fully cooperate with one another in attaining the purposes of this Agreement and, in connection therewith, shall take any such additional further acts and steps and sign any such additional documents as may be necessary, appropriate and convenient as related thereto. 9 IN WITNESS WHEREOF, City and Franchisee have caused the within Agreement to be executed by their respective officers thereunto duly authorized. CITY OF COLTON By: Bill Smith, APPI Best ] City I FRV By: Its: By: Its: Dated: 10 OFFICIAL POLICE TOW TRUCK SERVICE AGREEMENT BY AND BETWEEN THE CITY OF RIVERSIDE AND PEPE'S INC. DBA: Pepe's Towing OFFICIAL POLICE TOW TRUCK SERVICE AGREEMENT THIS AGREEMENT is made and entered into this day of , 2016, by and between the CITY OF RIVERSIDE, a California charter city and municipal ("City") and Pepe's Inc., an Official Police Towing Service ("OPTS" or "Contractor") on the following terms .and conditions: RECITALS A. OPTS is a towing company selected and designated by the City pursuant to Chapter 5.15 entitled "Regulations of Official Police Tow Truck Service" of the City of Riverside Municipal Code ("RMC") commencing with §5.15.010 ("ROPTTS Ordinance") to provide services at the request of the City Police Department throughout the boundaries of the City, on call, on a rotation basis, for any police emergency situation where a tow truck is required. B. The parties desire to enter into this Agreement pursuant to RMC §5.15.080 in order to implement the ROPTTS Ordinance. It is understood and agreed by the parties that this Agreement, and each term and condition stated herein, shall be interpreted in such a manner so as to be consistent with the ROPTTS Ordinance, and in such a manner so as to reasonably implement the ROPTTS Ordinance between the parties. C. In consideration of being selected and designated by the City as an Official Police Towing Service pursuant to RMC §5.15.080 and in consideration of the benefits OPTS will receive as a result thereof, OPTS agrees to perform vehicle towing and storage services for the City Police Department pursuant to the terms and conditions of this Agreement. SCOPE OF SERVICES Contractor shall perform the following services: A. DEFINITIONS 1. "Central Communications Center" shall mean the City of Riverside communications facility located at 10540 Magnolia Avenue or a dispatch service designated by the City of Riverside. 2. "Chief of Police" shall mean the Chief of Police of the City of Riverside, or the Chief's designee. 3. "City -Generated Tows" shall mean the towing of vehicles requested by the City to include, but not limited to, the following: Tows of vehicles impounded by the City which said vehicles are held for investigation or as evidence in a criminal case; Emergency tows of vehicles involved in accidents, and/or stalled vehicles obstructing traffic, and/or vehicles illegally parked, and/or tows of vehicles whose driver is incapacitated or physically unable to drive said vehicle, and/or tows of vehicles whose driver has been arrested and/or detained and cannot drive the vehicles, and/or tows of vehicles under the mandatory 30 -day impound (i.e., Vehicle Code. § 14602.6); 4. "Contract Administrator" shall mean the individual designated by the Police Chief of the City of Riverside or his or her designee to administer the Agreement. 5. "Contractor" shall mean the Official Police Towing Service. 6. "Council' shall mean the City Council of the City of Riverside. 7. "Franchise Fee" shall mean the fee payable by OPTS to City as authorized by RMC § 5.15.095. 8. "Gross Vehicle Weight Rating (GVWR)" means the weight specified by the manufacturer as the loaded weight of a single vehicle. 9 "Hazardous Material' means any substance, material, or device posing an unreasonable risk to health, safety, or property during transportation, as defined by regulations adopted pursuant to Section 2402.7: "Hazardous Material' includes explosives, and hazardous wastes or substances as defined by regulations adopted pursuant to Section 25141 of the Health and Safety Code and medical wastes, as defined in Section 117690 of the Health and Safety Code. 10. "Low -Valued Vehicle" shall mean a vehicle determined to be a "low -valued vehicle" within the meaning of Vehicle Code §22670, §22851.2, and §22851.3. 11. "Motorcycle" means any motor vehicle having a seat or saddle for the use of the rider, designed to travel on not more than three wheels in contact with the ground, and weighing less than 1,500 pounds. 12. - "Official Police Tow Service" shall mean a "towing company" within the meaning of RMC §5.15.020. 13. "Owner" means the person having all the incidents of ownership including the legal title of a vehicle whether or not such person lends, rents, or creates a security interest in the vehicle; the person entitled to the AA possession of a vehicle as the purchaser under a security agreement; or the State, or any county, city, district or political subdivision of the State, or the United States, when entitled to possession and use of a vehicle under a lease, lease -sale, or rental -purchase agreement for a period of 30 consecutive days or more. 14. "Passenger Vehicle" means any motor vehicle, other than a motor truck, truck tractor, or a bus, as defined in Section 233 of the California Vehicle Code, and used or maintained for the transportation or persons. The term "passenger vehicle" shall include a housecar. 15. "Private Property Towing" shall mean towing a vehicle without the consent of the owner from privately owned parking lots, parking garages, or private streets located within the City of Riverside. 16. "RMC" shall mean the -City of Riverside Municipal Code. 17. "ROPTTS Ordinance" shall mean that ordinance of the City of Riverside at Chapter 5.15 of the Riverside Municipal Code entitled "Regulation of Riverside Police Official Police Tow Truck Service" commencing with §5.15.010 et seq: 18. "Tow Truck" means a truck as defined in Section 615 of the California Vehicle Code. Also includes slide back carriers and wheel lift vehicles. "Tow Truck" means a motor vehicle which has been altered or designed and equipped for, and primarily used in the business of, transporting vehicles by means of a crane, hoist, tow bar, tow line, or dolly or is otherwise primarily used to render assistance to other vehicles. "Tow Truck" does .not include an automobile dismantler's tow vehicle or a repossessor's tow vehicle. 19. "Trailer" shall mean a vehicle designed for carrying persons or property on its own structure and for being drawn by a motor vehicle and so constructed that no part of its weight rests upon any other vehicle. "Trailer" includes a semi -trailer when used in conjunction with an auxiliary dolly, if the auxiliary dolly is of a type constructed to replace the function of the drawbar and the front axle or axles of a trailer. 20. "State of California Vehicle Report" (also designated as CHP 180 Form) means a written authorization, by a Police Officer or other authorized employee of the City of Riverside. 21. "VIN or Vehicle Identification Number" means the motor number, serial number, or other distinguishing number, letter, mark, character, or datum, or any combination thereof, required or employed by the manufacturer or the Department of Motor Vehicles for the purpose of uniquely identifying a motor vehicle or motor vehicle part or for the purpose of registration. 22. "Vehicle" shall mean any "vehicle" as defined in Vehicle Code §670 and any "motor vehicle" as defined in Vehicle Code §415. Parts or components of a vehicle that become separated from that vehicle shall not be considered to be a separate vehicle for purposes of this agreement. B. SERVICES TO BE PROVIDED Contractor agrees to provide to the City, upon City's request, City - generated tow services. 2. Contractor shall be available to respond with sufficient operational equipment to handle any tow call (within the selected operating class: heavy duty and /or light duty) twenty-four (24) hours a day, seven (7) days a week, including holidays. 3. All drivers shall clean up debris and fluids at collision scenes as requested by RPD and required pursuant to CVC 27700 (removing debris from roadway) and shall transport/dispose of these items in compliance with all federal, state and local regulations concerning hazardous materials and hazardous waste. 4. The City places no maximum on the number of City -generated tows that Contractor may be required to provide in any time period. There shall be no obligation upon City to provide Contractor with any minimum number of City -generated tows during any time period. 5. Subcontractors shall be approved by Contract Administrator prior to beginning of this Contract. Any changes after commencement of Contract shall be submitted to Contract Administrator for approval. C. STANDARDS OF SERVICE The ability of Contractor to provide the highest levels of customer service is of utmost importance to the City of Riverside and is the main reason for awarding the Agreement. The Contractor shall comply with all provisions of Riverside Municipal Code Chapter 5.15. The City reserves the right to inspect facilities,- offices, vehicles, equipment, premises, and all records related to OPTS functions at any time during the life of the contract. Any failure to comply with this section is a material breach of this agreement. 4 D. CENTRAL COMMUNICATIONS CENTER Contractor shall provide the Contract Administrator with one (1) phone number to be used for the dispatch of tows twenty-four (24) hours a day, seven (7) days a week. This phone number shall not include pagers and must be answered by an employee or authorized agent of the contractor within four (4) rings. Contractor shall notify Contract Administrator of any change in this phone number forty-eight hours prior to the change in phone number. The City of Riverside may choose to install a computerized dispatch and communication system at the Central Communication Center. The purpose of such a system would be to provide automated dispatch, electronically linking the City with its contracted tow companies. Contractor and Subcontractors may be required to house the appropriate hardware, software, and communications that are compatible with any system installed by the City and to make staff available for any necessary training. This system may include installations at both storage facilities and in tow vehicles. Contractor and Subcontractors may be required to cooperate and coordinate with the City, and its authorized system vendor(s), in meeting the necessary and on- going requirements of the system. E. REGULAR / EVIDENCE STORAGE FACILITIES Contractor shall comply with Riverside Municipal Code Section 5.15.110 J. All evidence vehicles must be able to be safely placed into the storage area without risk of causing damage or compromising the evidence vehicle. The area must possess adequate lighting and have electrical power immediately available. Only vehicles and related items being held as evidence shall be kept in, the evidence hold area. RPD reserves the right to require any other security devices it deems reasonably necessary. Any failure to comply with this section is a material breach of this agreement. F. RELEASES INVOLVING POLICE INVESTIGATIVE HOLDS AND IMPOUNDS Contractor shall not release vehicles or property in vehicles which have been impounded or put on investigative hold by the Riverside Police Department. The Riverside Police Department may authorize the release of impounded vehicles, personal property from impounded vehicles, or vehicles with Police Investigative holds. OPTS may release personal property from an impounded vehicle where such vehicle is impounded pursuant to the "SAFE STREETS ACT". 5 G. TERM OF AGREEMENT. 1. Initial Term: The term of this Agreement shall commence on the day the City executes this Agreement and shall remain in effect until January 1, 2019, when the Agreement shall expire and terminate unless the Agreement has been renewed fora subsequent Renewal Term as provided for in this Agreement. Notwithstanding the forgoing, the Agreement is subject to early termination pursuant to Paragraph 3 of this Agreement. 2. Renewal Term: The term of this Agreement is eligible to be extended by two (2) separate Renewal Terms of one -(1) year each to companies in good standing. Each extension of the term of this Agreement is subject to the following: (i) OPTS must file with the City, at least one hundred and twenty (120) days prior to expiration of the then current term, a Written Request for Extension citing this provision; and (ii) The City, in the reasonable exercise of its discretion, may approve or deny OPTS request upon consideration of OPTS' past conduct under this Agreement and the ROPTTS Ordinance. Notwithstanding the foregoing,- the Agreement is subject to suspension and/or termination during any Renewal Term pursuant to Paragraph 3 of this Agreement. 3. Suspension and Termination of Agreement: The Agreement may be suspended and/or terminated by the parties before the expiration of any term only as follows: 3.1 Suspension and Termination by ,The City: The City may suspend and/or terminate this Agreement under any of the following circumstances: 3.1.1 Pursuant to Ordinance: The City may suspend and/or terminate this Agreement in accordance with, and under the procedures set forth in, RMC §5.15.140 and/or §5.15.145. 3.1.2 Breach of Representation or Warrantv: The City may, at its sole option, terminate this Agreement in the event any of the representations and warranties made by OPTS under this Agreement are, or at any time during this Agreement become, materially false or inaccurate. 3.1.3 Litigation: The City may, at its sole. option, terminate this Agreement in the event that any non-party to this Agreement files a legal action or administrative proceeding that challenges the effectiveness, validity, or constitutionality of the ROPTTS Ordinance and/or this Agreement, that challenges the City's authority to negotiate or enter into this 6 Agreement, or that in any other manner challenges the ROPTTS Ordinance and/or this Agreement or any actions taken under color of this Agreement. 3.2 Termination by OPTS: This Agreement shall terminate thirty (30) days after OPTS provides the City with written notice of OPTS' intention to terminate the Agreement. Upon OPTS' termination of this Agreement, OPTS shall relinquish all rights it may have under this Agreement and the ROPTTS Ordinance, and relinquish and lose its status as an Official Police Towing Service. Notwithstanding the foregoing, termination of the Agreement under this paragraph shall not release OPTS from its obligation to pay any Franchise Fee or part thereof, which is outstanding, due, or has accrued. 4. Fines in Lieu of Suspension and/or Termination: Per the Agreement,. the City retains the right to suspend and/or terminate Contractors as outlined. Additionally, in lieu of suspension and/or termination of this Agreement, City may impose fines as outlined below for breaches of this Agreement: Exceeding the maximum Response Time $200 each violation Excessive Passes (3 per month) $500 Equipment Violations or Business Omissions $200 per day (if violation is not addressed within 10 days a suspension may result) Unauthorized release of vehicles $1000 Lack of required equipment $200 each violation Failure to meet yard standards $500 (Pursuant to RMC Section 5.15.100, violation must be addressed within 5 business days) H. OPTS OBLIGATIONS. 1. Aeration as Official Police Towing Service: OPTS shall operate as, and perform all the services required of, an Official Police Towing Service as set forth in, and shall otherwise tow and store all vehicles in compliance With, the ROPTTS Ordinance including, but not limited to; 1.1 Standards for Tow Truck Equipment: OPTS shall take, at its sole cost and expense, all measures reasonably necessary to .ensure that it complies with the "Standards for Tow Truck Equipment" as set forth in RMC §5.15.100 and pass inspection by the California Highway Patrol or the Riverside Police Department. 7 1.2 Standards for Tow Truck Owner/Drivers/Employees: OPTS shall ensure that all owners/drivers be 18 years of age or older, successfully complete a background check administered by the Contract Administrator or his/her designee, provide Live Scan fingerprints, maintain a valid California Driver's License, and have prior towing related experience. They shall have no felony convictions within the past seven (7) years, no DU1's within four (4) years, or any convictions of moral turpitude.' Misdemeanor convictions will not result in an automatic disqualification; however, each applicant history will be evaluated on a case-by-case basis. They shall have less than five (5) citations within the past three (3) years, provide proof of enrollment in the DMV Pull Notice Program (pursuant to CVC 1808.1) and shall provide proof of enrollment into a Random Drug Screen Program (as defined in Title 29 Code of Federal Regulations Parts 40 and 382). Drivers shall be professional, polite, well-groomed and wear an appropriate uniform (consisting of a collared uniform shirt with company name and employee's name, pants or professional short pants and safety shoes) and utilize appropriate safety garments (such as reflective vests). They shall also be free of visible tattoos and facial piercings. 1.2.1 Any Contractor that receives a DMV Pull Notice Program action notification shall provide the Contract Administrator with the driver name and notification summary by 0900 hours the following business day. 1.3 Standard Rules for Operation: OPTS shall take, at its sole cost and expense, all measures reasonably necessary to ensure that it complies with the "Standard Rules of Operation" as set forth in RMC §5.15.110. OPTS must maintain an accurate list of drivers, ensure they are currently licensed, and in compliance with the OPTS agreement. 1 Crimes of moral turpitude are generally defined as acts of baseness, vileness or depravity in the private and social duties, they are contrary to the accepted and customary rule of moral, right and duty between people and can be either felonies or misdemeanors. Crimes of moral turpitude include but are not limited to arson, burglary, blackmail, forgery, fraud, larceny (grand or petty), robbery, theft, perjury, contributing to the delinquency of a minor, assault with intent to kill, commit rape, commit robbery or commit serious bodily harm, battery, pimping and pandering, child endangerment, battery on a spouse, indecent exposure, evading police, auto theft and DUI. 1.4 Response Times: OPTS shall take, at sole cost and expense, all measures reasonably necessary to ensure that it complies with the requirements for "Response Times" as set forth in RMC §5.15.120. 1.5 Modification of Standards and Reouirements: OPTS understands, acknowledges, and agrees that the standards and requirements set forth in the ROPTTS Ordinance regarding any towing company's operation as an Official Police Towing Service may, from time to time during the term of this agreement, be changed, revised, amended, or otherwise modified by the City in its sole discretion. OPTS further understands, acknowledges, and agrees that any such changes, revisions, amendments, or other modifications shall become applicable to OPTS thirty (30) days after the City provides written notice of such changes, revisions, amendments, or other modifications to OPTS. OPTS shall take, at sole cost and expense, all measures reasonably necessary to ensure that it complies with the ROPTTS ordinance as so changed, revised, amended, or otherwise modified. 2. Fees for Services: OPTS shall only charge those Fees for Services as are determined by the Cityin accordance with RMC §5.15.080. OPTS understands, acknowledges and agrees that the Fees for Services as determined by the City may, from time to time during the term of this Agreement, be changed, revised, amended, or otherwise modified by the City in its sole discretion. OPTS shall take, at its sole cost and expense, all measures reasonably necessary to ensure that it complies with Fees for Services as so changed, revised, amended, or otherwise modified. Any such changes, revisions, amendments, or other modifications to the Fees for Services shall become applicable to OPTS as of the Effective Date specified by the City in the City's written notice of such changes, revisions, amendments, or other modifications to OPTS. 2.1 Fees for Vehicles Impounded by the Riverside Police Department:_ In the event a vehicle is stored, impounded, or held for evidence at the direction of the Police Department, and it is subsequently determined that the City is liable for the costs of the towing and storage, the towing company agrees not to assess the City for such costs. 2.2 Towinc of Police Department Vehicles: For tow services of Police Department vehicles inside the city limits, the tow companies shall provide this service and will be allowed to charge the Police Department $116 for the service performed. Upon completion of the tow service, the tow company shall be placed back on top of the rotation. For tow service of Police Department vehicles outside the city limits, the tow companies shall provide this service and will be allowed to ' charge the police department $168 plus mileage (@ $2.25 per mile) from portal to portal. Upon completion of the tow service, the tow company will not be placed on top of the tow rotation. 2.3 Contractor may not charge towing or storage rates in excess of amounts listed on Exhibit "B" 3. Payment of Franchise Fee: In consideration of this Agreement, OPTS shall pay a fee ("Franchise Fee") to the City as follows: 3.1 Term: For the term of the Agreement, including any renewal terms, OPTS shall pay to the City a Franchise Fee which equals the product of Sixty Five Dollars ($65.00) multiplied by the total number of Vehicles towed by OPTS pursuant to this Agreement. The amount payable to the City as the Franchise Fee during the term shall not be subject to any increase as a result of an increase in the Rates for Services that become effective; 3.2 Timing of Payments: At the sole option of the City, the Franchise Fee may be billed in monthly, quarterly, or other semi-annual installments during each year of the Agreement. OPTS shall make payment of the Franchise Fee to the City consistent with the billing period selected by the City. OPTS shall make payment of and deliver the Franchise Fee to the City within thirty (30) calendar days after the end of the applicable billing period as determined by the City. 3.3 Late Payments: Any Franchise Fee owed to the City by OPTS which is more than ten (10) calendar days overdue, shall accrue interest from the eleventh (11th) calendar day at the lower of a rate of 10% per month, or the maximum rate allowed by law. 3.4 Exemption from Franchise Fee: No Franchise Fee shall be paid by OPTS to the City, with regard to the towing of any Vehicle that is considered by the. City, in its sole discretion, to be: (i) A Low -Valued Vehicle; (ii) The result of a valid request for towing service by a current member of the Automobile Club of Southern California or other officially recognized auto club where OPTS is under contract with said auto club to perform the requested towing service; (iii) The result of a valid request for towing services from the private citizen driver or owner of the Vehicle who, prior to the tow, requested the services of a specific Official Police Towing Service or other non -approved towing service; In addition, the towing of any Vehicle 10 specified in subparts (i) through (iii) herein, shall not be included within the total number of Vehicles towed by OPTS for the purposes of calculating the Franchise Fee pursuant to this Agreement. 4. Financial Statement Submitted with Franchise Fee: In addition to the annual audited income statement required by RMC §5.15.095 and the monthly report required by RMC §5.15.110.H, OPTS shall deliver to the City, at the time OPTS is required to make payment of and deliver the Franchise Fee to the City, a financial report in such a form and containing such information as may be required by the Chief Financial Officer that documents, supports, and verifies OPTS' calculation and payment of the Franchise Payment. 4.1 In order to facilitate this process, each day (excluding holidays) by 9:00 am, each OPTS shall submit to the Contract Administrator the updated, electronic tow inventory form. 5. Records: OPTS shall maintain, in a reasonably accessible location and subject to the City's inspection and .audit during normal business hours, records containing the following information in a reasonably accessible format including, but not limited to, all tow services furnished at the initiation of the City, a description of vehicles towed and stored, with regard to each vehicle towed or stored, the license plate and/or VIN, the case number, the nature of the act, the. date of the act, the time of notification by the City, - the time of the tow truck dispatch, the time of arrival of the tow truck at the scene, the location of calls, the total itemized charges of towing and storage, the disposition of all vehicles towed and/or stored at the initiation of the City, copies of all invoices, receipts, evidence of payment, and any other record reasonably necessary to document, substantiate, and verify the calculation of the Franchise Fee. The OPTS shall keep a written record of every vehicle stored for a period of more than twelve (12) hours and shall be kept for one year pursuant to CVC 10650. In addition to the one year requirement, records for all vehicles towed under this contract shall be maintained for not less than four (4) years from the date of each tow. Records shall conform to generally accepted accounting principles. The OPTS shall file required reports and notifications with the California Department of Motor Vehicles (DMV) in the manner required by law. The records keeping system maintained by the OPTS must be able to be accessed quickly and efficiently. 6. Compliance with Law: OPTS shall, at all times, comply with all applicable provisions of federal and state law, and comply with applicable City ordinances, rules, and regulations, including but not limited to those listed in Exhibit "A". OPTS shall submit a driver information form on all employees. hired to drive for OPTS. The form shall be submitted to Police 11 Tow Coordinator within five (5) days of employment. Forms should be completed for all employees who will be interacting with the public and/or anyone with a financial interest in the towing agency with regard to the Standard Rules of Operation of an OPTS per RMC §5.15.110. These employees shall submit to a criminal history records check and must provide fingerprints via Live Scan as part of the application process and they are subject to Police Department review (per CVC 2432.3 — criminal history checks for towing employees). The towing agency shall be required to pay the costs of the fingerprints and records check. Non- compliance with this provision shall constitute a material breach of this agreement. If the employee is released, the Police Department shall be notified by the end of the next business day. 7. Permits and Licenses: OPTS shall obtain, and at all times during the term of this Agreement maintain, at its sole cost and expense, all appropriate permits, licenses, and certificates as may be required in connection with the performance of services hereunder. 8. Investigative Process: The City retains the ability to immediately suspend a Contractor per RMC Section 5.15.145. However, when an allegation of misconduct or a potential breach of this Agreement is identified, the Contract Administrator will conduct an investigation of the allegations. As part of the investigative process and prior to the City reaching a conclusion- as to the allegations, the involved OPTS will be provided an opportunity to meet with the investigating authority and provide information that is relevant to the allegations. t. REPRESENTATIONS AND WARRANTIES BY OPTS. Business License: OPTS represents and warrants that it has, and at all times during the term of this Agreement will maintain, a valid business license for the City in compliance with RMC §5.15.090. 2. Tow Truck Eauioment: OPTS represents and warrants that its tow truck equipment complies, and at all times during the term of this Agreement shall continue to comply, with the Standards for Tow Truck Equipment set forth in RMC §5.15.100. 3. Standard Rules for Operation: OPTS represents and warrants that it shall, at all times during this Agreement continue to, conduct its operations under this Agreement in compliance with the "Standard Rules of Operation" as set forth in RMC §5.15.110. The OPTS shall not be directly involved in the towing business with any other towing service provider or applicant in the City of Riverside without prior approval of the Contract Administrator prior to the beginning of this Contract. The OPTS shall not be directly involved with a business providing private security, parking, or 12 other services which have the power or duty to patrol or enforce parking regulations on public and private property. Directly involved shall mean any of the following in common between the OPTS and any other towing related business: 1. Business License 2. Insurance 3. Tow truck or equipment ownership 4. Employees Storage facilities sharing property with other businesses or services must be separated by conditions or barriers meeting the approval of the Riverside Police Department and RMC §5.15.110 and RMC §19.415. J. INSURANCE AND INDEMNIFICATION. 1. Insurance Policies: Within fifteen (15) days after execution of this Agreement, and in any event prior to OPTS' commencing operation under this Agreement, OPTS shall procure insurance policies of the type, and meeting the requirements stated below, and shall provide to the City" a Certificate of Insurance, or other such evidence reasonably acceptable to the City, for such insurance policies: 1.1 General_ Liability Insurance: A policy of General Liability Insurance covering and protecting OPTS, its officers, employees, and agents from loss including injury or death resulting therefrom suffered or alleged to have been suffered by any person or persons, other than employees of OPTS, resulting directly or indirectly from the performance or execution of this Agreement. This insurance must cover OPTS' assumption of all liability caused by or arising out of all aspects of the provision of towing services. This insurance policy must be of comprehensive form on an occurrence basis, with a combined minimum limit of one million dollars ($1,000,000), and a two million dollar ($2,000,000) aggregate limit. This insurance policy must provide for the payment of attorney fees, and payment of actual damages from successful litigation against OPTS and/or the City, as a result of errors or omissions in the operation or management of the towing business. 1.2 Auto Liability Insurance: A policy of Auto Liability Insurance covering and protecting OPTS, its officers, employees, and agents from loss including injury or death resulting .therefrom suffered or alleged to have been suffered by any person or persons, other than employees of OPTS, resulting directly or indirectly from the performance or execution of this Agreement. This insurance must cover OPTS' assumption of all liability caused by or arising out of all aspects of the provision of towing services. This insurance 13 policy must be on an occurrence basis, with a combined single limit of one million dollars ($1,000,000) and a two million dollar ($2,000,000) aggregate limit. 1.3 Property Damage Insurance: A policy of Property Damage Insurance protecting OPTS against loss from liability imposed by law for damage to any property, including Vehicles, caused directly or indirectly by the performance or execution of this Agreement which insurance shall also cover accidents arising out of the use and operation of automobiles and trucks. OPTS shall provide fire and extended coverage for all Vehicles, including property contained in Vehicles, impounded and stored under this Agreement. The minimum limit of this coverage shall be $250,000, to cover all liability caused by or arising out of all aspects of the provision of towing, storing, and impounding services. 1.4 Workers' Com ensation Insurance: A policy of Workers= Compensation Insurance covering all employees of OPTS. 2. Provisions Relatin to Insurance Policies: The following provisions are applicable to all insurance provisions, except as otherwise may be expressly provided: 2.1 Unified Pol!2KL OPTS may obtain, if it is able, one single unified policy that meets all of the requirements set forth in this Agreement for the General Liability Insurance policy, the Auto Liability Insurance Policy, and the Property Damage Policy, or any combination of two such policies. OPTS must have a separate Workers' Compensation Insurance policy. 2.2 Approval: All insurance policies required of OPTS under this Agreement are subject to the final approval of the City's Risk Manager and the City Attorney. 2.3 Insurer: All insurance policies required of OPTS under this Agreement shall be obtained from a company, or other business entity, authorized to do such insurance business in California. 2.4 Additional Insured: All insurance policies required of OPTS under this Agreement, except for the Workers' Compensation Insurance policy, shall name "the City of Riverside, its officers, employees, and agents as an additional insured" and must contain the following provisions: 2.4.1 Cancellation: It is agreed that these policies shall not be 14 canceled nor the coverage reduced until thirty (30) days after the Risk Manager for the City of Riverside shall have received written notice of such cancellation or reduction. The notice shall be deemed effective on the date delivered to the Risk Manager as evidenced by properly validated return receipt. 2.4.2 Waiver of Subro ation Right: The insured waives any right of subrogation against the City of Riverside which might arise by reason of any payment under these policies. 2.5 Review: At the end of each year of this Agreement, the City reserves the right to review the insurance coverage requirements and to require more or less insurance, depending upon assessment of the risk exposure, OPTS past experience, and the availability and affordability of increased liability insurance coverage with corresponding adjustments to rates. 3. Indemnity: OPTS expressly agrees to and shall indemnify, defend with counsel of the City's choice, release, and hold the City, its officers, officials, directors, agents, servants,. employees, attorneys and contractors,. harmless from and against any claim, liability, loss, damage, entry, costs, or expenses (including, but not limited to, reasonable attorney's fees, expert fees, and court costs) arising from or as a result of the death of any person or any accident, injury, loss or damage whatsoever caused to any person or to the property of any person and which was caused, in whole or in part, by any acts, errors or omissions, whether active or passive, of OPTS or its officers, directors, agents, servants, employees or contractors, in any way arising out of their performance of this Agreement or any actions permitted under the ROPTTS Ordinance. K REMEDIES. 1. Liauidated Damages: OPTS agrees that OPTS' failure to meet the average response times or failure to meet the maximum response times for any single request for tow service as required under this Agreement and pursuant to RMC §5.15.150, will result in damages being sustained by the City. Such damages are, and will continue to be, impracticable and extremely difficult to determine. OPTS agrees to pay to the City, subject to City's compliance with the notice and hearing provisions of RMC §5.15.145, five hundred dollars ($500) each and every time OPTS fails to meet the average response time requirements for any thirty (30) day calendar period. OPTS further agrees to pay to the City, subject to City's compliance with the notice and hearing provisions of RMC §5.15.145, two hundred dollars ($200) each and every time OPTS fails to meet the 15 maximum response time for any single request for tow service by the Policy Department. OPTS agrees that said sums are the minimum value of the costs and actual damages caused by OPTS' failure to complete service within the allotted time period. Such sum is a liquidated damage and shall not be construed as a penalty. 2. Legal Actions: Any party may institute a legal action to require the cure of any default and to recover damages for any default or breach, or to obtain any other remedy consistent with the purpose of this Agreement. The following provisions shall apply to any such legal action: 2.1 Jurisdiction and Venue: Legal actions must be instituted and maintained in the Superior Court of the County of Riverside, State of California, in any other appropriate'court in that county, or in the United States District Court for the Central District of California. OPTS specifically waives any rights provided to it pursuant to California Code of Civil Procedure §394 or federal or state statutes or judicial decisions of like effect. 2.2 Applicable Law: The laws of the State of California shall govern the interpretation and enforcement -of this Agreement.' 3. No Waiver: Failure to insist on any one occasion upon strict compliance with any of the terms, covenants or conditions hereof shall not be deemed a waiver of such term, covenant or condition, nor shall any waiver or relinquishment of any rights or powers hereunder at any one time or more times be deemed a waiver or relinquishment of such other right or power at any other time or times. L. GENERAL TERMS AND CONDITIONS. 1. Independent Contractor: The parties intend that the relationship created between them under this Agreement is that of an employer -independent contractor. The manner and means of conducting the work are under the control of OPTS, except to the extent they are limited by statute, rule, or regulation and the express terms of this Agreement. No civil service status or other right of employment will be acquired by virtue of OPTS' service under this Agreement. None of the benefits provided by the City to its employees, including but not limited to, unemployment insurance, workers' compensation insurance, retirement and deferred compensation plans, vacation and sick leave, are available from the City to OPTS or any of its employees or agents. 16 2. Assignment Prohibited: OPTS shall not assign, sell, or otherwise transfer any of its obligations, rights, benefits, or other interest it may have under this Agreement to any other person or entity without first obtaining the express written consent of the City, which consent the City may withhold with or without cause in its sole discretion. The sale, assignment, or other transfer of any person or group of persons collectively having an interest of 50% or more in OPTS (whether by means of ownership of stock, partnership interests, or tenancy in OPTS) to any other person or entity shall be considered an assignment subject to this paragraph. 3. Notices and Communications Between the Parties: The nature of the communication should determine the manner. For routine communications, email correspondence/notifications are sufficient. Formal notices and demands between the parties shall be given in writing and personally served or dispatched by certified mail, postage prepaid, return receipt requested, to the principal offices of the parties, as designated in this section, or telefaxed to the telefax number listed below followed by dispatch as above described. Such written notices, demands, and communications may be sent in the same manner to such other addresses as either party may from time to time designate by mail as provided in this Paragraph. Any such notice shall be deemed to have been received upon the date personal service is effected, if given by personal service, or upon the expiration of three (3) business days after mailing, if given by certified mail, return receipt requested, postage prepaid. If notice is to be made to the City: Police Department CITY OF RIVERSIDE 8181 Lincoln Avenue Riverside, California 92504 Attn: Police Tow Coordinator Facsimile transmission may be made to: (951) 826-8730 If notice is to be made to OPTS: Pepe's I nc. 14351 Veterans Way Moreno Valley, CA 92553 Facsimile transmission may be made to: 951.682.5030 E-mail correspondence may be made to: fsoria@pepestow.com 17 4. Non -liability of Agency Officials and Employees: No board member, official, consultant, attorney, or employee of the City shall be personally liable to OPTS, or any successor, or assign, or any person claiming under or through them, in the event of any default or breach by the City or for any amount which may become due to OPTS or to its successor, or on any obligations arising under this Agreement. 5. No Third Party Beneficiaries: This Agreement, its provisions, and its Covenants, are for the sole and exclusive benefit of the City and OPTS. No other parties or entities are intended to be, or shall be considered, a beneficiary of the performance of any of the parties' obligations under this Agreement. 6. Integration: This Agreement and any amendments thereto constitute the entire understanding and agreement of the parties and supersedes all negotiations or previous agreements between the parties with respect to all or any part of the subject matter hereof. 7. Amendment: This Agreement may only be amended in writing executed by both of the parties, except that this Agreement may be deemed amended upon deliver to OPTS by the City of any revisions, amendments, or modifications of the ROPTTS Ordinance as provided in the Agreement. 8. Counterpart Originals: This Agreement may be executed in duplicate originals, each of which is deemed to be an original. 9. Interpretation: The City and OPTS acknowledge that this Agreement is the product of mutual arms -length negotiation and drafting and each represents and warrants to the other that it has been represented by legal counsel in the negotiation and drafting of this Agreement. Accordingly, the rule of construction which provides the ambiguities in a document shall be construed against the drafter of that document shall have no application to the interpretation and enforcement of this Agreement. It is understood and agreed by the parties that this Agreement, and each term and condition stated herein, shall be interpreted in a such a manner so as to be consistent with the ROPTTS Ordinance, and in such a manner so as to reasonably implement the ROPTTS Ordinance, as the ROPTTS Ordinance is in effect at the time this Agreement is executed and as the ROPTTS Ordinance may thereafter be amended, renumbered, repealed and reenacted, or otherwise modified. 10. Severability: Each provision, term, condition, covenant, and/or restriction, in whole and in part, in this Agreement shall be considered severable. In the event any provision, term, condition, covenant, and/or restriction, in whole and/or in part, in this Agreement is declared invalid, unconstitutional, or void for any reason, such provision or part thereof 18 shall be severed from this Agreement and shall not affect any other provision, term, condition, covenant, and/or restriction,' of this Agreement and the remainder of the Agreement shall continue in full force and effect. 11. Effective Date of Agreement: This Agreement shall not become binding and effective until the date it has been formally approved by the City Council for the City and executed by the appropriate authorities of OPTS and the City. IN WITNESS WHEREOF City and Pepe's Inc., have caused this Agreement to be duly executed on the day and year first above written. CITY OF RIVERSIDE, a California charter city and municipal corporation. By: John Russo, City Manager Attest By' City Clerk APPROVED AS TO FORM: By: Neil Okazaki Deputy City Attorney Attachments: Exhibits A, B 19 Pepe's Inc. a California corporation 0 Lorenzo Navarro, Vice President EXHIBIT A Applicable California Vehicle Code and Civil Code Laws Note: The laws which govern a tow operator's business and vehicle operations are included in, but not limited to, this Attachment. The list of laws included herein is intended as a general guide only. It is the tow operator's responsibility to know and comply with all federal and state statutes and all local ordinances relating to the operator's business operations; including those which are and are not listed in this document, both new statutes or ordinances subsequently adopted, as well as, amendments, repeals, or modifications of existing statues and ordinances including but not limited to those described in this attachment. 1. General A. The operator shall be able to properly conduct a lien sale as outlined in Division 11, Chapter 10, Article 2, beginning with Section 22851 of the California Vehicle Code (CVC). B. The operator and/or the operator's agents who drive tow trucks shall be properly licensed in accordance with Section 12804.9 of the CVC. 1) Commercial driver licenses must be endorsed to allow operation of special vehicle configurations and/or special cargoes. The following table shows the correct license class and endorsement for the vehicle or cargo being transported: n� EXHIBIT B City of Riverside Approved Vehicle Towing Rate Schedule Tow Rates Effective 0001 hours, January 21, 2015 TYPE OF SERVICE MAXIMUM APPROVED RATE STANDARD (CHP Class A) $233.00 (per hour, portal to portal) MEDIUM DUTY [CHP Class B) $269.00 (per hour, portal to portal) HEAVY DUTY (CHP Class C) $334.00 (per hour, portal to portal) SUPER HEAVY DUTY (CHP Class D) $381.00 (per hour, portal to portal) EXTRA LABOR AT THE SCENE (Standard - CHP Class A only) DOLLIES (if required) VEHICLE STORAGE (OUTSIDE) STANDARD (CHP Class A) MEDIUM DUTY (CHP Class B) HEAVY DUTY (CHP Class C) SUPER HEAVY DUTY (CHP Class D) VEHICLE STORAGE (INSIDE) STANDARD (CHP Class A) MEDIUM DUTY 4CHP Class B) HEAVY DUTY (CHP Class C) SUPER HEAVY DUTY (CHP Class D) SPECIAL SERVICES GATE FEE (after business hours/on weekends) SERVICE CALLS MAXIMUM APPROVED RATE MAXIMUM APPROVED RATE MAXIMUM APPROVED RATE $116.50 Per half hour, or portion thereof (after first 30 minutes) $45.00 (no extra labor allowed) MAXIMUM APPROVED RATE $50.00 (per vehicle per day) $52.00 (per vehicle per day) $59.00 (per vehicle per day) $59.00 (per vehicle per day) $54.00 (per vehicle per day) $56.00 (per vehicle per day) $66.00 (per vehicle per day) $67.00 (per vehicle per day) $116.50 $116.50 (first half hour) $50.75 per quarter hour thereafter REQUEST FOR PROPOSALS TOWING SERVICE AGREEMENT FOR THE CITY OF RANCHO CUCAMONGA 2017 & 2018 City of Rancho Cucamonga 10500 Civic Center Dr. Rancho Cucamonga, CA 91730 May 8, 2017 1 REQUEST FOR PROPOSALS TOWING SERVICES AGREEMENT FOR THE CITY OF RANCHO CUCAMONGA The City of Rancho Cucamonga is inviting proposals from qualified towing companies who wish to enter into an agreement with the City for the provision of rotational towing services for the removal of vehicles from the public right-of-way (i.e. "Off -Site Vehicle Removal") and for the removal of inoperative vehicles from private property (i.e. "Vehicle Abatement Services") at no cost or charge to the City of Rancho Cucamonga, its Fire Department and/or the City's Police Department as well .as the towing of City vehicles (i.e. cars, trucks, police / sheriff patrol cars, and fire trucks and equipment) as necessary. The Towing Services Agreement (TSA) (Attachment B) contains rules and regulations a tow company must agree to comply with in order to be considered for participation on a rotation tow listing with the City of Rancho Cucamonga. Compliance with the terms and conditions of the Tow Services Agreement is mandatory for towing companies participating in the rotation tow program. GENERAL REQUIREMENTS: No tow company submitting an application for the TSA shall have a financial interest in any other tow company and/or applicant within the City of Rancho Cucamonga. Financial interest includes: business license, insurance, tow truck and equipment ownership, and employees. 2. The tow company must be located within a five (5) mile radius from the nearest City boundary in order to respond in less than twenty-five (25) minutes (maximum response time shall be 25 minutes) and have an active City business license to be considered for the TSA. A tow company that cannot obtain a business license or said license becomes inactive, shall be removed from the TSA as set forth in the Agreement. The Operator's storage facility will be inspected on an annual basis. 3. The performance period of the Agreement is set for a duration of two years, beginning July 1. 2017 and terminating on June 30, 2019. Tow companies and/or operators not participating in the Request for Proposal (RFP) process will not be eligible to participate in the City's TSA until the City releases a new RFP. 4. Applicants must pay a non-refundable administrative application fee of $2,000.00. 2 0 SCOPE OF WORK: This RFP includes the information necessary to be considered for the City of Rancho Cucamonga TSA. The RFP contains the following documents: 1. Vendor Application Form 2. Tow Services Agreement - The TSA sets forth the parameters a tow company must adhere to such as: A. Tow truck classifications and driver requirements. B. Fees due to the City C. Rate structures or limitations. D. Response to.calls regulation and restrictions. E. Storage facility requirements. F. Insurance requirements and limitations. G. Inspections, audits, and compliance with the law provisions. H. Procedures for disciplinary action and hearing process. Attachments to the TSA include: A. Definitions. B. Applicable California Vehicle Code and Civil Code Laws. C. General Equipment Specifications and Use Requirements, D. Reserved for Operator's Proposal. PROPOSAL SUBMITTAL REQUIREMENTS: The following items must be submitted to City to be considered for the Tow Services Agreement: 1. Completion of the City of Rancho Cucamonga Tow Services Agreement Application. 2. Current Vehicle Inspection Certification shall be submitted on each vehicle to be used in the City of Rancho Cucamonga Tow Services Agreement. Vehicles may be added to the list of approved vehicles as outlined in the Agreement. 3. Proof of insurance verifying required levels and amounts of coverage. 4. A Rate Schedule as identified in the attached TSA. 5. A copy of the City of Rancho Cucamonga Business License for the Tow Company/Operator. 3 The Rancho Cucamonga Municipal Code allows for placement on a RCPD rotation tow list no more than five (5) qualified Operator -applicants, after taking into account all selection criteria and the public welfare, can be reasonably and practically utilized and administered by the RCPD. All TSA applicants shall be fairly and objectively evaluated by the Chief of Police applying the same prescribed uniform selection criteria. To be accepted for placement on a RCPD rotation tow list, all applicants must meet required minimum standards for each selection criterion. Generally, applicants being considered for acceptance for placement on the RCPD rotation tow list must have first been accepted by the area California Highway Patrol office. The selection criteria are as follows: • inventory and condition of tow vehicles and other tow -related equipment • variety of tow vehicles available • commercial tow capability • storage capacity of storage facility and/or storage yard • security and safety of storage facility and/or storage yard • cleanliness of storage facility and/or storage yard • availability of indoor storage for search warrant execution and evidence processing of impounded vehicles • for -hire towing experience • disciplinary record while operating as a for -hire towing company • record of law compliance • record-keeping practices • history of response time to law enforcement service calls and to vehicle owners retrieving vehicles • reasonableness of towing and storage fee rates • geographical proximity to Rancho Cucamonga • past cooperation with law enforcement • honesty and integrity • safety record as a for -hire tow company and bailee 4 • compliance with all applicable laws The prescribed selection criteria shall be uniformly, fairly, and objectively applied by the Chief of Police, and his designees, in evaluating every applicant who participates in the RFP. At the time applications are considered, after taking into account all selection criteria and the public welfare, those qualified applicants who are deemed to best meet the RCPD's needs shall enter into the TSA and be placed on a RCPD rotation tow list, up to the maximum number of five (5) Operators. Applicants without previous participation on a RCPD/SBCSD TSA may provide, along with their application, letters of reference relating to their previous for -hire towing experience and/or telephone numbers of personal, business, and/or law enforcement references who can be contacted concerning this. Tow companies and operators interested in participating in the City of Rancho Cucamonga Tow Services Agreement shall submit the requested information, completed forms, and a non-refundable administrative application fee of $2,000.00 to: Vicky Avena Secretary to the Chief of Police Rancho Cucamonga Police Department 10510 Civic Center Dr. Rancho Cucamonga, CA 91730 All proposals and fee payments are due to the City of Rancho Cucamonga by no later than 5:00 p.m. on Monday. June 5, 2017. Failure to comply with the instruction set forth in the RFP and the Agreement will be considered as non- responsive and will not be accepted. The City expressly reserves the right at any time to: • Waive or correct any defect or informality in any response, RFP, or RFP procedure. • Reject any or all RFPs. • Reissue a Request for RFPs. • Prior to submission deadline for RFPs, modify all or any portion of the selection procedures, including deadlines for accepting responses, the specifications or requirements for any materials, equipment or services to be provided under this RFP, or the requirements for contents or format of the RFPs. This new Tow Services Agreement will replace all existing operators on the San Bernardino County Sheriff's Tow Services Agreement currently in effect in the City of Rancho Cucamonga. 5 . . . Any questions regarding this RFP must be submitted in writing to Vicky Avena at the above address. TENTATIVE SCHEDULE: • RFP release: May 8, 2017 • Mandatory Pre Bid meeting: May 16, 2017 at 3:00 pm • Applications due: June 5, 2017 no later than 5:00 pm • Storage yard inspections: June 7 — 9, 2017 • Service Agreements awarded: June 20, 2017 rol 2018-2019 SBSD TOW SERVICE AGREEMENT Revised January 2017 SAN BERNARDINO COUNTY SHERIFF'S DEPARTMENT TOW SERVICE AGREEMENT (TSA) This TSA (as defined in Attachment A) contains rules and regulations that a company agrees to comply with in order to receive a rotation tow listing with the San Bernardino County Sheriff's Department (SBSD). Participation in the SBSD Rotation Tow Program is voluntary. Compliance with all of the terms and conditions of the TSA is mandatory for tow companies participating in the SBSD Rotation Tow Program. An Operator (as defined in Attachment A), by agreeing to participate in the program, does not establish a contractual relationship with the SBSD or the County of San Bernardino, and is not acting as an agent for the SBSD or County of San Bernardino when performing services under the Agreement. For clarification purposes, definitions are contained in Attachment A. Attachment B contains a summarized listing of California Vehicle Code (CVC) and Civil Code laws applicable to all tow companies in the State of California. Attachment C contains a listing of tow truck equipment specifications and equipment use requirements (as defined in -Attachment A) applicable to all SBSD rotation tow Operators. Attachment D contains instructions for completing and submitting required application materials. It is the policy of the SBSD to accept for placement on a SBSD rotation tow list only as many qualified Operator -applicants as the Local Station Commander determines, after taking into account all selection criteria and the public welfare, can be reasonably and practically utilized and administered by the SBSD for a particular Tow District. All SBSD rotation tow list applicants shall be fairly and objectively evaluated at all sheriff's stations by the Local Station Commander applying the same prescribed uniform selection criteria. To be accepted for placement on a SBSD rotation tow list, all applicants must meet required minimum standards for each selection criterion. Generally, applicants being considered for acceptance for placement on the SBSD rotation tow list must have first been accepted by the area California Highway Patrol office. The selection criteria are as follows: 1) inventory and condition of tow vehicles and other tow -related equipment 2) variety of tow vehicles available 3) commercial tow capability 4) storage capacity of storage facility and/or storage yard 5) security and safety of storage facility and/or storage yard 6) cleanliness of storage facility and/or storage yard 7) availability of indoor storage for search warrant execution and evidence processing of impounded vehicles 8) for -hire towing experience 9) disciplinary record while operating as a for -hire towing company 10) record of law compliance 11) record-keeping practices 12) history of response time to law enforcement service calls and to vehicle owners retrieving vehicles 13) reasonableness of towing and storage fee rates 14) geographical proximity to Tow District 15) past cooperation with law enforcement 16) honesty and integrity 17) safety record as a for -hire tow company and bailee 18) compliance with all applicable laws The prescribed selection criteria shall be uniformly, fairly, and objectively applied by the Local Station Commander at every SBSD sheriffs station in evaluating every applicant who applies for placement on a SBSD rotation tow list. At the time applications are considered, after taking into account all selection criteria and the public welfare, those qualified applicants who are deemed to best meet the SBSD's needs shall be placed on a SBSD rotation tow list, up to the maximum number of Operators that the Local Station Commander has determined can be reasonably and practically utilized and administered by the SBSD for the particular Tow District in issue. Applicants without previous participation on a SBSD rotation tow list may provide along with their application letters of reference relating to their previous for -hire towing experience and/or telephone numbers of personal, business, and/or law enforcement references who can be contacted concerning this. 2 TABLE OF CONTENTS ELEMENT PAGE 1. TOW DISTRICTS......................................................................................................4 2. ROTATION TOW LISTS........................................................................................... 5 3. TOW TRUCK CLASSIFICATIONS........................................................•................... 7 4. TOW TRUCK DRIVERS............................................................................................ 9 5. RATES..................................................................................... ......................... . ..... 11 6. COLLUSION........................................................................................................... 14 7. RESPONSE TO CALLS.......................................................................................... 15 8. STORAGE FACILITY.............................................................................................. 17 9. INSURANCE........................................................................................................... 19 10. INSPECTIONS ........................................................................................................ 20 11. BUSINESS RECORDS........................................................................................... 21 12. FINANCIAL INTEREST...........................................................................................22 13. ANNUAL MEETINGS.............................................................................................. 23 14. DEMEANOR AND CONDUCT................................................................................ 24 15. COMPLIANCE WITH LAW......................................................................................25 16. BUSINESS WITH SBSD EMPLOYEES.........................................................26 17. COMPLIANCE WITH TSA.......................................................................................27 18. DISCIPLINARY ACTION......................................................................................... 28 19. HEARING/APPEAL.................................................................................................31 20. MIDTERM REVIEW OF THE TERMS AND CONDITIONS OF THE AGREEMENT 32 21. ADVERTISING........................................................................................................ 35 22. CANCELLATION AND EXEMPTIONS.................................................................... 36 23. LEVY EXCEPTION................................................................................................. 37 24. CONFLICTING CITY ORDINANCE OR WRITTEN POLICY PROVISION EXCEPTIONS......................................................................................................... 38 25. TERM OF AGREEMENT........................................................................................ 39 26. OPERATOR APPROVAL........................................................................................40 27. ATTACHMENT A.................................................................................................... 41 28. ATTACHMENT B.................................................................................................... 44 29. ATTACHMENT C..................................................................................................... 55 30. ATTACHMENT D.................................................................................................... 64 31. ATTACHMENT D (APPLICATION)......................................................................... 66 3 1. TOW DISTRICTS A. The SBSD Local Station Commander (as defined in Attachment A) shall establish Tow Districts (as defined in Attachment A) for each class of tow truck to facilitate the distribution of calls and meet the needs of the SBSD with regard to response time (as defined in Attachment A) and availability of tow services. Within each Tow District, the Local Station Commander shall determine the maximum response time, enrollment period (as defined in Attachment A), reasonable rates, and minimum number of trucks required, as well as the maximum number of tow companies that can be reasonably utilized and administered by the SBSD for a particular Tow District. B. Exceptions to compliance with the TSA shall not be authorized by verbal agreement. Any exception shall be documented as an addendum to the TSA. C. An Operator shall have a business office and storage facility located within the district he/she serves, unless this requirement is waived by a Local Station Commander. 1) The Local Station Commander may establish a maximum radius for the location of a business office from which an Operator may provide service for a Tow District. 2) An Operator shall provide service in only one Station jurisdiction unless waived by both adjacent Local Station Commanders and with the Regional Deputy Chief's concurrence. D. A secondary storage facility does not qualify an Operator for an additional Tow District unless this requirement is waived in writing by the Local Station Commander based on a specific need. E. Within each Tow District, to ensure an equitable distribution of calls, SBSD shall maintain separate rotation tow lists for each class of tow truck. F. Within each Tow District, SBSD shall maintain separate rotation tow lists for salvage and recovery operations involving large commercial vehicles, as defined by the Local Station Commander. Operators on the rotation Salvage and Recovery list shall respond as follows: 1) At least one (1) driver who has five (5) verifiable years' for -hire salvage and recovery experience. 2) A minimum of two (2) tow trucks. The minimum two (2) tow truck response shall be one (1) Class D tow truck and one (1) Class C tow truck. 3) Depending on a station's needs and a tow Operator's equipment availability, the Local Station Commander may allow an Operator to respond with two (2) Class C tow trucks to meet the tow truck minimum response. 4) For those stations in which tow Operators are unable to meet the two truck minimum response, the Operator assigned the initial call may, subject to prior agreement with the Local Station Commander, request a specific Operator for assistance to meet the minimum standard of (1) Class D tow truck and (1) Class C tow truck or two (2) Class C tow trucks. 4 2. ROTATION TOW LISTS A. Nothing in the TSA shall prohibit a Local Station Commander, supervisor or scene manager from requesting a specific tow company when, in their opinion, the necessary resources to clear a hazard as expeditiously as possible are not available from the tow company currently at the top of the rotation tow list. In such an instance, the tow company selected would be the next tow company on the list which has the qualifications (equipment, skills, timeliness, etc.) to provide the required service. After the request, the selected company would then go to the bottom of the rotation tow. Tow companies on the same list that were bypassed would remain in the same order until their selection for a rotation tow for which they are qualified. B. Nothing shall prohibit a Class B, C, or D Operator from maintaining a place on a lighter class rotation tow list, provided the tow truck meets the equipment specifications for that class of operation. C. Regardless of the class of tow truck utilized or responding to the call, charges shall not be more than for the class of vehicle towed or serviced, except where vehicle recovery operations (a defined in Attachment A) require a larger class of tow truck. D. A call to an Operator shall constitute one turn on the list and the Operator shall be moved to the bottom of the list. This includes when the Operator fails to answer the phone, is unable to respond, is unable to perform the required service, refuses to respond or provide service, or is cancelled due to excessive response time. If it is determined that the Operator is not needed and is cancelled by the SBSD, up to and including arrival at the scene, there shall be no charges and the Operator will be placed back at the top of the list. 1) If the Operator is cancelled by the vehicle's owner or agent prior to the Operator taking possession (as defined in Attachment A) of the vehicle, there shall be no charges for towing. The Operator shall immediately contact the SBSD and advise it of the cancellation. The Operator shall then be placed back at the top of the list. 2) If service, other than towing and recovery, has begun and is cancelled by the vehicle's owner or agent, the Operator may charge one-half of the regular hourly service charges, for the time expended on the call. For purposes of cancellation, service begins when physical work on the vehicle has begun --not the response. No lien shall arise for the service unless the Operator has presented a written statement to the vehicle's owner or agent for the signed authorization of services to be performed. 3) The Operator shall not attempt to take possession of the vehicle in order to establish a lien for any non -towing services performed, or begun and subsequently cancelled, when not entitled to such lien by law. (Refer to California Civil Code section 3068.1 for when a lien begins.) E. Generally, an Operator may dispatch more than one tow truck to a multi -vehicle collision scene in response to a rotation tow call. F. If two or more Operators are called to the same incident, distribution of the vehicles shall be at the discretion of the SBSD Incident Commander (as defined in Attachment A). G. The SBSD Incident Commander may direct a SBSD rotation tow Operator to move vehicles to help clear a roadway or for lifesaving operations. Operators shall provide the assistance as directed. There shall be no charge for this assistance, and the assistance provided shall not change the Operator's place in the rotation. H. Operators applying for a rotation tow listing shall have a minimum of three (3) years verifiable for -hire -towing experience, as an owner or principal, prior to the final filing date of an enrollment period in order to qualify for a SBSD rotation tow listing. 1) Operators currently on a SBSD rotation list and having less than the required three year experience are exempt from this provision. 2) Ownership status will be investigated and determined by the SBSD. I. The Local Station Commander or his designee may request tow services outside the normal rotation on a special needs basis, including but not limited to, special enforcement activities, safety checkpoints, and D.U.I checkpoints. Con 3. TOW TRUCK CLASSIFICATIONS A. An Operator shall equip and maintain tow truck(s) covered under this agreement in accordance with the provisions set forth in the California Vehicle Code, Title 13 of the California Code of Regulations, the specifications contained in this Agreement, and consistent with industry standards and practices. 1) Notwithstanding California Vehicle Code section 615, all tow trucks shall have recovery capabilities, wheel lift capabilities, and a boom meeting the specifications contained in this Agreement. For the purpose of this Agreement, "a trailer for hire that is being used to transport a vehicle" shall not qualify as a primary tow truck for rotation tow lists. 2) At the discretion of the Local Station Commander, an Operator who has a car carrier may be exempted from the recovery, wheel lift, and boom capability requirements. However, the car carrier must be an additional unit. B. A violation of the Gross Vehicle Weight Rating (GVWR) and safe loading requirements of a tow truck shall be cause for immediate suspension (as defined in Attachment A). This includes exceeding the tow truck's GVWR, front axle weight rating, rear axle weight rating, maximum tire weight ratings, or not maintaining 50% of the tow truck's unladen weight on the front axle when lifting/carrying a load. C. There will be four classes of tow trucks covered under this Agreement. The Local Station Commander may require more than one tow truck in each class in Tow Districts where rapid response for congestion relief is required. 1) Class A — Light Duty a) An Operator shall maintain a minimum of one tow truck that has a manufacturer's GVWR of at least 14,000 pounds. Class A equipment specifications can be found in Attachment C of this Agreement. (1) The Local Station Commander may require that one of the additional required tow trucks be a car carrier in areas where rapid response for congestion relief is required or where the need exists based upon the type of vehicles towed. b) A "trailer for hire" shall not be approved for listing as a Class A tow truck. c) Tow companies whose equipment had previously been approved and continuously used on rotation for the SBSD and owned by the same Operator, but do not have wheel lift capabilities, may apply for and receive a Class A rotation tow listing. 2) Class B — Medium Duty a) An Operator shall maintain a minimum of one tow truck with a GVWR of at least 26,001 pounds. The truck shall be capable of providing and maintaining continuous air to the towed vehicle. All Class B tow trucks with a GVWR of less than 26,001 pounds currently approved for SBSD Class B rotation tow lists will be allowed to remain on the Class B rotation list until June 30, 2010. Class B equipment specifications can be found in Attachment C of this Agreement. b) Tow Companies continuously used on rotation for SBSD, whose equipment was previously approved and owned by the same Operator but lacks air brakes, and/or a tractor protection valve or device, may apply for and receive a Class B rotation tow listing if the tow truck is capable of supplying continuous air to the towed vehicle from its engine mounted air compressor and its equipped with an air gauge. 3) Class C — Heavy Duty a) An Operator shall maintain at least one three -axle tow truck with a GVW R of at least 48,000 pounds. The truck shall be equipped with air brakes and must be capable of providing and maintaining continuous air to the towed vehicle. All Class C tow trucks with a GVWR of less than 48,000 pounds currently approved for SBSD Class C rotation tow lists will be allowed to remain on the Class C rotation list until June 30, 2010. Class C equipment specifications can be found in Attachment C of this Agreement. 4) Class D — Super Heavy Duty a) An Operator shall maintain at least one three -axle tow truck with a GVW R of at least 52,000 pounds. The truck shall be equipped with air brakes and must be capable of providing and maintaining continuous air to the towed vehicle. All Class D tow trucks with a GVWR of less than 52,000 pounds currently approved for SBSD Class D rotation tow lists will be allowed to remain on the Class D rotation list until June 30, 2010. Class D equipment specifications can be found in Attachment C of this Agreement. D. To properly and safely tow and service the wide variety of vehicles being operated on the highway, a towing procedure may require the use of auxiliary equipment specifically designed for the purpose. This auxiliary equipment should be used when appropriate. A listing of service and auxiliary equipment for each classification can be found in Attachment C of this Agreement. E. Only tow truck approved by the SBSD to participate in the SBSD Rotation Tow Program may be used by qualified Operators selected after open enrollment under this Agreement. 4. TOW COMPANY EMPLOYEES A. The Operator shall ensure all Employees of the tow company including tow truck drivers, and/or Employees/independent contractors responding to calls, having contact or access with vehicles towed, or having contact or access to administrative records, initiated by the SBSD are qualified and competent Employees of his/her company. The Operator shall ensure that the tow truck drivers are trained and proficient in the use of the tow truck and related equipment, including, but not limited to, the procedures necessary for the safe towing and recovery of the various types of vehicles serviced through SBSD rotation. The Operator shall ensure tow truck drivers responding to a call initiated by SBSD have one of the following: 1) A minimum of five years or more of tow truck driver experience verified in writing by the tow Operator and driver. A minimum of five years or more of tow truck driver experience verified in writing by the tow Operator and driver. 2) The driver has completed a tow truck driver training program from a Tow Service Agreement Advisory Committee (TSAAC) approved training program within the last five (5) years. 3) The driver provides documentation of tow truck driver training from a non-TSAAC approved program. a) Documentation of the above-mentioned experience or training shall be submitted with the Tow Operator/Driver Information form. B. The Class A (1) license must be endorsed to allow operation of special vehicle configurations and/or special cargoes (refer to Attachment B). C. Tow drivers shall perform all towing and recovery operations in the safest and most expedient manner possible. Tow truck drivers shall be at least 18 years of age and shall possess the following minimum class driver's license: 1) Class A tow truck — A valid Class C license or a valid Class A license with valid medical certificate 2) Class B tow truck — A valid Class C license for non-regulated vehicles or a valid Class A license with valid medical certificate for regulated vehicles pursuant to California Vehicle Code section 34500 3) Class C tow truck — A valid Class A license with valid medical certificate 4) Class D tow truck — A valid Class A license with valid medical certificate D. The Operator shall maintain a current list of drivers and Employees. 1) The Operator shall provide a current list of his/her drivers and Employees to the SBSD upon implementation of this Agreement. The Operator shall notify the SBSD upon any change in driver status or Employee status, including the addition of any new driver(s) or Employee, or the deletion of any driver or Employee. An updated list shall be provided to the SBSD within seven calendar days of any change in driver or Employee status. This includes all Employees having contact or access with vehicles towed, or having contact or access to administrative records. 7 2) Operators shall, as a minimum, continuously maintain the following written or computerized record information for each Employee: a. Full name b. Date of birth c. California driver's license number d. Copy of valid medical certificate (if required by type of license possessed) e. Job title/description f. Current home address g. Current home telephone number h. Type(s) of truck(s) driver has been trained and instructed to operate E. All tow truck drivers and owner/Operators shall be enrolled in the Employer Pull Notice Program (EPN). 1) Upon the addition of new drivers, an Operator will be granted a maximum of 30 days to enroll drivers in the Pull Notice Program. 2) Pull Notices shall be kept on file, signed and dated by the Operator. 3) Local Station Commanders may require an Operator to provide copies of Pull Notice Reports to the local sheriff's station. F. Uniforms: SBSD rotation tow drivers shall wear an identifiable uniform shirt displaying the company and driver's names while engaged in SBSD rotation tow operations. They will not wear any hat, head covering, or garment that displays any logo other than the logo of the Operator. G. Safety Vests: SBSD rotation tow drivers shall wear a safety vest or reflectorized clothing, meeting Occupational Safety and Health Administration (OSHA) requirements. H. All Employees of the owner/Operator shall be subject to a criminal background check and meet the requirements of the local SBSD Local Station Commander regarding past criminal convictions, parole status, and probation status. 10 5. RATES A. Fees charged for response to calls originating from the SBSD shall be reasonable and not in excess of those rates charged for similar services provided in response to requests initiated by any other public agency or private person. B. The reasonableness of the fees charged will be determined in the following manner: 1) Generally, if the Operator for the SBSD is also an Operator for the California Highway Patrol (CHP), the rates established by the CHP will be applied by the SBSD, unless a different rate has been approved by the Local Station Commander. 2) If a different rate has been approved, the Operator shall submit two retail hourly rates to the Local Station Commander, one rate for calls originating during normal business hours and one rate for calls originating after business hours, along with any other materials and. information on industry standards and practices the Operator wishes to present to support the reasonableness of the submitted fees. The Local Station Commander shall determine the validity and reasonableness of the submitted rates based on a review of the Operator's submitted materials, the rates submitted by other Operators, and industry standards and practices concerning rates charged for similar services provided in response to requests initiated by other public agencies or private persons. a. Validity will be based upon telephone quotes, posted rates, charges to retail customers, and other relevant criteria. Any submitted rate in excess of an Operator's retail rate (as defined in Attachment A) will be considered invalid and will not be accepted. An Operator who submits an invalid rate shall not be allowed to resubmit a new rate and will be disqualified from SBSD rotation tow listing until the next enrollment period. b. Reasonableness shall be determined as compared to other rates. An Operator who submits a rate that is determined to be excessive but not invalid shall be allowed to resubmit his/her rates only once. C. In an effort to remain competitive in the open market, the Operator may lower retail rates at any time by notifying the SBSD. When an Operator lowers his/her retail rate, that retail rate becomes the new approved SBSD rate. Operators may only raise rates for SBSD calls during enrollment periods or after a midterm review, and only upon approval by the Local Station Commander. Rates for SBSD calls shall remain at the lowest retail rate until the next enrollment period. D. Only the approved hourly rates and storage fees for this year will be used. Any Operator who charges rates above the approved hourly rates for a SBSD call shall be in violation of the Agreement and subject to disciplinary action. E. The rate for towing shall be computed from portal to portal (as defined in Attachment A). Time expended shall be charged at a rate not to exceed the hourly rate. Time expended in excess of the minimums shall also be at the hourly rate in no more than one minute increments. There shall be no additional charges for mileage, labor, fuel, oil, coolant, or for an Operator's time to release a vehicle when the storage facility is not at the same location where the request for release is received, and the request for release of the vehicle is made within normal business hours. 11 1) The Operator may charge up to a thirty -minute minimum per call for any service or tow which is performed when the vehicle Operator or agent is present and the vehicle is not stored at the direction of an officer (as defined in Attachment A). 2) The Operator may charge up to a one-hour minimum per call on responses which result in storage of a vehicle at the direction of an officer (as defined in Attachment A). 3) The Operator shall base towing charges upon the class of vehicle being towed regardless of the class of truck used, except when vehicle recovery operations require a larger class truck. F. Rates for a service call (out of gas, lockouts, tire changes, snow removal, and other problems) shall be from portal to end of service, and may be at the hourly rate with up to a thirty -minute minimum. Charges in excess of thirty minutes may be charged in no more than one -minute increments. G. Fees for Special Operations. 1) For special operations involving Class B, C, and D tow trucks, the Operator shall submit his/her proposed fees for vehicle recovery operations and load salvage operations (as defined in Attachment A) to the Local Station Commander. Fees shall be reasonable and consistent with industry standards and practices for similar operations. Charges in excess of thirty minutes may be charged in no more than one -minute increments. 2) Operators on the two (2) tow truck Salvage and Recovery list may charge a minimum two- hour rate. If it is determined that only one truck is required, the second truck may claim portal to portal and time expended on scene until determination was made that it was not required. a. Hourly rates shall be established for the following: 1. Auxiliary and contracted equipment, e.g., airbags, converter gear/dolly, additional trailers, fork lift, front loaders and the like 2. Contracted equipment, e.g., airbags, converter gear/dolly, additional trailers, forklifts, scoop loaders, and the like. 3. Contract labor. b. The Local Station Commander shall determine whether the submitted fees for these types of operations are reasonable, based upon the proposed fees submitted by all Operators and a comparison to industry standards and practices for similar operations. 3) Operators shall submit a markup rate (percentage of the cost to the Operator) for retail equipment and specialized labor not otherwise listed on the application. 4) If an Operator performs a service for which a required rate was not submitted to, and approved by, the SBSD, the Operator shall only be entitled to charge for the actual cost of that service plus 10 percent. For example: If a contract labor rate was not submitted to the SBSD, the Operator may only charge for the actual rate paid for the labor plus 10 percent. 12 5) The total fees charged for after hours release shall be no more than one-half the hourly rate, and shall only be allowed if there is no person on duty at the storage facility for release and a call back is required outside normal business hours. H. Storage Fees 1) The Operator shall submit his/her proposed storage fees, for inside and outside storage, to the Local Station Commander. The Local Station Commander shall determine the reasonableness of the fees for inside and outside storage, based upon the average of the proposed fees submitted by those applying for rotation and any information submitted concerning industry standards and practices. 2) The Operator shall display in plain view at all cashiers' stations, a sign as described in California Civil Code section 3070(d)(2)(E) disclosing all storage fees and charges in force, including the maximum storage rate. 3) Vehicles stored 24 hours or less shall be charged for no more than one day of storage. Each day thereafter shall be calculated by calendar day. I. This element (Element 5, Rates) of the Agreement shall not apply if the Operator responds to a SBSD call in a location where towing rates for all tow companies are established by a valid city or county ordinance. J. The approved schedule of rates charged by the Operator shall be available in the tow truck, and shall be presented upon demand to the person(s) for whom the tow services were provided, or his/her agent, or any sheriff's deputy at the scene. K. Rate requirements represent the maximum rates of fees an Operator may charge on a SBSD call. An Operator is not precluded from charging less when deemed appropriate by the Operator. These requirements shall not be construed as requiring a charge when an Operator would not normally charge for such service. L. No Operator or Employee shall refer to any rate as the minimum required or set by the SBSD. M. Any proposed changes to the rate schedule submitted as part of the TSA shall be submitted at least thirty (30) days before the rate change is proposed to take effect. The proposed changes to the rate schedule shall be reviewed in accordance with all applicable terms of the TSA to determine the reasonableness of the proposed changes. 13 6. COLLUSION A. An Operator and/or applicant shall not conspire, attempt to conspire, or commit any other act of collusion, with any other Operator or applicant for the purpose of secretly, or otherwise, establishing an unfair understanding regarding rates or conditions to the Agreement that would bring about any unfair condition which could be prejudicial to the SBSD, the motoring public, or other Operator(s). Examples of "collusion" include, but are not limited to: conspiracy by any Operator(s) to establish artificially high or low rate(s) for services performed pursuant to the Agreement, conspiracy or attempt to circumvent the midterm review process, and the like. B. A finding by the SBSD that any Operator or applicant has been involved in collusion shall be cause for denial of an application or shall nullify the Agreement. Any Operator or applicant found to be involved in any act, or attempted act of collusion, ' shall be disqualified from participation on the SBSD rotation tow list for the current term, plus three years, in all jurisdictions policed by the SBSD. 14 7. RESPONSE TO CALLS A. The Operator shall respond to SBSD calls 24 hours a day, seven days a week, within the maximum response time established by the Local Station Commander and as specified in Element 1, Tow Districts, of this Agreement. The Operator shall respond with a tow truck of the class required to tow the vehicle specified by the SBSD. The Operator shall advise SBSD dispatch, at the time of notification, if he/she is either unable to respond or unable to meet the maximum response time. If, after.accepting the call, the Operator is unable to respond or will be delayed in responding, the Operator shall immediately notify the appropriate SBSD Communications Center. The Operator shall not assign any calls to other tow Operators. B. A failure to respond and perform required towing or service and/or repeated failure(s) to meet the maximum response time requirements shall constitute failure to comply with the terms and conditions of this Agreement. 1) The Local Station Commander may take immediate disciplinary action for any flagrant violation of the requirement to respond within the maximum response time. 2) When an Operator will be temporarily unavailable to provide services due to a preplan ned/sched u led activity, e.g., vacation, maintenance, medical leave, or other good cause, he/she shall notify the local sheriff's station and/or dispatch center at least 24 hours prior to the date that services will be unavailable, noting the times and dates of the unavailability. C. The Operator, or his/her Employee(s) responding to a SBSD call, shall perform the towing or service required for which he/she was called. This requirement may be waived by the SBSD Incident Commander if the requested equipment is inadequate for the service to be performed. D. Any refusal to respond or to perform the required towing or service will subject the Operator to suspension or termination, if deemed appropriate by the Local Station Commander. E. An Operator shall not respond to a SBSD call assigned to another Operator unless requested to do so by the SBSD. 1) There may be times when the Operator assigned the initial SBSD call may require the assistance of an additional Operator at the scene. The Operator assigned the initial call may, subject to prior agreement with the SBSD Incident Commander, request a specific Operator (On the local station rotation tow list) to assist him/her. The request shall be routed to the additional Operator through the SBSD. 2) There may be times when an Operator, who was not called to a scene, comes upon a collision/scene where a vehicle or vehicles are blocking a roadway and a SBSD sheriffs deputy requests his/her assistance in clearing the roadway. In such a case, the Operator may be requested to move the vehicle to a safe location, as directed by the deputy, and leave it. There shall be no charge for this assistance, and the assistance provided shall not change the Operator's place in the rotation. F. Only the tow truck personnel and equipment requested shall respond to a SBSD call. Additional tow truck personnel and equipment shall be utilized only upon the approval of the SBSD Incident Commander. This shall not preclude the Operator from responding to an incident to ascertain if additional assistance or equipment is required. There shall be no additional charge for any personnel or equipment that is not necessary to perform the required service. 15 C. Approved Rates: Only the approved hourly rates and storage fees for this year will be used. Any modification made by the owner/operator or their Employees to exceed these rates without prior written authorization from the station commander will result in suspension or termination. 16 8. STORAGE FACILITY A. The Operator shall be responsible for maintaining adequate security of vehicles and property at the place of storage. As a minimum, a clean fenced or enclosed area shall be provided. The Operator is responsible for the reasonable care, custody, and control of any property contained in towed or stored vehicles. The storage yard must conform to all local zoning use requirements then in effect and have any required permits to operate at that location. B. The Operator shall obtain written approval from the SBSD prior to the removal of any property from a stored or impounded vehicle and shall provide a receipt, with a copy placed in the stored vehicle, for all removed property. The requirement to obtain approval from the SBSD prior to the removal of property may be excused by the Local Station Commander if it is determined that proper safeguards and procedures are utilized by the Operator. 1) This requirement may not be waived in cases where a vehicle has been impounded for evidence or investigation. 2) With approval from the SBSD, the Operator shall release personal property from an impounded vehicle at the request of the vehicle owner or his/her agent. a. There shall be no charge for the release of personal property during normal business hours. Operators may charge an after-hours release fee for property released after normal business hours. The fees charged shall be consistent with the after-hours vehicle release provisions. All persons requesting release of personal property will be notified of those fees at the time the request is made. b. Personal property is considered to be items that are not affixed to the vehicle. Personal property includes: papers, transportable cellular telephones, portable radios and/or portable stereo equipment, clothes, luggage, tools, and all other unaffixed contents. 2. Items of personal property in a stored vehicle that are not required as evidence shall be released upon request of the vehicle owner or his/her agent. 3) Cargo not held as evidence shall be released upon demand of the carrier or pursuant to a court order. C. The primary storage facility shall normally be at the same location as the business address. If not at the same location, there shall be no charge for any additional distance traveled to and from a secondary location. The vehicle and/or personal property shall be released at the primary storage facility or place of business (when the primary storage facility and the place of business are not at the same location) upon request of the owner or a person having a legal entitlement to the vehicle and/or property. 1) Prior to the utilization of new storage facilities that were not listed on the application for rotation tow listing, the Operator shall obtain the Local Station Commander's written approval and furnish the address. 2) Secondary storage facilities shall be located reasonably close to the main business office. 17 D. Tow Operators shall maintain sufficient storage spaces, as approved by the Local Station Commander. E. An Operator's place of business shall have a sign that clearly identifies it to the public as a towing service. The sign shall have letters that are clearly visible to the public from the street. The sign shall be visible at night and shall inform the public where a complaint about the SBSD Tow Rotation Program or a particular Operator can be filed. F. For the purpose of this Agreement, "normal business hours" shall not be less than 8 a.m. to 5 p.m., Monday through Friday, and the Operator's place of business shall be staffed continuously during these periods, except for the following state -recognized holidays: 1) New Year's Day, Martin Luther King Day, Lincoln Day, Presidents' Day, Memorial Day, Independence Day, Labor Day, Columbus Day, Veterans Day, Thanksgiving Day, day after Thanksgiving Day, and Christmas Day. 2) Business hours shall be posted in plain view to the public at both the place of business and/or storage facility. 3) Employees shall be properly trained and supervised in conducting business transactions related to towing, storage and release of vehicles/property. G. The release of vehicles shall be conducted in accordance with local SBSD station procedures. W 9. INSURANCE A. The Operator shall maintain the following minimum levels of insurance from an insurance carrier admitted in California or admitted in the state in which the Operator's business is located and is authorized to do business in California: 1) Commercial Business Automobile Liability (as required by California Vehicle Code section 16500.5) — Bodily injury and property damage with a combined single limit of not less than $750,000 for Class A tow trucks. The combined limits for Classes B, C, and D shall not be less than $1,000,000. These minimum standards are to include non -owned and hired auto coverage. 2) Uninsured Motorist — Legal minimum, combined single limit. 3) On -Hook Coverage — Insuring the vehicle in tow with limits based on the size of the tow truck. a. Class A tow truck $50,000 b. Class B tow truck $100,000 c. Class C tow truck $200,000 d. Class D tow truck $250,000 4) Garage Liability — Includes premises and operations. Coverage for bodily injury and property damage with a combined single limit of not less than $500,000. 5) Garage Keepers Liability — Shall be the same minimum as on -hook coverage for vehicles in the care, custody; and control of the Operator in the storage yard. 6) Workers' Compensation Insurance —Legal minimum requirement then in effect. B. Proof of required insurance shall be submitted to the Local Station Commander in the form of a certificate of insurance prior to consideration for placement on the local SBSD station rotation tow list. Policy expiration or cancellation will immediately nullify the TSA. The Operator's insurance policy shall provide for the immediate notification to the local SBSD station in the event that the insurance policy has expired or is cancelled. Additionally, the Operator shall notify the SBSD in advance of the expiration or cancellation of the Operator's insurance policy. 19 10. INSPECTIONS A. Each Operator must pass not less than one annual inspection of all tow trucks of an Operator by a qualified law enforcement agency. The Local Station Commander, at his sole discretion, may accept another SBSD station's inspection or a CHP inspection to fulfill this requirement. The SBSD may conduct additional inspections without notice during normal business hours. The Operator shall not dispatch a tow truck (to a SBSD call) that has not been inspected and approved by the SBSD. 1) Any Operator who fails an inspection is entitled to only one re -inspection. Failure to pass the re -inspection shall be cause for the disqualification of the tow truck from use on the SBSD rotation. The tow truck shall be disqualified until the next enrollment period. B. If 80 percent of the Operator's tow trucks fails the initial annual inspection, no re -inspection will be allowed. The Operator's application shall be denied and the Operator may reapply during the next open enrollment. 20 11. BUSINESS RECORDS A. The Operator shall maintain written or computerized records, at his/her place of business of all tow services furnished. B. Invoices shall at a minimum include a description of vehicle(s), nature of service, start time, end time, location of call, itemized costs of towing and storage, the tow truck driver's name, and truck used. C. Records for each call shall indicate the tow truck driver's name and truck used. D. The Operator shall also maintain business records relating to personnel, insurance, personnel taxes, payroll, applicable operating authorities, local operating authorities, lien sale actions, FCC licensing, and non-SBSD tows. E. The SBSD may inspect all Operator records without notice during normal business hours. F. Operators shall permit the SBSD to make copies of business records at their place of business, or to remove business records for the purpose of reproduction. SBSD shall provide a receipt for any (original) record removed from the place of business. G. The SBSD shall provide a receipt for any original records removed from the place of business. H. Records shall be maintained and available for inspection for a period of two years plus the current term of the TSA. Failure of the Operator to comply with the inspection requirements shall be cause for suspension or termination, if deemed appropriate by the local SBSD Local Station Commander. 21 12. FINANCIAL INTEREST A. No Operator or applicant shall be directly involved in the towing -related business of any other Operator or applicant within the same Tow District. "Directly involved" shall mean anything in common between Operators or applicants with regard to any of the following: 1) business licenses; 2) insurance; 3) tow truck or equipment ownership; and 4) Employees. B. Storage facilities owned by an Operator, and shared with another Operator, shall only be approved if the owner/Operator charges for the space exclusively on a flat monthly rate rather than a vehicle -by -vehicle basis, or combination thereof. C. Facilities shared by Operators shall be physically separated and secured from each other unless the local SBSD Local Station Commander approves non -conforming facilities. D. The sale or transfer of the controlling interest in a company shall immediately terminate the TSA. The new owner(s) may apply for a rotation tow listing at any time during the remainder of the current Agreement term, regardless of the Area's enrollment period. E. A terminated or suspended Operator and the tow business he/she owned at the time of his/her suspension or termination (as defined in Attachment A) shall not be eligible for a rotation listing for the duration of the suspension or termination. This provision applies to the Operator working in any capacity within any tow business, or operating any tow business, and to the tow business, even if operated under new ownership. F. Any violation of this section shall be cause for suspension, if deemed appropriate by the local SBSD Local Station Commander. G. A terminated or suspended Operator, and/or tow business owner at the time of the suspension or termination, shall not be eligible for a rotation listing for the duration of the suspension or termination. This provision applies to the Operator working in any capacity within any tow business or operating any tow business, and to the tow business, even if operated under new ownership. 22 13. ANNUAL MEETINGS A. The Local Station Commander or his/her designee shall conduct, at a minimum, one annual conference with each approved Operator to discuss issues concerning the tow rotation. All meetings shall be mandatory for the Operator or his/her designee wishing to remain on rotation. The SBSD shall give the Operator 30 days written notice (as defined in Attachment A) of these meetings. The SBSD annual meeting may be held in conjunction with that of the area California Highway Patrol office. 23 14. DEAMOR AND CONDUCT A. While involved in SBSD rotation tow operations or related business, the tow Operator and/or Employee(s) shall refrain from any act(s) of misconduct, to include, but not be limited to, any of the following: 1) Rude or discourteous behavior. 2) Lack of service, selective service, or refusal to provide service, which the Operator is/should, be capable of performing, including failure to clean the traffic collision scene or tow scene properly. 3) Any act of sexual harassment or sexual impropriety. 4) Unsafe driving practices. 5) Exhibiting any objective symptoms of alcohol and/or drug use. 6) Appearing at the scene of a SBSD rotation tow call with the odor of an alcoholic beverage emitting from his/her breath. 7) The Operator/tow truck driver shall submit to a preliminary alcohol screening test upon demand of the SBSD. 8) Showing up to a scene without proper equipment such as brooms, absorbent and other equipment required by the TSA agreement. 9) Appearing at a scene with improper or offensive clothing. 10) Any violation of the required equipment or safety practice required by the vehicle code. 11) Failure to show up at a scene within the allotted time. 12) All SBSD related tow service complaints received by the SBSD against the Operator or his/her Employee(s) will be accepted and investigated in a fair and impartial manner. As a result of the investigation, the SBSD may initiate disciplinary action as deemed appropriate. In any event, the Operator will be notified of the results of any investigation. 13) Should the filing of criminal charges be a possibility as a result of tow service conduct, the SBSD will conduct the investigation to its conclusion or assist the lead investigating agency and, if warranted, request prosecution. 14) Any violation of this section shall be cause for suspension, if deemed appropriate by the local SBSD Local Station Commander. 24 15. COMPLIANCE WITH LAW A. The Operator and his/her Employees shall, at all times, comply with all federal, state, and local laws, ordinances and regulations, which include, but are not limited to, those laws which are applicable to the Operator (refer to Attachment B for selected Vehicle Code and Civil Code sections). 1) In the event of a minor traffic violation(s) by rotation tow truck driver(s) which come(s) to the attention of the SBSD, the Operator will be granted the opportunity to take necessary steps to ensure that his/her driver(s) drive(s) in compliance with law. Any subsequent traffic violation(s) may be cause for disciplinary action against the Operator and/or the involved Employee(s). 2) Any flagrant traffic violation(s) may be cause for immediate disciplinary action against the Operator and/or the involved Employee(s). B. The provisions contained in Element 14 of this TSA, Demeanor and Conduct, do not preclude the SBSD from taking appropriate enforcement or administrative action for any violations of law. 1) Any conviction of the Operator or any Employee involving a stolen or embezzled vehicle, fraud related to the tow business, stolen or embezzled property, a crime of violence, a drug-related offense, felony driving while under the influence of alcohol and/or a drug, misdemeanor driving while under the influence of alcohol and/or a drug while involved in a SBSD rotation tow call, or moral turpitude shall be cause for denial of an application or immediate termination of the TSA. 2) An Operator or any Employee arrested for or charged with a violation involving any of the above crimes may be suspended until the case is adjudicated. 3) Any violation of this section shall be cause for suspension, if deemed appropriate by the local SBSD Local Station Commander. 25 16. BUSINESS WITH SBSD EMPLOYEES A. All business conducted with SBSD employees or their family members by the Operator or their Employees shall be conducted in a manner consistent with normal business practices without favoritism or prejudice. The Operator or their Employees shall not knowingly sell any vehicle to SBSD employees or their families members without written authorization from the Local Station Commander. 26 17. COMPLIANCE WITH TSA A. The Operator agrees, as a condition of inclusion on the rotation tow list, to comply with all of the terms and conditions of this TSA. Furthermore, the Operator agrees that failure by the Operator, his/her agents, or Employees to comply with these terms and conditions shall be cause for written reprimand (as defined in Attachment A), suspension, or termination from the SBSD rotation tow list(s). Alleged violations of the TSA will be investigated by the local SBSD station covered by the Agreement. The Operator will be notified of the local SBSD station's findings within thirty (30) days of the conclusion of the investigation. 27 18. DISCIPLINARY ACTIONS A. The Local Station Commander shall take disciplinary action against Operators for violations investigated and confirmed or sustained. Unless otherwise noted, the Local Station Commander shall determine the period of suspension. The Local Station Commander shall retain discretion regarding the length of any suspension imposed pursuant to the terms and conditions of this Agreement. B. Records of violations shall be retained by the SBSD for at least 36 months. C. Disciplinary action taken against an Operator by a Local Station Commander shall be honored by all SBSD stations being serviced by the Operator in question. Likewise, any disciplinary action taken against an Operator by a local California Highway Patrol Commander may be honored by SBSD stations in the same service area when the violation in question is related to a safety violation. D. A violation of the equipment requirements related to safety shall be cause for immediate suspension. The Local Station Commander shall determine the period of the suspension. The suspension will remain in effect until the period of suspension is completed and the SBSD has conducted an inspection and found that the Operator is in compliance. E. A violation of the GVWR and safe loading requirements of a tow truck shall be cause for immediate suspension. This includes exceeding the tow truck's GVWR, front axle weight rating, rear axle weight rating, maximum tire weight ratings, or not maintaining 50% of the tow truck's unladen weight on the front axle when lifting/carrying a load. F. A violation of intentionally overcharging or a pattern of overcharging shall be cause for immediate suspension or termination. If suspension occurs then the Local Station Commander shall determine the period of the suspension. The suspension will remain in effect until the period of suspension is completed and the Operator has presented proof to the SBSD that reimbursement has been made to the aggrieved customer(s). G. SBSD personnel shall not be offered gratuities and requests for gratuities shall not be honored by tow company Operators, Employees, or associates of the company. A violation of this section shall be cause for suspension or termination. H. A refusal to respond or to perform the required towing or service shall be cause for suspension. I. Any failure to respond or repeated failures to respond within the maximum response time allowed shall be cause for suspension. J. Responding to a SBSD call assigned to another Operator shall be cause for suspension. K. Any unsatisfactory rating based on a violation of the Biennial Inspection of Terminals (BIT) Program requirements shall be cause for an immediate suspension. The Local Station Commander shall determine the period of the suspension. The suspension will remain in effect until the period of suspension is completed and the Operator has presented proof of compliance with the BIT requirements. L. Failure of the Operator to satisfy a court order mandating reimbursement to the vehicle or property owner for the damage or loss which occurred while the vehicle was in the Operator's 28 custody will result in suspension. The suspension will remain in effect until the period of suspension is completed and the Operator has presented proof of the reimbursement. M. Failure of the Operator to comply with the inspection requirements of this Agreement will result in immediate suspension. The Local Station Commander shall determine the period of the suspension. The suspension will remain in effect until the period of suspension is completed and the Operator has complied with the inspection requirement. N. Sending a tow truck driver for whom a Tow Operator/Driver Information Form has not been submitted on a SBSD call shall be cause for immediate suspension (this would also include those drivers dispatched by the tow Operator's business). The suspension will remain in effect until the period of suspension is completed and the Operator has submitted the Driver Information, current Pull Notice Program report, and documentation of the tow truck driver's experience or completed training program to SBSD. O. Failure of the Operator to maintain the minimum insurance requirements set forth in the Agreement will immediately nullify the Agreement and is deemed to be a major violation of the Agreement. P. The Operator will be subject to an additional suspension for failure to notify the SBSD in advance of the insurance policy expiration or cancellation. Q. Minor traffic violations may be considered as minor violations of the Agreement. R. A tow truck driver, not under the immediate observation of the Operator, while driving a tow truck, who is arrested and subsequently convicted for misdemeanor driving under the influence of alcohol and/or drugs, will be subject to immediate suspension from participating as a tow truck driver under the provisions of this Agreement. The length of suspension will be at the Local Station Commander's discretion. S. If the Operator is serving a suspension for one year or more, he/she shall be required to comply with all terms and conditions of the current Agreement at the time of the reinstatement. No equipment shall be approved that is not in compliance with the equipment specifications contained in the Agreement at the time of reinstatement. Sections of this Agreement that are commonly referred to as "grandfather clauses" shall no longer apply to any Operator who is suspended for one year or more. T. Major Violations. Violations of the terms and conditions of the TSA that are subject to suspension for the first violation are categorized as major violations. Any subsequent or continuing major violation may be cause for termination. 1) Termination shall be invoked if, in the Local Station Commander's judgment, continued participation in the Rotation Tow Program by the affected tow Operator may result in a hazard to public safety and/or welfare, or the Operator has been convicted of a crime listed in Element 15C. 2) If deemed appropriate, in lieu of termination, the Local Station Commander may impose additional suspensions for longer periods. U. Minor Violations. Except as specifically stated in the Agreement, minor violations of the terms and conditions of the Agreement may be cause for disciplinary action in the following manner: 1) 151 violation in 12 months — letter of written reprimand and mandatory meeting between the tow service owner and the Local Station Commander or his/her designee to discuss remediation and future avoidance of the violation. 29 2) 2"d violation in 12 months — 1 to 30 -day suspension. 3) 31 violation in 12 months — 60 to 90 -day suspension. 4) 4t" violation in 12 months — termination of the TSA, or if deemed appropriate, in lieu of a termination, the Local Station Commander may impose additional suspensions for longer periods. If the suspension of the Operator would take them through the end of the current agreement, the Operator may apply to be on the following year's rotation tow list, but the Operator will not be reinstated until the full suspension is completed. If the Operator is terminated from the agreement then the Operator will be unable to apply for the SBSD rotation tow list for following three tow service agreements. V. Nothing herein shall be deemed to prohibit the Local Station Commander from immediately suspending any Operator whose conduct, or that of his/her Employee(s), in the discretion of the Local Station Commander, is deemed to be a danger to the motoring public or who has engaged in conduct constituting a flagrant violation of the SBSD TSA. 30 19. HEARING/APPEAL A. In the event the SBSD serves the Operator with a written reprimand or suspension, the Operator may request a hearing within seven calendar days by submitting a request in writing to the Local Station Commander. If a hearing is requested, it shall be held as soon as practicable. The hearing shall be conducted by the Local Station Commander or his/her designee, and the Operator shall be entitled to present all relevant facts and circumstances in support of his/her position. The Operator shall be further entitled to present testimony of at least one representative of a tow truck association or other qualified person. The hearing shall be recorded. The Operator shall be notified in writing of the decision of the Local Station Commander, within 10 business days of the date of completion of the hearing. B. Following a hearing, if the Operator is dissatisfied with the Local Station Commander's decision, the Operator may request an appeal (as defined in Attachment A) by submitting a request in writing to the regional deputy chief for the affected region within 7 calendar days. If an appeal is requested, an appellate hearing shall be held as soon as practicable. The appeal shall be conducted by the regional deputy chief or his/her designee of equal rank. The Operator shall have the same rights as those provided at the local station level, except only newly discovered evidence may be presented, along with argument, at the appellate hearing. This hearing shall also be recorded. The Operator shall be notified in writing of the decision of the regional deputy chief within 10 business days of the date of the appeal. The regional deputy chiefs decision shall be subject to no further administrative appeal. C. A suspension shall not take effect until the hearing and appeal process has been exhausted, with the exception of Operators whose conduct is deemed to be a danger to the motoring public or whose conduct grossly violates the terms and conditions of the SBSD TSA. If an Operator fails to request a hearing or appeal within the specified time or fails to appear at a scheduled hearing or appeal, the action taken by the Local Station Commander shall be final and the suspension shall take effect upon written notification to the Operator by the Local Station Commander. If the suspension takes them past the required application period then the Operator may apply to be on the rotation tow list, but will not be reinstated until the suspension is complete. 31 20. MIDTERM REVIEW OF THE TERMS AND CONDITIONS OF THE AGREEMENT A. The purpose of this section is to provide a process for a midterm review of the terms and conditions of the Agreement in the event that there is a legitimate and substantial change in conditions or law affecting the majority of the Operators within a local station's jurisdiction, or the SBSD. Examples of conditions may include, but are not limited to: 1) Substantial increase or decrease in business expenses. 2) Advances in technology in the industry related to safety issues. 3) Changes in law requiring the SBSD or Operators to perform specific functions or operations in order to comply. 4) Changes in the terms and conditions of the Agreement brought about as a result of recommendations approved by the Sheriff (as defined in Attachment A), or his/her designee. 5) Proposed changes to the terms and conditions agreed upon by the Local Station Commander and the Operators within a station's jurisdiction at the time that the Agreement was signed (e.g., response times). B. Generally, a midterm review of the terms and conditions of the Agreement in a particular station's jurisdiction may only be granted by the Sheriff. 1) A request for a midterm review of the terms and conditions of the Agreement shall be communicated to the Local Station Commander in writing, from at least three Operators on the tow rotation, not merely at the request of a single Operator. The Local Station Commander may also request a midterm review if he/she feels it is in the best interests of the motoring public, the tow industry, and/or the SBSD. The Local Station Commander will route all legitimate requests for midterm review with all pertinent information, through channels, to the Office of the Sheriff. 2) Conditions indicating a need for midterm review must be substantial and must affect the entire towing industry or the SBSD. a. For purposes of this Agreement, the midterm review process is not intended to provide relief for a small number of Operators who wish to increase their rates, or change any other term or condition of the Agreement, to compensate for financial problems brought about as a result of business decisions or conditions which affect a small percentage of the industry. 3) A request for review will not be processed if there are sixty (60) days or less remaining in the term of the Agreement. C. A midterm review, when granted by the Sheriff or his/her designee, will not automatically authorize a change in the terms and conditions of the Agreement. If a midterm review is announced by the Sheriff, or his/her designee, it is the responsibility of the affected Local Station Commander to conduct a review of the conditions which initially caused the request to be communicated, and to determine if the change is justified. 1) The Local Station Commander, after completing the review of all pertinent issues, may authorize the Operators to submit their proposed changes or he/she may notify the 32 Operators of the changes to be implemented and direct them to comply with those changes. If, after evaluating all pertinent information, a Local Station Commander authorizes or directs a change in the terms and conditions of the Agreement or if he/she decides that a change is not justified, he/she shall notify the requesting Operators within 14 calendar days of the date of the Sheriff's announcement authorizing the midterm review. a. Operators shall resubmit their proposed changes in writing to the Local Station Commander within seven calendar days of the date that the Local Station Commander announces his/her decision. Failure to resubmit a written proposal within the specified time may result in the Operator forfeiting her/her ability to propose more equitable conditions or rates, or may be cause for disciplinary action or termination of the Agreement. (1) If the proposed change affects tow rates only, Operators shall resubmit their proposed rates on a new application. The new application shall contain only the information pertinent to the rate proposals. When received by the Local Station Commander, the new application will be attached to the original application for the current term. (2) The Local Station Commander shall determine the reasonableness of the rate, based upon the average of the proposed rates submitted. An additional page with the new rate(s) shall be signed and attached to the original. 2) In the event that a requesting Operator is dissatisfied with the Local Station Commander's decision regarding the midterm review, any requesting Operator may request a hearing by submitting a request in writing to the Local Station Commander within seven calendar days. If a hearing is requested, a joint hearing shall be conducted by the Local Station Commander, or his/her designee, as soon as practicable for all Operators who timely requested a hearing. Each requesting Operator shall be entitled to present all relevant factors and circumstances in support of the Operator's position. This hearing shall be recorded. The appealing Operators shall be notified in writing of the decision of the Local Station Commander within seven calendar days of the date of the hearing. 3) In the event that a requesting Operator is dissatisfied with the Local Station Commander's decision, a requesting Operator may request an appeal by submitting a request in writing to the regional deputy chief for the affected region within seven calendar days. If an appeal is requested, it shall be conducted by the regional deputy chief, or his/her designee, as soon as practicable. The requesting Operators shall have the same rights as those provided at the local level, except only newly discovered evidence may be presented, along with argument, at the appellate hearing. This hearing shall also be recorded. The appealing Operators shall be notified in writing of the decision of the regional deputy chief within seven calendar days of the date of the hearing, which decision shall be final. 4) In the event that the Local Station Commander's decision is to direct the Operators to resubmit rates that are more reasonable that the current rates, the new rate application process shall not be initiated until the hearing and appeal process is exhausted. If sufficient Operators fail to request a hearing or appeal within the specified time, or fail to appear at a scheduled hearing or appeal, the decision of the Local Station Commander shall be final, and the new rate application process shall begin. 33 5) In the event that the Local Station Commander's decision is to direct the Operators to comply with a change to any other term or condition of the Agreement, e.g., change in response times, the new terms and conditions shall not be initiated until the hearing and appeal process is exhausted. If sufficient Operators fail to request a hearing or appeal within the specified time, or fail to appear at a scheduled hearing or appeal, the decision of the Local Station Commander shall be final, and the new rate application process shall begin. 34 21. ADVERTISING A. An Operator shall not display any sign or engage in any advertisement indicating an official or unofficial connection with the SBSD or the Department of Motor Vehicles. 1) Examples include "Official SBSD Tow", "Approved by SBSD", "SBSD Rotation Tow" and the like. 2) This will not preclude the Local Station Commander from implementing a system to mark and identify particular tow trucks as having passed the SBSD inspection or as being assigned to specific Tow Districts within the local station's jurisdiction. B. Any violation of this element is cause for suspension. At a minimum, the suspension shall be for the duration of the advertisement. 35 22. CANCELATION, TERMINATION AND EXEMPTIONS A. This Agreement may be cancelled by either party without prejudice by giving thirty (30) days written notice to the other party. B. For good cause shown, the Local Station Commander may temporarily relieve a qualified Operator of compliance with a required provision of the Rotation Tow Agreement. Any such exemption must be requested in writing, stating valid reasons for the need and justification for a temporary exemption from a requirement of the Rotation Tow Agreement. No exemption shall be deemed to have been granted unless it is expressly received by the requesting Operator in writing from the SBSD. 1) No exemption shall be granted for a period greater than six months from the date of its approval. Any noncompliance with a material provision of the TSA after the expiration of a granted exemption shall result in the immediate termination of the existing TSA. 2) No exemption shall be considered or granted concerning any legal or safety requirements. C. If is determined that the owner/Operator had knowledge of criminal activity occurring on the property of the Operator or the Operator is arrested for a crime which is a felony, then the TSA agreement may be immediately terminated. D. If the Operator refused to comply with any of the terms of the TSA agreement, then the TSA agreement may be immediately terminated. W 23. LEVY EXEMPTION A. Nothing in this Agreement obligates the SBSD's Court Services Bureau to use a rotation tow list when its personnel perform a levy pursuant to a lawful writ issued by a court of law under California Code of Civil Procedure section 488.020 et seq. (attachment), 512.020 et seq. (possession by claim and delivery), 699.510 et seq. (execution), 712.010 et seq. (possession or sale), 715.010 et seq. (possession of real property), or pursuant to any other order of the court directing the Sheriff of San Bernardino County to take property for sale or other disposition. In such cases the levying officer must comply with all applicable laws to carry out these or any other orders of the court that direct the Sheriff of San Bernardino County to take property for sale or other disposition. A levy requires signed instructions from the plaintiff and prearranged facilities that can accommodate the special needs of the Court Services Bureau when its personnel perform required duties. These include, but are not limited to, the community where the sale will occur, storage needs, ability to release, plaintiff directions, and other requirements that would be identified upon notice to the Sheriff. 37 24. CONFLICTING CITY ORDINANCE OR WRITTEN POLICY PROVISION EXCEPTION A. Any provision of the SBSD TSA that directly conflicts with one or more provisions of a city ordinance or written policy regulating tow service within that city's geographical boundaries shall not apply. In such circumstances, the conflicting city ordinance or written policy provisions shall apply, but all non -conflicting SBSD TSA provisions shall remain in full force and effect. 38 25. TERM OF AGREEMENT A. The term of this Agreement shall be for a period of one year from July 1, through June 30, of each year unless it is cancelled earlier according to its own terms. 39 26. OPERATOR APPROVAL I certify that I have read and understand this TSA and agree to abide by all of its provisions. I further agree to indemnify, defend, and hold harmless the County of San Bernardino and the San Bernardino County Sheriff's Department and their officers, agents, employees, and volunteers from any and all claims and losses accruing or resulting to the Operator in connection with the performance of this Agreement, and from any and all claims and losses accruing or resulting to any person, firm, or corporation who may be injured or damaged by the Operator in the performance of this Agreement. The Operator, and the agents and Employees of the Operator, in the performance of this Agreement, shall act in an independent capacity and not as officers or employees or agents of the County of San Bernardino or the San Bernardino County Sheriffs Department. The terms of this TSA will become effective: and end Date Date Operator Approval: Signature Typed Name Company Title Date Business Address Phone Number ACKNOWLEDGMENT: I have received a copy of ATTACHMENTS A, B, C and D. Signature Company Name .E ATTACHMENT A DEFINITIONS 1. APPEAL The final level of review for written reprimands, suspensions, terminations, or review of a Local Station Commander's decision regarding the midterm review process. An informal review conducted by the regional deputy chief for the affected region, or his/her designee, at which an Operator may present evidence or witnesses to show that an action taken by a Local Station Commander was improper, or to mitigate the action taken. 2. BASE SERVICES Any service or tow which is performed when the vehicle Operator or agent is present and the vehicle is not stored at the direction of a deputy. 3. EMPLOYEE: Employee shall include, but not be limited to, the operator's employees, agents, associates, successors, predecessors in interest, independent contractors, and all other persons or entities the operator exercises control over that directly relate to the business of the operator, including, without limitation, proprietors, office employees, drivers, mechanics, anyone with access to towed vehicles or the storage yard, vehicle maintenance personnel and similar types of persons. This definition is intended to be inclusive rather than exclusive. 4. ENROLLMENT PERIOD The period of time when a tow company may submit an application for inclusion on a sheriff s station's rotation tow list. The enrollment period will be open from March 1 through March 31 of each year. 5. EXEMPTION Written grant of temporary relief to an Operator from a specific required term of the Tow Service Agreement unrelated to any legal or safety requirements. 6. INCIDENT COMMANDER The uniformed SBSD member present at the incident that has scene management responsibilities. 7. LOAD SALVAGE OPERATIONS Any operation involving the recovery of a load which has been spilled, or the off-loading and reloading of a load from an overturned vehicle performed in order to upright the vehicle. This will be limited to operations involving Class B, C and D tow trucks. 8. LOCAL STATION COMMANDER The captain or lieutenant in charge of a sheriff's station. 9. NOTICE 41 Any communication relating to the TSA. All notices relating to this Agreement shall be in writing and delivered to the other party in person, via FAX, or by U.S. mail. 10. OPERATOR A tow service, which has been issued a Letter of Authorization, has signed the Tow Service Agreement and is approved to receive SBSD referred calls in a particular geographical area. The term "Operator" refers to the company, its owner(s), and its manager(s) who have authority to enter into an Agreement with the SBSD for towing services and to conduct business in accordance with the terms of this Agreement, and its employees, independent contractors, and any agent of the Operator. 11. PARTY OF INTEREST Refers to the registered owner of the vehicle, or his/her agent. An agent is a party who may lawfully act on behalf of the registered or legal owner of the vehicle. 12. PORTAL TO PORTAL Service shall start at the time of departure from the place of business or point of dispatch, whichever is closer to the location of the call, and shall end at the estimated time of return to the place of business or the completion of the call, if another call is pending, whichever is shorter. Return to place of business includes a reasonable and verifiable amount of time required to place the tow truck back into service when unusual circumstances require additional time that is not part of normal operating procedures. (Examples: 1) 4x4 recovery in the mud: reasonable to charge for cleaning mud from truck and equipment; 2) burned car on car carrier: reasonable to charge for cleaning bum debris from carrier bed; 3) car towed from side of road on misty night and leaves mud track on bed of carrier: not reasonable to charge for cleaning of carrier bed.) For the purpose of this Agreement, "Portal to Portal" shall also mean "Portal to End of Service". 13. POSSESSION Pursuant to section 3068 of the Civil Code, possession is deemed to arise when the vehicle is removed and is in transit. 14. PUBLIC SAFETY RESPONSE A response which results in a storage of a vehicle at the direction of a deputy. This does not include storage at the request of the vehicle Operator, registered owner, or agent. 15. REGIONAL DEPUTY CHIEF The deputy chief supervising Local Station Commanders within a particular geographical region. 16. RESPONSE TIME The period of time from an Operator's notification of a call by sheriff s dispatcher, to the arrival of the tow truck at the location requested. 17. RETAIL RATE The usual customary rate charged by an Operator to individual retail customers. This is the competitive rate a company has posted in the office and quotes over the phone. 42 ATTACHMENT B Applicable California Vehicle Code and Civil Code Provisions Note: Many California laws, which govern a tow Operator's business and vehicle operations, are included in this attachment. The is list of California statutes included herein is intended as a general guide only and is not meant to be considered all-inclusive. It is the tow Operator's responsibility to know and comply with all federal and state statutes and all local ordinances relating to his/her business operations, including those that are referred to in this document and those that are not; any new statutes or ordinances that are subsequently adopted; and any amendments, repeals, or modifications of existing statutes and ordinances, including but not limited to those described in this attachment. 1. General A. The Operator shall be able to properly conduct a lien sale on a stored vehicle as outlined in Division 11, Chapter 10, Article 2, beginning with section 22851 of the California Vehicle Code (CVC). B. The Operator and/or his/her agents who drive tow trucks shall be properly licensed in accordance with section 12804.9 of the California Vehicle Code. 1) Commercial driver licenses must be endorsed to allow operation of special vehicle configurations and /or special cargoes. The following table shows the correct license class and endorsement for the vehicle or cargo being transported. Vehicle Type or Cargo Class License Endorsement Code Pulling more than one trailer A T Transporting passenger for hire A or B P Tank vehicle A or B N Hazardous materials A, B or C H Tank vehicle with hazardous materials A, B or C X a) Tow truck drivers shall have the proper class of license and endorsement(s) for the vehicle and cargo being transported, as shown above. (1) Whenever tank vehicles, double trailers and/or hazardous materials carriers are towed or driven, the driver is required to possess the appropriate class of license and endorsement. (2) Empty buses can be towed without the passenger transport endorsement, but the tow truck driver must have the passenger transport endorsement if the bus is driven by him/her, even without passengers. b) Tow truck drivers may obtain a Class A driver license that is restricted to towing other vehicles. (1) The actual driving of damaged vehicles or vehicles being serviced requires that the Class A license not be restricted to towing vehicles. (2) Commercial vehicle Operators or Operators of vehicles requiring a special certificate must possess both the appropriate license and certificate, and be in possession of a valid medical card. 44 C. The Operator shall comply with the provisions contained in Division 4, Chapter 2 (reports of Stored Vehicles) of the California Vehicle Code. D. The Operator shall comply with the provisions of section 10854 of the California Vehicle Code, relating to unlawful use of a vehicle or tampering with a vehicle by a bailee. E. The Operator shall comply with the provisions of section 12110 of the California Vehicle Code, relating to prohibited compensation for arranging or requesting towing services. F. The Operator shall comply with the provisions of Division 11, Chapter 9, relating to stopping, standing or parking, and Chapter 10, relating to the removal and disposition of vehicles. G. Tow trucks shall comply with appropriate lighting and equipment requirements for motor vehicles as contained in the California Vehicle Code. H. Tow trucks towing disabled legal vehicles or legal combination of vehicles shall comply with all of the vehicle size and weight limitations contained in Division 15 of the California Vehicle Code. 1) Tow Operators may obtain transportation permits, which allow specific variances on these vehicle length and weight limitations, through the California Department of Transportation or local authorities with respect to highways under their respective jurisdictions. a) The California Department of Transportation issues permits to requesting Operators on an annual basis. The permit allows the movement of disabled legal vehicles under the following conditions: (1) Disabled legal vehicles or legal combination of vehicles may be towed on state highways to the nearest appropriate place of repair, or nearest secure storage area that is appropriate for the vehicle or load, whichever is closest and most accessible. It is not the intent of this permit to allow these combinations to be towed to their ultimate destination for convenience, unless that destination meets the foregoing criteria. (2) Disabled legal vehicles or combination of vehicles, when connected to a tow truck, may exceed legal gross weight limitations. When one end of a truck or truck tractor of legal weight is elevated by a tow truck, the drive axles, the tow truck and/or the drive axle(s) of the disabled vehicle may exceed legal axle or axle group weight limitations. If any axle or axle group exceeds legal weight, movement will be limited to specific routes. b) Disabled vehicles or combination of vehicles whose movement is authorized by a transportation permit, or any disabled vehicle or any combination of vehicles which, because of damage, has incurred distortion in width or height, causing the vehicle to be in excess of legal dimensions, may be moved at the direction of a peace officer or single trip permit issued by the California Department of Transportation. c) The driver of a tow truck, operating under a transportation permit, shall comply with all the terms and conditions of the permit. 45 I. The Operator shall comply with the provisions of sections 3068 through 3074 of the California Civil Code, relating to liens on vehicles, including service liens; towing, storage and labor liens; towing and storage charges; lien satisfaction; tow truck Operator deficiency claims; lien sales; obtaining possession of a vehicle or any part thereof subject to a lien by trick, fraud or device; and improperly causing a vehicle to be towed or removed in order to create a lien. J. The Operator shall comply with sections 182, 470 and 532 of the California Penal Code, relating to conspiracy to commit forgery or fraud, forgery and fraud. K. The Operator shall comply with the provisions of sections 17200 and 17500 of the California Business and Professions Code, relating to fraudulent or unfair business practices and false or misleading statement. 1) Specific California Vehicle Code Requirements Relating to Tow Trucks a) Summarized California Vehicle Code Provisions 1) Unlawful Advertising (sec. 25). "(a) It is unlawful for any person to display or cause or permit to be displayed any sign, mark, or advertisement indicating an official connection with either the Department of Motor Vehicles or the Department of California Highway Patrol unless such person has lawful authority, permission or right to make such display." 2) Tow Truck (s& 615). "(a) A tow Truck' is a motor vehicle which has been altered or designed and equipped for, and primarily used in the business of towing vehicles by means of a crane, hoist, tow bar, tow line, or dolly or is otherwise exclusively used to render assistance to other vehicles. A `roll -back carrier' designed to carry up to two vehicles is also a tow truck. A trailer for hire that is being used to transport a vehicle is a tow truck. `Tow truck' does not include an automobile dismantlers' tow vehicle or a repossessor's tow vehicle." b) "Repossessor's tow vehicle" means a tow vehicle which is registered to a repossessor licensed or registered pursuant to Chapter 11 (commencing with Section 7500) of Division 3 of the Business and Professions Code that is used exclusively in the course of the repossession business. c) "Automobile dismantlers' tow vehicle' means a tow vehicle which is registered by an automobile dismantler licensed pursuant to Chapter 3 (commencing with Section 11500) of Division 5 and which is used exclusively to tow vehicles owned by that automobile dismantler in the course of the automobile dismantling business." NOTE: A vehicle that is not exclusively used in the business of towing vehicles nor used to render assistance to other vehicles is not a "tow truck" as defined above and need not comply with the requirements of the California Vehicle Code sections cited in this attachment. Such a vehicle shall not be equipped with the flashing amber warning lights permitted on "tow trucks", and is not entitled to special parking privileges under Vehicle Code section 22513. 46 3) Portable Dolly (sec. 4014). "Any portable or collapsible dolly carried in a tow truck or in a truck used by an automobile dismantler and used upon a highway exclusively for towing disabled vehicles is exempt from registration." 4) License Plates (sec. 520_1). "(a) The rear license plate on a tow truck may be mounted on the left-hand side of the mast assembly at the rear of the cab of the vehicle, no less than 12 inches nor more than 90 inches from the ground." 5) Tow Service Unlawful Acts sec. 12110. "(a) Except as provided in subdivision (b), no towing service shall provide and no person or public entity shall accept any direct or indirect commission, gift, or any compensation whatever from a towing service in consideration of arranging or requesting the services of a tow truck. As used in this section, "arranging" does not include the activities of Employees or principals of a provider of towing services in responding to a request for towing services." (b) Subdivision (a) does not preclude a public entity otherwise authorized by law from requiring a fee in connection with the award of a franchise for towing vehicles on behalf of that public entity. However, the fee in those cases may not exceed the amount necessary to reimburse the public entity for its actual and reasonable costs incurred in connection with the towing program. (c) Any towing service or any Employee of a towing service that accepts or agrees to accept any money or anything of value from a repair shop and any repair shop or any Employee of a repair shop that pays or agrees to pay any money or anything of value as a commission, referral fee, inducement, or in any manner a consideration, for the delivery or the arranging of a delivery of a vehicle, not owned by the repair shop or towing service, for the purpose of storage or repair, is guilty of a misdemeanor, punishable as set forth in subdivision (d). Nothing in this subdivision prevents a towing service from towing a vehicle to a repair shop owned by the same company that owns the towing service. (d) Any person convicted of a violation of subdivision (a) or (c) shall be punished as follows: (1) (Upon first conviction, by a fine or not more than five thousand dollars ($5,000) or imprisonment in the county jail for not more than six months, or by both that fine and imprisonment. If the violation of subdivision (a) or (c) is committed by a tow truck driver, the person's privilege to operate a motor vehicle shall be suspended by the department under Section 13351.85. The clerk of the court shall send a certified abstract of the conviction to the department. If the violation of either subdivision (a) or (c) is committed by a tow truck driver, the court may order the impoundment or the tow truck involved for not more than 15 days. (2) Upon a conviction of a violation of subdivision (a) or (c) that occurred within seven years of one or more separate convictions of violations of subdivision (a) or (c), by a fine or not more than Ten thousand dollars ($10,000) or imprisonment in the county jail for not more than one year, or by both that fine and imprisonment. If the violation of subdivision (a) or (c) is committed 47 by a tow truck driver, the person's privilege to operate a motor vehicle shall be suspended by the department under Section 13351.85. The clerk of the court shall send a certified abstract of the conviction to the department. If the violation of either subdivision (a) or (c) is committed by a tow truck owner, the court may order the impoundment of the tow truck involved for not less than 15 days but not more than 30 days. 6) Stopping or Parking ( sec 22513). Section 22513 prohibits a tow truck Operator or owner from stopping at the scene of an accident or near a disabled vehicle for the purpose of soliciting an engagement for services, or furnishing any towing services unless summoned to that accident scene or disabled vehicle, or flagged down by the owner or Operator of the disabled vehicle or by a peace officer. The tow truck driver or owner is also prohibited from removing any vehicle from a highway or public property, without the express written authorization of the vehicle's owner or Operator, or a law enforcement officer or agency, when the vehicle has been left unattended or when there is an injury as a result of an accident. 7) Stopping on Freeway f sec. 21718). _ "No person shall stop, park or leave standing any vehicle upon a freeway which has full control of access and no crossings at grade except: (1) When necessary to avoid injury or damage to persons or property. (2) When required by law or in obedience to a peace officer or official traffic control device. (3) When any person is actually engaged in maintenance or construction on freeway property or any Employee of a public agency is actually engaged in the performance of official duties. (4) When any vehicle which is so disabled that it is impossible to avoid temporarily stopping and another vehicle has been summoned to render assistance to the disabled vehicle or driver of the disabled vehicle. This paragraph applies when the vehicle summoned to render assistance is a vehicle owned by the donor of free emergency assistance that has been summoned by display upon or within a disabled vehicle of a placard or sign given to the driver of the disabled vehicle by the donor for the specific purpose of summoning assistance, other than towing service, from the donor. (5) Where stopping, standing, or parking is specifically permitted. However, buses may not stop on freeways unless sidewalks are provided with shoulders of sufficient width to permit stopping without interfering with the normal movement of traffic and without the possibility of crossing over fast lanes to reach the bus stop. (6) Where necessary for any person to report a traffic accident or other situation or incident to a peace officer or any person specified in paragraph (3), either directly or by means of an emergency telephone or similar device. 48 (7) When necessary for the purpose of rapid removal of impediments to traffic by the owner or Operator of a tow truck operating under an agreement with the Department of California Highway Patrol. (8) A conviction of a violation of this section is a conviction involving the safe operation of a motor vehicle upon the highway if a notice to appear for the violation was issued by a peace officer described in Section 830.1 or 830.2 of the Penal Code. 8) Tow_ in or Storage Charges: Payment ( sec 22651.1). Persons operating or in charge of any storage facility where vehicles are stored pursuant to Section 22651 shall accept a valid bank credit card or cash for payment of towing and storage by the registered owner, legal owner, or the owner's agent claiming the vehicle. A person operating or in charge of any storage facility who refused to accept a valid bank credit card shall be liable to the registered owner of the vehicle for four times the amount of the towing and storage charges, but not to exceed five hundred dollars ($500). In addition, persons operating or in charge of the storage facility shall have sufficient funds on the premises to accommodate and make change in a reasonable monetary transaction. Credit charges for towing and storage services shall comply with Section 1748.1 of the Civil Code. Law enforcement agencies may include the costs of providing for payment by credit when agreeing with a towing or storage provider on rate. 9) Release of a Stored Vehicle r sec 22850.3) '(a) A vehicle placed in storage pursuant to Section 22850 shall be released to the owner or person in control of the vehicle only if the owner or person furnishes, to the law enforcement agency or employee who placed the vehicle in storage, satisfactory proof of current vehicle registration. The agency, which caused the vehicle to be stored, may, in its discretion, issue a notice to appear for the registration violation, if the two days immediately following the day of impoundment are weekend days or holidays. (b) At every storage facility there shall be posted in a conspicuous place a notice to the effect that a vehicle placed in storage pursuant to Section 22850 may be released only on proof of current registration or, at the discretion of the impounding agency, upon the issuance of a notice to appear for the registration violation by the local agency which caused the vehicle to be stored, specifying the name, and telephone number of that local agency." 10) Stoplamps_ Taillamps. Reflectors � secs. 24600, 24603 and 24607). In addition to required lighting equipment, tow trucks may be equipped with additional stoplamps, taillamps and rear reflectors which may be mounted not lower than 15 inches nor higher than the maximum allowable vehicle height and as far forward as the rearmost portion of the driver's seat in the rearmost position. Such additional taillamps shall be lighted whenever the headlamps are lighted. 11) Tow Trucks and Towed Vehicles (see. 24605). "(a) A tow truck or an automobile dismantler's tow vehicle used to tow a vehicle shall be equipped with and carry a taillamp, a stoplamp, turn signal lamps, and a portable electric extension cord for use in displaying the lamps on the rear of the towed vehicle. (b) Whenever a tow truck or an automobile dismantler's tow vehicle is towing a vehicle and a stoplamp and turn signal lamps cannot be lighted and displayed on the rear of the towed vehicle, the Operator of the tow truck or the automobile dismantler's tow vehicle shall, by means of an extension cord, display to the rear a stoplamp and turn signal lamps mounted on the towed vehicle, except as provided in subdivision (c). During darkness, if a taillamp on the towed vehicle cannot be lighted, the tow truck or the automobile dismantler's tow vehicle Operator shall, by means of an extension cord, display to the rear a taillamp mounted on the towed vehicle. No other lighting equipment need be displayed on the towed vehicle. (c) Whenever any motor vehicle is towing another motor vehicle, stoplamps and turn signal lamps are not required on the towed motor vehicle, but only if a stoplamp and turn signal lamp on each side of the rear of the towing vehicle is plainly visible to the rear of the towed vehicle. This subdivision does not apply to driveaway-towaway operations." 12) Utility Floodlights (sec 25110). "(a) Tow trucks that are used to tow disabled vehicles might be equipped with utility flood or loading lamps mounted on the rear, and sides, which project a white light illuminating an area to the side or rear of the vehicle for a distance not to exceed 75 feet at the level of the roadway. Tow trucks may display such utility floodlights only during the period of preparation for towing at the location from which a disabled vehicle is to be towed. The flood lamps shall not be lighted during darkness, except while the vehicle is parked, nor project any glaring light into the eyes of an approaching driver." 13) Warning Lamps on Tow Trucks sec 25253. "Tow trucks used to tow disabled vehicles shall be equipped with flashing amber warning lamps. Tractor -trailer combinations are exempt from this requirement. Tow trucks may display flashing amber warning lamps while providing service to a disabled vehicle. A flashing amber warning lamp upon a tow truck may be displayed to the rear when such tow truck is towing a vehicle and moving at a speed slower than the normal flow of traffic." Note: Vehicles used by automobile dismantlers to tow disabled vehicles may be equipped with flashing amber warning lights. Vehicles used by service stations or garages to occasionally render assistance to disabled vehicles are not tow trucks and are not permitted to be equipped with flashing amber warning lamps. 14) Use of Flashing Amber Warning Light sec.25268 . "No person shall display a flashing amber warning light on a vehicle as permitted by this code except when an unusual traffic hazard exists." 15) Warning Devices on Disabled or Parked Vehicles (sec 25300). "(a) Every vehicle which, if operated during darkness, would be subject to the provisions of Section 25100, and every truck tractor, irrespective of width, shall be equipped with a least three red emergency reflectors. The reflectors need be carried by only one vehicle in a combination. 50 All reflectors shall be maintained in good working condition. (b) When any such vehicle is disabled on the roadway during darkness, reflectors of the type specified in subdivision (a) shall be immediately placed as follows: (1) One at the traffic side of the disabled vehicle, nor more than 10 feet to the front or rear thereof; (2) One at a distance of approximately 100 feet to the rear of the disabled vehicle in the center of the traffic lane occupied by such vehicle; and (3) One at a distance of approximately 100 feet to the front of the disabled vehicle in the center of the traffic lane occupied by such vehicle. (4) If disablement of any such vehicle occurs within 500 feet of a curve, crest of hill, or other obstruction to view, the driver shall so place the reflectors in that direction as to afford ample warning to other users of the highway, but in no case less than 100 nor more than 500 feet from the disabled vehicle. (5) If disablement of the vehicle occurs upon any roadway of a divided or one- way highway, the driver shall place one reflector at a distance of approximately 200 feet and one such reflector at a distance of approximately 100 feet to the rear of the vehicle in the center of the lane occupied by the stopped vehicle, and one such reflector at the traffic side of the vehicle not more than 10 feet to the rear of the vehicle. (c) When any such vehicle is disabled or parked off the roadway but within 10 feet thereof during darkness, warning reflectors of the type specified in subdivision (a) shall be immediately placed by the driver as follows: One at a distance of approximately 200 feet and one at a distance of approximately 100 feet to the rear of the vehicle, and one at the traffic side of the vehicle not more than 10 feet to the rear of the vehicle. The reflectors shall, if possible, be placed between the edge of the roadway and the vehicle, but in no event less than 2 feet to the left of the widest portion of the vehicle or load thereon. (d) Until the reflectors required by this section can be placed properly, the requirements of this section may be complied with temporarily by either placing lighted red fuses in the required locations or by use of turn signal lamps, but only if front turn signal lamps at each side are being flashed simultaneously and rear turn signal lamps at each side are being flashed simultaneously. (e) The reflectors shall be displayed continuously during darkness while the vehicle remains disabled upon the roadway or parked or disabled within 10 feet thereof. (f) Subdivisions (b), (c), (d) and (e) do not apply to a vehicle under either of the following circumstances. (1) Parked in a legal position within the corporate limits of any city. 51 (2) Parked in a legal position upon a roadway bounded by adjacent curbs. (g) In addition to the reflectors specified in subdivision (a), an emergency warning sign or banner may be attached to a vehicle which is disabled upon the roadway or which is parked or disabled within 10 feet of a roadway." 16) Use of Fusees sec 25305. "(a) No person shall place, deposit, or display upon or adjacent to any highway any lighted fusee, except as a warning to approaching vehicular traffic or railroad trains, or both, of an existing hazard upon or adjacent to the highway or highway -railroad crossing. (b) It is unlawful to use any fusee which produces other than a red light. The provisions of this subdivision shall not apply to any railroad, as defined in Section 229 of the Utilities Code." 17) Brakes secs. 26453.26454 and 26458. "Disabled motor vehicles equipped with power brakes are exempt from the provisions of Vehicle Code section 26458 which require a single control on the towing vehicle to operate the brakes on the towed vehicle. Such combinations must meet the stopping distance requirement of 50 feet from an initial speed of 20 miles.per hour. The service brakes on the tow truck shall be adequate to control the movement of and stop and hold the combination of vehicles under all conditions and on any grade on which they are operated. Brakes are required to be maintained in good working order at all times." 18) Broom. Shovel and Extinguisher (sec 27700). (a) "Tow trucks should be equipped with and carry all of the following: (1) One or more brooms, and the driver of the tow truck engaged to remove a disabled vehicle from the scene of an accident shall remove all glass and debris deposited upon the roadway by the disabled vehicle which is to be towed. (2) One or more shovels, and whenever practical the tow truck driver engaged to remove any disabled vehicle shall spread dirt upon that portion of the roadway where the oil or grease has been deposited by the disabled vehicle. (3) One or more fire extinguishers of the dry chemical or carbon dioxide type with an aggregate rating of at least 4-B, C units and bearing the approval of a laboratory nationally recognized as properly equipped to make such approval. (b) A person licensed as a repossession agency pursuant to Chapter 11 (commencing with Section 7500) of Division 3 of the Business and Professions Code is exempt from this section." 19) Signs. Tow Truck _Lsec 27907). "There shall be displayed in a conspicuous place on both the right and left side of a tow truck, a repossessor's tow vehicle, or an automobile dismantler's tow vehicle used to tow or carry vehicles a sign showing the name of the company or the owner or Operator of the tow truck or tow vehicle. The sign shall also contain the business address and telephone number of the owner or driver. The letters 52 and numbers of the sign shall be not less than 2 inches in height and shall be in contrast to the color of the background upon which they are placed. A person licensed as a repossession agency pursuant to Chapter 11 (commencing with Section 7500) of Division 3 of the Business and Professions Code, or a registrant of the agency, may use the license number issued to the agency by the Department of Consumer Affairs in lieu of a name, business address, and telephone number." 20) Safety Connections for Towed Vehicle sec. 29004. "(a)(1) Except as required under paragraph (2), every towed vehicle shall be coupled to the towing vehicle by means of a safety chain, cable, or equivalent device in addition to the regular drawbar, tongue or other connection. (2) Any vehicle towed by a tow truck shall be coupled to the tow truck by means of at least two safety chains in addition to the primary restraining system. The safety chains shall be securely affixed to the truck frame, bed or towing equipment, independent of the towing sling, wheel lift, or under -reach towing equipment. (3) Any vehicle transported on a slide back carrier or conventional trailer shall be secured by at least four tie -down chains, straps or an equivalent device, independent of the winch or loading cable. This subdivision shall not apply to vehicle bodies that are being transported in compliance with Sections 1340 to 1344, inclusive, of Title 13 of the California Code of Regulations. (b) All safety connections and attachments shall be of sufficient strength to control the towed vehicle in the event of failure of the regular hitch, coupling device, drawbar, tongue or other connection. All safety connections and attachments also shall have a positive means of ensuring that the safety connection or attachment does not become dislodged while in transit. (c) No more slack shall be left in a safety chain, cable, or equivalent device than is necessary to permit proper turning. When a drawbar [as defined in sec. 300] is used as the towing connection, the safety chain, cable or equivalent device shall be connected to the towed and towing vehicle and to the drawbar so as to prevent the drawbar from dropping to the ground if the drawbar falls. (d) Subdivision (a) does not apply to a semi trailer having a connecting device composed of a fifth wheel and kingpin assembly, and it does not apply to a towed motor vehicle when steered by a person who holds a license for the type of vehicle being towed. (e) For purposes of this section, a `tow truck' includes both of the following: (1) A repossessor's tow vehicle, as defined in subdivision (b) of Section 615. (2) An automobile dismantler's tow vehicle, as defined in subdivision (c) of Section 615. 53 (f) Vehicles towed by a repossessor's tow vehicle, as defined in subdivision (b) of Section 615, are exempt from the multisafety chain requirement of paragraph (2) of subdivision (a) so long as the vehicle is not towed more than one mile from the point of repossession and is secured by one safety chain. (g) This section shall become operative only if Senate Bill 378 of the 1999-2000 Regular Session is enacted and becomes operative and amends Section 615 of the Vehicle Code." [This condition did not occur.] 54 ATTACHMENT C 1. GENERAL EQUIPMENT SPECIFICATIONS AND USE REQUIREMENTS A. Tow Truck and Car Carrier Classifications Tow truck and car carrier classifications are based on the truck chassis GVWR and the classifications system used by the American Trucking Association (ATA) and truck manufacturers. B. Equipment Limitations 1) All towing equipment, recovery equipment and carrier ratings are based on structural factors only. Actual towing, carrying, and recovery capacity may be limited by the capacity of the chassis and the optional equipment selected. C. Towing Limitations 1) The total weight of the truck, including the lifted load, shall fall within the GVWR and not exceed either the front axle weight ratings (FAWR) or rear axle weight ratings (RAWR). 2) The truck must meet all applicable state and/or federal standards. 3) The front axle load must be at least 50% of its normal or unladen weight after the load is lifted. 4) Any violation of this element is cause for suspension. D. Identification Labels 1) Each piece of towing equipment shall have a label or identification permanently affixed to the equipment in a prominent location to identify the manufacturer, serial number, model, and rated capacity. E. Recovery Equipment Rating 1) The basic performance rating of the recovery equipment is the weight the equipment can lift in a winching mode, when the boom is static at a 30 -degree elevation with the load lines vertical and the lifting cables sharing the load equally, measured with a live load (weight or load cell). 55 ATA and Manufacturers Classifications CHP Rotation Classifications a. Class 3 — 10,000 — 14,000 pounds GVWR (Class A Tow Trucks) b. Class 4 - 14,001 —16,000 pounds GVWR (Class A Tow Trucks) c. Class 5 — 16,001 — 19,500 pounds GVWR (Class A Tow Trucks) d. Class 6 — 19,501 — 26,000 pounds GVWR (Class B Tow Trucks) e. Class 7 — 26,001 — 33,000 pounds GVWR (Class B Tow Trucks) f. Class 8 — 33,001 or more GVWR (Class C & D Tow Trucks) B. Equipment Limitations 1) All towing equipment, recovery equipment and carrier ratings are based on structural factors only. Actual towing, carrying, and recovery capacity may be limited by the capacity of the chassis and the optional equipment selected. C. Towing Limitations 1) The total weight of the truck, including the lifted load, shall fall within the GVWR and not exceed either the front axle weight ratings (FAWR) or rear axle weight ratings (RAWR). 2) The truck must meet all applicable state and/or federal standards. 3) The front axle load must be at least 50% of its normal or unladen weight after the load is lifted. 4) Any violation of this element is cause for suspension. D. Identification Labels 1) Each piece of towing equipment shall have a label or identification permanently affixed to the equipment in a prominent location to identify the manufacturer, serial number, model, and rated capacity. E. Recovery Equipment Rating 1) The basic performance rating of the recovery equipment is the weight the equipment can lift in a winching mode, when the boom is static at a 30 -degree elevation with the load lines vertical and the lifting cables sharing the load equally, measured with a live load (weight or load cell). 55 (a) The structural design of the recovery equipment must have a higher load capacity than the performance rating(s). (b) Winches shall conform to or exceed the specifications set forth by the Society of Automotive Engineers (SAE) Handbook, SAEJ706. (c) All ratings for cable and chain assemblies are for the undamaged assembly condition. All cable and chain assemblies should be the same type, construction, and rating as specified by the original equipment manufacturer (OEM) for the equipment. F. Safety Chains 1) Safety chains shall be rated at no less than the rating specified by the OEM. (a) Two safety chains shall be used for vehicles being towed. The safety chains shall be securely affixed to the truck bed frame or wrecker boom, independent of the towing sling, bar or hitch, wheel lift, or underlift towing equipment. The towed vehicle shall be secured to the towing equipment independent of the safety chains by either two chains or two straps. (b) Vehicles being transported on slide back carriers shall be secured by four tie -down chains or straps independent of the winch or loading cable. (c) All safety connections and attachments shall have a positive means, of sufficient strength, to ensure that the safety connection or attachment cannot become disengaged while in transit. G. Cont Control/Safety Labels 1) All controls shall be clearly marked to indicate proper operation, as well as any special warnings or cautions. H. Signs 1) All tow trucks shall display signs on both sides that contain the Operator's company name, business address and telephone number. The signs shall be permanently affixed and in compliance with the requirements of Section 27907 VC. I. Wire Rope (Cable) 1) Wire rope shall be maintained in good condition. Only wire rope with swayed ends, wedge locks, or braided ends, with metal sleeves in the loops, shall be approved for use by the CHP. Consistent with the California Code of Regulations, Title 13, Section 1305(b), wire rope is not in good condition when it is stranded, knotted, crushed, excessively rusty, kinked, badly worn, when there are 12 or more wires broken in lay length, or where there is other visible evidence of loss of strength. 56 2. TOW TRUCK CLASSIFICATIONS AND EQUIPMENT SPECIFICATIONS A. Class A Tow Truck 1) Minimum Equipment Specifications (a) 14,000 pound GVWR chassis. (b) 4 -ton recovery equipment rating. (c) Hydraulic or mechanical winch(es). (d) 100 ft. 3/8" 6 x 19 cable or original equipment manufacturer's (OEM) specifications. (e) Tow chains, 5/16" alloy or OEM specifications, J/T hook assembly. (f) Safety chains, 5/16" alloy or OEM specifications. (g) Tow sling rating, 3,000 pounds, when equipped. (h) Wheel lifts safety straps or equivalent mechanical device. (i) All required wheel safety straps, or equivalent wheel retention device, tie -downs straps, and safety chains shall be used during towing operations. 0) Tow dolly. (k) One 3 -ton snatch block. 1) Wheel lift rating — retracted ..............3,000 pounds 2) 85" extension* .............................3,000 pounds *Measured from the centerline of the rear axle of the towing vehicle to 10 inches behind the back face of the lifting bar. B. Class A Car Carrier — One Car 1) Minimum Equipment Specifications (a) 14,000 pound GVWR chassis. (b) Hydraulic or mechanical winch. (c) 50 ft. 3/8" 6x19 cable or OEM specifications. (d) J/T hoof: loading bridle/chains. (e) Safety Chains, 5/16" alloy or OEM specifications; four safety chains for the vehicle being transported. 57 (1) All required tie -down straps and safety chains shall be used as required during towing operations. C. Class A Car Carrier — Two Cars 1) Minimum Equipment Specifications (a) 16,001 pound GVWR chassis. (b) Hydraulic or mechanical winch. (c) 50 ft. 3/8" x 19 cable or OEM specifications. (d) J/T hooks loading bridle/chains. (e) Safety chains 5/16" alloy or OEM specifications; four safety chains for the vehicle being transported and two safety chains for the vehicle being towed. (1) All required tie -down straps and safety chains shall be used during towing operations. D. Class B Tow Truck 1) Minimum Equipment Specifications (a) 26,001 pound GVWR chassis. (b) Air brakes or hydraulic w/air hookup package. (c) 14 -top recovery equipment rating. (d) Hydraulic or mechanical winch(es). (e) 150 ft. 7/16" 6x19 cable or OEM specifications. (f) Tow chains, %z" alloy or OEM specifications. (g) Safety chains, %" allow or OEM specifications. (h) Tow sling rating 7,000 pounds. (i) Two 8 -ton snatch blocks. 0) Wheel lifts safety straps or equivalent mechanical device. (1) All required wheel safety straps, or equivalent wheel retention device, tie -down straps, and safety chains shall be used during towing operations. (k) Wheel lift or under lift rating retracted ........10,000 pounds 85" extension*......................................8,000 pounds *Measured from the centerline of the rear axle of the towing vehicle to 10 inches behind the back face of the lifting bar or from the center line of the rear axle to the center of the lift forks. E. Class B Car Carrier 1) Minimum Equipment Specifications (a) 26,001 pound GVWR chassis. (b) Hydraulic or mechanical winch. (c) 50 ft. 3/8" 6x19 cable or OEM specifications. (d) J/T hooks loading bridle/chains. (e) Safety chains, 5/16" alloy or OEM specifications; four safety chains for each vehicle being transported and two safety chains for the vehicle being towed. (1) All required tie -down straps and safety chains shall be used during towing operations. F. Class C Tow Truck 1) Minimum Equipment Specifications (a) 48,000 pound GV VR chassis. (b) Air brakes w/air hookup package and single control compressor. (c) 25 -ton recovery equipment rating. (d) Hydraulic or mechanical winch(es). (e) 200 ft. 5/8" 6x19 cable or OEM specifications. (f) Tow chains, 5/8" allow or OEM specifications. (g) Safety chains, 5/8" alloy or OEM specifications. (h) Tow sling rating 12,000 pounds. (i) Two 12 -ton snatch blocks. 59 (j) Under lift rating — retracted .............25,000 pounds 100" extension*...........................12,000 pounds. *Measured from the centerline of the rear axle to the center of the lift works. G. Class D Tow Truck 1) Minimum Equipment Specifications (a) 52,000 pound GVWR chassis. (b) Air brakes w/air hookup package. (c) 30 -ton recovery equipment rating. (d) Hydraulic or mechanical winch(es). (e) 250 ft. 3/a" 6x19 cable or OEM specifications. (f) Tow chains, 5/8" alloy or OEM specifications. (g) Safety chains, 5/8" alloy or OEM specifications. (h) Tow sling rating 20,000 pounds. (i) Two 12 -ton snatch blocks. (j) Under lift rating — retracted ...........32,000 pounds 100" extension* .........................16,000 pounds *Measured from the centerline of the rear axle to the center of the lift forks. 3. AUXILIAR EQUIPMENT A. Required Equipment All Classes 1) Extension — Brake and tail lamps. 2) Fire extinguisher (Approved 4-B, C rating or better). 3) Flashlight. 4) Broom. 5) Shovel. 6) Wrecking bar (large pry bar). 7) Reflective triangles. 8) Equivalent of six 3 -minute flares. 9) Covered trash can(s) with absorbent. 10) Shop rags and/or paper towels. 11) Shop to truck communications. B. Service and Other Equipment For service calls, each tow truck shall be equipped with the follow service equipment. 1) Adequate emergency supply of fuel in an approved container. 2) Booster battery or hotbox starting system. 3) Hydraulic jack capable of handling passenger ears and light trucks. 4) Metric and standard lug wrenches. 5) Rubber mallet/hub cap tool. 6) Lockout tools. 7) Motorcycle straps (Class A only). 8) Sledge hammer. 9) Tool kit may include: (a) Assorted open-end wrenches; standard, I/4" — 7/8" and Metric, 6-19 mm. (b) Assorted screwdrivers; Straight blade and Phillips. (c) Crescent wrench. (d) Ball peen hammer. (e) Pliers. (f) Battery and terminal cleaning tools. (g) Mechanic's wire (h) Plastic electrical tape/duct tape. (i) Tire valve core tool. 61 n (j) Miscellaneous fuses. (k) Small pry bar. (1) Socket Sets: 11/4" — 1" and 6-19 mm. (m) Ratchet and extensions. C. Class A 1) Required Equipment (a) One 3 -ton rated snatch block. (b) Towing sling — J/T hook tow chain assembly, a 4" x 4" x 48" and a 4"x4"x60" wooden crossbeam, a pair of spacer blocks, a steering wheel clamp, a towing dolly and safety chains. (c) Wheel lift — Wheel safety straps or equivalent mechanical device, steering wheel clamp, towing dolly and safety chains. (d) Car carrier — J/T hook loading bridle, a 4"x4"x48" and a 4"x4"x60" wooden crossbeam, a pair of spacer blocks and two pairs of safety chains. D. Class B 1) Required Equipment (a) Towing sling — J/T hook tow chain assembly, a 4"x4"x48" and a 4"x4"x60" wooden crossbeam, a pair of spacer blocks, a steering wheel clamp, a towing dolly and safety chains. (b) Wheel lift — Wheel safety straps or equivalent mechanical device, steering wheel clamp, towing dolly, and safety chains. (c) Truck hitch — Tow chain assembly, 4"x4"x48" and 6"x6"x60" wooden crossbeams (as necessary), aluminum tow angle(s), and safety chains. (d) Under lift — Assortment of lift forks/adaptors, safety tie -down chains, and safety chains. (e) Two 8 -ton rated snatch blocks. (f) Axle covers/caps. (g) Air hoses and necessary fittings to provide air to the towed vehicle. E. Class C and D 62 1) Required Equipment (a) Towing sling — Tow chain assembly, a 4"x4"x60" and a 6"x6"x60" wooden crossbeam, a pair of spacer blocks, a steering wheel clamp, and safety chains. (b) Truck hitch — Tow chain assembly, 4"x4"x60" and 6"x6"x60" wooden crossbeams (as necessary), aluminum tow angle(s), and safety chains. (c) Under reach — Assortment of lift forks/adapters, safety tie -down chain(s), and safety chains. (d) Steering wheel clamp. (e) Two 12 -ton rated snatch blocks. (f) Axle covers/caps. (g) Air hoses and necessary fittings to provide air to the towed vehicle. 63 ATTACHMENT D Applicant's Instructions for Completing the SBSD Tow Service Agreement Application Form 1. GENERAL INFORMATION A. The following instructions are being provided to assist you in the accurate completion of the necessary forms. Please_ be sure to sign and date the application form as indicated. You should thoroughly read and understand the Tow Service Agreement prior to submitting your application. After completing the application form, return the entire package, along with the certificate of insurance as specified in Element 9 of the Tow Service Agreement, to the Local Station Commander for consideration and possible approval. Incomplete applications will not be accepted. If your company receives preliminary approval, an inspection of your facilities and equipment will be scheduled. B. Upon final approval, Element 25, Operator Approval and an Attachment E (Tow District description) will be added to the Tow Service Agreement. Upon receipt of these documents you should sign and date Element 25 and return the original to the local sheriffs station. 2. SPECIFIC INSTRUCTIONS FOR PREPARATION AND SUBMISSION OF REQUIRED ITEMS A. Application for Rotation Tow Listing 1) Completely fill out and sign the application form. Incomplete applications will not be accepted. All information on the application form must be complete. Any misrepresentation on the application will be grounds for criminal and/or disciplinary action, as well as automatic disqualification for participation in the SBSD Rotation Tow Program. 2), Submit proof of required insurance in the form of a certificate of insurance from a California -admitted or approved company. 3) Submit a list of all tow truck inventory by make, model, class (as defined in section 3.C. of the Tow Service Agreement) and vehicle identification number. 4) Submit a proposed rate schedule as identified in the Tow Service Agreement. 5) Submit a fully dimensioned site plan of the tow company's business and storage lot, drawn to an engineer scale not to exceed 1" = 50' or less than 1" = 20', with a north arrow oriented to the top of the Plan, containing the following minimum components: (a) Name, address and telephone number of the applicant tow company. (b) All property lines and lot dimensions. (c) Dimensions of all access points to the site (pedestrian and vehicular), off street parking areas, loading areas, and parking spaces for customers and employees. (d) Location of all building structures and the distances between buildings and property lines. (e) Location of all driveways, landscape planters, and other areas of landscaping. 64 (fl Location of all building security lights and parking lot lights. (g) Location, type, and height and length dimensions of all perimeter fencing. (h) Location of all interior fencing and other security features on the site. [The submitted Site Plan will be retained by the SBSD as confidential non-public record information for an indefinite period of time, to the fullest extent permitted under applicable California and federal law.] B. Rotation Tow List —Tow Truck Inspection Guide 1) Upon preliminary approval, the Local Station Commander will provide an applicant with a Tow Truck Inspection Guide for each tow truck. 2) The top section of the Tow Truck Inspection Guide should then be completed with company and vehicle information prior to the scheduled inspection date. 65 ATTACHMENT D APPLICATION FOR TOW SERVICE AGREEMENT Please complete this application; attach clear, current copies of the business license, towing insurance, and tow truck registration (s); and return to the Station of Application with your response to the Tow Service Agreement RFP. COMPANY NAME: COMPANY ADDRESS: Street City State Zip MAILING ADDRESS (IF DIFFERENT FROM COMPANY): Street/P.O. Box City State Zip STORAGE FACILITY ADDRESS: Street City State Zip COMPANY PHONE: ( I Area Code OWNER INFORMATION NAME: HOME ADDRESS: HOME CELLULAR PHONE: PHONE: SOCIAL SECURITY PAGER: [ 1 NUMBER: DATE OF DL: BIRTH: VEHICLE INFORMATION List the make, model, license plate number, type, and class of tow truck(s). Attach to the application. DRIVERS INFORMATION List the Name, Date of Birth, Driver License number/state, and Social Security Number for all drivers. Attach to the application. EMPLOYEE INFORMATION List the Name, Date of Birth, Driver License number/state, and Social Security Number for all employees who have access to the tow yard or files and electronic files that contain towed vehicles' or vehicle owners' information. Attach to the application. APPLICATION FOR TOW SERVICE AGREEMENT PAGE.2 If the answer to any of the above questions is yes, please provide a detailed description (i.e.; club name, name and type of felony. name of family operated tow company). 10. Primary storage address: Yes No 1. Currently established on CHP Tow Rotations? .................................... ❑ ❑ 2. Auto Club Affiliations?.................................................................... F-1 F1 3. Do you have 24-hour service?........................................................... ❑ ❑ 4. Have you or anyone financially involved with your company ever been convicted of a felony involving stolen or embezzled vehicles, stolen property, fraud related to any towing business? .................................... ❑ ❑ 5. Is your storage yard fenced?............................................................ ❑ ❑ 6. Is secure storage available?............................................................. ❑ ❑ 7. Are your storage facilities alarmed? ................................................... ❑ ❑ 8. Do you or any member of your family operate another tow company currently operating within San Bernardino County? .................................. ❑ ❑ 9. Do you share any facility (or portion thereof) with another tow company?... ❑ ❑ If the answer to any of the above questions is yes, please provide a detailed description (i.e.; club name, name and type of felony. name of family operated tow company). 10. Primary storage address: Owned ❑ Leased ❑ Rented ❑ 11. Secondary storage address: Owned ❑ Leased ❑ Rented ❑ 12. HOURLY RATE: Class A $ Class B $ _ Class C $ Class D $ INSIDE STORAGE RATES: Class A $ Class B $ Class C $ Class D $ OUTSIDE STORAGE RATES: Class A $ 1 Class B $ Class C $ 1 Class D $ 13. Years in the towing business? (Years) I declare under penalty of perjury that the above information is true and correct. OWNER'S SIGNATURE DATE NOTE: Make clear copies for submittal; all paperwork submitted will become the sole property of the station and will not be returned. 67 8/1/2018 'M Select Language Rotation Tow Program Programs & Services W Rotation Tow Program 1 11 The California Highway Patrol developed the Rotation Tow Program to: • Facilitate the safe, efficient and rapid removal of disabled vehicles or vehicles involved in collisions from highways served by the CHP. • Tow vehicles in a manner that is convenient and user-friendly to the motoring public. • Ensure the safety of the motoring public, the officers of the CHP and tow truck operators. The Department coordinates the public's and the Department's tow services, and integrates the ability of the tow community to provide service through the Tow Service Agreement (TSA). The standards established by the TSA are met by maintaining an open line of communication with the tow industry, and by recognizing the officers' obligations in the performance of their duties relative to vehicle towing. This allows the Rotation Tow Program to respond to changes to maintain the high safety and service levels of the program. The CHP's long-term goal is to maintain efficient and responsive tow service. https://www.chp.ca.gov/programs-services/for-law-enforcementlrotation-tow-program 1/4 8/1/2018 Rotation Tow Program T,ow Service Agreement California Vehicle Code Section 2424 allows the Commissioner of the CHP to enter into agreements with providers of towing, emergency road, and storage services. These agreements are drafted with the assistance and cooperation of members of the Department, the towing industry, and the general public. The CHP's TSA allows members of the towing industry to participate in a rotational tow list to equitably distribute service calls from the public through CHP officers. The purpose of the TSA is to meet the needs of the public, the towing industry, and the Department. The objective is to ensure the public receives ethical and fair business practices on the part of private towing companies utilized by the CHP. The TSA provides tow operators with clear and concise requirements for acceptance and continued service to the Department. The agreement ensures statewide consistency in the interpretation and enforcement of its terms and conditions. The TSA also ensures that tow operators used by the Department are competent to respond to calls with minimal time delays. Rotation Tow Program Forms CHP 234A Rotation Tow Listing Application Rev. 3-15 CHP 2346 Tow Truck Inspection Guide Rev. 5-17 CHP 234F Tow Operator/Driver Information Rev. 2-13 Tow Service Agreements 2016-2017 TSA Effective July 1, 2016 2017-2018 TSA Effective July 1, 2017 2018-2019 TSA Effective July 1, 2018 Frequently Asked Questions Are Areas required to honor inspections by other CHP Areas? Are rotation tow drivers required to attend tow driver training? Are tow operators required to accept checks and/or bank cards? https://www.chp.ca.gov/programs-services/for-law-enforcement/rotation-tow-program 2/4 8/1/2018 Rotation Tow Program Can a scene manager call for a rotation tow company that is not at the top of the rotation tow list if the company possesses the necessary resources to clear a hazard as expeditiously as possible? Can the California Highway Patrol restrict the number of tow companies within a tow district? Do the time lines for hearings and appeals described in the Code of Civil Procedure supersede the time lines within a Tow Service Agreement (TSA)? Do the tow district boundary lines have to be the same for each class of tow truck? How is the Tow Service Agreement (TSA) cancelled? How long must a tow operator maintain business records? If a previously terminated company applies for rotation is the Area required to accept the application? If a submitted rate is found to be excessive may a tow operator re -submit? If a tow company's insurance policy is canceled, will the Tow Service Agreement (TSA) be nullified? If an operator is suspended from rotation, may the operator continue to perform evidence tow duties? Is it a violation of the agreement when a tow driver is unable to properly release a vehicle after hours? Is it acceptable for a tow operator to provide a copy of the insurance policy? Is it mandatory for a tow operator to attend the annual meeting? May a "B, C, or D" class tow truck maintain a place on a lighter rotation list? May a tow company with one flatbed tow truck maintain a place on rotation? May a tow operator attach a lien to personal property in or on a vehicle? May a tow operator have access to an investigation? May a tow operator provide service in more than one CHP Area? May an Area make exceptions to the criminal disqualification guidelines? https://www.chp.ca.gov/programs-services/for-law-enforcementlrotation-tow-program 3/4 8/1/2018 Rotation Tow Program May an Area run a criminal history on a tow operator/driver to check or verify information provided on the CHP 234F, Tow Operator/Driver Information sheet? May an Area take action on a violation of the Tow Service Agreement (TSA) which occurred while performing a non-CHP call? Must an Area honor disciplinary action taken in another Area? Should the Area/and or tow operator tape a proceeding? What is an example of collusion? When a rotation tow company owner has a question regarding the Tow Service Agreement (TSA) who should they contact? When may a gate fee be assessed? When may a tow operator begin tow charges? When may the CHP inspect tow trucks? Where does the California Highway Patrol (CHP) obtain the authority to enter into agreements with the towing industry? Who determines maximum response times for an Area? Who investigates a tow complaint from an incident which occurred out of the parent Area? Why can't the CHP enter into a low bid contract system which would allow the Department to limit the number of tow service and emergency road service providers to a manageable number? https://www.chp.ca.gov/programs-services/for-law-enforcementlrotation-tow-program 4/4 .. Al Apr 0615 01ZOP Pepes Towing Service 9093911219 p.1 Exbib'ri D CITY OF ONTARIO PROFESSIONAL SERVICES AGREEMENT 1. Parties and Date. This Agreement is made and entered into this 7th day of April, 2015 by and between the City of Ontario, a municipal corporation organized under the laws of the State of California with its principal place of business at 303 East "B" Street, Ontario, California 917,64 ("City") and Pepe's Towing Service, Inc., a corporation with its principal place of business at 745 W, Holt Blvd., Ontario, CA 91762 ("Contract Towing Carrie"). City and Contract Towing Carrier are sometimes individually referred to as "Party" and collectively as `°Parties." 2. Recitals. 2.1 Contract Towing Carrier. Contract Towing Carrier desires to perform and assume responsibility for the provision of certain professional services required by the City on the terms and conditions set forth in this Agreement. Contract Towing Carrier represents that it is experienced in providing towing services to public clients, is licensed in the State of California, and is familiar with the plans of aty 3. Terms. 3.1 Seope of Services and Term. 3.1.1 General Scene of Services. Contract Towing Carrier promises and agrees to famish to the City all labor, materials, tools, equipment, services, and incidental and customary work necessary to fully and adequately supply the professional towing services necessary for the Ontario Police Department. The Services are more particularly described in Exhibit "A" (Chapter 19 of Title, 4 of the Ontario Municipal Code) attached hereto and incorporated herein by reference. All Services shall be subject to, and performed in accordance with, this Agreement, the exhibits attached hereto and incorporated herein by reference, and all applicable local, state and federal laws, rules, and regulations. 3. 1.2. Term The term of this Agreement shall be from April 7, 2015 to April 6, 2020, unless earlier terminated as provided herein. Contract Towing Carrier shall complete the Services within the term of this Agreement, and shall meet any other established schedules and deadlines. The Parties may, by mutual, written consent, extend the term of this Agreement if necessary to complete the Services. 45774.06023\1368552.1 (BB&K: Feb. 2610) Apr 0615 01 15,1 p Popes Towing Service 9093911219 p.2 Exhibit D 3.1.3 3.2 Responsibilities of Contract Towing Carrier. 3.2.1 Control and Pavaient of Subordinates- Indel:endent Contractor, The Services shall be performed by Contract Towing Carrier or under its supervision. Contract Towing Carrier will determine the means, methods and details of performing the Services subject to the requirements of this Agreement. City retains Contract Towing Carrier on an independent contractor basis and not as an employee. Contract Towing Carver retains the right to perform similar or different services for others during the term of this Agreement. Any additional personnel performing the Services under this Agreement *on behalf of Contract Towing Carrier shall also not be employees of City and shall at all times be raider Contract Towing Carrier's exclusive direction and control. Contract Towing Carrier shall pay all wages, salaries, and other amounts due such personnel in connection with their performance of Services under this Agreement and as required by law. Contract Towing Carrier shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance. 3.2.2 Schedule of Services. Contract Towing Carrier shall perform the Services expeditiously, within the term of this Agreement, and in accordance with the Schedule of Services set fortis in Exhibit `B" attached hereto and incorporated herein by reference. Contract Towing Carrier represents that it has the professional and technical personnel required to perform the Services in conformance with such conditions. In order to facilitate Contract Towing Carrier's conformance with the Schedule, City shall respond to Contract Towing Carrier's submittals in a timely manner. Upon request of City, Contract Towing Carrier shall provide a more detailed schedule of anticipated performance to meet the Schedule of Services. 3.2.3 Conformance to Applicable HL-Q!I r_e_ments. All work prepared by Contract Towing Carrier shall be subject to the approval of City. 3.2.4 Substitution of Key Personnel. Contract Towing Carrier has represented to City that certain key personnel will perform and coordinate the Services under this Agreement. Should one or more of such personnel become unavailable, Contract Towing Carrier may substitute other personnel of at least equal competence upon written approval of City and in accordance with the requirements set forth in Attachment "A". In the event that City and Contract Towing Carrier cannot agree as to the substitution of, key personnel, City shall be entitled to terminate this Agreement for cause. As discussed below, any personnel who fail or refuse to perform the Services in a manner acceptable to the City, or who are determined by the City to. be uncooperative, incompetent, a threat to the adequate or timely completion of the Project or a threat to the safety of persons or property, shall be promptly removed from the Project by the Contract Towing Carrier at the request of the City. The key personnel for performance of this Agreement are as follows: Manuel Acosta 3.2.5 City's Rep,resentative. The City hereby designates Darryl Polk, Police Administrative Director, or his or her designee, to act as its representative for the performance of this Agreement ("City's Representative"). City's Representative shall have the power to act on 20 45"74.0002.1568552.1 (8H&K: Fcb.2010) 'Apr 06,16 01.:6,1 p Pepes Towing Service 9093911219 p.3 Exhibit D behalf of the City for all purposes under this Contract. Contract Towing Carrier shall not accept direction or orders from any person other than the City's Representative or his or her designee, 3.2.6 Contract Towin z Carrier's Representative, Contract Towing Carrier hereby designates Manuel Acosta, or his or her designee, to act as its representative for the performance of this Agreement ("Contract Towing Carrier's Representative"), Contract Towing Carrier's Representative shall have full authority to represent and art on behalf of the Contract Towing Carrier for all purposes under this Agreement. The Contract Towing Carrier's Representative shall supervise and direct the Services, using his best skill and attention, and shall be responsible for all means, methods, tedhniques, sequences, and procedures and for the satisfactory coordination of all portions of the Services under this Agreement. 3.2.7 Coordination of Services. Contract Towing Carrier agrees to work closely with City staff in the performance of Services and shall be available to City's staff, Contract Towing Carriers and other staff at all reasonable times, 3.2.8 Standard of Care: performance of Em . to . ees. Contract Towing Carrier shall perform all Services under this Agreement in a sldllful and competent manner, consistent with the standards generally recognized' as being employed by professionals in the same discipline in the State of California. Contract Towing Carrier represents and maintains that it is skilled in the professional calling necessary to perform the services. Contract Towing Carrier warrants that all employees and subContract Towing Carriers shall have sufficient skill and experience to perform the Services assigned to them. Finally, Contract Towing Carrier represents that it, its employees and subContract Towing Carriers have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, including a City Business License, and that such licenses and approvals shall be maintained throughout the term of this Agreement. As provided for in the indemnification provisions of this Agreement, Contract Towing Carrier shall perform;, at its own cost and expense and without reimbursement from the City, any services necessary to correct errors or omissions which are caused by the Contract Towing Carrier's failure to comply with the standard of care provided for herein. Any employee of the Contract Towing Carrier or its sub -Contract Towing Carriers who is determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project, a threat to the safety of persons or property, or any employee who fails or refuses to perform the Services in a manner acceptable to the City, shall be promptly removed from the Project by the Contract Towing Carrier and shall not be re-employed to perform any of the Services or to work on the Project. 3.2.9 Laws and Rc�_ations. Contract Towing Carrier shall keep itself fully informed of and in compliance with all local, state and federal laws, rules and regulations in any manner affecting the performance of the Project or the Services, including all Cal/OSHA requirements, and shall give all notices required by law. Contract Towing Carrier shall be liable for all violations of such laws and regulations in connection with Services. If the Contract Towing Carrier perforins any work knowing it to be contrary to such laws, rules and regulations and without giving written notice to the City, Contract Towing Carrier shall be solely responsible for all costs arising therefrom. Contract Towing Carrier shall defend, indemnify and hold City, its officials, directors, officers, employees, and agents free and harmless, pursuant to the 21 4s7�q.0oaz31t36a53a.i (BB&K: Feb. 2010) Apr 0615 01`511P Pepes Towing Service 9093911219 pA Exhibit D indemnification provisions of this Agreement, from any claim or liability arising out of any failure or alleged failure to comply with such laws, rules or regulations. 3.2.9.1 Labor Certification. By its signature hereunder, Contract Towing Carrier certifies that it is aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Workers' Compensation or to undertake self insurance in accordance with the provisions of that Code, and agrees to comply with such provisions before commencing the performance of the Services. 3.2.9.2 Equal Opportunity Employment. Contract Towing Carver represents that it is an equal opportunity employer and it shall not discriminate against any subContract Towing Carrier, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination. 3.2.10 Insurance. 3.2.10.1 Time for. Comnliance. Contract Towing Carrier shall not commence Work under this Agreement until it has provided evidence satisfactory to the City that it has secured all insurance required under this Section. In addition, Contract Towing Carrier shall not allow any subContract Towing Carrier to commence work on any subcontract until it has provided evidence satisfactory to the City that the subContract Towing Carrier has secured all insurance required under this Section. Failure to provide and maintain all required insurance shall be grounds for the City to terminate this Agreement for cause. 3.2.10.2 Minimum Requirements. Contract Towing Carrier shall, at its expense, procw a and maintain for the duration of the Agreement insurance against Claims for injuries to persons or damages to property which may arise from or in connection with the performance of the Agreement by the Contract Towing Carrier, its agents, representatives, employees or subContract Towing Carriers. Contract Towing Carrier shall also require all of its subContract Towing Carriers to procure and maintain the same insurance for the duration of the Agreement. Such insurance shall meet at least the following minimum levels of coverage: (A)Minimum Sco-,e of insurance. Coverage shall be at least as broad as the latest version of the following: (1) General Liability: Insurance Services office Commercial General Liability coverage (occurrence form CG 0001); (2) Automobile Liability: Insurance Services Office Business Auto Coverage form number CA 0001, code l (any auto). and (3) Workers' Compensation and Employer's Liability: Workers' Compensation insurance as required by the State of California and Employer's Liability Insurance. (B) Minimum Limits of Insurance. Contract Towing Cattier shall maintain limits no less than: (1) General Liability,- $1,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability Insurance or other form with general aggregate limit is used including, but not limited to, form CG 2503, either the general aggregate limit shall apply separately to this Agreement/location or the general aggregate limit shall be twice the required occurrence limit; (2) Automobile Liability: $1,000,000 per 45774.0002311 Sb8552,1 22 (M&K. Feb. 2010) Apr 06'1 . 5 01:5,2p Pepes Towing Service 9093911219 p.5 Exhibit D accident for bodily injury and property damage; and (3) Workers' Compensation and Employer's Liability: Workers' Compensation limits as required by the Labor Code of the State of California. Employer's Liability limits of s 1,000,000 per accident for bodily injury or disease. 3.2.10.3 Insurance Endorsements. The insurance policies shall contain the following provisions, or Contract Towing Carrier shall provide endorsements on forms supplied or approved by the City to add the following provisions to the insurance policies: (A) General LiabiIi The general liability policy shall be endorsed to state that: (1) the City, its directors, officials, officers, employees, agents, and volunteers shall be covered as additional insured with respect to the Work or operations performed by or on behalf of the Contract Towing Carrier, including materials, parts or equipment furnished in connection with such work; and (2) the insurance coverage shall be primary insurance as respects the City, its directors, officials, officers, employees, agents, and volunteers, or if excess, shall stand in an unbroken chain of coverage excess of the Contract Towing Carrier's scheduled underlying coverage. Any insurance or self-insurance maintained by the City, its directors, officials, officers, employees, agents, and volunteers shall be excess of the Contract Towing Carrier's insurance and shall not be called upon to contribute with it in any way. (B) Automobile LiabiIi-,. The automobile liability policy shall be endorsed to state that: (1) the City, its directors, officials, officers, employees, agents, and volunteers shall be covered as additional insureds with respect to the ownership, operation, maintenance, use, loading or unloading of any auto owned, leased, hired or borrowed by the Contract Towing Carrier or for which the Contract Towing Carrier is responsible; and (2) the insurance coverage shall be primary insurance as respects the City, its directors, Officials, officers, employees, agents, and volunteers, or if excess, shall stand in an unbroken chain of coverage excess of the Contract Towing Carrier's scheduled underlying coverage. Any insurance or self-insurance maintained by the City, its directors, officials, officers, employees, agents, and volunteers shall be eXMS of the Contract Towing Carrier's insurance and shall not be called upon to contribute with it in any way. (C) Workers' Comi)ensation and Em lover's Liabili,, Covera -a . The insurer shall agree to waive all rights of subrogation against the City, its directors, officials, officers, employees, agents, and volunteers for losses paid under the terms of the insurance policy which arise from work performed by the Contract Towing Carrier. (D) All Coyerartes. Each insurance policy required by this Agreement shall be endorsed to state that; (A) coverage shall not be suspended, voided, reduced or canceled except after thirty (30) days prior written notice by certified mail, return receipt requested, has been given to the City; and (13) any failure to comply with reporting or other provisions of the policies, including breaches of warranties, shall not affect coverage provided to the City, its directors, officials, officers, employees, agents, and volunteers. 3.2,10.4 Senaration of Insureds, No Somial Limitations. Allinsurance required by this Section shall contain standard separation of insureds provisions. In addition, 23 45774.00023\1568552.1 (88&K: Feb. 2010) Apr 0615 01:52p . Pepes Towing Service 9093911219 p.6 Exhibit D such insurance shall not contain any special limitations on the scope of protection afforded to the City, its directors, officials, officers, employees, agents, and volunteers. 3.2.10.5 Deductibles and —Self -Insurance Retentions. Any deductibles or self-insured retentions must be declared to and approved by the City. Contract Towing Carrier shall guarantee that, at the option of the City, either. (1) the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its directors, officials, officers, employees, agents, and volunteers; or (2) the Contract Towing Carrier shall procure a bond guaranteeing payment of losses and related investigation costs, claims, and administrative and defense expenses. 3.2.10.6 Acc tahilit . of Insurers. Insurance is to be placed with insurers with a current A.M. Best's rating no less than A:VIII, licensed to do business in California, and satisfactory to the City. 3.2.10.7 Verification of Coverage. Contract Towing Carrier shall furnish City with original cet#ificates of insurance and endorsements affecting coverage required by this Agreement on forms satisfactory to the City. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf, and shall be on forms provided by the City if requested. All certificates and endorsements must be received and approved by .the City before work commences. The City reserves the right to require complete, certified copies time. of all required insurance policies, at any 3.2.10.8 R ortin=: of Claims. Contract Towing Carrier shall report to the City, in addition to Contract Towing Carrier's insurer, any and all insurance claims submitted by Contract Towing Carrier in connection with the Services under this Agreement, 3.2.11 Safety. Contract Towing Carrier shall execute and maintain its wk so to avoid injury' or damage to any person or property. In carrying out its Services, the Corontras act Towing Carrier shall at all times be in compliance with all applicable local, state and federal laws, rules and iregulations, and shall exercise all necessary precautionsfor the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions as applicable shall include, but shall not be limited to: (A) adequate life protection and life saving equipment and procedures; (B) instructions in accident prevention for all employees and subContract Towing Carriers, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfullyties for the proper inspection and c required to prevent accidents or injuries; and (C) adequate facili maintenance of all safety measures. 3.2.12 Accounting Records. Contract Towing Carrier shall maintain complete anti accurate records with respect to all costs and expenses incurred under this Agreement. All such records shall be clearly identifiable. Contract Towing Carrier shall allow a representative ree City during normal business hours to examine, audit, and make transcripts or copies of such cords and any other documents created pursuant to this Agreement. Contract Towing Carrier 45774.00 02311 56 85 52.1 24 (BB&K; Feb. 20 10) Apr 06 15 01;53p Pepes Towing Service 9093911219 p,7 Exhibft D shall allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of three (3) years from the date of final payment under this Agreement. 3.3 Fees and Payments. 3.3.1 CQmuensation. Contract Towing Carrier shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit "A", ODIC Section 4-19.13 and 4-19.14. Extra Work may be authorized, as described below, and if authorized, will be compensated at the rates and manner set forth in this Agreement. 3.3.2 i'avment of Comngms-ation. Contract Towing Carrier shall submit to City a monthly itemized statement which indicates work completed and hours of Services rendered by Contract Towing Carrier. The statement shall describe the amount of Services and supplies provided since the initial commencement date, or since the start of the subsequent billing periods, as appropriate, through the date of the statement. City shall, within 45 days of receiving such statement, review the statement and pay all approved charges thereon. 3.3.3 Reimbursernentfor Bwenses. Contract Towing Carrier shall not be reimbursed for any expenses unless authorized in writing by City. 3.3.4 Ex ; - Work, At any time during the term of this Agreement, City may request that Contract Towing Carrier perfonxn Extra Work. As used herein, "Extra Work" means any work which is determined by City to be necessary for the proper completion of the Project, but w m ch a Parties did not reasonably anticipate would be necessary at the execution of this ,, Agreement. Contract Towing Carrier shall not performnor tie compensated for, Extra Work without written authorization from City's Representative. 3.3.5 Prevailin- Wates. Contract Towing Carrier is aware of the requirements of California Labor Code Section 1720, et seg., and 1770, It seg., as well as California Code of Regulations, Title 8; Section 1600, et seq., ("Prevailing Wage Laws"), which require the payment of prevailing wage rates and the performance of other requirements on "public works" and "maintenance" projects. If the Services are being performed as part of an applicable "public works" or "maintenance" project, as defined by the Prevailing Wage Laws, and if the total compensation is $1,000 or more, Contract Towing Canter agrees to fully comply with such Prevailing Wage Laws. City shall provide Contract Towing Carrier with a copy ofthe prevailgreement. Contract Towing ins rates of per diem wages in effect at the commencement of this A Carrier shall make copies of the prevailing rates of per diem wages for each craft, classification or type of worker needed to execute the Services available to interested parties upon request, and shall post copies at the Contract Towing Carrier's principal place of business and at the project site. Contract Towing Carrier shall defend, indemnify and hold the City, its elected officials, mless from any claim or liability arising out of any officers, employees and agents free and har failure or alleged failure to comply with the Prevailing Wage Laws. 3.4 Termination of Agreement. 3.4.1 Grounds for Termination. City may, by written notice to Contract Towing Carrier, terminate the whole or any part of this Agreement at any time and without cause by 45774.00023\1568552.1 Z5 (aB&K: Feb. 2610) Apr 06 15 01:53P - Pepes Towing Service 9093911219 p.8 Exhibit D giving written notice to Contract Towing Carrier of such termination, and specifying the effective date thereof, at least seven (7) days before the effective date of such termination. Upon termination, Contract Towing Carrier shall be compensated only for those Services which have been adequately rendered to City, and Contract Towing Carrier shall be entitled to no further compensation. Contract Towing Carrier may not terminate this Agreement except for cause. 3.4.2 Effect of Termination. If this Agreement is terminated as provided herein, City may require Contract Towing Carrier to provide all finished or unfinished Documents and Data and other information of any kind prepared by Contract Towing Carver in connection with the performance of Services under this Agreement. Contract Towing Carrier shall be required to provide such document and other information within fifteen (15) days of the request. 3.4.3 Additional Services. In the event this Agreement is terminated in whole or in part as provided herein, City may procure, upon such terms and in such manner as it may determine appropriate, services similar to those terminated. 3.5 Ownership of Materials and Confidentiality. 3.5.1 Documents &Data' Lipensin�, of Intellectual Prol,,-tl This Agreement creates anon -exclusive and perpetual license for City to copy, use, modify, reuse, or sublicense any and all copyrights, designs, and other intellectual property embodied in plans, specifications, studies, drawings, estimates, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared or caused to be prepared by Contract Towing Carrier under this Agreement ("Documents & Data"). All Documents & Data shall be and remain the property of City, and shall not be used in whole or in substantial part by Contract Towing Carrier on other projects without the City's express written permission. Within thirty (30) days following the completion, suspension, abandonment or termination of this Agreement, Contract Towing Carrier shall provide to City reproducible copies of all Documents & Data, in a form and amount required by City. City reserves the right to select the method of document reproduction and to establish where the reproduction will be accomplished_ The reproduction expense shall be borne by City at the actual cost of duplication. In the event of a dispute regarding the amount of compensation to which the Contract Towing Carrier is entitled under the termination provisions of this Agreement, Contract Towing Carrier shall provide all Documents & Data to City upon payment of the undisputed amount. Contract Towing Carrier shall have no right to retain or fail to provide to City any such documents pending resolution of the dispute. In addition, Contract Towing Carrier shall retain copies of all Documents & Data on file for a minimum of fifteen (15) years following completion of the Project, and shall make copies available to City upon the payment of actual reasonable duplication costs. Before destroying the Documents & Data following this retention period, Contract Towing Carrier shall make a reasonable effort to notify City and provide City with the opportunity to obtain the documents. 3.5.2 SL-,bContract Towing, Carriers. Contract Towing Carrier shall require all subContract Towing Carriers to agree in writing that City is granted a non-exclusive and perpetual license for any Documents & Data the subContract Towing Carrier prepares under this Agreement. Contract Towing Carrier represents and warrants that Contract Towing Carrier has 26 45774.0002311568552.1 (BB&K: Feb. 20Io) Apr 0616 01;54p Pepes Towing Service 9093911219 p,9 Exhibit D the legal right to license any and all Documents & Data. Contract Towing Carrier makes no such representation and warranty in regard to Documents & Data which were prepared by design professionals other than Contract Towing Carrier or its subContract Towing Carriers, or those provided to Contract Towing Carrier by the City. 3.5.3 Right to Use. City shall not be limited in any way in its use or reuse of the Documents and Data or any part of them at any time for purposes of this Project or another project, provided that any such use not within the purposes intended by this Agreement or on a project other than this Project without employing the services of Contract Towing Cartier shall be at City's sole risk. If City uses or reuses the Documents & Data on any project other than this Project, it shall remove the Contract Towing Carrier's seal from the Documents & Data and indemnify and hold harmless Contract Towing Carrier and its officers, directors, agents and employees from claims arising out of the negligent use or re -use of the Documents & Data on such other project. Contract Towing Carrier shall be responsible and liable for its Documents & Data, pursuant to the terms of this Agreement, only with respect to the condition of the Documents & Data at the time they are provided to the City upon completion, suspension, abandonment or termination. Contract Towing Cartier shall not be responsible or liable for any revisions to the Documents & Data made by any party other than Contract Towing Carrier, a party for whom the Contract Towing Carrier is legally responsible or liable, or anyone approved by the Contract Towing Carrier. 3.5.4 Indemnification. Contract Towing Carrier shall defend, indemnify and hold the City, its directors, officials, officers, employees, volunteers and agents free and harmless, pursuant to the indemnification provisions of this Agreement, for any alleg infringement of any patent, ed copyright, trade secret, trade name, trademark, or any other proprietary right of any person or entity in consequence of the use on the Project by City of the Documents & Data, including any method, process, product, or concept specified or depicted. 3.5.5 Confidentiali_ . AI Documents & Data, either created by or provided to Contract Towing Carrier in connection with the performance of this Agreement, shall be held confidential by Contract Towing Carrier. All Documents & Data shall not, without the prior written consent of City, be used or reproduced by Contract Towing Carrier for any purposes other than the performance of the Services. Contract Towing Carrier shall not disclose, cause or facilitate the disclosure of the Documents ,& Data to any person or entity not connected with the performance of the Services or the Project. Nothing furnished to Contract Towing Carrier that is otherwise known to Contract Towing Carrier or is generally known, or has become known, to the related industry shall be deemed confidential. Contract Towing Carrier shall not use City's name or insignia, photographs of the Project, or any publicity Pertaining to the Services or the Project in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of City. 3.6 General Provisions. 3.6.1 Dehy Y of Notices. All notices permitted or required under this Agreement shall be given to the respective Parties at the following address, or at such other address as the respective parties may provide in writing for this purpose: 45794.00023us68552,1 27 COB &Y- Feb. 2410) Apr 0615 01;55p Pepes Towing Service 9093911219 p,10 Exhibit D CONTRACT TOWING CARRIER: CITY: Pepe's Towing Service, Inc. 745 W. Holt Blvd. Ontario, CA 91762 Attn. Manuel Acosta City of Ontario 303 East `B" Street Ontario, California 91764-4196 Attn. City Clerk WITH COPY TO: City of Ontario 303 East `B" Street Ontario, California 91764-4196 Attn: Darryl Polk, Police Administrative Director Such notice shall be deemed made when personally delivered or when mailed, forty-eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service. 3.6.2 Indemnification. 3.6.2.1 Sco:?e of Indemnity. To the fullest extent permitted by law, Contract Towing Carrier shall defend, indemnify and hold the City, its directors, officials, officers, employees, volunteers and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, in any manner arising out of, pertaining to, or incident to any alleged acts, errors or omissions of Contract Towing Carrier, its officials, officers, employees, subcontractors, Contract Towing Carriers or agents in connection with the performance of the Contract Towing Carrier's Services, the Project or this Agreement, including without limitation the payment of all consequential damages, expert witness fees and attorneys fees and other related costs and expenses. Notwithstanding the foregoing, to the extent Contract Towing Carrier's Services are subject to Civil Code Section 2782.8, the above indemnity shall be limited, to the extent required by Civil Code Section 2782.8, to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Contract Towing Carrier. 3.6.2.2 Additional Indemnity__ObIigations. Contract Towing Carrier shall defend, with Counsel of City's choosing and at Contract Towing Carrier's own cost, expense and risk, any and all claims, suits, actions or other proceedings of every kind covered by Section 3.6.2,1 that may be brought or instituted against City or its directors, officials, officers, employees, volunteers and agents. Contract Towing Carrier shall pay and satisfy any judgment, award or decree that may be rendered against City or its directors, officials, officers, employees, 29 45774.00023\1568552.1 (sssrK: s.b. 2030) Apr 06 15 01;55p Pepes Towing Service 9093911219 p.11 Exhibit D volunteers and agents as part of any such claim, suit, action or other proceeding. Contract Towing Carrier shall also reimburse City for the cost of any settlement paid by City or its directors, officials, officers, employees, agents or volunteers as part of any such claim, suit, action or other proceeding. Such reimbursement shall include payment for City's attorney's fees and costs, including expert witness fees. Contract Towing Carrier shall reimburse City and its directors, officials, officers, employees, agents, and/or volunteers, for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. Contract Towing Carrier's obligation to indemnify shall survive expiration or termination of this Agreement, and shall not be restricted to insurance proceeds, if any, received by the City, its directors, officials officers, employees, agents, or volunteers. 3.6.2.3 Governine Law. This Agreement shall be governed by the lams of the State of California. Venue shall be in San Bernardino County, 3.6.3 Time of Essence. Time is of the essence for each and every provision of this Agreement. 3.6.4 City's Ris; t to Em21ov Other Contract Towing Carriers. City reserves right to employ other Contract Towing Carriers in connection with this Project. 3.6.5 Successors and Assi s. This Agreement shall be binding on the successors and assigns of the Parties, 3.6.6 As4hp- ent or Transfer. Contract Towing Carrier shall not assign, hypothecate or transfer, either directly or by operation of law, this Agreement or any interest herein without the prior written consent of the City. Any attempt to do so shall be null and void, and any assignees, hypothecates or transferees shall acquire no right or interest by reason of such attempted assignment, hypothecation or transfer. 3.6.7 Construction.- References: Cantians: Since the Parties or their agents have participated fully in the preparation of this Agreement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or against any Party. Any terra referencing time, days or period for performance shall be deemed calendar days and not work days. All references to Contract Touring Carrier include all personnel, employees, agents, and subContract Towing Carriers of Contract Towing Carrier, except as otherwise specified in this Agreement. All references to City include its elected officials, officers, employees, agents, and volunteers except as otherwise specified in this Agreement. The captions of the various articles and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content or intent of this Agreement. 3.6.8 Amendmen-- Modification. No supplement, modification or amendment of this Agreement shall be binding unless executed in writing and signed by both Parties, 3.6.9 Waiver. No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or other covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel or otherwise. 45774.0002311568552.1 29 {BB&'K: Feb. 201.0} Apr 06,1501:�6p - Pepes Towing Service 9093911219 p.12 Exhibit D 3.6.10 No Third Pyr=v Beneficiaries. There are no intended third party beneficiaries of any right or obligation assumed by the Parties. 3.6.11 InvalidiIv: Severabiliz . If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect. 3.6.12 Prohibited Interests. Contract Towing Carrier maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Contract Towing Carrier, to solicit or secure this Agreement. Further, Contract Towing Carrier warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Contract Towing Carrier, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. Contract Towing Carrier fin -then agrees to file, or shall cause its employees or subContract Towing Carriers to file, a Statement of Economic Interest with the City's Filing Officer as required under state law in the performance of the Services. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the tem of this Agreement, no member, officer or employee of City, during the terms of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom. 3.6.13 Cooperation: Further Acts. The Parties shall fully cooperate with one another, and shall take any additional acts or sign any additional documents as may be necessary, appropriate or convenient to attain the purposes of this Agreement. 3.6.14 Attorney's Feer otherwise, arising out of or'in connection with this S' 1f either Party commences an action against the other party, either legal, administrative o Agreement, the prevailing party in such litigation shall be entitled to have and recover from the losing party reasonable attorney's fees and all other costs of such action. 3.6.15 Authoriry to Enter Agreement. Contract Towing Carrier has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement, Each Party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and bind each respective Party. 3.6.16 Counterparts. This Agreement may be signed in counterparts, each of which shall constitute an original. 3.6.17 Entire Ag-reement. This Agreement contains the entire Agreement of the parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings or agreements. This Agreement may only be modified by a writing signed by both parties. ISIGNATYFRES ON NEXT Two PAGES] 30 45774.00023\1568552.1 (BB&K: Feb. 2010) Apr 06'15 01,:56p - Pepes Towing Service CITI''s SIGNATURE PAGE CITY OF ONTARIO By. Al C. Boling City Manager Attest: City Clerk Approved as to Form: John E. Brown City Attorney 45714.00023115685521 31 9093911219 p.13 Exhibit D (BB&K: Feb. 201D) Apr 06 15 01457p Pepes Towing Service CONTRACT TOWING CARRIER'S SIGNATURE PACE Pepe's Towing a Corporation EIR Signature Name -(Print) By: Signature Name (Print) Title (print) 9093911219 p,14 32 45774.0002311568552.1 (BB&.K- Feb. 2010) CITY OF FONTANA FRANCHISE AGREEMENT -TOWING SERVICES THIS FRANCHISE AGREEMENT (the "Agreement") is made and entered into as of the date of February 16, 2016, by and between the CITY OF FONTANA, a municipal corporation ("City"), and Pepe's Towing Service, a California corporation ("Franchisee"). The City and Franchisee are sometimes referred to in this Agreement individually as a "Party" and collectively as "Parties." This Agreement is entered into by the Parties with reference to the following recited facts (each, a "Recital"): RECITALS A. Pursuant to California Vehicle Code section 22660 and Chapter 29, Article VII (entitled "Towing Carriers") of the Code of the City of Fontana ("Fontana Code"), the City has the authority to grant a non-exclusive franchise to tow truck operators in order to provide for the City's towing services requirements, including the abatement and removal, storage, and maintenance of abandoned, wrecked, dismantled, or inoperative vehicles or parts thereof that are public nuisances on private or public property within the boundaries of the City, as well as the City's other towing services requirements ("Towing Services"). B. Pursuant to California Vehicle Code section 12110(b), the City may require the payment of fees by Franchisee in order to fund the City's actual and reasonable costs attributable to its towing program. C. In order to support the public health, safety, welfare and convenience of the residents and businesses in the City of Fontana, the City seeks to enter into a non- exclusive franchise agreement for Towing Services with Franchisee. D. At a duly noticed public hearing, the City Council of the City of Fontana ("City Council") awarded a franchise for towing services to Franchisee, subject to the terms and conditions memorialized in this Agreement and the provisions of the Fontana Code. E. Franchisee desires to provide such Towing Services upon the terms and conditions . set forth herein. -NOW, THEREFORE, in consideration of the promises and of the covenants and conditions hereinafter contained, the City and Franchisee mutually agree as follows: Section 1. Incor, oration of Recitals. The Recitals of fact set forth above are true and correct and constitute a material part hereof. They are hereby incorporated herein by this reference as though fully set forth below. 16498.00006\8563843.8 Section 2. En a ement of Franchisee. The City hereby engages Franchisee to provide Towing Services as provided herein. Franchisee shall have, throughout the term of this Agreement, the non-exclusive right to engage in the business of providing Towing Services to the City within the boundaries of the City as the same now exist, and within any territory the City hereafter annexes, except to the extent that towing services within such territory annexed would be unlawful or violate the legal rights of another person. Section 3. ; Term of Franchise. This Agreement shall be effective for a base term from March 1, 2016 ("Effective Date") to February 28, 2018 (two years), unless the franchise is revoked by the City Council pursuant to Section 29-246 of the Fontana Code. a) Renewal Terms. This Agreement shall automatically renew each ninety (90) days unless written notice of cancellation has been provided to Franchisee by City ninety (90) days prior to the expiration of any ninety -day Renewal Term. The City Council's election to provide notice of non -renewal of any Renewal Term shall be at its sole and absolute discretion, and shall be exercised on behalf of the City by the Chief of Police. b) Termination. This Agreement shall be subject to the cancellation, suspension, and revocation procedures provided in the Fontana Code. Unless terminated by notice of cancellation or by the procedures within the Fontana Code or Section 9 of this Agreement below, this Agreement shall automatically terminate ten (10) years after the Effective Date. Section 4. Franchisee's Obligations. Franchisee agrees to comply with all applicable federal, state and local regulations for providing towing services, including all applicable requirements of Chapter 29 of the Fontana Code. More specifically, the Franchisee agrees to comply with the conditions and operational requirements set forth in Article VTI of Chapter 29 of the Fontana Code ("Article VII"), which are hereby incorporated herein by this reference. For the convenience of the Parties, a recent copy of Article VII has been attached to this Agreement as Exhibit "A". Franchisee agrees to remain in compliance with the provisions of Article VII, even as those provisions may be unilaterally amended by the City Council from time to time. In addition to Article VIPs minimum requirements, Franchisee agrees to the following: a) . The decision as to whether the vehicle is needed for evidence purposes or whether the vehicle poses a safety issue by remaining in the roadway is the off'icer's. b) Franchisee agrees to be available and respond in a timely manner to any inquires made by the Police Department concerning the impacts of any proposed towing rotation system. c) When Franchisee is at the top of the rotation list, Franchisee affirmatively holds itself out as having the means to tow a heavy duty commercial vehicle 16498.00006\8563843.8 2 and auxiliary equipment necessary to safely transport motorcycles and agrees to be ready to respond with appropriate equipment when called upon. d) Franchisee agrees to cooperate with Police Department inspections and make all drivers, vehicles, equipment, yards and vehicle documentation available to the City within a reasonable time. e) Franchisee agrees to provide, free of charge, storage for at least 10 vehicles seized by the City for evidentiary purposes for the amount of time necessary for the adjudication and disposition of the legal proceedings of the case. f) Franchisee agrees to provide storage for two vehicles in an indoor garage with access to the basic tools necessary to perform V.I.N. and mechanical inspections. g) Franchisees agrees to submit monthly response statistics for the monthly tow report to the Traffic Division of the Police Department. The reported data shall include any tows which may cause a discrepancy. Section 5. Franchise Fees. Franchisee agrees to pay to the City franchise fees in accordance with the provisions of Article VII and Section 29-243 of the Fontana Code and any. fee resolution adopted thereunder by the City Council. These provisions are hereby incorporated in this Agreement by this reference. Franchisee additionally agrees to comply with the following provisions: a) Discount for Scrap Vehicles. The Franchisee will be required to remit only half of the franchise fee for vehicles which comply with CVC 22851.2 and CVC 22851.3 and for which a "Public Agency Authorization to Dispose of a Vehicle to a Scrap Iron Processor or Dismantler Valued at $300.00 or Less" (DMV 462) is issued. In order to apply to Franchisee's service to the City, the authorization must be issued by a Fontana Police Department officer in writing on the Standard Form (DMV 462). b) No Fee for Extraordinary Requests. Franchisee will not be required to remit a franchise fee for the towing of extraordinary objects. The Field Services Commander of the Fontana Police Department is authorized by the City to designate a particular instance as an extraordinary towing request. The Field Services Commander's designation must be made in writing and be reflected in monthly reports. c) Amount. Franchisee shall pay the franchise fees to the City in an amount as determined by resolution of the City Council. The franchise fee may be adjusted by resolution of the City Council to reflect the City's current costs for operating the towing program and such adjustment shall be applicable to the Franchisee upon ten (10) days written notice of the adoption of such resolution. A copy of the most recent applicable fee resolution of the- City Council is attached hereto as Exhibit "B" to this Agreement and is hereby incorporated by reference and made applicable to the Franchisee. 16498.0000618563843.8 3 d) Pa . ents. The franchise fees shall be paid in quarterly installments to the Police Department. Payments shall be delivered or mailed to the Traffic Division. Franchise fee payments shall become due and payable to the City within two weeks after issuance of the third monthly tow report of each quarter. e) Late Payment. Any franchise fees which remain unpaid after the quarterly installment payment due date above shall be delinquent and result in a penalty equal to 10% of the unpaid amount. Unpaid amount shall thereafter accrue interest at 10% per year, compounded daily, until paid. f) Waiver of Defenses. By accepting this franchise, Franchisee irrevocably waives the defenses of any statutes of limitation, laches, waiver or other statutory or equitable doctrines of similar import or effect in any action brought by the City to recover any franchise fees, interest or penalties due under this Agreement. g) Payments Made Under Protest. By accepting this franchise, Franchisee agrees that if it challenges the right of the City to collect the franchise fees provided by this Agreement, any relief requested by Franchisee and awarded to it by virtue of such challenge shall be prospective only from and after the date of the filing of the initial pleading seeking such relief in a court of competent jurisdiction. Franchisee hereby waives any and all claims or rights to collect back from the City, or obtain credit against future payment obligations, any amounts collected by the City prior to the filing of the initial pleading seeking such relief. In the event Franchisee's challenge result in an initial judgment in its favor, Franchisee shall continue to make all franchise fee payments in accordance with this Agreement pending an appeal by the City. In the event the court of appeal, or trial court if City elects not to appeal, determines that the City is not entitled to collect any or all of the franchise fees, the City shall refund to Franchisee those portions of the franchise fee which the court deems the City was not entitled to collect which were made subsequent to the filing of the initial action by Franchisee, exclusive of interest on such amount. h) Additional Revenue. The City shall retain the right to impose alternative forms of taxes, licensing, and/or fees, to the extent permitted by law, in the event that the franchise fees provided for in this Agreement are no longer assessable due to a subsequent change in federal, state or local law. Section 6. Indemnification. Franchisee agrees to indemnify, defend, and hold harmless the City in accordance with the provisions of Article VII, incorporated by reference above. Franchisee further agrees to indemnify, defend and hold harmless the City, its elected and appointed officers, employees and agents against, and will hold and save them and each of them, harmless from any and all actions, claims, damages to persons or property, penalties, obligations or liabilities that may be asserted or claimed by any person, firm, entity, corporation, political subdivision or other organization arising out of or in connection with any of the Towing Services operations, subsequent storage and maintenance activities, or other activities by the Franchisee, its officers, agents, or employees, whether or not there is concurrent passive or active negligence on the part of 16498.0000618563843.8 4 the City, its officers, agents or employees, but excluding such actions, claims, damages to persons or property, penalties, obligations, or liabilities arising from the sole negligence or willful misconduct of the City, its elected or appointed officers, employees or agents who are directly responsible to the City and in connection therewith: a) The Franchisee will defend any action or actions filed in connection with any of said claims, damages, penalties, obligations or liabilities and will pay all costs and expenses, including attorney fees incurred in connection therewith. b) The Franchisee will promptly pay any judgment rendered against the Franchisee or the City covering such claims, damages, penalties, obligations and liabilities arising out of or in connection with such Towing Service operations, or activities of the Franchisee hereunder, and the Franchisee agrees to save and hold the City harmless therefrom. C) In the event the City is made a party to any action or proceeding filed or prosecuted against the Franchisee for such damages or other claims arising out of or in connection with the Towing Service operations or activities of the Franchisee hereunder, the Franchisee agrees to pay to the City any and all costs and expenses incurred by City in such actions and proceedings, together with reasonable attorney fees. Section 7. Insurance. Without limiting the Franchisee's indemnification of the City above or Franchisee's obligations incorporated from Article VII, Franchisee hereby agrees to obtain, provide and maintain at its own expense during the term of this Agreement a policy or policies of liability insurance of the type and amounts described below and satisfactory to the City, in its sole discretion. Such policies shall be signed by a person authorized by that insurer to bind coverage on its behalf and must be filed with the City prior to exercising any right or performing the Towing Services. Said policies shall add as insured the City, its elected officials, officers employees and agents for all liability arising from the Franchisee's Towing Services as described herein. a) Prior to the commencement of the Towing Services, the Franchisee shall provide to the City certificates of insurance with original endorsements, and copies of policies, if requested by the City, of the following insurance, with Best's Class A — or better carries: 1) Workers' compensation insurance covering all employees and principals of the Franchisee, in a minimum amount of $1 million per accident, effective per the laws of the State of California; 2) Commercial general liability insurance covering third party liability risks, including without limitation.. -..c actual liability, in a minimum amount of $1 million combined single limit per occurrence for bodily injury, personal injury, and property damage. If commercial general liability 16498.0000618563843.8 5 insurance or other form with a general aggregate limit is used, either the general aggregate shall apply separately to this project, or the general aggregate limit shall be twice the occurrence limit; 3) Commercial automobile/truck insurance covering liability arising out of the use of owned, non -owned, leased, or hired automobiles/trucks for performance of the work as required to be licensed under the laws of the State of California or any other Sate vehicle code. The commercial automobile/truck liability insurance shall have not less than $1 million combined single limit per occurrence (bodily injury and property damage liability) and shall apply to all operations of the Franchisee. b) Said policy or policies shall be endorsed to state that coverage shall not be suspended, voided, canceled by either party, or reduced in coverage or limits except after thirty- (30) days' prior notice has been given in writing to the City. The Franchisee shall give to the City prompt and timely notice of any claim made or suit instituted arising out of the Franchisee's operation hereunder. C) The Franchise shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and performance of the contemplated Towing Services, storage, and maintenance. Section 8. Prohibition Against Transfers or Assignments. Franchisee shall not sell, transfer, lease, assign, sublet, mortgage or dispose of in whole or in part, either by forced or involuntary sale, or by ordinary sale, contract, consolidation or otherwise, the franchise or any rights or privileges therein granted, without the prior written consent of the City Council. The City Council's approval of a transfer or assignment of a franchise shall be conditioned upon the Franchisee's sale or disposal of all ownership rights in the Franchisee's franchise towing business. If Franchisee desires to transfer or assign its franchise tow truck business, because he or she intends to sell or dispose of all interests in the tow truck business that is franchised with the City, Franchisee shall make a written request for a transfer or assignment of the franchise. The written request, a deposit of One Thousand Dollars ($1,000) and the proposed sale agreement or other document evidencing disposal of the franchised tow truck business shall be submitted to the City's Management Services Department at least one hundred twenty (120) calendar days before the requested effective transfer or assignment date. The Management Services Department and the Police Department shall investigate the proposed transferee or assignee and determine whether the transferee or assignee is qualified to serve as a tow truck operator franchisee pursuant to the criteria and requirements set forth in the City's Municipal Code. if the Management Services Department and Police Department determine that the proposed transferee or assignee is qualified to be a tow truck operator franchisee, they shall recommend that the City Council approve the transfer or assignment. Upon completion of 16498.00006\8563843.8 6 the City Council's approval or denial, the Management Services Department shall provide Franchisee with an accounting of the administrative or legal costs associated with the City's review of the Franchisee's request for a transfer or assignment of the franchise refund accordingly. Any attempt to sell, transfer, lease, assign or otherwise dispose of the franchise without the prior consent of the City Council shall be null and void. Section 9. Events of Default._ Cancellation._Susi,ension and Revocation_ of Franchise. The City reserves all rights to cancel, suspend, or revoke this Agreement and to rescind all rights and privileges associated with the franchise in accordance with the procedures provided in Article VII. a) Suspension. The Chief of Police shall have the right to suspend, for a period not to exceed 30 days, any franchise granted pursuant to this article, and to rescind all rights and privileges associated with it during the suspension period, if, the franchisee violates any provision of this Agreement. Instances in which the Chief of Police may suspend this franchise shall include, but not be limited to, the following: 1) The Franchisee fails to respond to a towing request three times within any thirty (30) day period; or 2) The Franchisee's response time exceeds thirty (30) minutes on three occurrences within any thirty (30) day period; or 3) The Franchisee has a combination of three (3) or more failures to respond and/or occurrences where the response time exceeded thirty (30) minutes or more within any thirty (30) day period. 4) The Franchisee violates Article VII, state or federal law or otherwise places the health or safety of the public in immediate danger. b) Force Majeure. Notwithstanding any provisions to the contrary set forth herein, Franchisee shall not be deemed to be in default if Franchisee's failure to perform under this Agreement is due to Franchisee's inability to perform same by reason of public calamity, war or other similar force majeure causes beyond Franchisee's control or if its employees are on strike for a period not exceeding seven (7) days pursuant to a labor dispute and Franchisee is making good faith efforts to resolve the dispute. Section 10. Notices. Any notice required to be given under this Agreement shall be given by placing such notice in the Unites States mail, postage prepaid. Such notice shall be deemed made when personally delivered or when mailed forty-eight (48) hours after deposit in the U.S. mail, first-class postage prepaid and addressed to the -party at. its. applicable address. Notices shall be addressed to the addresses below, or to such other address as may be revised by notice in writing to the other Party. 16498.0000618563843.8 To Franchisee: Pepe's Towing Service Fernando Soria 14351 Veterans Way Moreno Valley, CA 92553 To City: Fontana Police Department Traffic Division 17005 Upland Ave. Fontana, CA 92335 Section 11. Authorit v to Enter A� reement. City and Franchisee warrant that the individuals who have signed this Agreement have the legal power, right and authority to enter into this Agreement so as to bind each respective party to perform the conditions contemplated herein. Section 12. Severabilit %_. If any portion of this Agreement is declared by a court of competent jurisdiction to be invalid or unenforceable, the remaining provisions of this Agreement shall continue in full force and effect. Section 13. Attorne,, Fees and Costs. If any legal action or other proceeding is brought for the enforcement of this Agreement or because of an alleged dispute, breach, default, or misrepresentation in connection with any provisions of this Agreement, the successful or prevailing party shall be entitled to recover reasonable attorney fees and other costs incurred in that action or proceeding, in addition_ to any other relief to which it may be entitled. Section 14. Governins: Law and Venue. This Agreement shall be construed in accordance with and governed by the laws of the State of California. Any lawsuit brought to enforce this Agreement shall be brought in the appropriate court in San Bernardino County, State of California. Section 15. Waiver. No waiver of any provision of this Agreement shall be deemed or shall constitute a waiver of any other provision, whether or not similar, nor shall any waiver constitute a continuing waiver. No waiver shall be deemed a waiver and no waiver shall be binding unless executed in writing by the party making the waiver. Section 16. Days. Any term in this Agreement referencing time, days or period for performance shall be deemed to be calendar days and not work days. 16498.00006%9563 843.8 Section 17. Entire Agreement. This Agreement contains the entire agreement of City and Franchisee and supersedes any prior or written statements or agreements between City and Franchisee. No supplement, modification, or amendment of this Agreement shall be binding unless it is either: a) Executed in writing by both City and Franchisee, or b) Reflected in an ordinance by the City Council amending the provisions of Article VII or another provision of the Fontana Code incorporated herein. Section 18. Binding on Assi-ns. Each and every covenant and condition of this Agreement shall be binding on and shall inure to the benefit of the successors and assigns of City and Franchisee. Section 19. Cations. The captions of the various articles and paragraphs of this Agreement are for the convenience and case of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement or of any part or parts of this Agreement. Section 20. Construction. In all cases, the language in all parts of this Agreement shall be construed simply, according to its fair meaning and not strictly for or against any party, it being agreed that the City and Franchisee or their respective agents have all participated in the preparation of this Agreement. Section 21. Cooperation/Further Acts. City and Franchisee shall fully cooperate with one another in good faith in attaining the purposes of this Agreement and, in connection therewith, shall take any such additional further acts and steps and sign any such additional documents as may be necessary, appropriate and convenient as related thereto. IN WITNESS WHEREOF, the Parties have executed this Agreement on the dates indicated next to each of the signatures of their authorized representatives, as they appear below. 16498.00006\6563843.8 9 M CITY OF FONTANA By: Kneth R. Hunt City Manager Dated: Attest: By:L., Tonia Lewis City Clerk 2V B. bert Ra sey nterim Chief of Po ' e Dated: 3 Approved as to form: B ? � Je AB roger 1-1 for Best, Best & Krieger LLP City Attorney IN COMPLIANCE B i Director Pepe's Towing Service [Franchisee] By: Its:- �f Dated: And: Its: d/Gf Dated: TRACT INSURANCE REQUIREMENTS uman Resources IN COMFLIAINtE WITId-,I'URCH ASING AND Lisa strong, Management Services Director 16498.00006\8563843.8 10 EXHIBIT "A" Cover Page Code of the City Of Fontana Chapter 29, Article VII effective March 1, 2016 16498.0000618563843.8 EXHIBIT "B" Cover Page Resolution by the City Council of the City of Fontana Setting the Towing Services Franchise Fee effective March 1, 2016 16498.00006\8563843.8 ARTICLE VII. -TOWING CARRIERS161 Footnotes. --- (6) -- Editor's note—Ord. No. 1190, 5 3, adopted May 21, 1996, amended Art. Vll in its entirety. See the Code Comparative Table. Cross reference— Police, ch. 22. Sec. 29-236. - intent. It is the intent of this article and any subsequent amendments thereto to provide for and specify the means for the city to attain the best possible tow truck services for the city. (Ord: No. 1190, § 3, 5-21-96) Sec. 29-237. - Tow truck operator franchise. The city council may at its discretion, by the adoption of a resolution or ordinance, grant a non- exclusive franchise to a tow truck operator to provide towing services to the city under and pursuant to the provisions of this article. (Ord. No. 1190, § 3, 5-21-96) Sec. 29-238. - Franchise terms and conditions. (a) All franchises granted to franchisees pursuant to this article shall be nonexclusive and shall be for a term to be specified by the city council in the resolution granting a franchise hereunder and in the franchise agreement between the city and the franchisee. (b) No provisions of this article shall be deemed to require restricting the number of franchises to one or any particular number, and no provision of this article shall be deemed to require the city council to grant any franchise if the council determines that the grant of any such franchise is not in the best interest of the city and the public. (c) All tow truck operator franchises shall be subject to the terms and conditions specified in this article, as well any terms or conditions specified in the resolution granting the franchise and the franchise agreement. (d) In granting any tow truck operator franchise, the city council may prescribe such other terms and conditions, not in conflict with this article, as are determined by the city council to be in the best interest of the city and the public. (Ord. No. 1190, § 3, 5-21-96; Ord. No. 1281, § 1, 4-20-99) Sec. 29-239. - Transfer or assignment of franchise. - A tow truck operator franchisee shall not sell, transfer, lease, assign, sublet, mortgage or dispose of in whole or.in.part,_either.byforced..o..r_.i.nvol.unta ry. sale,_.or...by_or_dinarysale, contract, consolidation or otherwise, the franchise or any rights or privileges therein granted, without the prior written consent of the city council. The city council's approval of a transfer or assignment of a franchise granted pursuant to this article shall be conditioned upon the franchisee's sale or disposal of all ownership rights in the franchised tow truck business. A tow truck operator franchisee that desires to transfer or assign its franchise, because he or she intends to sell or dispose of all interests in the tow truck business that is franchised with the city, shall make a written request for a transfer or assignment of the franchise. The written request, a deposit of $1,000.00 and the proposed sale agreement or other document evidencing disposal of the franchised tow truck business shall be submitted to the management services department at least 120 calendar days before the requested effective transfer or assignment date. The management services department and the police department shall investigate the proposed transferee or assignee and determine whether the transferee or assignee is qualified to serve as a tow truck operator franchisee pursuant to the criteria and requirements set forth in this article and make a recommendation to the city council. Upon completion of the city council's approval or denial, the management services department shall provide the tow truck operator that requested the transfer or assignment with an accounting of the administrative and legal costs associated with the city's review of the franchisee's request for a transfer or assignment of the franchise refund accordingly. Any attempt to sell, transfer, lease, assign or otherwise dispose of the franchise without the prior consent of the city council shall be null and void. (Ord. No. 1190, § 3, 5-21-96) Sec. 29-240. - Reserved. Editor's dote— Ord. No. 1294, § 1, adopted 7-20-99, repealed § 29-240 in its entirety. Formerly, said section pertained to authority to maintain its own towing operations and towing yard and derived from Ord. No. 1281, § 2,4-20-99. See the Code Comparative Table. Sec. 29-241. - Selection of franchisees. Within 90. calendar days of the date an existing tow truck operator franchise is due to expire or . whenever the chief of police determines that a new tow truck operator franchisee is needed to provide tow truck services to the city, the chief shall request that the management services department send out a notice of request for qualifications for a tow truck operator franchise. The request for qualifications shall be prepared by the management services department and shall be approved by the chief of police. The management services department shall select the most qualified tow truck operator, provided that the city receives at least one qualified proposal. The name of the most qualified proposer, if there is one, shall be forwarded to the chief of police who shall conduct a background investigation of the operator, his/her employees as well as to verify all information included in the proposal submitted to the city. Upon successful completion of the background investigation the chief of police shall recommend in writing to the city council a franchise based on the objective criteria established by resolution of the city council for determining who is the most qualified operator. In preparing requests for and evaluating the proposals received by the city, the management services department shall comply with the procedures and criteria adopted by resolution of the city council in accordance with this article. (Ord. No. 1190, § 3, 5-21-96) Sec. 29-242. - Conditions on franchises. Any tow truck operator that obtains a franchise pursuant to this article shall: (1) . B.e.ab.l.e..to..hold a_minimum of 250..vehicles. on its lot- Lighting shall be=sufficient-to afford easy visibility to all areas of the lot. The lot must be in a commercial area and be in the proper zone and located within the city's sphere of influence. The business must comply with all city or county and state standards and must possess a current city business license in accordance with chapter 15 of this Code. (2) Have its lot completely enclosed with a minimum of six-foot fence topped by barbed wire or some other security device. Security shall be adequate to preclude theft, vandalism or damage by activity while in the carrier establishment. The view to all automobiles must be obstructed from the roadway. No vehicles shall be parked or stored on the public streets at any time. The business must provide off-street parking for its equipment and be able to accommodate at least four additional vehicles for customer parking. In addition to the four customer parking spaces, at least one additional customer parking space shall be provided for handicapped parking purposes. Said handicapped parking space shall be van accessible. Storage vehicles should be secured away from customer parking and the office area. (3) Have an office and lot in the same location within the city's sphere of influence, with a sign posted including the company name, address, phone number and hours of operation, to be clearly visible from the roadway and shall have been operating out of an office and a storage yard within the city's sphere of influence for at least one year prior to applying for and obtaining a franchise pursuant to this chapter. (4) Maintain a sign listing the rates and charges of all towing and storage services offered. Such sign shall be conspicuously placed in the office or other places where customer financial transactions take place. (S) Have an attendant on call 24 hours a day, seven days a week, when the carrier is at the top of the rotation list, and respond to calls within 30 minutes. The business must maintain regular hours at a minimum of eight hours Monday through Friday. (6) Have no more than two telephone numbers listed with the police department. (7) Agree to protect, indemnify, defend and hold harmless the city from all claims, demands or liability arising out of or encountered in connection with its agreement with the city or the performance of work in preparation for the towing operation, or claims, demands and liability occurring during the towing and subsequent storage and maintenance activities whether such claims, demands or liability are caused by the tow service or its employees or agents. (8) Use business -band two-way radios and shall not use a shortwave police scanner or C.B. radio to answer police calls. (9) Post a tag on the windshield of all cars ordered impounded by the police department. In addition to posting a tag on the windshield of the car, an operator may also affix temporary markings on the car windshield. (10) Collect all towing or hauling and storage charges, as well as city franchise fees, on each vehicle from the owner. In no event shall the city be liable for any such charge, and the carrier by accepting a license shall be considered as so agreeing. The franchise fees shall be paid in quarterly installments to the police department. Payments shall be delivered or mailed to the traffic division. Franchise fee payments shall become due and payable to the city within two weeks after issuance of the third monthly tow report of each quarter. (11) When called from the top of the rotation list by the police department respond to the .....de.partment's call -and -pick up all -vehicles -that have been -involved in an accident or a-trafi•ic violation, unless the vehicles are needed for criminal evidence or the owner or someone designated by the owner is present and is capable of removing a vehicle or calling a tow company of his or her choice to remove a vehicle; provided the street can be cleared for safe public use with reasonable dispatch. (12) Not release any vehicle in its possession for which a storage form was completed until all state and city requirements are met and appropriate franchise fees are collected. This does not apply to vehicles legally obtained through lien sale or which ownership is transferred to the franchise for payment of towing and storage fees. (13) Furnish each owner of an automobile impounded by the tow truck operator with a fully itemized billing. (14) Make a policy for lien fees, whereby alien cannot be placed upon vehicle until after 72 hours of impoundment in accordance with state law. The policy shall comply with all requirements of California Vehicle Code, §§ 22851 through 22851.12, or their successor provisions. (15) Tow and store police vehicles and vehicles seized as evidence in criminal investigations free of charge. Franchisees agree to hold the city harmless for fees and costs arising from the impound, storage, or notifications for vehicles that are seized as evidence in criminal investigations and that are seized and towed on account of an error by the police department. However, in cases where a vehicle is towed on account of an error by the police department, the police department shall pay the tow costs. (16) Agree to abide by the rotation system established by the chief of police in accordance with this article. (17) Have at least six operable tow trucks, of which one shall be a medium duty wrecker and one shall be a heavy duty wrecker or a heavy duty truck accompanied by a heavy duty tilt trailer, six qualified drivers each of whom shall be over the age of 18, and adequate equipment to handle police calls, impounds and storage of motor vehicles available when called upon. Franchisee affirmatively holds itself out as having the necessary means to tow a heavy duty commercial vehicle and auxiliary equipment and to safely transport motorcycles and agrees to be ready to respond with appropriate equipment. (18) Have tow truck vehicles that are like new in appearance. (19) Have a schedule of rates available upon demand in all vehicles at all times. (20) Have all employee drivers licensed by the city in accordance with the City Code. (21) Cooperate with police department inspections and make all drivers, vehicles, equipment, yards, and vehicle documentation available to the city within a reasonable time. The police department reserves the right to inspect all drivers, vehicles, equipment and yards. The police department also reserves the right to require that all towing vehicles be inspected by an automotive professional certified by the State of California Bureau of Automotive Repair, and selected by the police department. All vehicle inspection fees shall be borne solely by the franchisee and shall be due and payable upon presentation of the vehicle for inspection. A yearly inspection of all vehicles is required and the franchisee shall not interfere in any way with any such inspections. Any towing vehicle that fails an inspection shall not be used to provide towing service in the city until=it:is repaired and passes reinspection. (22) Not' charge rates that are greater than 115 percent of the schedule of rates for towing est .bIishe'd by the California Highway Patrol for the Ontario area. These rates are determined via the competitive bid process and are annually updated by the state highway patrol. As they are updated, the new rates will become the rates for the towing carriers franchised by the city. If the state.highway patrol does not update fees yearly, the city may grant a yearly cost of living inei'ease in accordance with Consumer Price Index (CPI) published by the United States _" Department of Labor Bureau of Labor Statistics for the area of Los Angeles, Riverside and Anaheim, California, published in April of the year in which the increase is requested. Requests for a CPI increase shall be made in writing to the chief of police. The chief of police shall review the request and make recommendations to the city council as to whether or not increases should be granted. (23) Obtain and produce upon request proof of workers' compensation, commercial liability and commercial automobile/truck insurance of not less than $1,000,000.00 combined single limits for each type. Said policies shall be endorsed to state that coverage shall not be reduced, suspended, voided or canceled by either party during the term of the franchise. (24) Provide, free of charge, storage for at least ten vehicles seized by the city for evidentiary purposes for the amount of time necessary for the adjudication and disposition of the legal proceedings of the case. Franchisee agrees to provide storage for two vehicles in an indoor garage with access to the basic tools necessary to perform V.I.N. and mechanical inspections. (25) Pay to the city a franchise fee in accordance with this article. (26) Obtain driver permits for all employee drivers as required in section 29-141 of the Code of the City of Fontana. Franchisees who participate in the California Highway Patrol "pull program" are exempt from the yearly driver relicensing requirement in section 29-141(h) of the Code of the City of Fontana. (27) Agree not to charge an after hours fee to persons who come to recover a stolen vehicle on a Saturday. Upon approval of the police department, the operator may release personal property from an impound vehicle at the request of the vehicle owner or their agent. There shall be no charge for the release of personal property during normal business hours. Operators may charge an after hours release fee for property released after normal business hours. (28) Pass an investigation by the police department. (29) All towing vehicles shall be equipped with the auxiliary equipment required for vehicles towing for the California Highway Patrol, in accordance with Attachment "C" of the State of California, Department of California Highway Patrol Tow Service Agreement (CHP 234 (REV. 1-98) OPI 061), or any successor Tow Service Agreement. (30) Operators shall comply with. all applicable federal, state and local regulations for providing towing service. (31) Submit monthly response statistics for the monthly tow report to the traffic division of the police department. The reported data shall include any tows which may cause a discrepancy. (Ord. No. 1190, § 3, 5-21-96; Ord. No. 1281, §§ 3, 4, 4-20-99; Ord. No. 1695, § 1, 6-24-14) Sec. 29-243. - Franchise fees. (a) Any tow truck operator granted a franchise pursuant to the provisions of this article shall pay to the city franchise charges and fees as may be determined by separate resolution of the city council. The franchise agreement entered into between the city and tow operator shall provide that any subsequent changes in the franchise fees and charges shall be applicable to the operator upon ten days written notice of such -changes to the operator: (b) Franchise fee payments due to the city under this section 29-243 shall be computed monthly. For the purpose of the franchise fee payment computation, the applicable accounting period shall be calendar month unless otherwise agreed to in writing by the city and the franchisee. • ,l l The franchise fees shall be paid in quarterly installments to the police department. Payments shall be delivered or mailed to the traffic division. Franchise fee payments shall become due and payable to the city within two weeks after issuance of the third monthly tow report of each quarter. Each payment shall be accompanied by a brief report from the franchisee showing the basis for the computation and a written statement, signed under penalty of perjury by an officer of the franchisee, which identifies in detail the sources and amounts of gross revenues received by the franchisee during the month for which payment is made. No acceptance of any payment shall be construed as an accord that the amount paid is in fact the correct amount, nor shall such acceptance of payment be construed as a release of any claim that the city may have for further or additional sums payable under the provisions of this section 29-243. (d) Any franchise fees which remain unpaid after the date specified in subsection (c) above shall be delinquent, shall result in a penalty equal to ten percent of the unpaid amount and the unpaid amount shall thereafter accrue interest at ten percent per year, compounded daily, until paid. (e) The franchisee or the franchisee's designated representatives shall, upon five days' written notice from the city, make available to the city or the franchisee's designated representatives its accounting records for confidential inspection and audit. If the results of the audit show a franchise fee underpayment of greater than two percent, the franchisee will pay all costs associated with the audit in addition to any other amounts owed as shown by the audit. If the results of the audit show an underpayment of greater than ten percent, the franchisee will pay the cost of the audit plus 50 percent of the total error as a penalty in addition to any amount owed as shown by the audit. If the results of the audit show an underpayment of less than two percent or an overpayment, the city shall pay its own costs associated with the audit. Any underpayment shall result in a penalty equal to ten percent of the underpayment and the amount of such underpayment shall accrue interest at the rate of ten percent per annum, compounded daily from the date the underpayment should have been paid pursuant to subsection (c) above until the date the underpayment is paid. (f) In the event the results of the audit are disputed, the city may, at its sole discretion, elect to arbitrate the dispute. In the event the city elects to arbitrate, the city and the franchisee shall each select an independent auditor at their own cost. The two auditors will agree upon the results of the audit. If the two independent auditors cannot agree upon the results of the audit, a third auditor will be selected by the two independent auditors to make a final determination. The determination of the third independent auditor will be final. (g) By accepting any franchise granted pursuant to this article, the franchisee irrevocably waives the defenses of any statute of limitation, laches, waiver or other equitable doctrine of similar import or effect in any action brought by the city to recover any franchise fee, interest or penalties due under this section 29-243. (h) By accepting any franchise granted pursuant to this article, the franchisee agrees that if it challenges the right of the city to collect the franchise fee provided by this section 29-243, any relief requested by franchisee and awarded to it by virtue of such challenge shall be prospective only from and after the date of the filing of the initial pleading seeking such_relief.in a court of-com-petent-jurisdiction. The franchisee hereby waives any and all claims or rights to collect back from the city, or obtain credit against future payment obligations, any amounts collected by the city prior to the filing of the initial pleading seeking such relief. In the event the franchisee's challenge to any franchise fee payments should result in an initial judgment in its favor, franchisee shall continue to make all franchise fee payments in accordance with this section 29-243 pending an appeal by the city. In the event the court of appeal, or trial court if city elects not to appeal, determines that the city is not entitled to collect any or all of the franchise fees, the city shall refund to franchisee those portions of the franchise fee which the court deems the city was not entitled to collect which were made subsequent to the filing of the initial action by franchisee, exclusive of interest on such amount. (i) The city shall retain the right to impose alternative forms of taxes and/or fees in the event that the franchise fees provided for in this section 29-243 are no longer assessable due to a subsequent change in federal, state or local law. (Ord. No. 1190, § 3, 5-21-96; Ord. No. 1281, § 5,4-20-99; Ord. No. 1695, § 1, 6-24-14) Sec. 29-244. - Franchise agreements. All franchises granted by the city council pursuant to this article shall be memorialized in a written agreement between the franchisee and the city and shall, be entered into within 30 days of the effective date of any city council action awarding a franchise. The written agreement shall be in a form approved by the city attorney. Each written agreement shall provide that the terms and conditions of each franchise as set forth in this article shall be incorporated by reference into the agreement. A franchise agreement may be extended, at the sole and absolute discretion of the city council, for a period, or periods, not to exceed 90 days. All terms and conditions contained in the prior written agreement between the franchisee and the city shall continue in full force and effect. (Ord. No. 1190, § 3, 5-21-96; Ord. No. 1281, § 6, 4-20-99) Sec. 29-245. - Rotation system. The tow truck operators who obtain a franchise pursuant to this article shall provide towing service to the city pursuant to the rotation system established by the chief of police. The chief of police shall develop a list of the franchised tow truck operators The franchise tow truck operator at the top of the list shall be on call to provide towing service to the city in accordance with the rotation system established by the chief of police. Once a tow truck operator completes its designated on-call service, the operator's name shall be moved to the bottom of the list and the operator then at the top of the list shall begin its designated on- call service. The city may request services from a franchised tow truck operator who is not on-call or who is not franchised under this article in emergencies when the city manager, chief of police or the watch commander deems an emergency to exist. The chief of police shall also develop a list of the franchised tow truck operators that have agreed to provide tow truck services for all city -owned vehicles free of charge. The franchised tow truck operators shall be on call to provide towing service to the city for city - owned vehicles. (Ord. No. 1190, § 3, 5-21-96; Ord. No. 1281, § 7, 4-20-99) Sec. 29-246. - Cancellation, suspension and revocation of franchise. (a) No franchise agreement shall be cancelled within two years of its effective date. 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