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HomeMy WebLinkAbout04 OFFICIAL POLICE TOWING SERVICE CONTRACT AWARDAgenda Item 4 Reviewed: AGENDA REPORT City Manager Finance Director N/A MEETING DATE: JUNE 21, 2011 TO: WILLIAM A. HUSTON, INTERIM CITY MANAGER FROM: SCOTT M. JORDAN, CHIEF OF POLICE SUBJECT: OFFICIAL POLICE TOWING SERVICE CONTRACT AWARD SUMMARY The Official Police Towing Service (OPTS) Contract is up for renewal effective July 1, 2011. A Request for Proposals (RFP) process was initiated and 13 tow companies participated. After conclusion of the process, three tow companies have been selected for award of the contract, for non-exclusive towing services for the City of Tustin. The contract is for three years, with the possibility of two, two-year extensions. RECOMMENDATION This report is for information only. The Police Department has selected the following three companies for the Official Police Towing Service contract, effective July 1, 2011: 1. Archie's Towing 2. Metro Pro Towing 3. Greater Southern California Towing FISCAL IMPACT No fiscal impact. BACKGROUND On January 20, 2011, the City of Tustin Police Department released an RFP for the OPTS rotation. 13 companies submitted proposals by the April 1St deadline. After an initial review to determine whether the companies met the minimum criteria, two companies were disqualified because their storage facilities were located beyond the five mile radius set forth in the RFP. Official Police Towing Service Contract Award June 21, 2011 Page 2 of 2 Of the remaining 11 companies, tow vehicles and storage facilities were physically inspected by Tustin Police Department's Traffic Unit personnel. References, driver and background information were investigated thoroughly. As a result of the process, five companies met the minimum requirements for the contract and the remaining six were disqualified for various reasons, including negative references and a lack of required medium and heavy duty equipment. Three companies - Archie's Towing, Metro Pro Towing, and Greater Southern California Towing -were chosen as the three best to meet the towing, storage and evidence needs of the Police Department. It was also felt that the three companies would best represent the City of Tustin in serving the community and providing a safe, professional environment for citizens, who find themselves in the unfortunate situation of retrieving their vehicles from a tow yard. Archie's Towing and Metro Pro Towing are currently members of the Police Department's OPTS rotation. Effective July 1St, Greater Southern California Towing will be added to the rotation, and John's Towing will be dropped from the rotation. The initial contract is for a three year period, and the Chief of Police may twice extend the contract for two years. The selection process was conducted pursuant to City of Tustin Ordinance No. 1249, authorizing the Chief of Police to enter into OPTS agreements with qualified tow truck service providers, subject to approval by the City Attorney. Ordinance No. 1249 was passed and adopted by the City Council on November 19, 2001. ~. ~/ SCOTT M. J DAN Chief of Polic` ~~~~~~ CLARK GALLIHER Police Sergeant Attachments: 1. City of Tustin Ordinance No. 1249 2. Inter-Com Memo to Chief Jordan -Official Police Towing Service Selection, May 24, 2011 3. City of Tustin Official Police Tow Service Agreement 2011 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 23 24 25 26 27 28 ORDINANCE NO. 1249 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, REPEALING SECTIONS 3431 - 3436 OF CHAPTER 4, PART 3 OF THE TUSTIN CITY CODE RELATING TO TOW TRUCKS The City Council of the City of Tustin hereby ordains as follows: SECTION 1. Chapter 4, Part 3, Sections 3431 through 3436 of the Tustin City Code is hereby repealed in its entirety. SECTION 2. Upon the effective date of this Ordinance, all of the City's existing Official Police Towing & Storage Service ("OPTS") agreements with tow truck service providers are hereby terminated. SECTION 3. Upon the effective date of this Ordinance, the Police Chief, on behalf of the City of Tustin, is hereby authorized to enter into new OPTS agreements with qualified tow truck service providers, subject to approval by the City Attorney. PASSED /AND ADOPTED, at a e lar meeting of the City Council for the City of Tustin on this l~t~day of !V~(St~P-dYl ~ , 2001. /~~ C I W RLEY, MAYOR Internet City of Tustin ORDINANCE CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF ORANGE ) SS CITY OF TUSTIN ) ORDINANCE NO. 1249 I, PAMELA STOKER, City Clerk and ex-officio Clerk of the City Council of the City of Tustin, California, hereby certifies that the whole number of the members of the City Council of the City of Tustin is five; and that the above and foregoing Ordinance No. 1249 had first reading by title only and introduction at the November 5, 2001 City Council meeting and was adopted at the November 19, 2001 Council meeting by the following vote: COUNCILMEMBER AYES: Worley, Thomas, Bone, Doyle, Kawashima COUNCILMEMBER NOES: None COUNCILMEMBER ABSTAINED: None COUNCILMEMBER ABSENT: None Pamela Stoker, City Clerk • a5~j ~ OPpi ° ~p ~sT~H -~ DATE: MAY 24, 2011 Inter-COm TO: SCOTT M. JORDAN, CHIEF OF POLICE FROM: SGT. CLARK GALLIHER, TRAFFIC UNIT SUPERVISOR SUBJECT: OFFICIAL POLICE TOWING SERVICE SELECTION ~~~ sue( -- On January 20, 2011 the City of Tustin released a Request for Proposals (RFP) to provide towing services on an on-call basis. On April 1, 2011, 13 local tow companies submitted proposals to provide non exclusive towing services for the City. Initially, two of those tow companies were disqualified for being located outside of the 5 mile radius set forth in the RFP. The following tow companies were inspected and the recommendations for tow service providers are as follows: 1. Archie's Towing: It was determined that Archie's Towing met the minimum requirements to be considered for our police tow service contract. The Department has had a longstanding relationship with Archie's Towing, and currenfly stores all of the Department's evidence vehices and City vehicles. Furthermore, Archie's Towing has always met or exceeded the Department's expectations. 2. Metro Pro Towing: It was Determined that Metro Pro Towing met the minimum requirements to be considered for our police tow service contract. The Department has had a longstanding relationship with Metro Pro Towing. Metro Pro's storage yard was clean, well organized, and extremely secure. Several comments were made regarding Metro Pro exceeding the minimum response time to calls for service, but no complaints were reported to the Tow Officer or investigated by the Department. 3. Greater Southern California Towing: It was determined that Greater Southem California Towing met the minimum requirements to be considered for our police tow service contract. Greater Southem California's storage yard was clean and well organized. Greater Southem California Towing has been a rotation tow for the Santa Ana Police Department for approximately 28 years and comes highly recommended by their references. 4. B 8~ D Towing: It was determined that B & D Towing met the minimum requirements to be considered for our police tow service contract. B & D Towing appeared to be a well run family company that comes highly recommended by their references. The storage facility currently utilized by B & D Towing is approximately 4.9 miles (as the crow flies) from the northwest city limits. The storage facility does not appear to be in a location that would be conveniently accessed by the citizens of the City. Official Police Towing Service Selection May 24, 2011 Page 2 of 3 5. John's Towing: It was determined that John's Towing did not meet the minimum requirements to be considered for our police tow service contract. John's Towing does not have heavy or medium duty tow capabilities, and the security at the facility consists of a block wall (5 feet in some areas) and guard dogs. Additionally, two of their driver's were recently involved in a physical altercation in our city. With this in mind, John's Towing is currently a rotation tow and has met all of the needs of the Department. 6. Southside Towing: It was determined that Southside Towing met the minimum requirements to be considered for our police tow service contract. However, I don't believe Southside Towing would convey the appropriate image to the citizens of the City Of Tustin. Additionally, Southside towing currently maintains an offsite evidence storage facility. While the facility is secure, there are no employees present and the facility is only monitored by video. 7. American All Star Towing: It was determined that American All Star Towing did not meet the minimum requirements to be considered for our police tow service contract. American All Star Towing does not have heavy or medium duty tow capabilities. 8. Hadley Towing: It was determined that Hadley Towing did not meet the minimum requirements to be considered for our police tow service contract. Hadley Towing received several negative references and was recently removed from the Freeway Service Patrol and Orange Police Department's rotation. Additionally, Hadley Towing received an "F" rating from the Better Business Bureau. 9. Pepe's Towing: It was determined that Pepe's Towing did not meet the minimum requirements to be considered for our police tow service contract. Pepe's Towing does not have heavy or medium duty tow capabilities, and the block wall was in a state of disrepair. Additionally, Pepe's Towing received an "F" rating from the Better Business Bureau. 10. To' and Mo' Towing: It was deterrined that To' and Mo' Towing did not meet the minimum requirements to be considered for our police tow service contract. To' and Mo' Towing submitted a proposal listing 518 N. Poinsettia Ave as the operating address for the company. At the time of the inspection, the 518 N. Poinsettia Ave address was not complete and the company was operating out of the 117 N. Standard Ave facility. Additionally, To' and Mo' received several negative reviews on the intemet regarding their customer service and towing practices. 11. Top Towing: It was determined that Top Towing did not meet the minimum requirements to be considered for our police tow service contract. Top Towing does not have heavy or medium duty tow capabilities. Additionally, Top Towing was recently removed as the Automobile Club of Southern California's Santa Ana area contract station. Official Police Towing Service Selection May 24, 2011 Page 3 of 3 12. All of the tow companies had their tow vehicles inspected by the California Highway Patrol. Those vehicles that did not pass will be re-inspected during the first week of June 2011. The Tow Officer has been in contact with representatives from the CHP and will be notified if any of the tow companies listed above does not pass the vehicle inspections. As a result of the RFP review, yard, and truck inspections, we are recommending that the following companies be selected to provide non exclusive towing services for the City: 1.) Archie's Towing 2.) Metro Pro Towing 3.) Greater Southern California Towing 1 Cod CtJ~t- WITS 7FI~1-~ Fs~jfl=~l~t . ~vPPoR~Yir~ ~ocu~~~lrn~ Ld A-r~sc~~~ 'Co T~4zJ ~~tYCR.- Co-~I. T Q~CoHtICyD ~"f~L~- E.,~d1TCslt ~~= ]~oU6~z ~~f'OR" TIC ~iTl ~ou~cz~ Fold bCPR~~Ia~. • A~oU~Da Q~•PoR-- iJ "~'~CWDC~D WL~fI~' T~L~ QaCK~I' . ~ ~ ~ ~AF-1 L~=-~ ~ 722 SP:+~ Z,~ b~~Qa'fyJN~ s~~ L~~o~ c~~a~cG~ CITY OF TUSTIN OFFICIAL POLICE TOW SERVICE AGREEMENT 2011 Contractor: Table of Contents Effective Date: July 01, 2011 RECITALS ..................................................................................................................................... 1 1.0 SCOPE OF SERVICES .................................................................................................... .. 2 2.0 CONSIDERATION .......................................................................................................... .. 2 3.0 TERM AND TERMINATION ......................................................................................... .. 3 4.0 LOCATION ...................................................................................................................... .. 3 5.0 PERSONNEL ................................................................................................................... .. 4 6.0 TOWING SERVICE DUTIES ......................................................................................... .. 6 7.0 RESPONSE TIME ............................................................................................................ .. 9 8.0 EQUIPMENT STANDARDS .......................................................................................... 10 9.0 COMMUNICATIONS EQUIPMENT ............................................................................. 12 10.0 HOURS ............................................................................................................................. 12 11.0 VEHICLE IDENTIFICATION ........................................................................................ 12 12.0 STORAGE SERVICE RESPONSIBILITIES .................................................................. 13 13.0 STORAGE FACILITY STANDARDS ............................................................................ 13 14.0 IMPOUND VEHICLES -INSIDE STORAGE ................................................................ 14 15.0 RELEASE OF VEHICLES ............................................................................................... 14 16.0 RECORD KEEPING &REPORTING ............................................................................. 15 17.0 LIENS AND DISPOSALS ............................................................................................... 15 18.0 PERFORMANCE ............................................................................................................. 16 19.0 INSPECTION ................................................................................................................... 16 20.0 MOTORISTS ASSISTANCE ........................................................................................... 16 21.0 RISK ................................................................................................................................. 16 22.0 INSOLVENCY ................................................................................................................. 17 23.0 SUCCESSORS AND ASSIGNS ...................................................................................... 17 24.0 INDEMNITY .................................................................................................................... 18 25.0 INSURANCE .................................................................................................................... 18 26.0 INTEGRATION ............................................................................................................... 19 27.0 AMENDMENT ................................................................................................................. 19 28.0 NO WAIVER .................................................................................................................... 20 29.0 THIRD PARTY BENEFICIARIES .................................................................................. 20 30.0 INDEPENDENT CONTRACTOR ................................................................................... 20 31.0 CONTROL ........................................................................................................................ 20 32.0 WORKERS' COMPENSATION ..................................................................................... 20 City of Tustin Contract ~i~ Official Tow Service 743900.1 33.0 EXECUTION OF AGREEMENT ..................................... 34.0 DRY RUNS ....................................................................... 35.0 CITY VEHICLE TOWING ............................................... 36.0 RESPONSIBILITY ............................................................ 37.0 EXCLUSION-ABANDONED VEHICLES ................... 38.0 BREACH OF CONTRACT ............................................... 39.0 ACTS OR OMISSIONS OF REPRESENTATIVES ........ 40.0 CHARGES ......................................................................... 41.0 NOTICES ........................................................................... 42.0 CHANGE OF CIRCUMSTANCES .................................. 43.0 SEVERABILITY ............................................................... 44.0 VENUE .............................................................................. 45.0 EFFECTIVE DATE ........................................................... SIGNATURE PAGE ..................................................................... ......................................... 21 ......................................... 21 ......................................... 21 ......................................... 21 ......................................... 21 ......................................... 22 ......................................... 24 ......................................... 24 ......................................... 26 ......................................... 26 ......................................... 27 ......................................... 27 ......................................... 27 ......................................... 28 City of Tustin Contract 743900.1 Official Tow Service CITY OF TUSTIN OFFICIAL POLICE TOW SERVICE AGREEMENT THIS OFFICIAL POLICE TOW SERVICE AGREEMENT (the "Agreement") is made and entered into this 1 day of July, 2011 by and between the CITY OF TUSTIN, a California municipal corporation (hereinafter referred to as "CITY"), and (hereinafter referred to as "CONTRACTOR"). Any reference in this Agreement to the "Department" shall be deemed to refer to the Tustin Police Department. RECITALS A. CITY's Police Department requires the aid and assistance of towing services on a regular basis in the performance of its emergency response and traffic control duties, including response to and investigation of vehicular accidents. B. As a means for providing the necessary towing service, CITY has approved the use of certain towing service companies who have agreed to contract with CITY to provide the requisite towing service pursuant to the requirements and performance criteria established by the Department, as set forth in the terms and conditions contained herein and in the City of Tustin Request for Proposals (RFP) for the Official Police Tow Service 2011. The RFP and the proposal submitted by the CONTRACTOR pursuant to the RFP (the "Contract Documents") are hereby incorporated and made part of this Agreement as though fully set forth herein. Should any inconsistency occur or exist in these Contract Documents, the provisions of this Agreement, then the provisions of Request for Proposal, then the Proposal shall control, in that order. C. CONTRACTOR is a towing company selected by the Department to be used on-call and on a rotational basis for any police emergency or response situation where the use of a tow truck is required. D. CONTRACTOR owns or leases tow trucks and employs personnel that are capable of providing the desired vehicle towing and storage services to CITY pursuant to the Contract Documents. E. CITY desires to retain and designate CONTRACTOR and CONTRACTOR desires to accept and be retained by CITY, as an independent contractor, for purposes of providing police towing and vehicle impound and storage services for CITY, pursuant to the terms and conditions set forth in this Agreement and the Contract Documents. AGREEMENT NOW, THEREFORE, in consideration of the foregoing recitals, which are incorporated herein by reference, and the mutual promises, covenants, and conditions contained herein, the parties agree as follows. To ensure the efficient performance of City of Tustin Contract ~1 ~ Official Tow Service 743900.1 police towing services for the Department, CONTRACTOR hereby agrees to the following service provider requirements, specifications, performance criteria, and terms and conditions: 1.0 SCOPE OF SERVICES 1.1 CONTRACTOR shall perform vehicle towing, impound, and storage services as directed by the Department and in addition such other services as provided in this Agreement, and shall provide necessary storage facilities, tow services, labor, materials, equipment, machinery and tools. 1.2 CONTRACTOR shall comply with all State laws that regulate tow units and the impound, towing, storage, selling or junking of vehicles. Specific services include, but are not limited to, towing of improperly parked vehicles, vehicles that obstruct or impede the flow of traffic or emergency lanes, walkways, and handicapped parking spaces, police impounds, seizure of evidence, and motor vehicle accidents. 1.3 CONTRACTOR is hereby designated as an authorized tow service provider for CITY by the Chief of Police. All trucks and equipment used by CONTRACTOR in the performance of this Agreement shall be owned by or leased to CONTRACTOR and shall be subject to all provisions herein. 1.4 The CONTRACTOR acknowledges and agrees that this Agreement to provide tow services as set forth herein is non-exclusive. City intends to concurrently contract with other tow service providers. City shall utilize the services of each tow service providers as City, in its sole discretion, deems appropriate. 2.0 CONSIDERATION In consideration of CONTRACTOR's agreement to perform the services provided for herein, CITY agrees that throughout the term of this Agreement, CONTRACTOR shall have: 2.1 The right to tow, impound, and store vehicles at the direction of the Department within and outside the jurisdictional boundaries of CITY, subject to the Department's call-for-service system, as it may be amended from time to time, at the Department's sole discretion. 2.2 The right to charge vehicle owners the amounts not to exceed those charges approved by the City according to Section 40 below. 2.3 Notwithstanding the provisions of this Agreement pertaining to CONTRACTOR's services and Consideration, nothing contained herein shall deprive the owner or operator of a vehicle from requesting and receiving towing services from a person or entity other than CONTRACTOR. City of Tustin Contract -2~ Official Tow Service 743900.1 2.4 Provided, further, that when, in the opinion of the Department, an emergency exists or where CONTRACTOR is either unable or unwilling for any reason to provide adequate or timely tow service, then the Department shall have the right to call other qualified tow services, which may or may not be under contract with CITY. Under such circumstances, the decision to call another tow service, either under contract or not, shall be at the exclusive discretion of the Department. 3.0 TERM AND TERMINATION 3.1 This Agreement shall remain in effect for three (3) years from the Effective Date, as defined in Section 45 below. This Agreement may be reviewed at the conclusion of the initial three (3) year period and extended for up to two (2), two- year periods by mutual written agreement of the parties. 3.2 This Agreement may be cancelled by CITY at any time during the three (3) year term, or the subsequent two-year terms if extended. In the event of termination for cause by CITY, CONTRACTOR shall be compensated for those services that have been fully and adequately completed and accepted by the Department as of the date of termination. Termination of this Agreement for cause may be considered by CITY in determining whether to enter into future contracts with CONTRACTOR. 3.3 This Agreement may also be cancelled without cause upon ninety (90) days written notice provided by either party. In the event that CITY should abandon, terminate, or suspend CONTRACTOR's work, CONTRACTOR shall be entitled to payment for services fully and adequately provided hereunder prior to the effective date of the suspension, termination, or abandonment. CONTRACTOR shall provide documentation deemed adequate by the Department to show the services actually completed by CONTRACTOR prior to the effective date of termination. 3.4 In the event this Agreement is terminated, in whole or in part, as provided by this Section, CITY may procure, upon such terms and in such manner as it deems appropriate, services similar to those terminated. 3.5 The rights and remedies of the parties provided in this section are in addition to any other rights and remedies provided by law or under this Agreement. 4.0 LOCATION 4.1 CONTRACTOR shall maintain a physical location with a yard for vehicle storage, along with an office for payment of fees and vehicle releases, which location shall be within two (2) miles of the CITY limits, and from which the business shall be conducted. Such physical location shall be subject to approval by the Chief of Police or his/her designee. CONTRACTOR may establish and maintain an City of Tustin Contract ~3~ Official Tow Service 743900.1 additional location within or outside the CITY as a yard for vehicle storage, subject to the approval by the Chief of Police or his/her designee. Except as otherwise directed by the Department, each vehicle towed pursuant to this Scope of Work shall be stored at CONTRACTOR's facility, which facility is located within two (2) miles of the CITY limits. 4.2 All vehicles stored or impounded at the direction of the Department shall be towed directly to the CONTRACTOR's impound and storage facilities, unless the Department requests that they be taken to some other location. If the vehicle is towed pursuant to a citizen request, then at the request of the citizen the vehicle can be stored at any business location of the CONTRACTOR, which has been approved, by the Chief of Police, or his/her designee. 4.3 Any proposed change in the CONTRACTOR's facility locations shall be reported, in writing, to the Department at least sixty (60) days prior to making such change. CONTRACTOR shall obtain the approval of the Chief of Police or his/her designee for any change of location. 5.0 PERSONNEL 5.1 No person employed as a tow truck operator for the CONTRACTOR shall have access to any Department stored or towed vehicle until such time as that person has received written approval from the Chief of Police or his/her designee. 5.2 Tow truck operators shall be proficient in the use of the tow truck they are driving and related equipment, including, but not limited to the procedure necessary for the safe towing and recovery of various types of vehicles. It is the responsibility of the CONTRACTOR to ensure its operators are trained, qualified and competent employees of the business. The operators shall complete training and have received a certificate of completion through a recognized tow industry association or company specialized in the training of tow operators. The training shall be hands on and a minimum of 16 hours for light duty class tow trucks and 24 hours for heavy duty class tow trucks. A copy of the certificate of completion for each tow truck operator providing services pursuant to this Agreement shall be provided by CONTRACTOR to the Department prior to commencement of each operator's employment. 5.3 All CONTRACTOR tow truck operators shall possess valid California Tow Truck Driver Certification and Driver's Licenses in the proper class pursuant to Vehicle Code Sections 13378 and 12804.9(b). 5.4 All CONTRACTOR tow truck operators shall be required to have a safe driving record, be 18 years of age or older, and be subject to driving record and criminal background checks by the Department. No tow truck operator with a record of violations of the Vehicle Code which has resulted in the suspension or revocation of their driver's license or a second driving under the Influence or reckless driving City of Tustin Contract ~4- Official Tow Service 743900.1 conviction within the three (3) years preceding the most recent violation shall be allowed to provide service to CITY under this Agreement. 5.5 CONTRACTOR shall have an alcohol and drug program that includes at a minimum, an alcohol and drug free workplace policy, and a tow truck operator alcohol/drug-testing program that complies with the U.S. Department of Transportation requirements to the extent allowed by law, including random alcohol and drug testing. Any tow truck operator found working under the influence of alcohol or drugs shall be immediately removed from operating a tow truck and from providing any service pursuant to this Agreement. The alcohol and drug program shall meet the following requirements: 5.5.1 A contract with a program administrator and authorized lab certified by the U.S. Department of Transportation; and 5.5.2 Procedures and components substantially as in Part 40 of Title 49 of the Code of Federal Regulations for pre- employment; and 5.5.3 Procedures and components substantially as in Part 382 of Title 49 of the Code of Federal Regulations for rehabilitation, return-to-duty and follow up testing; and 5.5.4 Procedures and components for random testing following U.S. Department of Transportation guidelines, and additional tests as required following accidents, rehabilitation, return-to- service, and other circumstances providing reasonable suspicion to test; and 5.5.5 Monthly reports of the random testing component shall be filed with the Department by the program administrator no later than the 10th day following the end of the previous monthly reporting period; and 5.5.6 The CONTRACTOR and program administrator's alcohol and drug program records shall be made available to the Department upon request; and 5.5.7 Drivers must show a valid California driver's license at the time and place of testing; and 5.5.8 All test results are kept confidential except that the Department is authorized to receive copies for its administrative purposes, and except as otherwise authorized or required by law. City of Tustin Contract ~5~ Official Tow Service 743900.1 5.6 CONTRACTOR shall participate in the California Department of Motor Vehicles (DMV) Employer Pull Notice Program. 5.7 CONTRACTOR shall not employ in the performance of services pursuant to this Agreement any tow truck operator convicted of or having pled nolo contendere to a crime involving a stolen vehicle, stolen property, violence, drugs or moral turpitude, fraud related to the towing business, or misdemeanor or felony driving while under the influence of alcohol or drugs, or the crimes listed in Vehicle Code Section 13377. If any tow truck operator is charged with any of the above listed crimes, CONTRACTOR shall immediately suspend that operator from duties under this Agreement pending the disposition of the criminal case. 5.8 CONTRACTOR tow truck operators shall maintain acceptable standards of dress, including uniforms, and cleanliness while on duty in the community. 5.9 CONTRACTOR tow truck operators shall fully cooperate with and abide by the instructions of the Department's officers. 5.10 If any tow truck operator becomes ineligible to provide operator services under this Agreement, the CONTRACTOR shall immediately notify the Department in writing of such ineligibility and the reason(s) therefor. 5.11 CONTRACTOR shall provide to the Police Department annually (within 10 days of the anniversary of the Agreement) a list of its tow truck operators, including driver's license numbers and a DMV printout for each tow truck operator. Any subsequent employment of a new tow truck operator shall be reported in writing to the Department immediately, including submittal of the above-referenced information. 5.12 CONTRACTOR shall provide to the Police Department the name of any tow truck operator no longer employed by CONTRACTOR. This notification shall be given to the Traffic Department no later than ten (10) business days following the last date of such operator's employment by CONTRACTOR. 5.13 Each of CONTRACTOR's tow truck operators shall obtain from the CITY aclip- on identification tag which such operator shall wear at all times when performing services for the CITY in order to allow ease of tow truck operator identification. 6.0 TOWING SERVICE DUTIES After being requested to the scene by the Department, CONTRACTOR tow truck operators shall comply with the following: 6.1 Not move nor attach a tow truck to any vehicle until instructed to do so by the investigating officer of the Department. City of Tustin Contract ~6~ Official Tow Service 743900.1 6.2 Cooperate with the investigating officer of the Department in removing unsafely and/or illegally parked vehicles from the street, and in the storing or impounding of such vehicles as requested. 6.3 On collision calls, clean-up and remove all debris from the accident scene, including but not limited to, clean-up and removal of all hazardous materials/vehicle fluids in the street with absorbent material, as directed by Department officers and Section 27700 of the California Vehicle Code. 6.4 Provide the owner or driver of towed vehicles (when present at scene) with a business card of CONTRACTOR indicating where vehicle will be stored or impounded (including address and telephone number). 6.5 Vehicles brought to the Department or a designated facility from the scene for processing and then towed to the tow yard will incur an additional second tow fee equal to one-half of the regular tow fee. Storage fees will not start until the vehicle is stored at the towing facility. 6.6 CONTRACTOR shall be responsible and held accountable for personal property, vehicle accessories and the vehicle upon receipt of the vehicle from the Department. CITY, its officers, agents or employees shall not be liable for loss of or damage to any vehicle, accessory, equipment or personal property towed or stored upon the tow truck operator acknowledging receipt for the vehicle by his/her signature on the stored vehicle report form. 6.7 CONTRACTOR shall not dispose of or otherwise relinquish control of any vehicle stored or impounded by the Department without a written approval from the Department to do so. The written approval is required for any vehicle stored or impounded by the Department and the tow truck operator signs a stored vehicle report form and receives a copy of the stored vehicle report. The Department stored automobile release form will be the normal form for release. 6.8 The release of property from a vehicle will be handled in the same manner as a vehicle release. The stored automobile release form will again be used, but a stamp, "property only" will be utilized at the top of the form. The person who authorizes the release of the property will make the modification and will be specific as to description of the property to be released. 6.9 Vehicles shall be released during the business hours of 8:00 am to 5:00 pm, Monday -Friday, "excluding holidays and weekends". There will be, however, occasions arising that can require "after hours releases" of certain vehicles. When the circumstances appear to justify an "after hour release" of a vehicle, approval of the release must be secured from the on-duty Police Supervisor. Inoperable vehicles will not be released after hours. City of Tustin Contract -7~ Official Tow Service 743900.1 6.10 For purposes of clarity, vehicles towed or stored at the request of citizens, for which no stored vehicle report is utilized, will not require a stored automobile release. Citizens requesting the towing of vehicles under their control shall enter into an agreement with the CONTRACTOR; the Department will act as a venue of communication between the citizen and the CONTRACTOR. 6.11 When a party obtains a Department stored vehicle release and presents it to the CONTRACTOR, the vehicle and/or property shall be released to that person upon verification of identity and the payment of the fees. The registered owner will be required to pay for "property only" releases at the Department's records counter. An After Hours Release Fee will be paid to the CONTRACTOR for "property only" or vehicle releases after the normal business hours of the CONTRACTOR. 6.12 Once the tow service has received the Department stored automobile release, the CONTRACTOR is no longer obligated to the Department for the continued safe storage of the vehicle and/or property taken. 6.13 If after a "property only" release is obtained, the registered owner may return to the records counter, produce the paid receipt for the "property only" release and request a vehicle impound release paying the difference. 6.14 In the event a tow truck driver has hooked up a vehicle at the direction of the Department and the vehicle owner or person in control of the vehicle appears, and the officer decides the vehicle can be released at the scene, then a payment of one-half (1/2) of the tow charge may be charged by CONTRACTOR to and be payable by the vehicle owner or person in control of the vehicle prior to the vehicle being dropped. The Department's officer will complete the stored vehicle report noting the release and payment. The officer will then give the tow truck operator the copy as though the tow had been completed. A case number will be assigned to the release of the vehicle; no SVS entry will be made. 6.15 In the case of a vehicle stored or impounded by the Department that is of low value and qualifies as a junk vehicle as described within California Vehicle Code Sections 22670 or 22851.10, the CONTRACTOR may request D.M.V. Form 462, Public Agency Authorization to dispose of a Vehicle to a Scrap Iron Processor or Dismantler, in lieu of obtaining the stored automobile release to process a lien sale for the vehicle. This form will suffice for final disposition of the vehicle and no other release is necessary. Form 462 cannot be issued for (15) fifteen days from the day the vehicle is first stored at the tow facility. 6.16 In addition to the storage yard, the tow service shall maintain a closed building that affords storage of four (4) additional full size vehicles in accordance with Section 14.0 below. This enclosure shall be of such size and construction to allow for Forensic Services examination of the vehicles in a dry environment during inclement weather. Access to this enclosed storage building shall be City of Tustin Contract ~8~ Official Tow Service 743900.1 severely limited by CONTRACTOR, as directed by the investigator assigned to the case for which the vehicle has been impounded. 6.17 CONTRACTOR must advise the Department's Traffic Division in writing within ten (10) business days, if a person picking up a vehicle complains to CONTRACTOR of damage to the vehicle or any missing vehicle accessories or personal property from the vehicle for which CONTRACTOR denies responsibility. 6.18 All CONTRACTOR's employees who have access to the storage yard or the personal property which is taken out of any vehicle for storage or safe keeping must provide a complete set of finger prints, complete an application and have written authorization from the Chief of Police or his/her designee for such access. 6.19 Upon request of (a) the registered owner; (b) the legal owner; (c) the insurance carrier of either (a) or (b); or (d) the duly authorized agent of any of the foregoing, CONTRACTOR shall furnish an itemized statement of charges upon request and without demanding payment as a condition. The statement shall include the service performed, labor and special equipment used in towing the vehicle. 6.20 A vehicle on a thirty-(30) day hold may be signed over to CONTRACTOR by the legal owner prior to the expiration of the thirty (30) days. The legal owner must first obtain a vehicle release from the Department. The CONTRACTOR after receiving the vehicle release from the Department must apply for a lien release prior to selling the vehicle. 6.21 CONTRACTOR shall notify the Department of any vehicles being impounded within CITY pursuant to private party impound requests immediately prior to commencement of the towing of such vehicles. 7.0 RESPONSE TIME 7.1 CONTRACTOR shall respond to the Department's requests for towing, impound, and storage service within twenty (20) minutes from the time such request is received. An immediate response will be required for all emergency calls. Response time is the difference between the time the CONTRACTOR is contacted by the Department and the time the tow truck arrives at the required location. CONTRACTOR shall promptly notify the Department if this response time cannot be met. Emergency conditions, as verified by local media or traffic enforcement may be acceptable reasons for not meeting the response time requirement. Equipment or personnel shortage, or lack of availability is not an acceptable reason for failure to meet response times. 7.2 CONTRACTOR shall give priority to all of the Department's requests for service. City of Tustin Contract ~9~ Official Tow Service 743900.1 7.3 CONTRACTOR's dispatcher shall notify the Department when a tow vehicle cannot respond immediately, give the reason for the delay, and an estimated time of arrival. In the event of an additional delay, CONTRACTOR dispatcher shall again notify the Department and give the new estimated time of arrival. To ensure a timely response, the Department, in its sole discretion, may cancel any call-for-service because of a response delay and may request service from another tow service provider. 7.4 If the tow truck unit(s) has not arrived at the scene within twenty (20) minutes from the time requested, the Department, based on the urgency of the field situation, may request a different towing service to respond to the call, whether the different tow service has a contract with CITY or not. 7.5 If CONTRACTOR's telephone or radio is not promptly answered, or if the line is busy when called by the Department after two (2) attempts, the CONTRACTOR being called will be bypassed and the Department may select another tow service. 7.6 If, while rendering assistance in response to a Department call for towing, a second Department call for towing is generated to the CONTRACTOR, the CONTRACTOR tow truck operator shall, before responding to the second call, ensure that all vehicles at the first site are sufficiently clear of the roadway so that no obstruction to normal traffic exists. Once the second call is handled to conclusion, the vehicles at the first site may be towed as necessary. 7.7 In the event CONTRACTOR is unable to respond to calls at the request of the Department, it shall be understood that the Department has the right to call the another tow service on the rotation list. The original tow service will be placed on the bottom of the rotation list. It is incumbent upon the tow service to advise the Department dispatcher of any problems that may arise to adversely affect response time. 7.8 The Department, in order to expedite service, can request any tow service out of order on the rotation list. The tow service requested will not lose its place on the rotation fist. 8.0 EQUIPMENT STANDARDS 8.1 All towing equipment, recovery equipment, and carrier ratings are based on structural factors only. Actual towing, carrying, and recovery capacity can be limited by the capacity of the chassis and the optional equipment selected. The criteria to determine the safe towing limits are: 8.1.1 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). City of Tustin Contract ~10~ Official Tow Service 743900.1 8.1.2 The truck must meet all applicable State and/or Federal standards. 8.1.3 A tow truck operator when towing a vehicle shall not exceed the GVWR and the Axle Weight Rating (AWR) for the tow truck. 8.2 CONTRACTOR shall own or have leased to it at least three (3) tow trucks that will be based at its approved storage facilities and will be available to perform official towing services at all times during the term of this Agreement. At least one of these tow trucks shall have a lifting capacity of eight (8) tons. 8.3 CONTRACTOR shall have at least two (2) rigs of one ton capacity with rear dual wheels. 8.4 CONTRACTOR vehicles shall be equipped as tow trucks in compliance with the provisions of the California Vehicle Code including, but not limited to, Sections 615, 24605, 25100, 27700 and 27907. Tow trucks shall be equipped with red flares, lanterns or reflectors, hand tools, crow-bar, rope, broom, shovel, dustpan, absorbent material for clean-up of hazardous materials, fire extinguisher, portable red tail lights and stop lights for towed vehicles, equipment for opening locked vehicles, and safety chain. 8.5 All CONTRACTOR vehicles shall have available adequate equipment to handle large trucks, trailers, tractors, and other heavy vehicle equipment. This includes a set of dollies capable of supporting any passenger vehicle. 8.6 CONTRACTOR vehicles shall have a cable winch of sufficient size and capacity to retrieve vehicles that have gone over embankments or off traveled portions of roadways into remote areas or other difficult locations. 8.7 Motorcycles that are stored, impounded, or towed from a collision scene at the request of the Department shall be hauled by a trailer that is designed to carry motorcycles, or by a flatbed truck. 8.8 Any equipment used and maintained by CONTRACTOR shall be available for inspection by the Department upon request. CONTRACTOR vehicles shall be subject to random inspection by the Department. 8.9 CONTRACTOR shall be equipped for, and have personnel proficient in, unlocking locked vehicles. CONTRACTOR shall unlock locked vehicles when requested to do so by the Department. 8.10 Throughout the term of this Agreement, CONTRACTOR shall maintain in a neat and clean manner and in good working condition its storage facilities and improvements thereon, and all vehicles, facilities, equipment, and materials used by CONTRACTOR in the performance of the services required under this City of Tustin Contract ~1 1 ~ Official Tow Service 743900.1 Agreement. Any additions to or deletions from the CONTRACTOR tow truck fleet shall be immediately reported, in writing, to the Department. 9.0 COMMUNICATIONS EQUIPMENT 9.1 CONTRACTOR, during the term of this Agreement shall maintain, and have approved by CITY, a continuous means of communication between CONTRACTOR's dispatcher and each CONTRACTOR tow vehicle. CONTRACTOR shall also maintain and staff, on a 24 hour basis, a telephone to receive calls from the Department and members of the public. 9.2 Use of Citizen's Band Class D radio equipment by CONTRACTOR is prohibited. 9.3 Telephone service maintained by CONTRACTOR shall be adequate to receive police calls without delay. The telephone terminals shall be monitored at all times. Recording machines or similar devices are not allowed. If a call from the Department is not answered within six (6) rings or the line is busy after two attempts, or placed on hold for more than a minute, the call will be terminated and CONTRACTOR will be placed on the bottom of the rotation list and the tow service next in line will be called. 9.4 CONTRACTOR shall provide a list of telephone numbers to be called in order of priority. Changes to contact list shall be provided immediately in writing to the Chief of Police or his/her designee along with the effective date of the change(s) 10.0 HOURS 10.1 CONTRACTOR shall provide twenty-four (24) hour towing service, seven (7) days a week, during the term of this Agreement. 10.2 CONTRACTOR shall ensure that there will be an employee on call twenty-four (24) hours a day, seven (7) days a week and capable of being present or available for releasing impounded or stored vehicles to the public in accordance with Section 6.0 of this Agreement. CONTRACTOR's response time for such releases shall be no longer than one (1) hour. 11.0 VEHICLE IDENTIFICATION 11.1 Each CONTRACTOR vehicle shall display identification signs, in compliance with Section 27907 of the California Vehicle Code. CONTRACTOR shall not display any signs or advertising that indicate the CONTRACTOR is an official towing service or garage of CITY. 11.2 CONTRACTOR shall not, through their advertisements or otherwise, in any way publicize any official or other business connection with CITY, nor shall City of Tustin Contract ~12~ Official Tow Service 743900.1 CONTRACTOR advertise any address or telephone number of CITY as a location to call for vehicle towing and storage service. 12.0 STORAGE SERVICE RESPONSIBILITIES 12.1 CONTRACTOR shall be responsible for all vehicles, accessories, and equipment thereon, and all personal property therein, stored by it. It shall be CONTRACTOR's duty to protect such stored vehicles, accessories, equipment, and property against all loss, damage by fire, theft, or other causes. 12.2 CONTRACTOR shall be responsible for the negligent acts and omissions of its employees and for any property damage caused by CONTRACTOR or its employees to any vehicle under their control. 13.0 STORAGE FACILITY STANDARDS CONTRACTOR shall make adequate provisions for the security of vehicles and property at its storage facilities, which shall at a minimum consist of all of the following: 13.1 All vehicles shall be stored in a building, or in an area or areas enclosed by a substantial wall or fence. The storage yard shall be enclosed with a concrete block wall or chain-link type fence of a height of not less than six (6) feet. The top of the fence shall be equipped with two (2) or more strands of barbed wire installed in such a manner as to discourage access by climbing the fence. Concertina type razor wire may be substituted for barbed wire, subject to Department approval and local codes. 13.2 The bottom edge of the fence shall not rise more than two (2) inches above the finished surface of the parking area of the storage yard. A secure locking system shall be a part of the gate and it shall otherwise meet the same standards for security as described for the fence. 13.3 All storage facilities shall be paved and maintained in good working order and secured at all times. Any damage affecting security of vehicles, lighting and/or evidence shall be repaired within twenty-four (24) hours of the damage. 13.4 The minimum total capacity of the CONTRACTOR's storage facilities for storage shall be spaces for 75 vehicles. 13.5 All storage facilities must be approved for security by the Chief of Police, or his/her designee, and available for inspection by the Department at all times upon request of the Chief of Police or his/her designee. 13.6 In the event of theft from the vehicles stored in the yard, the CONTRACTOR must take additional measures satisfactory to the Department to protect the vehicles and property in the vehicles. City of Tustin Contract ~13~ Official Tow Service 743900.1 13.7 Registered or legal owners requesting to inspect their vehicles shall be allowed to do so without having to pay the storages fees first. 13.8 The CONTRACTOR shall not perform any work upon any vehicle without first obtaining written permission from the owner of the vehicle. Notwithstanding the foregoing, all work on impounded vehicles shall be handled pursuant to Section 14 below. 13.9 If the CONTRACTOR videotapes or otherwise records images of the storage facility, such videotapes and photographs shall be maintained by the CONTRACTOR for at least ninety (90) days. 14.0 IMPOUND VEHICLES -INSIDE STORAGE 14.1 Vehicles that have been impounded by order of the Department shall not be released, lien sold, worked on, altered, or tampered with, without a written release from the Department. 14.2 CONTRACTOR shall maintain, without charge to the Department, separate, fully enclosed, and secured garage storage facilities for a minimum of four (4) vehicles ordered impounded by the Department. 14.3 The Department shall have sole access to such separate impound facilities when vehicles are being held for evidence. 14.4 The Department shall designate when a vehicle is to be placed into inside impound storage. Vehicles placed into this impound space shall not be removed from such protection until approved and authorized in writing by the investigating officer of the Department in accordance with Section 6.16. 15.0 RELEASE OF VEHICLES 15.1 The CONTRACTOR is responsible for the release of all vehicles stored by the Department. CONTRACTOR is hereby granted authority to release to the registered owner, legal owner, or authorized representative, all vehicles stored but not impounded, by the Department. Authority to release impounded vehicles must be obtained from the Department, which must be in writing on the Department's approved impound release form. 15.2 After obtaining a release from the Department, registered or legal owners or an agent of the owner requesting to inspect their vehicles or remove property from their vehicles shall be allowed to do so without having to pay the storage fees first. Such inspections and property removals shall be available only during the CONTRACTOR's regular business hours. City of Tustin Contract ~14~ Official Tow Service 743900.1 16.0 RECORD KEEPING & REPORTING 16.1 CONTRACTOR shall log, maintain, and complete accurate business records of the tow service including: a description of the vehicle, nature of service, time, location, tow truck operator handling the call and an itemized total charge. These records shall be available for inspection by the Department, with or without cause, with 24 hours notice, during normal business hours. These records shall be kept for a minimum period of three (3) years. 16.2 Record systems must provide for immediate access, upon inquiry by the Chief of Police or his/her designee, to the following information: 16.2.1 Locate vehicle from the Department's report number. 16.2.2 Locate vehicle from license number only. 16.2.3 Locate vehicle from make, color, date and location of impound. 16.2.4 Date of filing of all lien sale documents with DMV. 16.3 CONTRACTOR shall submit a report, by the 10th day of each month, to the Department, which shall include all of the following information for the preceding month: 16.3.1 Total CITY impounds and storages. 16.3.2 Number of times dispatched by the Department. 16.3.3 Number of calls for service resulting in impounds. 16.3.4 Number of calls for services that resulted in having to spend more than one hour on the call. 17.0 LIENS AND DISPOSALS 17.1 CONTRACTOR shall provide the Department with a list of unclaimed vehicles thirty (30) days before they are scheduled to be disposed of or sold. On or before the 10th of each month, CONTRACTOR shall furnish to the Department a list of all vehicles that have been sold at lien sales during the previous month, and date of the action. The list shall include the vehicle owner's name, address, vehicle make, year and model, license number, VIN number, and Department record number. Copies of all lien sale documents shall be resubmitted with such list. The documents shall be dated and include all charges imposed on each sale. City of Tustin Contract ~15~ Official Tow Service 743900.1 17.2 CONTRACTOR shall comply with all State law requirements for the disposal of unclaimed vehicles. 18.0 PERFORMANCE 18.1 CONTRACTOR shall perform the services required under this Agreement in an ethical, professional, and orderly manner and shall endeavor to obtain and keep the confidence of the motoring public. 18.2 CONTRACTOR's performance of all terms and conditions set forth herein shall be monitored and verified by the Department's Traffic Division. 18.3 At its sole expense, CONTRACTOR shall obtain a CITY Business License, all permits, and licenses as may be required by this Agreement or otherwise to perform the work. CONTRACTOR shall maintain in effect throughout the term of this Agreement all licenses and permits required to perform the services required by this Agreement. 19.0 INSPECTION 19.1 All real property and improvements materials used by CONTRACTOR in upon request by the Department, be of Police or his/her designee. thereon, and all facilities, equipment, and the performance of this Agreement shall, open to immediate inspection by the Chief 20.0 MOTORISTS ASSISTANCE 20.1 Whenever a motorist requests tow assistance from the Department and does not specify a particular tow company or membership agency, the service shall be, in the sole discretion of the Department, assigned to either CONTRACTOR or another tow service awarded a contract for tow service by CITY, in accordance with the Department's adopted call-for-service system. All charges arising out of such assistance assigned to the CONTRACTOR shall be the exclusive responsibility of CONTRACTOR and the requesting motorist. The Department shall not be liable for any charges whatsoever arising out of a motorist assistance call. CONTRACTOR shall not charge such motorist more than the rates specified in this Agreement. 21.0 RISK 21.1 CONTRACTOR assumes all risk in the event of damage, theft, fire, or otherwise, of the vehicles or any other property towed, impounded, or stored by CONTRACTOR, its employees or agents. City of Tustin Contract ~16~ Official Tow Service 743900.1 21.2 Notwithstanding any other term or condition herein, in responding to a call from the Department, CONTRACTOR shall have no claim whatsoever against CITY or any right to recover from City for the cost of any of the services it renders in the performance of this Agreement. CONTRACTOR shall look solely and exclusively to the owner of the vehicle towed, impounded, or stored for payment of the services provided by the CONTRACTOR. 21.3 CONTRACTOR shall assume the entire risk of nonpayment of any service charges incurred pursuant to this Agreement. 21.4 In the event a vehicle has been stored or impounded by the Department due to error or negligence, no charges or fees shall be paid and the vehicle shall be released to the owner or the owner's agent. CITY shall not be liable for any such charges or fees. If the error is not discovered for a period of five (5) business days after the vehicle is stored and CONTRACTOR has initiated lien sale process, as required by C.V.C 22851.8, CONTRACTOR shall be entitled to recover actual costs incurred to initiate the lien. 22.0 INSOLVENCY 22.1 CONTRACTOR shall not, without the prior written consent of the Chief of Police, allow either the appointment of a receiver to take possession of all or substantially all of the assets of CONTRACTOR or make a general assignment of such assets for the benefit of creditors. Any such action taken or allowed by CONTRACTOR under any insolvency or bankruptcy proceeding constitutes a breach of contract by CONTRACTOR and all property assigned by CITY for safe care shall be "released" to another assigned service provider, as specified by the Chief of Police or his/her designee, with a reimbursement for towing, storage, and related fees borne by the service provider assuming the new responsibility. 23.0 SUCCESSORS AND ASSIGNS 23.1 Each of the terms and conditions of this Agreement shall inure to the benefit of and shall bind, as the case may be, not only the parties hereto, but each and every one of the heirs, executors, administrators, successors, assignees, and legal representatives of the parties. 23.2 CONTRACTOR shall not assign its rights or delegate or otherwise transfer its obligations under this Agreement to any other person or entity without the prior written consent of CITY. Any such assignment without the prior consent of CITY shall be void and the attempted assignment shall constitute a material breach of this Agreement. 23.3 If CONTRACTOR is permitted to subcontract any part of this Agreement, CONTRACTOR shall be responsible to CITY for the acts and omissions of its subcontractor as it is for persons directly employed. Nothing contained in this City of Tustin Contract ~17~ Official Tow Service 743900.1 Agreement shall create any contractual relationship between any subcontractor and CITY. All persons engaged in the work will be considered employees of CONTRACTOR. CITY will deal directly with and will make all payments to CONTRACTOR. 24.0 INDEMNITY 24.1 CONTRACTOR shall protect, defend, indemnify, and hold harmless CITY, its Council Members, officers, employees and agents, against, without limitation, any and all claims, demands, debts, obligations, liabilities, judgments, actions, penalties, fines, costs, expenses and attorneys' fees of every kind and description arising out of or connected in any way with CONTRACTOR's performance under this Agreement, including but not limited to: (1) any claim or action relating to the preparation of vehicles for towing; (2) any claim or action relating to the towing of vehicles; (3) any claim or action relating to the storage, impound, and maintenance activities; (4) any claim or action relating to the sale or disposal of vehicles pursuant to this Agreement; and (5) workers' compensation. 24.2 This hold harmless agreement shall apply to all liability regardless of whether any insurance policies are applicable. The policy limits do not act as a limitation upon the amount of indemnification to be provided by CONTRACTOR. 25.0 INSURANCE CONTRACTOR, at its sole cost and expense, shall purchase and maintain throughout the term of this Agreement the following insurance policy: 25.1 CONTRACTOR shall maintain in full force and effect, during the term of this Agreement, policies of comprehensive general liability (including property damage and bodily injury) and automobile liability insurance with limits of at least $1,000,000.00 combined single limit coverage per occurrence. CITY, its officers, employees, and agents shall be named as additional insureds. 25.2 CONTRACTOR shall carry and pay for workers' compensation insurance as is required to fully protect CONTRACTOR and its employees under California Workers' Compensation Insurance Law. 25.3 All insurance required pursuant to this section shall: be issued by a company authorized by the Insurance Department of the State of California and rated A-, Class VII or better by the latest edition of Best's Key Rating Guide, except that CITY will accept workers' compensation insurance rated B, VII or better or from the State Compensation Fund. The workers' compensation insurance company shall agree to waive all rights of subrogation against CITY for losses paid under the terms of the policy, which arose from the work performed by the named insured. City of Tustin Contract ~18~ Official Tow Service 743900.1 25.4 Upon execution of this Agreement, CONTRACTOR shall provide to CITY certificates of insurance and endorsements evidencing the policies fulfilling the requirements of this Section. If self-insured for workers' compensation, CONTRACTOR shall submit to CITY a copy of its certification of self-insurance issued by the Department of Industrial Relations. Each insurance policy shall provide that it shall not be cancelled or modified except after thirty (30) days written prior notice to CITY. 25.5 The insurance policies specified in this Section, except for the workers' compensation policies, shall name CITY and its officers, Council Members, agents, and employees as additional insureds by endorsement to the policies. Such policies shall be primary, and any other policies maintained by or providing protection for CITY shall be excess or secondary but noncontributing. 25.6 If CONTRACTOR does not keep all of such insurance policies in full force and effect at all times during the term of this Agreement, CITY may elect to treat the failure to maintain the requisite insurance as a breach of this Agreement and terminate the Agreement as provided herein. 25.7 If CITY reasonably determines that the amounts of insurance held by the CONTRACTOR pursuant to this Agreement are no longer sufficient, or that additional types of coverage are needed, CONTRACTOR shall modify the existing coverage or obtain additional policies, as CITY shall reasonably determine. All new policies shall be on the terms and conditions contained herein. 25.8 The CONTRACTOR shall annually within ten (10) days of the anniversary of the effective date of this Agreement, and at any other time requested by the City, provide to the CITY evidence that all insurance required pursuant to this Agreement continues to be in full force and effect. 26.0 INTEGRATION 26.1 This Agreement fully expresses all understandings between the parties with respect to the subject matter of this Agreement and supersedes all prior or contemporaneous oral or written understandings or agreement regarding the matters covered by this Agreement. 27.0 AMENDMENT 27.1 No modification, amendment, addition to, deletion, or alteration of the terms of this Agreement, whether written or oral, shall be valid unless made in writing and formally approved and executed by all parties. City of Tustin Contract ~19~ Official Tow Service 743900.1 28.0 NO WAIVER 28.1 No delay or omission in the exercise of any right or remedy available hereunder shall impair such right or remedy or be construed as a waiver. Any waiver of any default or condition hereunder must be in writing and shall not be construed as a waiver of any other default concerning the same or any other provision of this Agreement. 28.2 The waiver by CITY of any breach by CONTRACTOR of any of the provisions of this Agreement shall not constitute a continuing waiver or a waiver of any subsequent breach or default by CONTRACTOR either of the same or a different provision of this Agreement. 29.0 THIRD PARTY BENEFICIARIES 29.1 The terms of this Agreement are intended to confer benefits only on the parties to this Agreement. No rights of action shall accrue to any other persons or entities under this Agreement. 30.0 INDEPENDENT CONTRACTOR 30.1 Both parties hereto in the performance of this Agreement shall be acting in an independent capacity and not as agents, employees, partners or joint ventures with one another. CONTRACTOR and its employees are not employees of CITY and are not entitled to any of the rights, benefits, or privileges of CITY's employees including, but not limited to, medical, unemployment, or workers' compensation insurance. 31.0 CONTROL 31.1 Neither CITY or its officers, Council Members, agents, or employees shall have any control over the conduct of CONTRACTOR employees except as set forth herein. CONTRACTOR agrees not to represent that it or its agents, servants, or employees are in any manner agents, servants, or employees of CITY, it being understood CONTRACTOR, its agents, servants, and employees are as to CITY wholly independent contractors and that CONTRACTOR's obligations to CITY are solely those prescribed by this Agreement. CITY and CONTRACTOR further acknowledge and agree that CITY shall have no responsibility for salary, health benefits, retirement benefits, taxes, or any other benefits that may be due to CONTRACTOR's employees. 32.0 WORKERS' COMPENSATION 32.1 CONTRACTOR shall comply with all of the provisions of the Workers' Compensation Insurance and Safety Acts of the State of California, the applicable provisions of Division 4 and 5 of the California Government Code and City of Tustin Contract ~20~ Official Tow Service 743900.1 all amendments thereto; and all similar state and federal acts or laws applicable; and shall indemnify, defend, and hold harmless CITY and its officers, employees, and agents from and against all claims, demands, payments, suits, actions, proceedings, and judgments of every nature and description, including attorneys' fees and costs incurred by CITY or presented, brought, or recovered against CITY, its officers, employees, and agents, for or on account of any liability under any of said acts which may be incurred by reason of any work to be performed by CONTRACTOR under this Agreement. 33.0 EXECUTION OF AGREEMENT 33.1 The persons executing this Agreement hereby represent and warrant that the execution of this Agreement and the performance of the terms and conditions of this Agreement have been authorized by all requisite corporation, Federal, State, municipal, or other entity requirements and that the undersigned have the right, power, legal capacity and authority to execute and enter into this Agreement. 34.0 DRY RUNS 34.1 CITY shall not be liable to pay CONTRACTOR any charge whatsoever or fee for a call that does not result in a chargeable service being rendered by CONTRACTOR (i.e., a "dry run"). 35.0 CITY VEHICLE TOWING 35.1 CONTRACTOR shall provide, without cost to the CITY, towing of CITY vehicles as requested by CITY. 36.0 RESPONSIBILITY 36.1 It shall be the responsibility of CONTRACTOR to provide equipment and to perform the duties expressed in this Agreement. CONTRACTOR is hereby granted authority to utilize additional resources whenever deemed necessary to perform its tow service duties. This may include, but is not limited to, personnel and/or equipment of another tow operator. This, however, shall not relieve CONTRACTOR of its duties and responsibilities and any additional cost incurred shall not be charged to CITY. 37.0 EXCLUSION-ABANDONED VEHICLES 37.1 Vehicles, or parts thereof, which are disposed of through Abandoned Vehicle Abatement Program by delivery to an authorized automobile dismantler, pursuant to Section 22660 of the California Vehicle Code are excluded from this Agreement. No charge shall be assessed against the CITY or the owner of any vehicle that is towed, stored, or dismantled under the provisions of the Abandoned Vehicle Abatement Program. City of Tustin Contract ~21 ~ Official Tow Service 743900.1 38.0 BREACH OF CONTRACT It shall be grounds for termination of this Agreement, if CONTRACTOR, or any of its agents or employees or any person(s) connected or associated with the CONTRACTOR as an operator, director, officer, stockholder, general manager, or person who is exercising managerial authority of or on behalf of the CONTRACTOR has committed any one of the following acts: 38.1 Has been convicted of a felony or any crime involving theft, embezzlement, stolen property, fraud or crimes of violence within the last ten (10) years or is so convicted during the term of the Agreement. 38.2 Has published, uttered or disseminated any false, deceptive or misleading statements or advertisement in connection with the operation of the towing service. 38.3 Has conducted the towing service in a manner contrary to the peace, health, safety, and general welfare of the public. 38.4 Has violated or permitted other persons to violate, through an act of omission or commission by the CONTRACTOR, any felony or misdemeanor crime involving sexual offenses or moral turpitude, or a felony involving sale or use of a controlled substance, or any act of dishonesty, fraud, within the last ten (10) years. 38.5 Had an inspection or investigation by the City Building Division, Police Department, or Fire Department, which revealed a deficiency, violation, or conduct that endangers the peace, health, safety and general welfare of the public. 38.6 Employs tow truck operators under 18 years of age. 38.7 Fails to notify the Department's Traffic Division in writing of any names, addresses, driver's license number of any newly employed tow truck operator within ten (10) business days of their hire date, or fails to notify the Department's Traffic Division within ten (10) business days of any tow truck operator who is no longer employed by CONTRACTOR. 38.8 Has charged fees in excess of the rates approved by the Department or in excess of any Federal, State, County or City laws or regulations for towing and/or storage of vehicles or any service incidental to towing. 38.9 Has allowed the services of a tow truck operator with a record of violations of the Vehicle Code which has resulted in the suspension or revocation of their driver's license or a second (2nd) driving under the Influence or reckless driving conviction within the three (3) years preceding the most recent violation, to City of Tustin Contract ~22~ Official Tow Service 743900.1 remain in CONTRACTOR's employment as a tow truck operator providing service to CITY. 38.10 Fails to comply with any California Vehicle Code, Federal, State, or County regulations and laws relating to towing and/or storing of vehicles, including the impounding and storing of vehicles from private property. 38.11 Fails to maintain control of any personal property, vehicle accessories and vehicles, which have been towed. 38.12 Fails to reimburse the legal or registered owner for damage or loss that occurs while the vehicle was in the CONTRACTOR's custody. 38.13 Having allowed an unauthorized person access to the storage yard or facilities. 38.14 Any other grounds as outlined in this Agreement, or failing to comply with any provision of this Agreement. 38.15 Has knowingly made false, misleading or fraudulent statements of a material fact in a report or record required to be filed with the Department. 38.16 Has stopped and solicited on any street, highway or other public thoroughfare the rendering of assistance to a person or disabled vehicle without first being requested to do so, except to render emergency aid when there exists an imminent peril to life or property. 38.17 Has charged for services not performed, equipment not employed or used, service or equipment not needed, or has otherwise materially misstated the nature of any service performed or equipment used. 38.18 Has been denied consideration for placement on another police department tow list or suspended from another police department tow list, within five (5) years of applying to provide tow services to the CITY, or during the term of the CONTRACTOR's agreement with CITY. 38.19 Obtaining a tow contract from the CITY by use of fraud, trick, dishonesty, or forgery. 38.20 Towing a vehicle to a location other than approved by the Department as an authorized storage facility without first receiving prior authorization to do so by the Department. 38.21 After towing a vehicle to the CONTRACTOR's storage facilities, towing the vehicle to another location for storage or impound without authorization from the Department. City of Tustin Contract ~23~ Official Tow Service 743900.1 38.22 Defrauding or conspiring to defraud any owner of any vehicle, any insurance company, or any other person financially interested in the towing, storage, or impound of any vehicle. 38.23 Moving, tampering with, or removing a vehicle involved in a traffic collision prior to the arrival of law enforcement officers at the scene. 38.24 The Department receives four (4) or more complaints against the CONTRACTOR during any twelve (12) month period that the Department, in its reasonable discretion, determines to be justified, regarding the service, or lack thereof, provided by the CONTRACTOR. 38.25 Repeated or flagrant violations of the provisions of the California Vehicle Code. 38.26 Demonstrating a pattern or practice of failing to answer calls-for-service, respond promptly to calls, and/or to maintain clean, orderly, and secured storage facilities. 38.27 Failing to obtain and maintain a current valid CITY business license. 38.28 Allowing the insurance coverage required herein to be withdrawn, lapse or otherwise to no longer being in force for any reason. 38.29 Dissolution of business or bankruptcy. 38.30 Assignment of the Agreement, or any right or interest stated herein, without the prior written consent of Chief of Police of his/her designee. 39.0 ACTS OR OMISSIONS OF REPRESENTATIVES 39.1 It is understood and agreed by the parties that the acts and/or omissions of the owner(s), officers, operators, officials, employees, agents, and representatives of CONTRACTOR in the performance of the services and obligations under this Agreement shall constitute the acts and/or omissions of CONTRACTOR and not the City. 40.0 CHARGES 40.1 CONTRACTOR shall charge rates for all service, including an after hour's release fee, as established herein. The rates for citizen assist calls for services such as service calls or disabled vehicle tows will be established by the Police Department as commercial rates for CONTRACTOR. The Chief of Police or his/her designee prior to the increase will authorize any and all rate increases. 40.2 All rates and charges shall be conspicuously posted in the CONTRACTOR's office and in all tow vehicles, and shall be available for review by the Department City of Tustin Contract ~24~ Official Tow Service 743900.1 and/or persons for whom tow service is provided. All customer bills shall be itemized. 40.3 Routine clean up is included in the basic tow charge. However, when clean up is determined to be excessive (by mutual agreement of the CONTRACTOR and the CITY), the rate shall be the labor rate referenced in CONTRACTOR'S proposal (quoted for "labor"). 40.4 The CONTRACTOR, as prescribed within California Vehicle Code Section 22651.1, shall accept a valid bankcard, credit card or cash for payment of towing and storage by the registered owner, legal owner, or agent of the owner claiming the vehicle. 40.5 Following the completion of the initial three (3) year contract period, the Chief of Police or his/her designee, may reevaluate the charges and rates set to ensure that the current rates and charges are reasonable. 40.6 A "Request Release for Lien Sale-Form 439" is required prior to the lien release of any vehicle that has been stored or impounded by the Department. The use of this system provides a way to monitor vehicles used or involved in major crimes that may be evidence of the crime, and to prevent their release. An administrative fee of $ per request release for lien sale form has been established to defray the costs of printing, filing, verifying if the vehicle is needed as evidence, and the postage or delivery of the forms to the CONTRACTOR. The fee will begin upon the inception of this Agreement. A check for the accumulative total of request release for lien sale forms will accompany each package submitted. 40.7 All charges for towing, impound, storage, and other services required to be performed by CONTRACTOR under the terms and conditions of this Agreement shall not exceed those charges approved by CITY, which are set forth in the schedule of rates below: Towing Passenger cars, wagons, compact & mid-size SUVs P/U Trucks, SUVs & Vans Commercial Trucks & Vans Rigs, Buses & Motorhomes Motorcycles Storage/Impound (per day) Passenger Vehicles (all) -Outside Passenger Vehicles (all) -Inside Motorcycle Commercial Trucks or Motorhome -Outside City of Tustin Contract ~25~ Official Tow Service 743900.1 Commercial Trucks or Motorhome -Inside $ Long Term Storage (per week) $ Other Services After-Hours Release $ On-Site Release $ Rollover/Winching $ Dolly/Go-jacks $ Driveshaft/Linkage $ Service Call -Minimum $ Hazardous Materials Ctean-Up $ Labor $ 40.8 In the event that unforeseen changes in the tow service industry seriously affect CONTRACTOR's ability to continue to provide the towing, impound, and storage services required under this Agreement, CONTRACTOR may petition the Department for a re-evaluation of the agreed upon charges and rates set forth in this Section. CONTRACTOR shall be required to provide such proof as necessary to show that the continuance of the current rates and charges are so economically harmful to CONTRACTOR so as to place CONTRACTOR in danger of having to default on the Agreement. The parties may by written amendment adjust the terms of this Agreement where circumstances beyond the control of either party require modification or amendment. 41.0 NOTICES 41.1 Any notices required or permitted under this Agreement shalt be in writing and shall be delivered personally or sent by U.S. Mail, first class postage prepaid, return receipt requested, addressed as follows: CITY: City of Tustin Attn: Chief of Police 300 Centennial Way Tustin, CA 92780-3767 CONTRACTOR: 42.0 CHANGE OF CIRCUMSTANCES 42.1 Each party shall promptly notify the other party of any legal impediment, change of circumstances, pending litigation, or any other event or condition that may City of Tustin Contract -26~ Official Tow Service 743900.1 adversely affect such party's ability to carry out any of its obligations under this Agreement. 43.0 SEVERABILITY 43.1 If any term or condition of this Agreement, or the application thereof to any person or circumstance, shall to any extent be held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remainder of this Agreement, or the application thereof to any person or circumstance, shall remain in full force and effect and shall in no way be affected, impaired, or invalidated thereby. 44.0 VENUE 44.1 This Agreement shall be governed and construed in accordance with the laws of the State of California. In the event of any legal action to enforce or interpret this Agreement, the sole and exclusive venue shall be a court of competent jurisdiction located in Orange County, California. 45.0 EFFECTIVE DATE 45.1 The Effective Date of the Agreement shall be July 01, 2011 at 12:00 a.m. [SIGNATURE PAGE FOLLOWS] City of Tustin Contract ~27~ Official Tow Service 743900.1 SIGNATURE PAGE IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and year first written above. CITY OF TUSTIN TUSTIN POLICE DEPARTMENT By: Scott Jordan, Chief of Police ATTEST: By: Pamela Stoker, City Clerk APPROVED AS TO FORM: By: Douglas C. Holland, City Attorney CONTRACTOR By: Title: By: Title: City of Tustin Contract ~28~ Official Tow Service 743900.1