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HomeMy WebLinkAboutResolution No. 12-7330 RESOLUTION NO. 12 -7330 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DOWNEY DECLARING ITS INTENTION TO GRANT FRANCHISE AGREEMENTS FOR TOWING AND STORAGE SERVICES, ESTABLISHING A FRANCHISE FEE RELATED THERETO AND SETTING FORTH THE NOTICE OF THE TIME AND DATE FOR HEARING ANY OBJECTIONS WHEREAS, pursuant to California Vehicle Code section 22660, the City of Downey has the authority to grant a franchise to a tow truck operator for towing and storage services required for the abatement and removal as public nuisances, of abandoned, wrecked, dismantled, or inoperative vehicles or parts thereof from private or public property within the boundaries of City; WHEREAS, California Vehicle Code section 12110(b) allows the City of Downey to require a fee in connection with the award of a franchise for towing vehicles on its behalf provided that the fee does not exceed the amount necessary to reimburse the City for its actual and reasonable costs incurred in connection with the towing program; WHEREAS, Chapter 12 of Article VI of the Downey Municipal Code establishes a Towing Service Franchise Program which authorizes the City Council to grant, at its discretion, a nonexclusive franchise to one or more tow truck operators to provide towing and storage services to the Downey Police Department and to charge a franchise fee pursuant to a franchise agreement; WHEREAS, on November 18, 2011, the Downey Police Department, at the direction of the Police Chief, issued a Request for Proposal for towing and storage services; WHEREAS, the Downey Police Department, along with the Police Chief, have evaluated the qualifications of the tow truck operators which submitted proposals, and will forward to the City Council for consideration the qualifications of the tow truck operators most qualified together with franchise agreements at the public hearing scheduled on the date and time set by this Resolution; and WHEREAS, such franchise agreements will be for a term of three years commencing on July 1, 2012; and WHEREAS, the franchise agreements contain, at minimum, the following: (a) Storage yard facility requirements; (b) Tow truck and tow service- related equipment requirements; (c) Standards and criteria for the handling and safeguarding of vehicles in the care and custody of the tow truck operator; (d) The terms and conditions of release or disposal of vehicles; (e) Establish maximum allowable rates and charges for towing and storage of vehicles; (f) Tow truck driver qualification and training standards; (g) Standards for the keeping, maintaining and disclosure of records and reports by the tow truck operator (h) The term of the franchise agreement; (i) The conditions of a franchise's suspension, termination or nonrenewal; and (j) An indemnification provision and minimum insurance coverage requirements RESOLUTION NO. 12 -7330 PAGE 2 WHEREAS, the City Council shall also consider setting the franchise fee charged to tow truck operators at 20% of the tow operator's gross revenues attributable to the towing, storage and impound services provided to City which fee does not exceed the amount necessary to reimburse the City for its actual and reasonable costs incurred in connection with the towing program; and WHEREAS, the City Council shall consider setting the franchise fee at the public hearing scheduled on the date and time set by this Resolution. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF DOWNEY DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. That consistent with the provisions of the Downey Municipal Code Article VI Chapter 12, it is the intention of the City Council of the City of Downey to grant franchise agreements for towing and storage services for the Downey Police Department. SECTION 2. That consistent with the provisions of the Downey Municipal Code Article VI Chapter 12, it is the intention of the City Council of the City of Downey to establish by resolution a franchise fee charged to tow truck operators under the franchise agreements. SECTION 3. Notice is hereby given that on May 8, 2012, at 7:30 p.m. in the Council Chambers of Downey City Hall located at 11111 Brookshire Avenue, Downey, California, all interested persons may appear before the City Council and be heard concerning the granting of franchises for towing and storage services, the setting of a franchise fee, and all other matters relating thereto. Protests stating objections against the granting of the franchise may be in writing and must be filed with the City Clerk prior to the conclusion of the hearing. SECTION 4. The City Clerk shall cause notice of the hearing to be given by causing the notice to be posted and published in a newspaper of general circulation. SECTION 5. The City Clerk shall certify the adoption of this Resolution. APPROVED AND ADOPTED this 10th day of April, 2012. r ROGE C. BR Mayor a Y or ATTEST: ADRIA M. JIMEN' Z, C C City Clerk RESOLUTION NO. 12 -7330 PAGE 3 HEREBY CERTIFY that the foregoing Resolution was adopted by the City Council of the City of Downey at a regular meeting thereof held on the 10th day of April, 2012, by the following vote, to wit: AYES: Council Members: Guerra, Marquez, Vasquez, Gafin, Mayor Brossmer NOES: Council Members: None ABSTAIN: Council Members: None ABSENT: Council Members: None 7—, r , , , ,,),„_\,=____(,__ , , , ,.i.„,,,___ a.,, , „,,.. i ADRIA M. JIMEN Z, CMC City Clerk