BACKGROUND:
Pursuant to California Vehicle Code section 12110(b), the City has the authority to grant franchises to companies providing certain towing services and to collect a franchise tow service fee to offset actual and reasonable costs incurred in connection with administering its towing program. The City currently has nonexclusive franchise agreements with two tow operators for tow service, serving on a revolving rotational schedule as determined by the Cathedral City Police Department (“Police Department”).
The existing agreements for towing services have been in place since 2014.
In recent years, the Police Department has experienced recurring issues where the tow companies under the current franchise agreement have indicated they do not have the resources to provide services or lack specific equipment for certain tows. Due to these recurring issues, the Police Department and the City Attorney’s Office have drafted the proposed Ordinance establishing a Rotational Towing Program.
DISCUSSION:
The proposed Ordinance adds Chapter 12.78 to create a Tow Rotational Program providing for safe, efficient and rapid removal of vehicles and to help maintain safety on the roadways and throughout the City.
The Tow Rotation Program allows towing companies to participate in a rotational tow list to equitably distribute service calls and the cost of operating the Tow Rotation Program.
Chapter 12.78 provides for a fair and impartial means of distributing requests for towing services among qualified franchisees and ensures such service is prompt and reasonably priced, and in the best interests of the public as well as the interest of efficient policing operations for the removal of such vehicles from public streets.
Section 12.78.050 ensures the selection of the franchisees is done through a competitive selection process in cooperation with the Police Chief and City Manager.
Additionally, the Ordinance includes selection criteria to ensure all tow companies maintain a high level of safety and service to the public.
Under the current franchise agreements, the tow operator’s place of business and vehicle storage facility must be located within the boundaries of the City. The Rotation Service Agreement (Attachment 2) removes this requirement in order to increase the number of tow operators on the tow rotation list to achieve rapid removal of vehicles from public streets and instead allows response times to be considered among the evaluation criteria.
FISCAL IMPACT:
No fiscal impact on the Fiscal Year 2023-2024 operating budget.