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C
ity of Moreno Valley
INDEPENDENT CONTRACTOR AGREEMENT
Rotational Tow Services Program
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his Rotational Tow Services Agreement (hereinafter referred to as the “Agreement”) is made by and between the City of Moreno Valley, California, a municipal corporation (hereinafter referred to as the “City”), and the following named independent contractor (hereinafter referred to as the “Tow Operator”), based upon City policies and the following legal citations:
A. Government Code Section 53060 authorizes the engagement of persons to perform special services as an independent contractor; and B. The public interest, convenience, necessity, and general welfare will be served by this Agreement.
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his Agreement is made and entered into effective on the date the C ity signs this Agreement.
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ow Operator INFORMATION
Tow Operator’s B usiness/Company Name: Pepe’s Inc. dba Pepe’s Towing Service Authorized Representative: Christopher Navarro
Address: 14351 Veterans Way
City: Moreno Valley State: California Zip: 92552 Business Phone: 951-682-5682 Fax No.: 951-405-6924
E-Mail Address: [email protected]
W I T N E S S E T H
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HEREAS, the City seeks to engage the services of the Tow Operator to participate in the City’s Rotational Tow Services (RTS) Program for towing services throughout the City of Moreno Valley for the removal of vehicles from the public right -of- way (“Off -Site Vehicle Removal”) and the removal of inoperable vehicles from private property (“Vehicle Abatement Services”) at no cost or charge to the City or the following contract service providers: Riverside County Sheriff’s Department , Riverside County Fire Department and its service provider, CAL FIRE; and
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HEREAS, the City agrees to utilize, on a rotational basis, for Off -site Vehicle Removal and Vehicle Abatement Services, only those Tow Operators located within the City of Moreno Valley, as defined herein and as set forth in this Agreement and Chapter
12.14 (as amended) of the Moreno Valley Municipal Code, who have executed an Agreement with the City; and
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HEREAS, the Tow Operator, as a signatory to this Agreement, has completed and submitted the necessary information and other documents required by the City (hereinafter referred to as the “Request for Proposal” or “RFP”), attached hereto as Exhibit “A” and incorporated herein by reference, to provide Rotational Tow Services within the City’s corporate boundaries; and
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HEREAS, the Tow Operator represents that it possesses the necessary expertise, licenses, equipment, storage facilities, personnel, and insurance; and has been issued a City Tow Operator’s Permit and Tow Truck Permit(s) in accordance with Municipal Code Chapter 5.02 (Business License), meeting all the requirements of the Moreno Valley Municipal Code and this Agreement to provide towing services within the City; and W
HEREAS, the City has relied upon the Tow Operator’s representations in entering into this Agreement.
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OW, THEREFORE, in consideration of the mutual covenants herein contained, the parties hereto agree as follows:
SCOPE OF SERVICES
A. DEFINITIONS
1. “
Agreement” means this document, which sets forth the terms and conditions between the City and the Tow Operator on the tow rotation list.
2. “Area” means the corporate boundaries of the City of Moreno Valley.
3. “Attendant” means the individual responsible for staffing the storage yard facility.
4. “Business License” means the City’s Business License within the Community Enhancement and Neighborhood Services Division, Community Development Department.
5. “City” means the City of Moreno Valley.
6. “Riverside County Sheriff’s Office” means the City of Moreno Valley Police Department.
7. “Driver’s Permit” means the permit issued to a driver who has completed an application and complied with the requirements outlined in this Agreement.
8. “Garage or Storage Facility” means the area where a Tow Operator stores impounded vehicles in connection with the City’s RTS Program, in compliance with Municipal Code Section 12.14.100.
9. “Incident” means a traffic collision, crime scene, or similar event in which the Police Department or City contacts a Tow Operator on the RTS Program to remove a vehicle or vehicles.
10. “Indoor Storage” means an enclosed, weather-tight building used for storing vehicles in conjunction with the City’s RTS Program. The building shall have a roof and four walls, be secured from unauthorized entry, have an opening large enough for vehicle access, and comply with the City’s zoning, building, and occupancy regulations.
11. “Load Salvage Operations” means any tow operations involving the recovery of a spilled load, or the off-loading and reloading of cargo from an overturned vehicle, performed to upright the vehicle. This applies to Class B, C, and D tow trucks.
12. “Notice” means any written notice delivered to the other party in person, via facsimile or email, or by first-class U.S. mail by a duly authorized representative of the City or Tow Operator.
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13. “Permit” means the operator’s permit issued to a Tow Operator or business that has complied with all Municipal Code Sections 12.14 to the satisfaction of the City Council.
14. “Personal Property” means items not permanently affixed to the vehicle.
15. “Rate” means the rate charged by the Tow Operator to a vehicle’s owner or agent, as approved by the City Council.
16. “Response Time” means the period between notification by the City or Police Department and the tow truck’s arrival at the requested location.
17. “Rotation List” means the list of authorized Tow Operators permitted to remove vehicles under the RTS Program.
18. “Rotational Tow Service Program” means the City’s official program for selecting Tow Operators to assist the Police Department, Community Enhancement & Neighborhood Services Division, and City in removing vehicles from public rights-of- way and private property.
19. “Suspension” means the temporary removal of a Tow Operator from the City’s rotation list for a specified period, regardless of any contract term.
20. “Termination” means the permanent removal of a Tow Operator from the City’s rotation list for the remainder of the Agreement term, including disqualification from future participation in the City’s RTS Program.
21. “Tow Car” or “Tow Truck” means a motor vehicle designed, equipped, and used exclusively for towing vehicles by means of a crane, tow bar, towline, dolly, or similar device, and in compliance with Section 615 of the California Vehicle Code. This includes slide-back carriers and wheel-lift vehicles.
22. “Tow Driver” means a trained and qualified, licensed individual who operates a Tow Car or Tow Truck.
23. “Tow Operator” means a towing operator or business that has a valid Agreement with the City and is selected to be used, on call and on an alternating basis, when towing services are required.
24. “Vehicle Recovery Operation” means the process of up-righting an overturned vehicle or returning a vehicle to a normal position on the roadway using auxiliary equipment, typically requiring Class B, C, or D tow trucks.
B. TOW OPERATOR SERVICES, FEES, AND RELEVANT DATES
1. Tow Operator’s Proposal : The Tow Operator’s proposal is described in Exhibit “B”, attached hereto and incorporated herein by this reference. In the event of any conflict, this Agreement shall take precedence over any attached exhibits.
2. Contract Period: The Tow Operator’s term shall commence on July 1, 2026, and conclude on June 30, 2031.
3. General Responsibilities of Tow Operator:
a. Service: The Tow Operator shall provide towing services at the request and direction of the Police Department and the Community Enhancement & Neighborhood Services Division for all tows necessary from the public right-of- way and private property.
b. Authorized Requestors: Calls for towing services shall be initiated by the Police - 3 -
Department and/or by the Community Enhancement & Neighborhood Services Division under the City’s Vehicle Abatement Program.
c. Clean-Up: The Tow Operator shall be responsible for reasonable cleanup of debris left at the scene of a collision or as directed by the Police Department. d. Service Fees: There shall be no charge or fee to the City, the Police Department, the Community Enhancement & Neighborhood Services Division, the Riverside County Sheriff's Department, the Riverside County Fire Department, or CAL FIRE for any towing services provided by the Tow Operator, including vehicles towed at the request of the City or Police Department in connection with a crime or investigation. All charges or fees shall be applied only to the legal or registered owner of the vehicle or to the property owner, as appropriate. All references to “charges” or “fees” herein refer to charges against the vehicle or property owner and not to the City, Police Department, Community Enhancement & Neighborhood Services Division, Riverside County Sheriff's Department, Riverside County Fire Department, or CAL FIRE.
e. Records: The Tow Operator shall maintain records of all tow services furnished under this Agreement, including invoices, tow logs, vehicle release forms, and receipts, for a period of three (3) years following the completion of each service or termination of this Agreement, whichever is later. Such records shall include a description of each vehicle towed, the nature of the service provided, and the time and location of each call. All records shall be made available upon request for inspection or audit by the City and the Police Department at any time. Each vehicle towed as part of the City’s Rotational Tow Services (RTS) Program shall be clearly marked on the windshield with “MOVAL” and either “I” (Impounded) or “S” (Stored).
f. Tow Operator Permit: A Tow Operator participating in the City’s RTS Program must hold a valid City of Moreno Valley Tow Operator Permit to conduct business in the City. The permit application must be verified under penalty of perjury and accompanied by a non- refundable fee as established by City Council. A Tow Operator’s Permit may only be obtained after the operator successfully completes the City’s Request for Proposal (RFP) process and is selected as an approved contractor . Once selected, the Tow O perator must submit the required fee and verification. The application must include all documentation required by this section and be submitted through the City’s RFP process. The applicant must also demonstrate possession of a valid business license pursuant to Chapter 5.02 of the Moreno Valley Municipal Code. The permit shall include the following information:
1)
Name/Description. Name and description of applicant.
2) Address. Permanent home address and full business address of the applicant (if an individual); of each partner (if a partnership); or of each officer (if a corporation).
3) Garage or Storage Facility. Location where the vehicles will be stored or impounded, which must be within the City of Moreno Valley. - 4 -
4) Fingerprints. Applicant shall be fingerprinted by the Police Department upon referral from the Public Safety Contracts Administrator or designee, and a record check performed. The cost shall be established by City Council resolution and borne by the applicant.
5) Criminal Record. A statement indicating whether the applicant, or any officer or partner has been convicted of a felony within the past ten (10) years, including the nature of each offense and the resulting penalty. 6) Vehicle Data. The number of tow trucks to be operated or controlled by the applicant including the make, body style, year, vehicle identification number, state license plate number, and name of legal and registered owner for each vehicle.
7) Vehicle Description. Description of proposed color scheme, insignia, trade- style and other distinctive vehicle markings.
8) Previous Licensing. A statement indicating whether the applicant has had a permit or franchise suspended or revoked, including, the circumstances and jurisdiction.
9) Insurance. Proof of insurance in the form and amount required under this Agreement.
10) Corporation Data. If a corporation, a copy of current Articles of Incorporation, certified by the California Secretary of State, within sixty (60) days prior to application, current corporate bylaws and copies of any applications, permits or notifications for the issuance of shares filed with or issued by the commissioner of corporations.
11) Business Office and Telephone Maintenance. A statement that the applicant will maintain at the principal place of business located in the city of Moreno Valley, and in operating order at all times, at least one telephone line.
At all times there will be an attendant in charge of said telephone or telephones to dispatch tow trucks in response to requests therefor. After -hour answering services fulfill this requirement
12) A Tow Operator’s Permit is valid for one (1) year from the date of issuance.
Failure to pass the annual site inspection or pay the required administrative fees within (30) days of the due date shall result in suspension from the City’s RTS Program. The City shall provide written notice of any deficiencies identified during the site inspection, and the Tow Operator shall have thirty (30) days from receipt of such notice to cure the deficiencies. The permit shall be recertified upon payment of the annual fee and successful completion of the site inspection.
g. Record Check: Each new driver shall be fingerprinted by the Police Department upon referral from the Public Safety Contracts Administrator or designee. A background record check shall be conducted. The applicable fee, as established by City Council resolution, shall be paid at the time the driver is being added to the program and the request is submitted to the Public Safety Contracts Administration. This requirement may be waived for existing drivers who already have a record on file.
h. Tow Drivers Employment of Qualified Drivers: Each Tow Operator shall employ only drivers who are physically and mentally fit to perform required duties and familiar with City streets. No Tow Operator shall employ or retain any person who violates laws governing morals, motor vehicle operations, or provisions of - 5 -
this Agreement.
i. Financial Interest : A Tow Operator shall not hold any financial interest in another Tow Operating business participating in the City’s RTS Program.
Violation of this section shall result in immediate revocation of the Tow Operator’s permit for the remainder of the contract period.
j. Tow Driver Permit Requirements : The Tow Operator shall ensure that only qualified, competent tow drivers respond to calls initiated by the City and Police Department. All tow truck drivers must obtain a permit from the Public Safety Contracts Administration or designee and be fingerprinted. Each permit application (including renewal, replacement, or duplicate) shall include:
1) Applicant’s full legal name and any aliases;
2) Disclosure of any felony conviction, plea of guilty, or nolo contendere within the prior ten (10) years, including offense details and penalties; 3) Class and number of applicant’s California driver’s license, restrictions (if any), and any prior suspension or revocation history; 4) Applicant’s residential addresses for the preceding year; 5) Statement of physical condition, including disclosure of any history of epilepsy, blackout periods, fainting spells, or addiction to alcohol, narcotics, or other dangerous drugs;
6) A current California Department of Motor Vehicles driver record (issued within 30 days of application), showing any violations. The license must be valid for the class of tow trucks operated.
k. Tow Driver Permits Nontransferable : Tow truck driver permits are not transferable; however, a permit holder may retain the same permit upon changing employment between permitted Tow Operators.
l. Termination of Employment: Within ten (10) days of terminating any driver, the Tow Operator shall provide written notice to the Police Department and the City.
m. Compliance with Federal Regulations : Tow Operator shall comply with the United States Department of Transportation regulations implementing the Federal Omnibus Transportation Employee Testing Act of 1991, and any subsequent revisions.
n. Employer Pull Notice Program Enrollment : Tow Operator shall be enrolled in the Employer Pull Notice Program as set forth in California Vehicle Code Section 1808.1, including both mandated and non- mandated employees required to drive as part of their duties.
o. Tow Truck Driver Permit Validity and Licensing Requirements : A tow truck driver’s permit is valid for one (1) year. Failure to renew the permit shall suspend the driver from the City’s RTS Program. A driver shall be reinstated upon issuance of a valid permit and employment by a licensed Tow Operator.
Both the Tow Operator and its drivers shall maintain proper licenses in - 6 -
accordance with California Vehicle Code Section 12804, this Agreement, and Chapter 12.14 of the Moreno Valley Municipal Code, as amended. p. Tow Vehicle Maintenance and Equipment Compliance: The Tow Operator shall ensure that all towing vehicles are maintained in full compliance with California Vehicle Code Sections 24605, 25253, 25300, 27700, and 27907, Revenue and Taxation Code Section 9701, and all applicable City requirements as set forth in this Agreement and Chapter 12.14 of the Moreno Valley Municipal Code, as amended.
4. Tow Truck Classifications.
a. A Tow Operator shall equip and maintain tow trucks 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 chapter, and consistent with industry standards and practices as determined by the City. b. Any and all tow trucks used by a Tow Operator in connection with the City’s RTS program shall be inspected annually by the California Highway Patrol and issued a valid Commercial Vehicle Safety Alliance (CVSA) decal prior to permitting a tow truck to participate in the City’s RTS program. A Tow Operator shall produce current California Highway Patrol forms CHP 407F, Safety net Driver/Vehicle Inspection Report, and CHP 234B; Tow Truck Inspection Guide, at the time a Tow Operator applies for a tow truck permi t. If the Tow Operator or business fails to have the tow truck or trucks inspected, “such tow truck or trucks” shall not be permitted to participate in the City’s RTS program. Once the City has inspected the tow truck or trucks and has determined it meets the provisions of the California Vehicle Code
and this chapter, the tow truck or
trucks will be permitted to tow vehicles in connection with the City’s RTS program.
c. Notwithstanding Section 615 CVC, all tow trucks shall have recovery and wheel lift capabilities, and a boom meeting the specifications contained in this chapter.
For the purpose of this chapter, “a trailer for hire that is being used to transport a vehicle” shall not qualify as a primary tow truck for tow rotation lists.
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 and outlined in this chapter. This includes exceeding the tow truck’s GVWR, front axle weight rating, rear axle weight rating, maximum tire weight ratings, or not maintaining fifty (50) percent of the tow truck’s unladen weight on the front axle when lifting/carrying a load.
d. There are four classes of tow trucks covered under this section . If the manufacturer’s weight ratings for any class of tow truck change, the revised weight ratings shall replace those listed below.
1) Class A—Light Duty.
A tow truck with a manufacturer’s gross vehicle weight rating (GVWR) of at least fourteen thousand (14,000) pounds, equipped with wheel-lift capability, and which may include a car carrier.
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a) A
tow truck company operating a car carrier may be exempted from the wheel-lift capability requirements. However, the car carrier must be an additional unit.
b) A “trailer for hire” shall not be approved for listing as a Class A tow truck.
2) Cla
ss B—Medium Duty.
A tow truck with a manufacturer’s gross vehicle weight rating (GVWR) of at least twenty-six thousand (26,000) pounds, capable of supplying air to the towed vehicle’s braking system.
a) A tow truck company may also have a car carrier. However, the car carrier must be an additional unit.
3) Class C—Heavy Duty.
A tow truck with a manufacturer’s gross vehicle weight rating (GVWR) of at least forty-eight thousand (48,000) pounds, equipped with air brakes and capable of supplying air to the towed vehicle’s braking system. 4) Class D—Super Heavy Duty.
A tow truck with a manufacturer’s gross vehicle weight rating (GVWR) of at least fifty -two thousand (52,000) pounds, equipped with air brakes and capable of supplying air to the towed vehicle’s braking system. e. T
o properly and safely tow and service the wide variety of vehicles being operated on the highway, a Tow Operator shall equip all tow trucks participating in the City’s RTS program with the appropriate equipment as required by the California Vehicle Code a nd other applicable regulations .
5. Rotation Tow Lists.
a. For operational efficiency, the Police Department and the City shall, where practical, maintain the same rotation tow lists and establish policies and procedures to ensure the fair distribution of c alls among Tow Operators approved to participate in the City’s Rotational Tow Services (RTS) Progr am.
Each list shall include only those Tow Operators holding a valid agreement with the City.
b. Nothing in this agreement shall prohibit a Class B, Class C, or Class D operator from being listed on a lighter class rotation list. (Refer to S ection B-4 for tow truck classifications.) Regardless of the class of tow truck used in res ponse to a City call, charges to the vehicle’s registered owner or agent shall not exceed the rate applicable to the class of vehicle towed or serviced, except in cases where recovery operations require the use of a lar ger class of tow truck. c. If two or more Tow Operators are called to the same incident, the distribution of the vehicles shall be at the discretion of the Police Department or City. The Police Department may direct a Tow Operator to move vehicles to c lear a roadway or for lifesaving operations, and such assistance shall be prov ided at no cost to the City.
d. At the direct request of a vehicle owner or their authorized agent, a police officer may contact any tow business for service, unless the request violates loc al, - 8 -
state, or federal law or would cause a delay in protecting public health and safety. If a vehicle owner or their authorized agent requests a tow service of their choosing, they shall assume full responsibility for any associated service fees imposed by that tow provider.
e. Following any major collision, the Police Department shall have the authority to direct any Tow Operator to tow vehicles to any location necessary for investigative purposes.
6. Storage Facility:
a. Tow Operators participating in the City’s RTS program shall provide a storage facility located within the City of Moreno Valley. Said facility shall include spaces dedicated exclusively to the City’s RTS program. Tow Operators must maintain their storage facilities in full compliance with the rules and regulations set forth in Chapter 12.14.100 of the Moreno Valley Municipal Code, as amended.
7. Standard Rules of Operation
a. All requests for the removal of traffic hazards shall be made through the Police Department.
b. If a Tow Operator anticipates a delay in responding to a Police Department or City request for service that will exceed the maximum response time set forth in Section B -8 of this Agreement , the Tow Operator shall promptly notify the requesting agency.
c. The Tow Operator shall be capable of responding to Police Department or City requests for towing services, as well as releasing vehicles to owners or their authorized agents, twenty-four (24) hours a day, seven (7) days a week. The use of an answering service fulfills this requirement.
d. Removing Hazards. Upon dispatch by the Police Department or City, the tow truck driver shall cooperate fully with police officers or City officials in removing hazards and illegally parked vehicles as directed. The determination to impound or move a vehicle rests solely with the police officers or City officials, and the tow truck driver shall comply with their direction. e. Each Tow Operator shall comply with Section 27907 of the Vehicle Code o f the
state of California regarding signage on tow trucks. Only tow trucks displaying the name of the Tow Operator called shall be dispatched to the scene. f. T ow Operator shall conduct their business in an orderly, ethical, businesslike manner, using reasonable m eans to maintain the confidence of the motoring public.
g. Tow Operator participating in City’s RTS program are responsible for the actions of their employees (both office and field personnel) while on duty. Each Tow Operator shall be responsible for any damage s to vehicles while in their possession.
h. Tow Operator records, equipment, and storage facilities shall be subject to - 9 -
periodic inspection by Police Department investigators and/or City personnel during regular business hours. Failure to permit such inspections shall be considered a breach of this Agreement and may result in immediate suspension from the City’s RTS Program.
i. All vehicles stored or impounded as a result of a Police Department or City tow shall be made available to the vehicle owner, their representative, an authorized insurance agent, adjuster, body shop, or car dealer for the purpose of estimating or appraising damages, except for vehicles under a “police hold.” The Tow Operator shall maintain written records of all vehicles stored for longer than twelve (12) hours in accordance with Section 1065(a) of the California Vehicle Code.
j. The permitted Tow Operator shall record the time in and time out for every City requested tow assignment. These records shall be available for examination by the Police Department and/or City upon request.
k. All permitted Tow Operators shall submit a monthly RTS Program report to the Police Department and City within ten (10) business days following the last day of each month. The report shall include the following information:
1) T
otal police and City impounds;
2) Number of times dispatched by Police Department or City; 3) Number of these calls resulting in impounds;
4) Number of vehicles sold on lien sale under authority of Section 3072, Civil Code, and reporting said lien sales as per authority of Section 851.2 CVC; 5) Number of vehicles sold under low value vehicles as defined by California Vehicle Code S
ection 22851.3;
6) Number of calls which required more than one hour’s time; 7) Total number of vehicles held for evidence purposes. l. A
ll tow trucks used shall have two-way communication with the Tow Operator’s communication center.
m. A Tow Operator shall not proceed with any repair work on a vehicle or place any charges against a vehicle other than those occasioned by removal from the street and storage unless authorized by the vehicle owner or designated agent.
n. A Tow Operator, when disposing or dismantling of unclaimed vehicles, shall abide by all Civil and Vehicle Code S
ections pertaining thereto.
o. All vehicles stored or impounded as a result of a tow ordered by the Police Department or City shall be towed directly to a Tow Operator’s approved storage facility unless the Police Department , City or other person legally in charge of the vehicle requests that it be taken to some other location. p. A Tow Operator shall not begin the lien-sale process for a minimum of five days after the Tow Operator took possession of a vehicle under the City’s RTS - 10 -
Program.
q. The City shall conduct, at a minimum, one annual meeting to discuss with the Tow Operator or designee, the City’s RTS Program. Attendance at the meeting is mandatory. The City shall give a thirty (30) day written notice of the meeting. r. The required annual meeting shall be held in July or August of each year.
Failure of a Tow Operator to attend the required annual meeting shall result in suspension from the RTS Program until an alternate meeting is held with the Police Department and the City. This alternate meeting is mandatory and must occur within sixty (60) days of the originally scheduled meeting date. s. Failure to attend a second, rescheduled mandatory meeting will lead to the termination of this agreement with the City for the duration of the contract period.
8. R
esponse and Rotation Procedures
a. Tow Operator shall respond to the Police Department or City within the maximum response time of twenty (20) minutes, or as otherwise established by the Police Department. Tow Operators participating in the City’s RTS program shall be notified in writing of any changes to the response time, with a minimum of fifteen (15) days’ notice prior to implementation. The Tow Operator shall advise the Police Department dispatch or City at the time of notification if they are unable to respond or unable to meet the maximum response time. If, after accepting a call, the Tow Operator is unable to respond or will be delayed, they shall immediately notify central dispatch or the City. Tow Operators shall not assign calls to other Tow Operators or tow truck drivers not employed by them.
1) T
he Public Safety Contracts Administrator or designee shall establish the terms of the rotation list to best meet the needs of the Police Department and Community Enhancement & Neighborhood Services D ivision. This includes determining the type of rotation, such as a twenty -four (24) hour rotation or on a per call (“true rotation”) basis or other rotation concept. 2) If th
e Tow Operator fails to answer the phone, is unable to respond, refuses to respond, cannot perform the required service, or is canceled due to excessive response time, the call shall be forfeited, and the next operator on the list shall be contacted. If a per call or “true rotation” program is in effect, the Tow O perator that was unable to respond will be moved to the bottom of the rotation list . If a twenty -four (24) hour rotation program is in effect, that particular call will go to the operator assigned to the next twenty- four (24) hour rotation, but any additional calls will still go to the operator assigned to the shift in effect at that time.
3) R
epeated failures to respond, or repeated failures to respond within the maximum response time requirements, on a continuous basis, shall constitute noncompliance with the terms and conditions of this agreement. 4) A T
ow Operator shall not respond to a Police Department or City call assigned to another Tow Operator unless specifically requested by the - 11 -
Police Department or City.
5) In certain situations, a driver who was not called to a scene may arrive at a collision scene where vehicles are blocking a roadway. If a police officer requests their assistance in clearing the roadway, the driver may move the vehicle to a safe location as directed by the officer and leave it. No charge shall be made for this assistance, and the Tow O perator’s place in the rotation shall not be affected.
9. R
ates
a. All towing and storage fees shall be charged to the vehicle’s owner or authorized agent. Price rates will be established according to the approved Tow Fee Program Rates Schedule (see Exhibit C). All Tow Operators must adhere to these rates for the duration of this agreement. b. T
ow Operator shall comply with the Tow Fee Program Rates Schedule, which includes a 3% annual rate adjustment already incorporated into the schedule.
These rates will remain in effect as outlined in the Tow Fee Program Rates Schedule for the duration of the agreement. Fees and storage rates charged for response calls originating from the Police Department or City shall be reasonable and not exceed rates charged for similar services provided to other public agencies or private parties.
T
he reasonableness of fees shall be determined as follows:
1) Towing rates shall be calculated from portal to portal and may include a one-hour minimum. Charges exceeding one hour may be charged in fifteen (15) minute increments. No additional charges for mileage, labor, or similar costs shall be imposed.
2) S
econdary towing services requested by the customer may be negotiated in accordance with the Tow Operator’s standard private business practices. c. Tow Operators are not required to reapply or submit a request for annual increases, as they are automatically reflected in the approved rate schedule.
Operators must comply with the rates as listed and are not permitted to apply any additional increases beyond those specified.
d. A fee for after -hours vehicle release shall not exceed one- half of the hourly towing rate and may only be charged if no staff is present at the storage facility during the vehicle owner's request and a callback is required. After-hours are defined as times outside the Tow Operator's posted regular business hours. e. Storage fees shall be charged by calendar day, except vehicles stored for eight hours or less shall be charged no more than one-day storage. f. The schedule of rates shall be clearly posted in the lobby of the Tow Operator’s business. These rates shall be displayed on eleven (11) inches by seventeen (17) inches minimum with one-inch lettering. Rates shall also be made available upon request to the individual or agent for whom the tow service was provided.
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10. Fees for Special Operations
a. For special operations involving Class B, C, and D tow trucks, the Tow Operator shall submit their proposed fees for vehicle recovery and load salvage operations to the City. Fees must be reasonable and consistent with industry standards for similar operations. Charges beyond the one -hour minimum outlined in this section may be billed in fifteen–minute increments. b. Hourly rates shall be established for the following categories:
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.
c. The City shall determine the reasonableness of the fees for these types of operations, based upon the average of the submitted proposals and a comparison to industry standards for similar services.
11. R elease of Stored or Impounded Vehicle. No vehicle shall be released to a vehicle’s owner or authorized representative or agent without prior written approval from the Police Department or City authorizing the release from the Tow Operator’s possession.
C. PROFESSIONAL CONDUCT AND COMPLAINT RESOLUTION PROCEDURES
1. Demeanor and Conduct: While engaged in the City of Moreno Valley Rotational Tow operations or any City-related business, Tow Operators and their employees shall maintain professional conduct at all times and refrain from acts of misconduct, including but not limited to:
a. R ude, discourteous, or unprofessional behavior toward City staff, Police Department personnel, or members of the public.
b. Failure to provide service, selective service, or refusal to provide service which the Operator is capable of performing.
c. Any act of harassment, discrimination, or sexual impropriety. d. Unsafe driving or on-scene practices that jeopardize public safety. e. Exhibiting any signs of impairment from alcohol, drugs, or controlled substances while on duty.
f. Any violations or misconduct can result in an investigation procedure.
D. STANDARD TERMS AND CONDITIONS
1. Control of Work. Tow Operator is solely responsible for the content and sequence of the work and will not be subject to control and direction as to the details and means for accomplishing the anticipated results of services. The City will not provide any training to Tow Operator or his/her/its employees.
2. Intent of Parties. Tow Operator is, and at all times shall be, an independent - 13 -
contractor and nothing contained herein shall be construed as making the Tow Operator or any individual whose compensation for services is paid by the Tow Operator, an agent or employee of the City, or authorizing the Tow Operator to create or assume any obligation or liability for or on behalf of the City , or entitling the Tow Operator to any right, benefit, or privilege applicable to any officer or employee of the City.
3. Responsibilities of the City. The Police Depar tment and the Community Enhancement & Neighborhood S ervices Division will m aintain rotational lists composed solely of the Tow Operator’s who are signatories to this agreem ent unless as otherwis e provided for by Police Department or City procedure. To the greatest extent feasible, the P olice Department and City’s Com munity Enhancement & Neighborhood Services Division s hall operate the rotational lis t pursuant to Municipal Code, Chapter 12.14, and this agreement.
4. Legal Considerations. The Tow Operator shall com ply with applicable feder al, state, and local laws in the performance of this agreement. The Tow Operator and the City agree to use reasonable care and diligence to perform their respective services under this agreement.
5. Tow Operator Indemnification. To the furthest extent allowed by law (including California Civil Code section 2782.8 if applicable), Tow Operator shall indemnify, hold harmless and defend the City, the Moreno Valley Community Services District (“CSD”), the Moreno Valley Housing Authority ( “HA”) and each of their officer s, officials, employees, agents and volunteers fr om any and all loss, liability, fines, penalties, forfeitures, costs and damages (whether in contract, tort or strict liability, including but not limited to personal injury, death at any time and property damage), and from any and all claims, demands and ac tions in law or equity (including reasonable attorney's fees and litigation expenses) that arise out of, pertain to, or relate to the negligence, recklessness or willful misconduct of Tow Operator , its principals, officers, em ployees, agents or volunteers in the performance of this agreement. Acceptance of this agr eement signifies that the Tow Operator is not covered under the City’s general liability insurance, employee benefits or worker’s compensation. It further establishes that the Tow Operator s hall be fully responsible for such coverage.
6. City Indemnification. The City agrees to indemnify, defend and hold the Tow Operator and its officers, agents and employees harmless from any and all liability, claims, damages or injuries to any person, including injury to the City’s, HA, and CSD’s employees and all claims which arise from or are connected with the sole negligence or willful misconduct of the City, HA, and CSD, their officers, agents or employees in the performance or failure to perform the services or other obligations of the City under this agreement; provided, however, that this indem nification and hold harmless shall not include any claims aris ing from the negligence or willful misconduct of the Tow Operator, its officers, agent, or employees.
7. Insurance Requirements. Throughout the life of this agreement, Tow Operator shall pay for and maintain in full force and effect all insurance as required. - 14 -
If at any time during the life of this agreement or any extension, Tow Operator or any of its subcontractors fail to maintain any required insurance in full force and effect, all services and work under this agreement shall be discontinued immediately, and all payments due or that become due to Tow Operator shall be withheld until notice is received by City that the required insurance has been restored to full force and effect and that the premiums therefore have been paid for a period satisfactory to City. Any failure to maintain the required insurance shall be sufficient cause for City to terminate this agreement. No action taken by City pursuant to this section shall in any way relieve Tow Operator of its responsibilities under this agreement . The phrase “fail to maintain any required insurance” shall include, without limitation, notification received by City that an insurer has commenced proceedings, or has had proceedings commenced against it, indicating that the insurer is insolvent.
The fact that insurance is obtained by Tow Operator shall not be deemed to release or diminish the liability of Tow Operator, including, without limitation, liability under the indemnity provisions of this agreement. The duty to indemnify City shall apply to all claims and 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 Tow Operator. Approval or purchase of any insurance contracts or policies shall in no way relieve from liability nor limit the liability of Tow Operator, its principals, officers, agents, employees, persons under the supervision of Tow Operator, vendors, suppliers, invitees, consultants, sub- consultants, subcontractors, or anyone employed directly or indirectly by any of them.
Upon request of City, Tow Operator shall immediately furnish City with a complete copy of any insurance policy required under this agreement, including all endorsements, with said copy certified by the underwriter to be a true and correct copy of the original policy. This requirement shall survive expiration or termination of this agreement.
Where determined applicable by the City, Tow Operator will comply with the following insurance requirements at its sole expense. Insurance companies shall be rated (A Minus: VII—Admitted) or better in Best’s Insurance Rating Guide and shall be legally licensed and qualified to conduct business in the State of California.
Minimum Scope of Insurance: Coverage shall be at least as broad as:
a. The most current version of Insurance Services Office (ISO) Commercial General Liability Cover age Form CG 00 01, whic h shall include insurance for “bodily injury,” “property damage” and “personal and advertising injury” with coverage for premises and operations, products and completed operations, and contractual liability.
b. The most current version of Ins urance Services Office (ISO) Business Auto Coverage Form CA 00 01, whic h shall include cov erage for all owned, hired, and non-owned automobiles or other licensed vehicles (Code 1- Any Auto).
c. Workers’ Compensation insur ance as required by the California Labor Code and Employer’s Liability Insurance.
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d. Professional Liability (Errors and Omissions) insurance appropriate to Tow Operator’s profession.
Minimum Limits of Insurance:
a. General Liability Insurance. To protect against loss from liability imposed by law for damages on account of bodily injury, including death, and/or property damage suffered or alleged to be suffered by any person or persons whomever, resulting directly or indirectly from any act or activities of the Tow Operator, sub- Tow Operator, or any person acting for the Tow Operator or under its control or direction. Such insurance shall be maintained in full force and effect throughout the terms of this agreement and any extension thereof in the minimum amounts provided below:
• $1,000,000 per occurrence for bodily injury and property damage • $1,000,000 per occurrence for personal and advertising injury • $2,000,000 aggregate for products and completed operations • $2,000,000 general aggregate
b. Automobile Liability
• $1,000,000 per accident for bodily injury and property damage
c. Employer’s Liability (Worker’s Compensation)
• $1,000,000 each accident for bodily injury
• $1,000,000 disease each employee
• $1,000,000 disease policy limit
d. On-Hook Coverage: Coverage shall i nsure vehicles in tow with policy limits established in accordance with the size and classification of the tow truck. • Class A Tow Truck: $ 25,000
• Class B Tow Truck: $ 50,000
• Class C Tow Truck: $100,000
• Class D Tow Truck: $100,000
e. Garage Liability: Includes premises and operations. Coverage for bodily injury and property damage with a combined single limit of not less than $100,000. f. Garage Keepers Liability: Shall be the same minimum as on-hook coverage for vehicles in the care, custody, and control of the Tow Operator in the storage yard.
g. Uninsured Motorist: Legal minimum combined single limit. In no case shall the required insurance coverage have a deductible greater than $1,000.
h. Deductibles and Self -Insured Retention: Any deductible of 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 respect to the City , its officers, officials, employees and volunteers; or the Tow Operator shall provide a financial guarantee satisfactory to the City guaranteeing payment of losses and related investigations, claim administration and defense expenses.
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i. Umbrella or Excess Insurance: In the event Tow Operator purchases an Umbrella or Excess insurance policy(ies) to meet the “Minimum Limits of Insurance,” this insurance policy(ies) shall “follow form” and afford no less coverage than the primary insurance policy(ies).
j. Deductibles and Self-Insured Retentions: Tow Operator shall be responsible for payment
of any deductibles contained in any insurance policy(ies) required hereunder
and Tow Operator shall also be responsible for payment of any self- insured
retentions. Any deductibles or self-insured retentions must be declared to, and approved by, the City Manager or designee. At the option of the City Manager or designee, either (i) the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects City, CSD, Housing Authority and each of their officers, officials, employees, agents and volunteers; or (ii) Tow
Operator shall provide a financial guarantee, s atisfactory to the City Manager
or designee, guaranteeing payment of losses and related investigations,
claim administration and defense expenses. At no time shall City be responsible for
the payment of any deductibles or self-insured retentions. k. The Workers’ Compensation insurance policy: In s uch amounts as will fully comply
with the laws of the State of California and which shall indemnify, insure and provide legal
defense for both the Tow Operator and the City, HA, and CSD against any loss, c laim or damage arising from any injuries or occ upational diseases happening to any worker employed by the Tow Operator in the course of
carrying out this agreement. Workers’ Compensation insurance policy is to contain,
or be endorsed to contain, the following provision: Tow Operator and its
insurer shall waive any right of subrogation against City of Moreno Valley, CSD,
Housing Authority and each of their officers, officials, employees, agents and volunteers.
Ot
her Insurance Provisions : The General Liability and Automobile Liability insurance policies are to contain, or be endorsed to contain, the following provisions:
a. City, CSD, Housing Authority and each of their officers, officials, employees, agents and volunteers are to be covered as additional insureds. b. The coverage shall contain no special limitations on the scope of protection afforded to City , CSD, Housing Authority and each of their officers, officials, employees, agents and volunteers.
c. Tow Operator’s insurance coverage shall be primary and no contribution shall be required of City.
All policies of insurance required hereunder shall be endorsed to provide that the coverage shall not be cancelled, non-renewed, reduced in coverage or in limits except after 30 calendar day written notice by certified mail, return receipt requested, has been given to the City. Upon issuance by the insurer, broker, or agent of a notice of cancellation, non-renewal, or reduction in coverage or in limits, Tow Operator shall furnish the City with a new certificate and applicable - 17 -
endorsements for such policy(ies). In the event any policy is due to expire during the work to be performed for the City, Tow Operator shall provide a new certificate, and applicable endorsements, evidencing renewal of such policy not less than 15 calendar days prior to the expiration date of the expiring policy.
Acceptability of Insurers: All policies of insurance required hereunder shall be placed with an insurance company(ies) admitted by the California Insurance Commissioner to do business in the State of California and rated not less than “A- VII” in Best’s Insurance Rating Guide; or authorized by the City Manager or designee.
Verification of Coverage: Tow Operator shall furnish City with all certificate(s) and applicable endorsements effecting coverage required hereunder. All certificates and applicable endorsements are to be received and approved by the City Manager or designee prior to City’s execution of this agreement and before work commences.
8. Intellectual Property. Any system or documents developed, produced or provided under this agreement, including any intellectual property discovered or developed by Tow Operator in the course of performing or otherwise as a result of its work, shall become the sole property of the City unless explicitly stated otherwise in this agreement. The Tow Operator may retain copies of any and all material, including drawings, documents, and specifications, produced by the Tow Operator in performance of this agreement. The City and the Tow Operator agree that to the extent permitted by law, until final approval by the City, all data shall be treated as confidential and will not be released to third parties without the prior written consent of both parties.
9. Entire Agreement.
a. This agreement constitutes the entire agreement between the parties. There are no understandings, agreements, or representations of warranties, expressed or implied, not specified in this agreement . This agreement applies only to the current Proposal as attached (Exhibit “B”). b. This agreement represents the entire and integrated agreement between the City and the Tow Operator, and supersedes all prior negotiations, representations or agreements, either written or oral. This agreement may be modified or amended only by a subsequent written agreement signed by both parties.
c. Assignment of this agreement is prohibited without prior written consent.
d. This agreement is binding upon the City and the Tow Operator and their successors and assigns. Except as otherwise provided herein, neither the City nor the Tow Operator shall assign, sublet, or transfer its interest in this agreement or any part thereof without the prior written consent of the other.
10. Suspension, Revocation and Termination. The City may suspend or revoke a Tow Operator’s permit as set forth in Chapter 12.14 of the Moreno Valley Municipal Code, as amended. In the event the City revokes the Tow Operator’s permit, this - 18 -
agreement with the Tow Operator shall be terminated by giving at least ten (10) days written notice to the Tow Operator. The written notice shall specify the date of termination. In the event the City terminates this agreement for cause, the Tow Operator shall perform no further work or service(s) under this agreement unless the notice of termination authorizes such further work.
11. Recovery of City Administrative Fees and Costs.
a. In accordance with California Vehicle Code Section 12110(b) , and in consideration of the City’s granting Tow Operators the right to tow, impound and store vehicles at the direction of the City pursuant to this agreement, each Tow Operator shall pay the City for its actual and reasonable costs incurred in administering this agreement and operating the City’s Rotation Tow Service (RTS) Program.
A
dministrative costs to be recovered may include, but are not limited to, the following:
a) D
evelopment of the RFP and Agreement;
b) Issuance of permits;
c) Annual meetings;
d) Site inspections;
e) DUI checkpoint coordination;
f) Correspondence with Tow Operators;
g) Review of monthly reports; and
h) Enforcement of the terms and conditions of the RFP, Tow Operator’s Proposal, and Chapter 12.14 of the Moreno Valley Municipal Code. b. Once a Tow Operator is approved to participate in the City’s RTS Program and an agreement is executed by both parties, the Tow Operator must annually pay the following, each year, during the five-year term of this agreement:
Year 2026 $10,000.00
Year 2027 $15,000.00
Year 2028 $20,000.00
Year 2029 $25,000.00
Year 2030 $30,000.00
c. Annual cost recovery payments shall be due by July 1st of each year. The Tow Operator shall have thirty (30) calendar days from July 1st to remit payment. If payment is not received within thirty (30) calendar days, the City may suspend the Tow Operator from the RTS Program until payment is received. If payment is not received within sixty (60) calendar days from July 1st, this Agreement shall be terminated, and the Tow Operator shall be removed from the RTS Program for the remainder of the contract term. Any outstanding City administrative fees shall become immediately due and payable.
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d. The current RTS Program operates on a “tow -by-tow” rotation basis with dispatch services provided by Professional Communications Network (PCN).
12. Restrictions on City Employees.
a. In performing the work or services to be provided hereunder, Tow Operator shall not employ or retain the services of any person while such person either is employed by City or is a member of any City C ouncil, commission, board, committee, or similar City body. This requirement may be waived in writing by the City Manager, if no actual or potential conflict is involved. b. Tow Operator represents and warrants that it has not paid or agreed to pay any compensation, contingent or otherwise, direct or indirect, to solicit or procure this agreement or any rights/benefits hereunder.
c. No officer or employee of the City shall have any financial interest in this agreement in violation of federal, state, or local law.
13. Employment. To the extent required by controlling federal, state and local law, Tow Operator shall not employ discriminatory practices in the provision of services, employment of personnel, or in any other respect on the basis of race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, marital status, sex, age, sexual orientation, ethnicity, status as a disabled veteran or veteran of the Vietnam era. Subject to the foregoing and during the performance of this agreement, Tow Operator agrees as follows:
a. Tow Operator will comply with all applicable laws and regulations providing that no person shall, on the grounds of race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, marital status, sex, age, sexual orientation, ethnicity, status as a disabled veteran or veteran of the Vietnam era be excluded from participation in, be denied the benefits of, or be subject to discrimination under any program or activity made possible by or resulting from this agreement.
b. Tow Operator will not discriminate against any employee or applicant for employment because of race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, marital status, sex, age, sexual orientation, ethnicity, status as a disabled veteran or veteran of the Vietnam era. Tow Operator shall ensure that applicants are employed, and the employees are treated during employment, without regard to their race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, marital status, sex, age, sexual orientation, ethnicity, status as a disabled veteran or veteran of the Vietnam era. Such requirement shall apply to Tow Operator’s employment practices including, but not be limited to, the following: employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. Tow Operator agrees to post in conspicuous places, available - 20 -
to employees and applicants for employment, notices setting forth the provision of this nondiscrimination clause.
c. Tow Operator will, in all solicitations or advertisements for employees placed by or on behalf of Tow Operator in pursuit hereof, state that all qualified applicants will receive consideration for employment without regard to race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, marital status, sex, age, sexua l orientation, ethnicity, status as a disabled veteran or veteran of the Vietnam era.
14. Assigned Representatives. A City representative shall be designated by the City and a Tow Operator representative shall be designated by the Tow Operator. The City r epresentative and the Tow Operator repres entative shall be the prim ary contact person for eac h party regarding perform ance of this agreement. The City representative shall c ooperate with the Tow Oper ator, and the Tow Operator’s representative shall cooperate with the City in all matters regarding this agreement and in such a manner as will result in the performance of the services in a timely and expeditious fashion.
15. Choice of Law and Venue. The laws of the State of California shall govern the rights, obligations, duties, and liabilities of the parties to this agreement, and shall govern the interpretation of this agreement. Any legal proceeding arising from this agreement shall be br ought in the appropriate court located in Riverside County, State of California.
SIGNATURE PAGE TO FOLLOW
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IN WITNESS HEREOF, the parties have each caused their authorized representative to execute this Agreement.
City of More
no Valley Pepe’s Inc. dba Pepe’s Towing Service
BY: BY:
City Manager
Title:
Christopher Navarro
Date:
INTERNAL USE ONLY
APPROVED AS TO LEGAL FORM:
City Attorney
Date
RECOMMENDED FOR APPROVAL:
Public Safety Contracts Administrator
Date
Attachments:
Exhibit A: Request for Proposal (RFP)
Exhibit B: Tow Operator Proposal
Exhibit C: Tow Fee Program Rates
Schedule