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Home My WebLink AboutItem 06.gs i February 1, 2013 Item No. LAKEVILLE POLICE DEPARTMENT TO ENTER INTO A STANDARD SERVICES AGREEMENT WITH MAREK'S TOWING & REPAIR, INC. Proyosed Action Staff recommends adoption of the following motion: Move to approve Agreement For Towing Services effective from January 1, 2013 through January 1 2018 Passage of this motion will result in the use of Marek's Towing as the primary service provider for towing and impounding vehicles for the Lakeville Police Department. Overview The Lakeville Police Department entered into a previous Towing Services Agreement with Marek's Towing in January 2008. The Agreement will be reviewed in December 2018, Primary Issues to Consider The fees for service are subject to renegotiation effective January 1, 2016. This agreement can be cancelled by either party upon 30 days written notice to the other. Supporting Information • Towing Service Agreement - January 2013. • Service fee structure and comparison rates with surrounding cities. Arvidson Captain Financial Impact: $1,000 yearly Budgeted: Y Source: Related Documents (CP, ERP, etc.): Notes: City of Lakeville Towing Service Agreement fees January 1, 2013 Standard Wheel Lift or Flatbed Tow $110.00 Motorcycles, Corvettes, Porsches, Classic Cars $125.00 Dolly $50.00 Clean up $10,00 & up Service calls, Tire Change, Jump Start, lock outs $55.00 Lockout with child in car NO CHARGE Daily Storage Fee $30.00 *After Hour Release Fee $55.00 *Administration Fee $25.00 Fuel Surcharge $10.00 Winches, Rollovers, Recovery, Etc. will be charged an additional fee *After Hour Release is available during holiday and weekends for an extra fee between the hours of 8:00 am — 5:00 pm. ** Administration fee is used for sending certified letters to registered owners and lean holders, this also covers the fee the contractor pays the City of Lakeville on each vehicle. Release hours Monday — Friday 7:00 — 5:30 Saturday -- Sunday 10 :00 —12:00 Holidays 11:00 — 12:00. F t Rate comparison Below you can see what the owner would pay to retrieve their vehicle in the first day. Lakeville Towing Storage Admin fee Fuel surcharge Total Apple Valley Towing Storage Admin fee Fuel surcharge Total Burnsville Towing Storage Admin fee Fuel surcharge Total Fagan Towing Storage Admin fee Fuel surcharge Total $110.00 $30.00 $25.00 $10.00 $175.00 $125.00 $30.00 $30.00 $12.50 $19750 $105.00 $25.00 $30.00 $20.00 $180.00 $915.00 -$125 $30.00 $30 .00 $5.00 $160.00 - $190.00 - IMMMINOW MWP-- IN"XIMCM AGREEMENT FOR TOWING SERVICES THIS AGREEMENT, entered into this day of , 2013, between the CITY OF LAKEVILLE ( "City ") and MAREWS TOWING & REPAIR, INC. ( "Contractor "). IN CONSIDERATION OF THE MUTUAL COVENANTS CONTAINED HEREIN, THE CITY AND CONTRACTOR AGREE AS FOLLOWS: 1. CONTRACTOR'S SERVICES. The Contractor agrees to provide all services required by the City for towing of vehicles and removing debris from the roadway as a result of accident vehicles it tows. These services shall be provided in accordance with the terms of this Agreement. The Contractor shall furnish the equipment, personnel, supplies, and facilities sufficient to fulfill all the terms of this Agreement. 2. PERSONNEL. All drivers provided for the towing of vehicles shall be checked for driver's licenses and warrants by the City's Police Department prior to their assignment. Contractor agrees to train all drivers in the proper towing of vehicles containing hazardous materials in accordance with federal and state law. 3. STORAGE FACILITY. The Contractor shall provide a locked storage facility for towed vehicles with a security fence along the entire perimeter. The facility shall have space for no fewer than fifty (50) vehicles and shall be within Lakeville city limits. 4. OPERATION, No vehicle shall be towed under this Agreement without the specific authorization from an employee or agent of the City. All vehicles shall be towed, not driven (except when authorized), without damage to the vehicles, to the storage facility. Contractor shall maintain and provide a telephone answering service and a FAX machine twenty -four (24) hours a day for the purpose of receiving requests for service pursuant to this Agreement, and shall provide and maintain mobile radio service with all towing units. 5. NOTIFICATION OF OWNER AND LIENHOLDER. A. Upon deposit of a towed vehicle in the storage facility, the Contractor shall send to the registered owner and Iienholder of record within five (5) days, by certified mail, a notice specifying the date and place of the tow, the year, make, model, and serial number of the vehicle towed, and the procedure to reclaim the vehicle. A record of this notice shall be retained by the Contractor. B. If a vehicle remains unclaimed after thirty (30) days from the date the notice was sent under paragraph 5A above, a second notice shall be sent by certified mail, return receipt requested, to the registered owner, if any, of the unauthorized vehicle and to all readily identifiable lienholders of record. Doc. ##629K1v.7 FINK: 112312013 6. RELEASE. No vehicle shall be released without proper proof of ownership. Vehicles ordered held by the Police Department shall not be released without written authorization from the Department. Vehicles not kept on a "police hold" shall be released by the Contractor after obtaining proper proof of ownership and proof of current automobile liability insurance, if the vehicle is to be driven out of the impound lot. The Contractor reserves the right to specify the manner of payment for all charges and fees. Contractor agrees to supply personnel and reasonable hours for the release of vehicles. Minimum hours shall be 7:00 a.m. to 5:30 p.m. Monday through Friday, two (2) hours on Saturday, two (2) hours on Sunday, and two (2) hours on holidays, with the exception of Christmas Day, New Years Day, Thanksgiving, and Easter, when they must be open one (1) hour. Contractor agrees to provide temporary service beyond these hours at the request of the Police Department. The Contractor shall release vehicles after normal business hours within a reasonable tune. The Contractor may charge a reasonable service fee above and beyond the normal fee for vehicles released after normal business hours. 7. TOWING AND STORAGE CHARGES, The current rate schedule is attached hereto as Exhibit "A ". All towing or storage charges shall be the responsibility of the vehicle owner. 8. ADMINISTRATIVE FEE. The Contractor agrees to pay the City Five and no /100 ($5.40) Dollars for clerical and administrative expenses for each vehicle referenced in an impound report filed by the Police Department. These fees shall be paid on a monthly basis. Vehicles not claimed and destroyed by the Contractor will be exempt from the administrative fee if the Contractor provides proof of salvage to the City. 9. RECORDS AND REPORTS. Contractor shall prepare a monthly report of all vehicles towed, stored, released, and still held, in a form acceptable to the City, This report shall be forwarded to the Police Department at the same time as payment of the administrative fee referenced in Paragraph 8. The report shall include the reasons why, if any, vehicles towed have not been released. All towing and impound records pertaining to services provided by the Contractor pursuant to this .Agreement shall be available for inspection by the City upon request, 10. SALES AND /OR DISPOSAL. When the total of all charges for towing, storage, and other charges equals or exceeds the value of the vehicle impounded and/or the registered owner and lienholder of record voluntarily agree to same, the Contractor shall, with the permission of the Chief of Police, sell the vehicle at a Sheriffs sale or otherwise dispose of the vehicle by lawful means, The Chief of Police may authorize the lawful sale of other vehicles when so requested by the Contractor after proper notification has been made to the registered owner and lienholder of record, The Contractor shall report all transactions of sale or disposal, including the proceeds received, in the monthly report referenced above in Paragraph 9. The Contractor shall keep records and prepare an annual summary report by December 15 each year of all Iosses and profits from the sale or disposal of vehicles towed pursuant to this Agreement. 11. LIABILITY. The Contractor shall be responsible for the loss of, or damage to, any vehicle, equipment thereon, and contents due to the fault of the Contractor or its agents, fi`om the time Contractor or its agent takes custody of the vehicle, whether that be by signing the receipt for Doc. 462981 v,7 RNK: 1123i2013 the vehicle or by hooking or hoisting the vehicle. The Contractor shall be responsible for the safekeeping of personal property with or on the vehicle, as identified on the vehicle impound form. 12. INDEMNIFICATION. The Contractor shall indemnify and hold harmless the City, its employees and agents, from and against all claims, damages, losses, and expenses, including attorney's fees, which it may suffer or for which it may be held liable because of bodily injury, including death, or damage to property, including loss of use, as a result of the fault of the Contractor, its employees, agents, or subcontractors in the breach of performance of this Agreement. 13. BOND. Contractor agrees to obtain and maintain a letter of credit or Performance Bond addressed to the City, during the life of this Agreement, in the amount of Two Thousand Five Hundred and no /100 ($2,500.00) Dollars to assure the proper and timely performance of this Agreement. 14. INSURANCE. The Contractor shall obtain and maintain liability insurance for coverage of not less than the following amounts: General Liahilitil (or in combination with an urnhrella policy) $1,000,000 Each Occurrence $1,000,000 Personal & Advertising Injury $1,000,000 Products Completed Operations Aggregate $1,000,000 Annual Aggregate Autry Liability $1,000,000 Combined Single Limit - Bodily Injury & Property Damage Owned Vehicles (if Provider has such vehicles) Hired & Non -Owned Workers Compensation Statutory Limits $100,000 Each Accident $500,000 Policy Limit $100,000 Each Disease Hazardous Loud As required by federal/state laws Garage Liability $60,000 each occurrence for vehicles in the care, custody, or control of the Contractor The insurance shall cover all operations under this Agreement whether undertaken by the Contractor, subcontractors, or anyone employed or retained by the Contractor. Coverage for bodily injury and property damage shall be written under Comprehensive General and Comprehensive Automobile Liability policy forms, including coverage for all owned, hired, and non -owned motor vehicles. The insurance shall also cover the indemnification liability set forth in Paragraph 12. Doe. #62981rr.7 RNK: 123 /3013 The insurance company shall deliver to the City insurance certificates of all required coverages on a form acceptable to the City, signed by an authorized representative of the insurer. The authorized representative shall have in effect, errors and omissions coverage in luiaits of not less than One Hundred Thousand and no /100 ($ 100,000.00) Dollars per occurrence and Three Hundred Thousand and no /l00 ($300,000.00) Dollars aggregate. The City shall be named as an additional insured. 15. NON - DISCRIMINATION. The Contractor agrees during the life of this Agreement not to discriminate against any employee, application for employment, or other individual because of race, color, sex, age, creed, national origin, sexual preference, or any other basis prohibited by federal, state, or local law. The Contractor will include a similar provision in all subcontracts entered into for performance of this Agreement. 16. SUBCONTRACTORS. The Contractor shall not subcontract all or any portion of this Agreement without prior written approval of the City, except for assistance in emergency or unforeseen circumstances. All subcontractors shall be bound by, and covered by all terms of this Agreement. 17, TERM. This Agreement shall commence January 1, 2013 and terminate on January 1, 2018. The fees for service are subject to re- negotiation effective January 1, 2016. if the parties do not agree on a new fee schedule, this Agreement shall terminate on January 1, 2016. This Agreement may also be terminated by either party upon thirty (30) days written notice if the other party fails to perform in accordance with the terms of this Agreement through no fault of the terminating party. 18. INDEPENDENT CONTRACTOR. At all times and for all purposes hereunder, the Contractor is an independent contractor and not an employee of the City. No statement herein shall be construed so as to find the Contractor an employee of the City. 19. COMPLIANCE WITH LAWS. In providing services pursuant to this Agreement, the Contractor shall abide by all statutes, ordinances, rules, and regulations pertaining to the performance of this Agreement. Any violation shall constitute a material breach of this Agreement and entitle the City to terminate this Agreement. 20. NON - ASSIGNABILITY. The Contractor may not assign its interest in this Contract or subcontract with third parties. If Kevin J. Marck ceases to be a full time employee of Contractor, or if more than forty -nine (49 %) percent of the Contractor's stock is owned by someone other than Kevin J. Marek and his wife, the City may terminate this Contract upon thirty (30) days written notice. 21. WHOLE AGREEMENT. This Agreement embodies the entire agreement between parties including all prior understanding and agreements, any may not be modified except in writing, signed by all parties. 22. STATUTORY COMPLIANCE. Minnesota Statutes Chapter 168B is incorporated herein by reference. To the extent anything in this Agreement conflicts with any current or future Doc. #62981 v.7 4 RNK: 1/23/2013 statutory requirements, this Agreement shall be deemed amended to be in conformity with the statutory requirements. CITY OF LAKEVILLE Matt Little, Mayor AND Charlene Friedges, Clerk Date: Doe. #f6298 Iv. 7 RNK: P23/2013 MAREK'S TOWING & REPAIR, INC, BY: k6vinA arek, C.E.O. Date: q )-3 i l EXHIBIT "A" TOWING SERVICE FEES JANUARY 1, 2013 Standard Wheel Lift or Flatbed Tow $ 110 Motorcycles, Corvettes, Porsches, Classic Cars $125.00 Daily $50.00 Clean up $10,00 & up Service calls, Tire Change, ,lump Start, Lock outs $55.00 Lockout with child in car NO CHARGE Daily Storage Fee $30.00 *After Hour Release Fee $55.00 *Administration Fee $25 Fuel Surcharge $10.00 Winches, Rollovers, Recovery, Etc, will be charged an additional fee *After Hour Release is available during holiday and weekends for an extra fee between the hours of B :Oo am — 5.00 pm. ** Administration fee is used for sending certified letters to registered owners and lean holders, this also covers the fee the contractor pays the City of Lakeville on each vehicle. Release hours Monday — Friday 7:00 — 5.30 Saturday — Sunday 10 :00 —12 :00 Holidays 11:00 — 1x:00. 01/21/2013 11:22AM 16514900568 KATHY AMATO PAGE 02/02 OP ID: KA °x CER OF LIABILITY INSURANCE � M3 NYV '(HIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS No RIGHTS UPON THE CER'TIFiCATE HOLDER, THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTIER THE COVERAGE AFFORDED BY THE POLICIES BELOW, THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT If the certificate. holder is an ADDITIONAL INSURED, the pclicy`(ersj inust be endorsed. If SUBROGATION IS WAIVED, subject to the terms And conditions of the policy certain policies may require en endoraemont. A statement on this cartlficale does not confer rights to the certificate hold ;r in lieu of such andorsament s . PRODUCER 952.998.8818 Businaar. Insurince Brokers 852 - 829. 0482 Affiliate of Northem Capit P.D. Box 9396 Minneappol(5, MN 55440 -9396 Kathy W Amato CONTA[ T NAME: rREWE FAX rUa Nu E AJC re. A t op tL o0u 6R I : MAREK - 1 INSURERt5I AFFOR111NG COVERACIE NA3C 7 INSURED Marek's Towing 81 Repair, Inc. Kevin Marek 20152 Kenrick AvenUe W. Lakeville, MN 55044 InauRrAA:EMC Insurance Com aniuG 21415 INSURER S; umrr S INSURERC: INSURER 0: INSURER E COVERAGE CERTIFICATE NUMBER: REVISION NUMBER- THIS IS TO CERTIFY THAT THE miciE5 OF INSURANCE LISTED BELOW HAVE SE;8K ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INMCATED. NOTWITHSTANDING ANY REgUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS 3V5JE =CT TO ALL YHe TERMS, EXCL=ONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE! BEEN REDUCED 13Y PAID CLAIMS. INER LTA TYPE OFIN3UFIANCE - POUCYNUMEIER POLA�rEFF POUCT P umrr S seNzMALLIWI-ITY EACHUCCuRRENCEi PRrM M F_ aaccvlrence S COMMERCIAL GENERAL L"ILIPY MED UP (Any one perton) S 5,170 CLA1M54MDE OCCUR A Garage Llablllty 2X9- 15 -07 -13 06127112 06/27/13 PE RSONAL BADVINJURY S 1,0QQ,00 General Liability GENERALAp0RIZOATE S 2,000,04 A 2X9.15 -07 -13 06/17112 06127113 GEN'L AGGREGATE LIMIT APPLIESPER PRODUCTS - COMMPAGO S POLICY PRa Lcc S AUTQM09kEiLIABWTY rOMIINNEO INGLEiLiPAT $ "1,000,00 A X AN YAJTQ 2X9 15 - 07 - 13 06127/12 06127113 BODILY In4vaV (Apt 99mo S ALL Duv NFI) AuTOs 600iLYIN,NRYt)�erav6dCot), S 5CHIDULEDAUTOS PRO PfiRTY OAMAGF (Per M169Ix) S X HIRED AUTOS X NONZWN60AUT09 S 5 VMVRELL4UA5 X OCCUR EACWOCCURRENCI: S '1,000,00 L9 A VXPE99Ag CLAiNS•MADE 2X9- 15 -07 -13 06127112 05127113 AGGREGATE S 'I,000,DD DEDUBnm iz s X RETENTION S 10 000 W0RKER5C0MPEN3P,TH3N WC STATU• (yTH. S AND EMPLOYERe L.IAMLITY YIN A x TOR Ih9i ANY PROPRIEIOFLPARTNERC- XGrVrIVE 2X9 - 15.47 »13 0612T112 06/27113 OFFIC NIA F_RIFAEMrdERFJ(LLUQ'{:C37 E,L,EACHpcctDE;Nr 9 S0Q00 , (Mehtlo In IEyy C48IXIE9 uneer NH) E.L. DISEASE - EA EMPLOYEE S 000,00 DESCRIPTION OF OPERATEONStxtow E.L DISEASE -POLICY LFIAT S $40,00 A Property Special O U112 08127/13 Intents 125'00 Form -Repl. Cons Bldg. 392 t) ESCRIPTIONoFOPEPATtONSILOCATIONSIVE91tCLES ( AHpchACORD161• Add4lonnlRihlelka8ch�duEorilmorospgc ®iFraquirpd} Oaragekeepers Libbility $300,000 - ComprehensiV*e Dad. $500/$2,500 — Coll—ion Ded. City of Lakeville is named as Adcii�'ttonal Insisted. OERTIRCATE HOLDER CANCELLATION CITYLLA SHOULD ANY OF THE ABOVE DE$CRI$ED POLICIES BE CANCELLED BEFORE City of Lakeville THtc EXPI RATION DATE THEREOF, NOTJCIE WILL BE DELIVERED IN Char ACCORDANCE WITH THE PoUCY PRQvISIONS. 20195 Holyoke Ave, AUTHQAZE DREPNESENTATIVS Lakeville, MN 55044 ®1988 .2009 ACORD CORPDRATION. All rights reserved_ ACORD 25 (2009109) The ACORO name and logo are registered marks of ACORD