REPORT ON REQUEST FOR PROPOSAL FOR CITY GENERATED TOWING SERVICES

Transcription

1 CITY OF St SAN JOSE CAPITAL OF SILICON VALLEY COUNCIL AGENDA: 3/29/16 ITEM: Memorandum TO: HONORABLE MAYOR AND CITY COUNCIL FROM: Julia H. Cooper SUBJECT: SEE BELOW DATE: March 16, 2016 Appr v tl >_Q^( Date 3( n-/ ((o SUBJECT: REPORT ON REQUEST FOR PROPOSAL FOR CITY GENERATED TOWING SERVICES RECOMMENDATION Accept the report on the Request for Proposal ("RFP") for City Generated Towing Services and adopt a resolution authorizing the City Manager to: 1. Execute Agreements with each of the following companies to provide City-Generated Towing Services, for an initial five-year term ending March 31, 2021: Zone 1: Matos Auto Towing & Transport (San Jose, CA) Zone 2: City Towing, Inc. (San Jose, CA) Zone 3: Century Tow (San Jose, CA) Zone 4: Motor Body Company, Inc. (San Jose, CA) Zone 5: Courtesy Tow Services, Inc. (San Jose, CA) Zone 6: Alongi Brothers, Inc. (San Jose, CA) 2. Execute five one-year options to extend the Agreements through March 31, OUTCOME To provide the residents of San Jose with an efficient, customer-centric process for recovering towed vehicles in all six tow zones. Provide towing and vehicle storage services in each of the City's six tow zones.

2 HONORABLE MAYOR AND CITY COUNCIL March 16, 2016 Subject: Report on RFP for City-Generated Towing Services Page 2 BACKGROUND The City has agreements with six towing contractors selected through a competitive Request for Proposal process and approved by Council in 2009 for towing services. These agreements are scheduled to expire on March 31, The agreements are to perform tows of citizen-owned vehicles that are requested by City staff. City Generated Towing Services include towing for: The Police Department for accidents, vehicle violations, investigations and evidence in criminal cases. The Department of Transportation for abandoned, inoperable and illegally stored vehicles on the public right-of-way. Planning Building and Code Enforcement for the Neighborhood Clean-up Program. Services do not include general towing services for City-owned vehicles or requests from residents. Each towing zone defines a specific geography within the City and one contractor is awarded exclusive towing privileges within a designated zone. The tow zones are as follows: Zone 1: East City Limits Zone 2: East City Limits Zone 3: South City Limits Zone 4: South City Limits Zone 5: West City Limits Zone 6: North City Limits See Attachments A and B - City of San Jose Tow Zone Boundaries Description, and City of San Jose Tow Zone Boundaries Map, respectively, for more information about each zone. In March , City Council passed a resolution approving the alignment of the City's tow service charges with the California Highway Patrol (CHP) highest tow service rate(s) for the Golden Gate Region. Tow service charges are paid by owners of the towed vehicles to the tow company. The CHP reviews its rates annually to ensure that regional cost equity and inflation rates are considered and adjusted for to create predictability and fairness in rates for customers. The City also reviews the tow rates annually and, if necessary, adjusts the rates to an amount not 1 Link to 2008 Council Memo:

3 HONORABLE MAYOR AND CITY COUNCIL March 16, 2016 Subject: Report on RFP for City-Generated Towing Services Page 3 to exceed the tow rates allowed by the State of California Highway Patrol Tow Services Agreement for the Golden Gate Region. The resolution also established a compensation rate that tow companies pay to the City per tow, as well as a dispatch fee. Subsequent resolutions that adjusted the tow rates and compensation to the City were adopted in , , and The City produces approximately 11,000 tow requests per year, generating approximately $968,000 in revenue for the City. A RFP was prepared to award one contract for each aforementioned zone. The RFP included a new requirement for public safety tows during special situations such as emergencies and special events. Vendors were allowed to bid on more than one zone. ANALYSIS A RFP for City Generated Towing Services was published through the City's e-procurement system. A total of 28 companies viewed the RFP, and six proposals were received by the December 10, 2015 deadline as summarized below: Zone 1: Matos Auto Towing & Transport (San Jose, CA) Zone 2: City Towing, Inc. (San Jose, CA) Zone 3: Century Tow (San Jose, CA) Zone 4: Motor Body Company, Inc. (San Jose, CA) Zone 5: Courtesy Tow Services, Inc. (San Jose, CA) Zone 6: Alongi Brothers, Inc. (San Jose, CA) Each of the proposing companies currently provides City Generated Tow Services for the same zone that it is seeking to be awarded in this RFP. Therefore, the City's evaluation team evaluated the historical performance of each vendor as well as the information proposed to ensure that the vendors were responsive and responsible to continue performing towing services for their respective zones. Protest Period: The RFP process included a ten-day protest period that commenced when Proposers received the City's Notice of Intended Award. No protests were received. Award Recommendation: Staff recommends a total of six contract awards to the six tow companies who proposed in this RFP to ensure that each tow zone is represented and services are maintained. 2 Link to 2009 Council Memo: 3 Link to 2012 Council Memo: 4 Link to 2013 Council Memo:

4 HONORABLE MAYOR AND CITY COUNCIL March 16, 2016 Subject: Report on RFP for City-Generated Towing Services Page 4 Summary of Agreements: Staff is requesting authority to execute agreements with the six tow companies to provide City-Generated Towing Services. Under the Agreements, each tow company will provide the following services: Response to tow requests within 25 minutes; Fully staffed vehicle storage facilities that are open 24 hours a day for vehicle pick up; Storage facilities that meet current building code and use permit requirements; Prompt customer complaint processing and responses; Liquidated Damages for infractions of key agreement provisions; and Public safety tows for special instances such as national defense or high-ranking dignitary visits. Each Contractor shall pay the City, as consideration for the right to perform City-Generated Tows, a flat fee for each dispatch and per tow. The City shall invoice each Contractor on a monthly basis for both dispatch services and tow fees. Prior to contract execution, each tow company is required to submit to the City a $25,000 security deposit to be maintained through the term of its respective agreement. The deposit amount was established by Council in The Agreements are subject to the City's Living Wage Policy and the Office of Equality Assurance will ensure compliance. In their proposals, each Contractor agreed to pay the prescribed living wage rates identified in the RFP, submitted the required Employee Work Environment Questionnaire, and provided labor peace assurances. EVALUATION AND FOLLOW-UP If Council accepts this report, no further action by Council will be required. PUBLIC OUTREACH This item will be posted on the City's website for the March 29, 2016 City Council Agenda. COORDINATION This memorandum has been coordinated with the Planning, Building and Code Enforcement Department, the Department of Transportation, San Jose Police Department, the Office of Equity Assurance, and the City Attorney's Office.

5 HONORABLE MAYOR AND CITY COUNCIL March 16, 2016 Subject: Report on RFP for City-Generated Towing Services Page 5 FISCAL/POLICY ALIGNMENT This action is consistent with the City's Operating Budget City Service Areas Delivery Framework for Performance-Driven Government for Operational Services: 1) Neighborhood Services 2) Transportation and Aviation Services. CEOA Not a Project, File No. PP10-066, Agreements and Contracts that involve no physical changes to the environment. /s/ JULIA H. COOPER Director of Finance For questions, please contact Mark Giovannetti, Deputy Director of Finance, at Attachments

6 Attachment A Description of Tow Zone Boundaries Zone 1: - East City limits go West on Alum Rock Ave. - North on Thirteenth St. to Highway North on Highway 101 to Trimble Rd. - East on Tremble Rd. to Guadalupe River - North on the Guadalupe River to Highway West on Highway 237 to the Sunny vale/santa Clara/San Jose border - The Sunnyvale/Santa Clara/San Jose border North to the North City limits. Zone 2: - East City limits go West on Alum Rock Avenue to McLaughlin Avenue - South on McLaughlin Ave. to Tully Rd. - East on Tully Rd. to Highway South on Highway 101 to Capitol Expressway - East on Capitol Expressway to Silver Creek Valley Road - South on Silver Creek Valley Road to Yerba Buena Avenue - West on Yerba Buena Avenue to Highway South on Highway 101 to the City limits. Zone 3: - South City limits go North on Highway 101 to Yerba Buena Avenue - East on Yerba Buena Avenue to Silver Creek Valley Road - North on Silver Creek Valley Road to Capitol Expressway - West on Capitol Expressway to Highway North on Highway 101 to Tully Rd. - West on Tully Rd. /Curtner Ave. to Monterey Highway - South on Monterey Highway to Capitol Expressway - West on Capitol Expressway to Highway 87 - South on Highway 87 to the Highway 85 interchange - Highway 87/85 interchange south on Santa Teresa - Santa Teresa to Coleman Ave. - Santa Teresa/Coleman interchange South to the City limits - Follow the City limits south to the South City limits.

7 Zone 4: - South City limits go North on Highway 17 to Camden Ave. - East on Camden Ave. to Curtner Ave. - North on Curtner Ave. Leigh Ave. - North on Leigh Ave. to Hamilton Ave. - East on Hamilton Ave. to Meridian Ave. - South on Meridian Ave. to Highway East on Highway 280 to Lincoln Ave. - North on Lincoln Ave. to Auzerais St. - East on Auzerais St to Sunol St. - South on Sunol St to Highway East on Highway 280 to Tenth St. - South on Tenth St. to Tully Rd./Curtner Ave. - West on Tully Rd. to Monterey Highway - South on Monterey Highway to Capitol Expressway - West on Capitol Expressway to Highway 87 - South on Highway 87 to the south City limits. Zone 5: - West City limits go East on Hamilton Avenue to Meridian Avenue - North on Meridian Avenue to San Carlos Street - East on San Carlos Street to Race Street - North on Race St. to The Alameda - North on The Alameda to Highway North on Highway 880 to the Railroad tracks - North on the Railroad tracks to the North City limits - South from North City limits to West City. Zone 6: - North City limits go south on the Railroad tracks to Highway South on Highway 880 to The Alameda - South on The Alameda to Race St. - South on Race St. to San Carlos St. - West on San Carlos St. to Meridian Ave. - South on Meridian Ave to Highway East on Highway 280 to Lincoln Ave. - North on Lincoln Ave. to Auzerais St. - East on Auzerais St to Sunol St. - South on Sunol St. to Highway East on Highway 280 to Tenth St. - South on Tenth St. to Tully Rd. - East on Tully Rd. to McLaughlin Ave. - North on McLaughlin Ave. to Santa Clara St. - West on Santa Clara St. to Thirteenth St. - North on Thirteenth St. to Highway North on Highway 101 to the North City limits.

8 Attachment B City of San Jose Tow Zone Boundaries 'Or vtomi *. 'W** '!C>: N Scale: 11nch a 17,740 (est v. "' r W'. \, ' ' IIP h Ov \«, cnv or Ct ^ <iafital Of sikms taunt Mip Prepared byi CUy of «n Joae, Planrtlnp Services Olvls/on