Item 11AGENDA ITEM NO. 11
AGENDA STAFF REPORT
City of West Covina I Office of the City Manager
DATE: June 21, 2022
TO: Mayor and City Council
FROM: David Carmany
City Manager
SUBJECT: CONSIDERATION OF AWARD OF AGREEMENT FOR CITYWIDE TOWING SERVICES
RECOMMENDATION:
It is recommended that the City Council:
1. Award a non-exclusive franchise agreement for police towing services to Royal Coaches Auto Body
& Towing; and
2. Authorize the City Manager to negotiate and execute the agreement, with a term of five years, in
such form as approved by the City Attorney.
BACKGROUND:
Every several years, the City awards a new contract for towing services, following a competitive bid
process. Tow providers are responsible for all Police Department calls for tow services, and calls for
service for the Fire Department and Maintenance Yard. Additionally, service requests made to the Police
Department by private citizens for undesignated towing services are referred to the contracted towing
provider.
DISCUSSION:
On April 18, 2022, a request for proposals ("RFP") for Towing Services for Areas 1 & 2 was posted on
Planet Bids. Like past RFPs, this current RFP had specific requirements for prospective bidders. These
included the following:
. Have a storage lot or primary office within five miles of the City limits;
. Respond to calls "24/7," with a 15-minute response time;
. Have at least one "Class N' light duty tow truck, at least one "Class B" medium duty tow truck, and
at least one "Class C" heavy duty tow truck, with licensed drivers for each type;
. Pay a franchise fee to the City, of 30% (or higher) of the gross towing revenue for the City;
.Obtain proper insurance, a West Covina business license, and complete all other required forms
included in the RFP.
Over a dozen prospective bidders viewed the RFP on Planet Bids, although not all of them were towing
companies. On the bid deadline of May 10, 2022, staff received five sealed bid packages, signed by the
bidders.
Staff has reviewed these bid packages and below is a summary. Additionally, a side -by -side summary of
all proposals is also included as Attachment No. 1.
Towing Company
Proposed
Prop
Franchise Fee
Other Considerations
Al & Son's Towing Inc
N/A
Haddiak's Towing
25%
Jan's Towing
30%
Navarro's Towing
N/A
Royal Coaches Auto Body &
Towing
30%
Plus 5% Community Services donation,
increasing 1% per year
. Jan's Towing Inc., 1045 West Kirkwall St., Azusa, CA 91702
Jan's tow yard is located approximately 3 miles from West Covina's city limits. Their operating
hours are Monday — Friday from 8:00 a.m. to 5:00 p.m. and Saturday and Sunday from 8:00 a.m. tc
12:00 p.m. Their tow yards have an 8-foot fence that surrounds the perimeter, camera surveillance,
24-hour live security, and remote controlled access. Their tow yards are capable of holding
approximately 550 vehicles, 50 of those vehicles are for inside storage. They possess a secure
area for evidence held vehicles.
Jan's tow vehicles meet the towing requirement for class A, B, C, & D. They have approximately 45
employees and the tow truck drivers are part of the Department of Motor Vehicle's Pull Notification
program. All employees have passed a background which are updated annually. Additionally,
employees participate in random drug tests. Jan's towing services are available 24 hours per day
and will meet the maximum permitted response time of 15 minutes. With over 30 years of
experience, Jan's Towing meets the requirements of the RFP and they are capable of providing
quality service to the City of West Covina.
In response to the RFP: Jan's Towing, Inc. agrees to pay 30% of the gross towing revenue for the
sole towing rights for Areas 1 & 2.
. Royal Coaches Auto Body & Towing, 14827 Ramona Blvd., Baldwin Park, CA 91706
Royal Coaches Auto Body & Towing's tow yard is located approximately .25 miles from West
Covina's city limits. Their operating hours are Monday — Friday from 8:00 a.m. to 5:00 p.m. and they
have the capability to release vehicles 24 hours per day, seven days per week. Their tow yards are
paved, fenced and lighted at night. Security is provided by 57 cameras and DVR recordings as well
as employees on site 24 hours per day, 365 days per year. Their tow yards are capable of holding
approximately 325 vehicles, 25 of those vehicles are for inside storage. They possess a
"State -of -the art evidence investigation and security cages are available to support evidence and
on -going investigation by the police department."
Royal Coaches Auto Body & Towing's tow vehicles meet the towing requirement for class A, B, C,
& D. They have approximately 40 employees and 34 current tow truck drivers are fully licensed for
the type of truck they operate. Each driver has completed a Royal Coaches training program,
California Tow Truck Association training certificate, and 26 drivers specialize in the FSP program
training. All employees have passed a pre -employment background and are updated annually.
Additionally, employees participate in random drug tests. Royal Coaches Auto Body & Towing
services are available 24 hours per day and will meet the maximum permitted response time of 15
minutes. With over 35 years of experience, Royal Coaches Auto Body and Towing meet the
requirements of the RFP and they are capable of providing quality service to the City of West
Covina. Royal Coaches is the City's current tow service provider.
In response to the RFP: Royal Coaches Auto Body & Towing agrees to pay 30% of the gross
towing and storage revenue for the towing rights for Areas 1 & 2. Also, Royal Coaches proposes an
additional 5% annual donation to be paid to the City of West Covina for community services
beginning year 1, and increasing one percent (1%) per year ending at ten (10%) percent at the end
of the three-year agreement plus the two-year option period.
. Navarro's Towing, 1122 N. Azusa Canyon Rd, West Covina, CA 91790
Navarro's Towing is located within the city limits and is approximately 1.5 miles from the Police
Department. Their operating hours are Monday — Friday from 8:00 a.m. to 5:00 p.m. and hours of
operation are negotiable for Saturday and Sunday. Their tow yards have a fence that surrounds the
perimeter, 18 camera surveillance that have motion sensors and are recorded onto a DVR. The
recordings are backed up on external storage. Their tow yards are capable of holding
approximately over 10,000 vehicles, 150-175 of those vehicles are for outside storage. They
possess a secure area for evidence held vehicles.
Navarro's tow vehicles meet the towing requirement for class A, B, C, & D. They have
approximately 47 employees and the tow truck drivers are part of the Department of Motor
Vehicle's Pull Notification program. All employees have passed a background which are updated
annually. Additionally, employees participate in random drug tests. Navarro's towing services are
available 24 hours per day and will meet the maximum permitted response time of 15 minutes. With
over 30 years of experience, Navarro's Towing meets the requirements of the RFP and they are
capable of providing quality service to the City of West Covina.
In response to the RFP: Navarro's Towing did not specify a franchise fee amount to be paid to the
City. Their RFP bid states the following: "If awarded a contract, the undersigned agrees to execute
a formal contract agreement as set forth in the RFP if the City requires, within twenty four (24)
hours of the City's acceptance of our proposal."
. Haddick's Towing, 15252 E. Valley Blvd., City of Industry, CA 91746
Haddick's tow yard is located approximately 2 miles from West Covina's city limits. Their operating
hours are Monday — Friday from 8:00 a.m. to 5:00 p.m. and Saturday and Sunday from 10:00 a.m.
to 12:00 p.m. Their tow yards are gated and has a secure lot not visible to the public, camera
surveillance, and 24 hour live dispatch. Their tow yards capacity was not indicated in the bid. They
possess a secure area for evidence held vehicles which is monitored by cameras.
Haddick's tow vehicles meet the towing requirement for class A, B, C, & D. They have
approximately 24 employees and the tow truck drivers are part of the Department of Motor
Vehicle's Pull Notification program. All employees have passed a background. Additionally,
employees participate in random drug tests. Haddick's towing services are available 24 hours per
day and will meet the maximum permitted response time of 15 minutes. With over 94 years of
experience, Haddick's Towing meets the requirements of the RFP and they are capable of
providing quality service to the City of West Covina.
In response to the RFP: Haddick's Towing agrees to pay 25% franchise fee paid quarterly to the
City.
. Al & Son's Towing Inc., 2810 Valley Blvd., Pomona, CA 91768
Al & Son's Towing Inc. tow yard is located approximately just under 5 miles from West Covina's
city limits. This route was measured using Google maps and is not the most direct route to the city
limits. The most direct route to the city limits exceed the 5 mile minimum. Their operating hours are
Monday — Friday from 8:00 a.m. to 5:00 p.m. Their tow yards have a chain -link fence that surrounds
the perimeter, camera surveillance, 24-hour operation with drivers always on scene. Their tow
yards are capable of holding approximately 80 vehicles. They possess a secure area for up to 6
evidence held vehicles.
All & Son's Towing Inc. vehicles meet the towing requirement for class A, B, C, & D. They have
approximately 5 employees and the tow truck drivers are part of the Department of Motor Vehicle's
Pull Notification program. All employees have passed a background which are not updated
annually. Additionally, employees participate in random drug test. Al & Son's towing services are
available 24 hours per day and will meet the maximum permitted response time of 15 minutes. Al &
Son's Towing meets the requirements of the RFP and they are capable of providing quality service
to the City of West Covina; however, with only 4 drivers, they could be limited on services provided
to the City of West Covina.
In response to the RFP: Al & Son's Towing did not specify a franchise fee amount to be paid to
the City.
Staff is recommending that the City Council award the agreement for police towing services to Royal
Coaches Auto Body & Towing.
LEGAL REVIEW:
The City Attorney's Office will prepare the non-exclusive franchise agreement for police towing services
based upon the City Council's direction.
OPTIONS:
The City Council has the following options:
1. Approve staffs recommendation; or
2. Provide alternative direction.
Prepared by: Brian Daniels, Lieutenant
Additional Approval: Richard Bell, Chief of Police
Fiscal Impact
FISCAL IMPACT:
Towing franchise fees result in revenue to the General Fund (Account No. 110.31.4602). On average,
the City receives approximately $200k per fiscal year with a 30% franchise fee. Additionally, the City
currently receives a 5% annual donation to the Community Services Foundation (220.61.4862) which
averages approximately $27k annually.
Attachments
Attachment No. 1 - Summary of Proposals
CITY COUNCIL GOALS & OBJECTIVES: Protect Public Safety
Achieve Fiscal Sustainability and Financial Stability
ATTACHMENT NO. 1
Summary of Proposals
Towing Services for Areas 1 & 2
RFP# 31-009
RoyalCoaches
City Max Towing Inc Towing Jan's Towing Towing Towing
RFP Requirement
Have a storage lot or primary office within five miles of
City limits
Yes
Yes
Yes
Yes
Yes
Respond to calls "24/7," with a 15 minute response time
Yes
Yes
Yes
Yes
Yes
Have at least one "Class A" light duty tow truck, at least
one "Class B" medium duty tow truck, and
at least one "Class C' heavy duty tow truck, with
licensed drivers for each type
Yes
Yes
Yes
Yes
Yes
Pay a franchise fee to the City, of 30% (or higher) of the
gross towing revenue for the City
N/A
25%
30%
N/A
30%
Fee Schedule
Towing
Class A Hourly Rate
$231.00
$231.00
$210.00
$254.10
$231.00
$231.00
Class B Hourly Rate
$215.00
$215.00
$215.00
$302.50
$215.00
$270.00
Class C Hourly Rate
1 $276.001
$276.001
$276.001
$447.701
$276.001
$378.00
Class D Hourly Rate
1 $328.001
$328.001
$328.001
$472.201
$328.001
$440.00
Storage
Class A per Day
$64.00
$68.00
$55.00
$65.50
$68.00
$65.00
Class B per Day
$68.00
$68.00
$65.00
$65.50
$68.00
$68.00
Class C per Day
1 $68.001
$68.001
$68.001
$70.001
$68.001
$68.00
Class D per Day
1 $68.001
$68.001
$68.001
$70.001
$68.001
$68.00