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CITY COUNCIL AGENDA ITEM BRIEFING SHEET Submittal Date: Originating Department: Presented By: Agenda Item No.: 10/18/10 Council Date: Police Bob Hundley, Police Chief 27. 10/25/10 RECOMMENDED MOTION: Not an action item - first reading. [IF SUPERMAJORITY RULE INVOKED - Move to approve an ordinance regulating procedures and policies pertaining to the operations of wrecker, towing, and storage facilities. POLICY ISSUES): Franchise fee; Consumer protection BACKGROUND: Currently, the city of Paris does not have a `tow ordinance' on the books. For many years, a two-page document and a gentlemen's agreement is all that regulated which wrecker companies could be on the rotation for City call and what they would or would not do. This agreement does not contain signatures or a date of acceptance. The only punishment for not following the 15 or so `rules' is to pull the service from the rotation list and is left totally to the discretion of the Chief of Police. The wrecker service industry in Texas has been placed under strict regulations which require permitting of their companies, tow trucks, and drivers. The wrecker companies operate upon city streets for their business, but at the same time provide a service to the community in assistance at public safety incidents. The Police Department requests an estimated 1,500 - 2,000 wrecker tows a year. Wrecker companies, as well as insurance companies and adjusters, have complained about charges for non-consent tows (performed when the Police Department calls them to a traffic accident or arrest scene), with fees reportedly for one specific accident ranging from $265 to $1,400 from the same wrecker hauling two vehicles from the same accident. The proposed ordinance incorporates the existing rules and also follows the same guidelines in state law. The ordinance also provides for a small franchise fee ($50.00) for the company to operate their business on the city streets and, more importantly, sets out what they can and cannot do regarding daily operations within the city and allows sanctions and appeals processes should those operations violate the city ordinance. Wrecker operators were consulted, by meeting or by correspondence, three times during the development of this ordinance. BOARD/COMMISSION RECOMMENDATION: EXHIBITS: Ordinance; Wrecker Rules Sheet ACTION: BUDGET INFO: ❑ Financial Report ❑ Minute Order Expense $ ❑ Department Report ❑ Resolution Budgeted Amt. $ ❑ Presentation ® Ordinance YTD Actual $ ❑ Public Hearing ❑ Other Acct. Name Acct. Number FISCAL NOTES: REVIEWED AND APPROVED BY: ® Administration ® City Clerk ❑ Community Development ❑ EMS/IT ❑ Finance ❑ Fire ❑ Municipal Court ® Legal ❑ Library ® Police ❑ Eng./Public Works ❑ Utilities City of Paris _ 277 Revised 2/04/08