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Second Amendments to Agreements for Rotational Towing and Storage Services <br />August 6, 2024 <br />Page 2 <br />RFP No. 21-060 specified the anticipated term of the agreement as an initial three-year <br />period with two additional one-year extension options for a total term not to exceed five <br />years. However, the extension option language was inadvertently excluded in the final <br />agreements approved by the City Council. The Police Department would like to <br />incorporate the extension option by amending the agreements and exercise the first <br />one-year option to extend the agreement through August 31, 2025. <br />The City Storage Vehicle Release fee is approved by the City Council in the <br />Miscellaneous Fee Schedule and is currently $95 for FY 2024-25. Fees for towing <br />services are collected and retained by the tow operators. Those fees are based on fees <br />for towing services surveyed in the County and are compliant with industry standards. <br />The towing contractors are also seeking to adjust the Compensation and Adjustments to <br />the Towing and Storage Fee Schedule per Section 2.e of the original agreements. The <br />2% increase is justified based on the Consumer Price Index (CPI) and the Producer <br />Price Index (PPI) for Petroleum statistics for the greater metropolitan region. The rate <br />increases range from $1 to $9 by service type. <br />ENVIRONMENTAL IMPACT <br />There is no environmental impact associated with this action. <br />FISCAL IMPACT <br />Storage Vehicle Release fees will be deposited in the General Fund Vehicle Release <br />Charge revenue account (no. account 01114002-53400). Fees for towing services are <br />paid to the tow companies directly for their services. <br />EXHIBIT(S) <br />1. Second Amendment to Agreement with Standard Enterprises, Inc., dba To' and Mo' <br />2. Second Amendment to Agreement with Greater Southern California Towing, Inc. <br />3. Second Amendment to Agreement with B&D Towing, Inc. <br />4. Second Amendment to Agreement with MetroPro Road Services, Inc. <br />Submitted By: Robert Rodriguez, Acting Police Chief <br />Approved By: Alvaro Nunez, Acting City Manager <br />