Loading...
HomeMy WebLinkAbout10.21.98 Work Session Packet CITY OF FARMINGTON CITY COUNCIL WORKSHOP COUNCIL CHAMBERS October 21 at 7:00 p.m. TENTATIVE AGENDA 1. CALL TO ORDER 2. APPROVE AGENDA 3. 1999-2003 CAPITAL IMPROVEMENT PLAN a. Staff Presentation b. Council Review and Discussion c. Action Items 4. CITY TOWING CONTRACT a. Staff Report b. Council Review Discussion c. Action Items 5. ADJOURN City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463-7111 Fax (651) 463-2591 www.ci.farmington.mn.us FROM: Mayor, Councilmembers and City Administrato~ Daniel M. Siebenaler Chief of Police TO: SUBJECT: City Towing Contract Workshop DATE: October 21, 1998 INTRODUCTION In November 1997 the City Council was asked to consider a tabulated bid document comparing three competitive bids for the City Towing Contract. At that same meeting Council was given a recommendation to accept the lowest bid, Dakota County Towing. Concerns were raised by the City Council regarding the qualification and location of Dakota County Towing. Those issues were addressed and presented to the City Council on December 1, 1997. At that same meeting an additional concern was raised regarding the issue of proper Vermillion Township Zoning. That issue was researched and returned to the City Council on February 2, 1998, at which time the City Council awarded the towing contract to Dakota County Towing for a period of one year. The Council also requested that a workshop be scheduled to discuss the whole issue of the City Towing contract. Three items have been identified for discussion. < Location of the business. < Duration of the contract. < Contract language associated with any changes. The towing contract awarded by the City of Farmington is an agreement intended to provide the City with guaranteed towing service for the City organization and its customers, within a reasonable time frame and at a reasonable price. In the past, these issues have been addressed through a competitive bidding process, with the contract awarded to "The Lowest Responsible Bidder". DISCUSSION Location of the business. The City Council have expressed an interest in awarding the contract to local businesses if it is possible to retain competitive prices. Staff review has indicated that there is currently no location properly zoned in the City that allows a towing business as a permitted use. Council should understand that a body shop and work associated with a body shop is different from a "towing business". City records indicate that one local business did apply for a Conditional Use Permit through the Planning Commission to allow for a building to house a towing business. A number of conditions were applied to the Conditional Use Permit, including landscaping and screening. As of this date, none of the conditions of the requested Conditional Use Permit have been met. The building has in fact been removed from the property . At this point, it is the opinion of the Planning staff that the requested Conditional Use Permit is not in effect and that the issue is moot until such time that the owner intends to locate a towing business on the property. In the fmal analysis, the situation remains that there is no location in the City properly zoned for a Towing Business. In order to address this issue the City Council has several options. 1. Direct staff to research and identify zoning! areas appropriate for "Towing Businesses." If the Council decides to provide proper zoning for towing businesses in Farmington it would allow for any interested party to build and maintain such a facility and thereby allow for "competitive, local bidding" for the City contract. 2. Maintain status quo. No properly zoned towing business within the City limits. If Council decides not to pursue the zoning option and still wishes to allow only local businesses to bid, members should recognize that there is the potential for a monopoly. Only one local business is currently in a position to provide this service, subject to Conditional Use requirements. Currently the contract requirement is tow response within twenty minutes of the call. This requirement has served the City well and has been met by both "local" and "out of town" businesses. Staff recommends maintaining this requirement regardless of the option selected. Duration Q/ Contract The current contract language does not specifically address a "Duration" of contract. It has been generally interpreted to be in effect for a period of at least one year or until the bid is requested to be re-opened by an interested party. Due to the nature and total dollar amount involved in this contract, staff recommends specifically defming and extending the duration of the contract. In addition staff recommends that there be specific criteria for re-opening bids. Termination of existing contract by either party, price adjustments, language changes and violations of contract. In Lakeville, there was no specific contract and the service provider is specified by the Police Department for over twenty years. The City just formalized its first contract with its service provider in order to better defme hours of operation. The duration of the Lakeville contract is four years with a "30 day out" clause for either party. In Rosemount, the duration is a minimum of three years and is re-opened only at the recommendation of the Police Chief. It also contains a "30 day out" clause. Staff recommends that Farmington adopt a three year contract with a "30 day out" clause. Language Changes Staff has provided members with copies of the current contract language. For ease of reference recommended changes will be noted by topic and page number. Section IV, Contractor Performance. Subdivision 6, Page 3. Recommend the addition of "Properly zoned" to the description of the storage facility . Section VI, City Vehicles. Recommend deleting the restriction of Police vehicles only and expand this to include all City owned cars and pickups. Section X Recommend the addition of a specific "Duration" section. Remaining sections would be shifted accordingly. Schedule A Recommend changing item 2 under "Towing and Hauling" to read "City owned vehicles less than 1 ton." Recommend changing Item 3 "Specialty Events" to read, " City maintenance or construction and lor as needed by Police Department." Any changes to the Towing Contract will be reviewed by the City Attorney. ACTION REOUESTED Review and discuss the City Towing contract and provide desired direction to staff. Respectfully submitted, ,------, ~ ~.~/,~y~ Daniel M. Siebenaler Chief of Police qb FROM: Mayor, Councilmembers and City Administrator~ Daniel M. Siebenaler Chief of Police TO: SUBJECT: Towing Contract DATE: February 2, 1998 INTRODUCTION Pursuant to action by the Council, the contract for towing services for the City was advertised for competitive bids. According to the City Attorney, once the bids are advertised the City is obligated to accept the lowest responsible bid. Three contractors submitted bids with Dakota County Towing submitting the lowest bid. At the regular City Council meeting of December 1, 1997 staff presented a recommendation, based on bid prices and State Law, that the towing contract for the City of Fannington be awarded to Dakota County Towing. At that meeting the issue of zoning in Vermillion Township was raised as it related to the current location of Dakota County Towing. As a result of those concerns the item was tabled until February 2, 1998. Dakota County Towing was directed to provide evidence of appropriate zoning for their business at that meeting. DISCUSSION In December, 1997 Dakota County Towing approached the Vermillion Township Board and requested a Home Occupation Permit to operate a towing business. Based on concerns raised by the Township Board Ms. Gallagher approached the Farmington planning staff about an appropriately zoned area in the City of Fannington to which she could move her towing business. Planning staff conducted research and learned that the City of Fannington is not zoned for a towing business. This research also raised the question of Blaha Towing operating within the business district of Fannington. Further research revealed that a Conditional Use Permit was granted to Mr. Blaha for the operation of his towing business contingent on the installation of screening and landscaping. As of this date Mr. Blaha has not complied with the contingencies of his Conditional Use Permit. Planning staff has allowed him an extension until May, 1998 to comply with his Conditional Use Permit. Despite the fact that Dakota County Towing is currently unable to locate its impound lot within the City limits of Fannington, the company has obtained office space in the City and is working with Planning staff to address the issue of an impound lot in the City. On January 20, 1998 the Vermillion Township Board passed a resolution that denies a Home Occupation Permit requested by Dakota County Towing. In the same resolution the Board granted Dakota County Towing authorization to conduct the towing business at their current location for a period of one year. At this time, by Resolution of the Township Board, Dakota County Towing is operating a legally authorized business within Vermillion Township and may continue to do so for a period of one year expiring on January 20, 1999. CitlJ. of FarminiJ.ton 325 Oaft Street eFarmingtonlMN55024 e (612) 463-7111eFaJf (612) 463-2591 At this time Dakota County Towing has met the requirements made by the City of Farmington. As shown previously in the attached Bid Tabulation, Dakota County Towing remains the lowest responsible bidder for the City Towing Contract. ACTION REOUESTED Pursuant to State Law regarding the lowest responsible bidder, award the towing contract to Dakota County Towing. In order to avoid future controversy regarding the towing contract, staff recommends a Council workshop to discuss the issue. Due to higher priority issues this workshop could be scheduled for later this year, perhaps June or July. Respectfully submitted, ~/~- Daniel M. Siebenaler Chief of Police City of Farmington T owing Contract Bid Tabulation Bids for the City of Farmington towing contract were advertised for two weeks in local newspapers in accordance with established process. Bids were accepted from responsible contractors through 5:00 PM on Friday, November 7. Bids were opened at that time and tabulated as follows: CONTRACTOR: Blaha's Dakota Marek's TOWINGIHAULING: Special Events (per hr) $40.00 $25.00 $50.00 $2.00 $1.50 $2.00 After 5 After 5 After 10 $25.00 $15. 00 $30,00 $15.00 (1/4 hr) $20.00 (flat) $20.00 (flat) illL..- illL..- $35.00 $40.00 $28.00 $40.00 Base Tow Hauling per loaded mile Dolly Winch Police Vehicles SPECIAL CHARGES: Service calls $20.00 Pull drive shaft $25.00 Unlock N/A Tire change $ 5.00 Release at scene $20,00 Snow shoveling (pr 1/4 hr.) $15.00 Car starting $15.00 Disconnect linkage $25.00 Storage per day $12.00 Administrative fee 00 $20.00 $ 5.00 $20.00 $20.00 $20.00 $ 5,00 $20.00 $ 5.00 $10.00 00 $35.00 $10.00 N/A $35.00 $35.00 $10.00 $35.00 $10.00 $15.00 00 7b FROM: Mayor, Councilmembers and City Administrator~ Daniel M. Siebenaler Chief of Police TO: SUBJECT: Towing Contract DATE: December 1, 1997 INTRODUCTION In mid October 1997 staff received a request from Blaha's Towing to open the municipal Towing Contract to competitive bids. That information was forwarded to the City Council at the regular Council meeting of October 20, 1997. The low bidder was recommended at the regular meeting of November 17, 1997. During that meeting several questions were asked regarding the lowest bidder and the matter was continued to December 1, 1997. DISCUSSION Staff has researched the questions presented by the City Council and other interested parties. 1) The fIrst question concerned the mileage from the City of Farmington to Dakota County Towing. The distance was measured by staff twice at 7.6 miles from Dakota County Towing to the Farmington City limits at Highway 3 and County Rd 66. It is 8.6 miles from Dakota County Towing to Farmington City Hall. A tow from City Hall would therefore be charged for 3.6 miles. 2) The second issue was that of animals in the storage yard. Cattle were in fact kept in the storage yard during part of the Summer months in an effort to control weeds. After concern was raised by a member of the Police Department staff that practice was discontinued in early Autumn. On a recent visit to the yard there were no cattle in the yard and no sign of any having been there. 3) A question was raised concerning the application of the contract pricing to tows. The contract specifIcally states that its purpose is to "assure the provision of service as to type, availability, reputability, accessibility, adequacy and cost thereof." This statement would tend to indicate that all tows initiated by the police department would be covered under contract prices. There is, however another statement that says" This agreement does not involve or control voluntary requests of a private citizen, defmed as 'courtesy' services." While it may be in the interest of the City to clarify this point in future contracts, this statement has been interpreted to include tows from accident scenes allowing vendors to charge fees outside the contract. Invoices from Dakota County Towing indicate that their contract base price applies to all tows and that only the mileage is charged differently, at $2.00 per mile. I have included a cost sheet comparing actual invoice costs from last year to proposed costs by each of the current bidders. Copies of the actual invoices will be available for review at the meeting if so desired. I Citlj. of FarminfJ.ton 4) The fmal issue raised was whether the area of Dakota County Towing is zoned properly. Staff checked with the Clerk for Vermillion Township and learned that all of Vermillion Township is zoned Agricultural and that storage is a permitted use in that zone. The owners of Dakota County Towing have been repeatedly assured by a member of the Vermillion Township Board that they were properly zoned. I requested written verifIcation to that effect. At that point I was informed that there was no written documentation. I was told that the Board knew about Dakota County 325 Oak Street · FarminlJtonl MN 55021, · (612) 1,63-7111 · Fax (612) 1,63-2597 Towing and had discussed it. I was also told that, while the storage is a pennitted use the actual towing and rental business is not a pennitted use. That use would require a Conditional Use Penn it. When the practice was questioned, I was told that it is Township policy not to act on such issues unless there is a complaint. There have been no complaints against Dakota County Towing. At this point, although Vennillion Township has allowed the business to exist, Dakota County Towing is in technical violation. As of this date Vennillion Township has still not provided a copy of their ordinance. Staff has obtained a copy from Dakota County Towing and has now learned that no use, other than agricultural, is pennitted. Board member Jim Rotty told me that there could be a Public Hearing for Conditional Use, but not in time to meet the deadline imposed by the City of Fanning ton of December I and even then, there is no guarantee of success. In response to this infonnation Dakota County Towing has obtained alternate facilities in the Village of Coates. That facility will be used until Dakota County Towing can arrange for a Conditional Use Penn it in Vennillion Township. Since the new facility is located approximately one mile further away, no mileage will be charged for that mile. Staff has been infonned that in the event a Conditional Use Pennit in Vennillion Township is denied, Dakota County Towing will relocate it's business in Fannington. The question of zoning remained a concern in Coates. Documentation has been requested and received concerning proper industrial zoning at the new location. I have discussed the issue of the new location with the City Attorney. The questions being: Does the change in address constitute a material change in Dakota County Towing's bid, thereby removing that company from consideration? Secondly, Can the City of Fannington raise the issue of zoning in a jurisdiction outside its respective authority to invalidate a vendor bid? In this particular case, the vendor has reportedly been in operation with full knowledge of the Township Board. As the zoning is essentially a non-related issue within the city, should it be considered a valid bid criteria? The City Attorney has agreed to research these issues and deliver his opinion at the City Council meeting on December I. ACTION REQUESTED Barring an opinion from the City Attorney to the contrary, pursuant to State Law, the towing contract should be awarded to Dakota County Towing as the lowest responsible bidder. Respectfully submitted, ,~ '\)/3 ~/,~ Q ~_~~!a, Daniel M. Siebenaler Chief of Police City of Farmington T owing Contract Bid Tabulation Bids for the City of Farmington towing contract were advertised for two weeks in local newspapers in accordance with established process. Bids were accepted from responsible contractors through 5:00 PM on Friday, November 7. Bids were opened at that time and tabulated as follows: CONTRACTOR: Blaha's Dakota Marek's TOWINGIHAULING: Special Events (per hr) $40.00 $25.00 $50.00 UOO ll.iQ $2.00 After 5 After 5 After 10 $25.00 $15.00 $30.00 $15.00 (114 hr) $20.00 (flat) $20.00 (flat) ~ ~ $35.00 $40.00 $28.00 $40.00 Base Tow Hauling per loaded mile Dolly Winch Police Vehicles SPECIAL CHARGES: Service calls $20.00 Pull drive shaft $25.00 Unlock HLA Tire change $ 5,00 Release at scene $20.00 Snow shoveling (pr 1/4 hr.) $15.00 Car starting $15.00 Disconnect linkage $25.00 Storage per day $12.00 Administrative fee .Q.Q $20,00 $ 5.00 $20.00 $20.00 $20.00 $ 5.00 $20.00 $ 5.00 $10.00 .ill} $35.00 $10.00 N/A $35.00 $35.00 $10.00 $35.00 $10.00 $15.00 .Q.Q , . .. The following is a list of actual invoices from the most recent contract period compared to prices under proposed bids of all three towing contractors. comparisons are made based on actual services rendered and the assumption that neither Blaha's Towing or Marek's Towing will charge mileage. 1998 Bid Comparisons Actual Proposed Invoice 1997 Dakota Blaha Marek's 1587 $62.30 $62.30 $58.58* $74.55 2053 26.63 26.63 42.60 42.60 2503 47.27 53.68 68.16 85.20 2215 56.70 62.30 68.16 85.20 2662 49.52** 66.56 80.94 101.18 2510 49.52 66.56 80.94 101.18 2522 53.04 59.43 68.16 85.20 3000 62.84 75.62 93.72 117.15 3164 47.93 54.32 68.16 85.20 3241 26.63 26.63 42.60 53.25 3374 54.32 60.71 68.16 85.20 Total $536.70 $614.74 $740.18 $915.91 Cost of Average Tow: $48.79 $55.89 $67.29 $83.26 *Based on assumption that winch would take 15 minutes or less. **Error in addition that benefited customer by $7.00. o 0 . r~'m'~lllt,\ I f~ " J '; ~, It.'; [~ ~l.l. ~ 'J III l / ./6CLCfes s:.eVle'..t litn;+e.J.. ;"dtJ..~t",,'o.L /-97 I'W."If.l7'_"'I:n!tll~IlIlI~, , I flc.r-e. ~.:JIH....J.... lIM,hJ. ;",J...si..;a1" r dJo .... 0, 0.0 I ~. JrfJ'tIfT'v '. ~ ~\t\~.\~ f!Y tY 9 ri'n:l!ClIfi~"!'!ll:iS2~ fl [1 "....""'"....J CITY OF COATES . DAKOTA COUNTY I MINNESOTA :rt::er lir fZ!!l:1'Sm.l!.~Wi'l1i l:<<():( URBAN RESIDENTIAL r:~~~riiri{{t COM MER C IA L .~ INDUSTRIAL I I AGRICULTURAL CONSERVATION O S,.I,lnF,,' CJ [J c:::J 1:::]1:::]1:::] o 400 lIOO 'ZOO 1600, 2QOO PR(PAR(O I' OAKor. COUHTY p\ANNtHO or,',.,...r", JUNll'" ZONING MAP . . . November 24, 1997 TO WHOM IT MAY CONCERN: My name is Robert Johnson and I am the owner of Johnson Welding located at 16295 Clayto~ Avenue, Coates, MN 55068. My phone number is 480-8861. I have agreed with Dakota Towing Inc. to lease to them office facilities and storage facilities at the above address which are suitable and secure (both inside and outside). The storage is within an area which is locked at all times and has a chain link fence at least seven (7) feet in height. I have further agreed with Dakota Towing Inc. that my company will agree to provide necessary accommodations to permit the reclaiming of stored vehicles on the above described premises Monday through Friday from 8:00 a.m. to 5:00 p.m. and by appointment on Saturdays, Sundays and holidays. I have agreed to enter into this agreement with Dakota Towing Inc. in the event it becomes necessary in order to satisfy conditions of the City of Farmington relating to the towing contract with Dakota County Towing n '.. . . 7b TO: Mayor, Councilmembers and City Administrato~ FROM: Daniel M. Siebenaler Chief of Police SUBJECT: Award Towing Contract DATE: November 17, 1997 INTRODUCTION I DISCUSSION Pursuant to City Council action the contract for towing services for the City of Farmington was advertised for competitive bids. Once advertised the City is obligated to accept the lowest responsible bid. Bids were accepted for two weeks with a deadline of 5 :00 PM on November 7, 1997. Bids were opened by staff at 5:00 PM on Friday. Three contractors submitted bids. All bidders were invited to attend the bid opening. The bid tabulation has been attached for Council review. As you can see the low bidder is Dakota County Towing, the City's current towing contractor. This bid will remain in effect for a period of at least one year or until the bid is requested to be re-opened by the current contractor or any other interested party. BUDGET IMP ACT Towing services are included in the budget process and will be unaffected by this contract. ACTION REOUESTED Award towing contract to Dakota Towing. Respectfully submitted, ~/~( Daniel M. Siebenaler Chief of Police CitlJ of FarmintJ.ton 325 Oak Street · FarminiJtonl MN 55024 · (612) 463.7111 · Fax (612) 463.2591 .. .. City of Farmington T owing Contract Bid Tabulation Bids for the City of Farmington towing contract were advertised for two weeks in local newspapers in accordance with established process. Bids were accepted from responsible contractors through 5:00 PM on Friday, November 7. Bids were opened at that time and tabulated as follows: CONTRACTOR: Blaha's Dakota Marek's TOWINGIHAULING: Special Events (per hr) $40.00 $25.00 $50.00 $bOO $1.50 $2.00 After 5 After 5 After 10 $25.00 $15.00 $30.00 $15.00 (114 hr) $20.00 (flat) $20.00 (flat) ~ ~ $35.00 $40. 00 $28.00 $40.00 Base Tow Hauling per loaded mile Dolly Winch Police Vehicles SPECIAL CHARGES: Service calls $20.00 Pull drive shaft $25.00 Unlock N/A Tire change $ 5.00 Release at scene $20.00 Snow shoveling (pr 1/4 hr.) $15.00 Car starting $15.00 Disconnect linkage $25.00 Storage per day $12.00 Administrative fee 00 $20.00 $ 5.00 $20.00 $20.00 $20.00 $ 5.00 $20.00 $ 5.00 $10.00 00 $35.00 $10.00 N/A $35.00 $35.00 $10.00 $35.00 $10.00 $15.00 00