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.
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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