10.71 - Towing Contractor and Impounding Regulations § 10.71
Section lo.71: Towing Contractor and
Impounding Regulations
Subdivision 1. Removal and Impounding of Vehicles
Whenever any vehicle, whether occupied or not and whether damaged or not, is
found abandoned on public or private property, or is found stopped, standing, or
parked in violation of the provisions of the City Code, or is reported stolen, or is
found impeding fire fighting, snow removal, or the orderly flow of traffic, or is
determined or believed by the Police Department to have been involved in the
commission of any crime, the City Manager, any police officer, or other duly
authorized person may immediately order it to be removed and impounded in the
manner hereinafter provided, and it shall be surrendered to the duly identified
owner thereof by the towing contractor only upon payment of the fees hereinafter
provided, which are declared to be the vehicle pound fees covering the same. The
City Manager, any police officer, or any other duly authorized person shall have the
further authority to place upon any such vehicle a tag or identification card marked:
"Police Hold - Do not release this vehicle without the permission of the Golden
Valley Police Department", which tag shall be left upon said vehicle, conspicuously
displayed and the conditions thereof obeyed by all persons, until such time as its
release is authorized in accordance with the terms of this Section. In addition such
tag shall contain such other information as is required under the terms of this
Section.
Subdivision 2. Bids for Towing Contractors
The City Manager may negotiate or advertise for bids by persons desiring to act as
towing contractor for vehicles impounded and the Council may by motion or
resolution accept the bid of one or more bidders as official towing contractors of the
City.
Subdivision 3. Contract and Bond
Contracts shall be entered into in writing for a period not exceeding three years
which shall set forth that the towing contractor agrees to indemnify and hold the
City harmless from any and all claims arising out of said towing and impounding
operations and which shall also set forth the fees to be paid and the services to be
rendered by such contractors. The City may, but need not, provide in any such
written contract for the leasing of space on City property to the towing contractor
for the operation of the storage area; provided, however, that any such agreement
for lease must provide for a reasonable rental reimbursing the City for its costs
relating to the property thus leased and must further provide that the towing
contractor shall be solely liable for and on all matters relating to the operation of
said storage area as between the parties thereto. No person shall act as towing
contractor for the City before entering into such a written contract with the City and
filing with the City Clerk a bond in the sum of ten thousand ($10,000.00) dollars
with corporate surety, conditioned upon: (1) the proper handling and safekeeping
of impounded vehicles, accessories, and personal property during the period of
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§ 10.71
impounding prior to delivery thereof to the City or the owner; (2) reimbursement to
the City and owners for damage to or loss thereof; (3) guarantee of payment to the
City for fees due the City under the contract; and, (4) guaranteeing the
performance of said contract. Such bond shall be approved by the City Attorney as
to form and execution and shall be in addition to any such liability insurance
coverage as the City might require as evidence of the ability of the towing
contractor to provide indemnification as hereinabove set forth and as is required by
this Section.
Subdivision 4. Taking Possession, Towing and Release
The towing contractor shall take immediate possession of any vehicle duly ordered
impounded and shall tow such vehicle to the impounding place. No such vehicle
shall be released without authorization by the City Manager or Chief of Police.
Subdivision 5. Towing and Storage Charges
The towing and storage charges in connection with the impounding of any vehicle
shall not exceed the amount agreed upon in any current contract between the City
and a duly appointed towing contractor, a true and correct copy of which contract
shall be on file in the office of the City Manager or his/her designee and in the office
of the City Clerk for public inspection and reference. The said charges shall include
a per vehicle charge for clerical and administrative expenses of the City as set forth
in the current contract and any such per vehicle rental fee due the City as may be
specified in the current contract with the towing contractor in the event that the
contractor is leasing vehicle storage space from the City. The sums due the City for
each vehicle, collected as aforesaid, shall be paid by the towing contractor to the
City on or before the 10th day of each month.
Subdivision 6. Charge When Owner Appears Before Towing
Charges when owner appears before towing shall be specified in the current
contract.
Subdivision 7. Tow Truck Operator to Have Identification Certificate
The Chief of Police and the towing contractor under contract with the City shall
jointly see to and require that every tow truck operator answering a request by the
Police Department for the towing and impounding of any vehicle shall have in
possession a true identification certificate, issued by the City Manager. No person
shall act as a tow truck operator in answering any request from the Police
Department for the towing of any vehicle to be impounded without having in
possession such identification certificate herein provided for, and such tow truck
operator shall exhibit such identification card to the owner of the vehicle or the
agent of the owner upon request therefor and shall truthfully answer any proper
questions pertaining to the impounding of the vehicle.
Subdivision 8. Towing Contractor to Notify Owner
The towing contractor shall give notice of the impounding of such vehicle to the
owner of such vehicle as shown by the records of the State, by telephone
immediately upon the receipt of such vehicle, if possible, and if it is not possible
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§ 10.71
shall notify the owner by registered letter mailed within twenty-four (24) hours
after the receipt thereof.
Subdivision 9. Storage of Impounded Vehicles
Any vehicle directed to be impounded as herein provided, from the time it is taken
possession of by the towing contractor and during the time it is impounded, and
until the same is released to the owner as herein provided, shall be considered to
be in the custody of the law, and no work shall be done thereon by the towing
contractor, nor shall such contractor permit anyone to do any work thereon except
the impounding and storage thereof by the employee or agent of such contractor,
until such car has been released to the owner as herein provided. All such cars
when ordered released to the owner shall be without other charge than the
impounding and storage fees herein provided. The towing contractor during the
time the vehicle is impounded shall not permit the owner or any other person to
take or remove from the vehicle any part or parts or change or repair any part or
parts. All vehicles which have been involved in criminal proceedings, and which are
designated by the Police Department as being held for that reason, shall be held
and stored in inside garages if the Police Department so directs the towing
contractor. Vehicles impounded for other reasons may be stored in inside garages
or on designated parking lots.
Subdivision 10. Release Form
At the time of return of the vehicle the towing contractor shall release the same by
authority of a release in writing which shall state the date of such release together
with the charges enumerated thereon and the purpose for which such charges were
made. Such release shall be made in one original and three (3) copies, all of which
shall be signed by the towing contractor and the person to whom such release is
made and shall bear upon them the necessary approval of the City Manager or
Police Department as required by this Section. The towing contractor shall retain
the original of such release and shall deliver one copy thereof to the owner of the
vehicle and two copies to the Police Department. Of such two (2) copies the Police
Department shall deliver one (1) to the City Treasurer.
Subdivision 11. Damaged Vehicles
The towing contractor shall not solicit, directly or indirectly, the impounding or
towing of cars under this Section. If any vehicle, whether occupied or not, is found
upon the streets of the City in such a damaged condition as a result of accident or
disrepair that it cannot be driven, and is so located as to constitute an obstruction
of the street, the same may be ordered impounded by the Police Department;
provided, that if the owner or operator thereof has requested, or does request, that
such vehicle be towed to any garage other than the towing contractor, and provided
that the said owner shall advance to the towing contractor a sum equal to the
impounding fees necessary under this Section to cover the cost of towing, neither
the towing contractor nor the Police Department, nor anyone else, shall order such
vehicle to be impounded in any public pound unless the Police Department
considers possession of such is necessary in the prosecution of any person for
violation of law.
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§ 10.71
Subdivision 12. Vehicles to be Tagged
Any unoccupied vehicle or damaged car ordered impounded by the Police
Department shall immediately be tagged by the Police Department, which tag shall
show the disposition of the car ordered by said Police Department, and the reason
for which impounded.
Subdivision 13. Sale of Vehicle Where Owner Cannot be Identified
If any such vehicle is found or recovered under circumstances which do not give the
Police Department or the towing contractor knowledge or means of inquiry as to the
true owner thereof the same shall be deemed abandoned and the Police
Department shall immediately report such facts in writing to the City Manager. If
the Manager is of the opinion that the value of such vehicle justifies the giving of
published notice of sale and public auction of such vehicle, the Manager shall give
notice and sell such vehicle as abandoned personal property at such public auction,
depositing the proceeds of said sale with the City Treasurer. If the Manager is of
the opinion that the value of such vehicle does not justify sale in such manner, the
Manager shall summarily sell such vehicle, depositing the proceeds of such sale
with the City Treasurer. Such proceeds shall be placed in the General Fund of the
City subject to the right of the former owners to payment of the net sales price
(after deduction of the impounding fees and the expense of such sale) from the
Fund upon application and satisfactory proof of ownership within six months from
such sale. Any vehicle not claimed by the person given notice of impounding in
accordance with the terms of Subdivision 8 of this Section within six (6) months of
the date of such a notice given by registered mail shall likewise be deemed
abandoned and thereafter sold or disposed of in the same manner as is set forth
above with respect to vehicles as to which the owner cannot be identified or
located.
Subdivision 14. Report of Police Officer
Any police officer or other authorized person directing the impounding of any
unoccupied or damaged vehicle shall prepare a written report of the description of
such vehicle, which report shall, among other things, include the following: make of
car; license number; serial number; number of tires; tools and other separate
articles of personal property; general description of the car with regard to condition,
damaged parts, and such other information as may be necessary to describe
adequately the vehicle and property delivered to the towing contractor. A copy of
such report, signed by the officer or officers, shall be delivered to the towing
contractor at the time of impounding. The towing contractor shall receipt for such
report, and shall check such report, and the signature thereon of such contractor
shall be considered a receipt for the vehicle and property described in said report.
The original and one copy of said report, and towing contractor's receipt shall be
filed in the Police Department. The Police Department shall deliver one of said
copies to the City Treasurer.
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§ 10.71
Subdivision 15. Insurance
A. The towing contractor must at its own expense obtain and continue in full
force and effect at all times during the term of the towing contract the
following insurance coverage:
1. Comprehensive general liability insurance insuring against liability for
bodily injury or death or basic economic loss in the sum of two hundred
thousand ($200,000.00) dollars for any one person, and in the sum of five
hundred thousand ($500,000.00) dollars for two (2) or more persons for
the same occurrence, and for damages to property in the sum of one
hundred thousand ($100,000.00) dollars;
2. All of the above required automobile liability and property damage
insurance and basic economic loss benefits/Personal Injury Protection
Endorsements, ("PIP"), shall also include coverage for non-owned and
hired vehicles in the same minimum amounts as for comprehensive
general liability coverage as stated above;
3. Worker's compensation insurance and employer's liability insurance as
required by law;
4. Fire, theft, and other loss coverage of at least one hundred thousand
($100,000.00) dollars and garage keeper's liability coverage of at least
fifty thousand ($50,000.00) dollars.
B. The City shall be named as an additional insured in these policies, which shall
provide that the coverage may not be terminated or changed by the insurer
except upon ten (10) days' written notice to the City Clerk. Failure to comply
with the provisions of this Subdivision shall automatically suspend the towing
contract until the insurance has been reinstated. All endorsements shall apply
to both bodily injury or death and property damage Overages.
C. Prior to the commencement of the towing contract the contractor shall
furnish the City certificates or copies of these policies of insurance reflecting
that the same are in full current force and effect, and these certificates
and/or policy copies shall be reviewed and approved by the City Clerk for
compliance with this Section. No policy shall contain any provisions for
exclusions from liability other than provisions for exclusion from liability
forming part of the standard basic unamended and unendorsed form of
policy, except that in no event will any exclusion be permitted if the same
conflicts with the coverage expressly required in this contract. In addition, no
policies required hereunder shall contain any exclusion for bodily injury to or
for the sickness, disease, or death of any employee of the contractor which
would conflict with or in any way impair coverage under the contractual
liability endorsement of the contractor pursuant to this agreement.
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§ 10.71
D. Compliance by the contractor with the foregoing requirements to carry
insurance and furnish certificates thereof shall not relieve the towing
contractor from any liability assumed under or pursuant to any provision of
this contract.
Source: City Code
Effective Date: 6-30-88
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