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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 Golden Valley City Code Page 1 of 6 § 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 Golden Valley City Code Page 2 of 6 § 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. Golden Valley City Code Page 3 of 6 § 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. Golden Valley City Code Page 4 of 6 § 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. Golden Valley City Code Page 5 of 6 § 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 Golden Valley City Code Page 6 of 6