Resolution 2020-31525 RESOLUTION NO. 2020-31525
RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, DIRECTING THE CITY ADMINISTRATION TO
USE ALL AVAILABLE MEANS TO ENSURE THAT CREDIT/DEBIT CARDS
ARE ACCEPTED FOR TOWING SERVICES BY CURRENT AND FUTURE
TOWING PERMITTEES.
WHEREAS, Chapter 106 of the City of Miami Beach Code provides for the issuance by
the City of towing permits for the towing of vehicles identified by the City as requiring removal
from public and private property; and
WHEREAS, since at least 1996 -for nearly twenty-five (25)years -- the City Commission
has repeatedly waived competitive bidding requirements, in order to issue towing permits to the
City's two existing towing service providers—Tremont Towing, Inc. and Beach Towing Services,
Inc.; and
WHEREAS,the City's Inspector General("IG")prepared and finalized the report regarding
the towing permit audits of Tremont Towing, Inc. and Beach Towing Services, Inc., on September
24, 2020; and
WHEREAS, currently, the two towing companies operate via towing permits issued on a
month-to-month basis, for up to three (3) months, or until February 28, 2021, to allow the
Administration to thoroughly review and incorporate the IG's recommendations; and
WHEREAS, on October 19, 2020, Miami Beach United ("MBU"), adopted a resolution, a
copy of which is attached as an exhibit to this Resolution, urging the revision of the City of Miami
Beach tow permitting process to ensure transparency and fairness, and identifying specific
recommendations to promote competition for towing services, secure better rates and enhance
customer service for residents and visitors of the City; and
WHEREAS, on November 18, 2020, the Mayor and City Commission adopted Resolution
No. 2020-31507, directing, among other things,for the City Administration to evaluate the October
19, 2020 comments and recommendations made by MBU with respect to towing services, and to
identify recommendations for enhancing competition, including, without limitation, an analysis of:
(1) properties that may be potential candidates for"on-site" storage of impounded vehicles within,
and outside, the City; (2) measures to improve customer service and transparency, including
whether towing company personnel should be required to wear body cameras; (3) logistical or
operational issues associated with the City directly performing towing functions within the City,
should the City elect to do so; and (4) proposed amendments to the City code and/or the
administrative rules and regulations for Police Department and Parking Department towing
permits; and
WHEREAS, among their recommendations, MBU suggested for the City to require that
towing permittees accept credit/debit cards as a method of payment, as cash transactions are
difficult to track and/or audit; and
WHEREAS, a comprehensive report made by the Federal Reserve Bank of San Francisco
revealed that cash payments are third in line of preference, after debit and credit cards
respectively, and that the preference for cash has decreased over the recent years; and
WHEREAS, moreover, the study illustrated that using cash as a payment instrument
decreases significantly based on the purchase amount, from a 49% usage in transactions under
$10 to barely 6% for transactions over$100; and
WHEREAS, the IG report regarding the towing permit audits of Tremont Towing, Inc. and
Beach Towing Services, Inc., dated September 24, 2020,found that three of the fifteen complaints
(20%) examined during the audit period included grievances claiming that the tow companies
accepted only cash payments; and
WHEREAS, the IG's report included a recommendation that the City require both tow
companies to accept debit and/or credit cards as a form of payment; and
WHEREAS, other municipalities have codified such requirement into their municipal codes
— a report by Walker Consultants regarding the maximum allowable towing rates, which was last
revised on December 10, 2018, showed that seven (7) of the nine (9) studied cities and counties
(77.78%) accepted either debit and/or credit cards; and
WHEREAS, the seven (7) cities and counties included Broward County, the City of Key
West, the City of Miami, Monroe County, Pinellas County, Palm Beach County and Tampa, and
the two (2) cities that did not accept either debit and/or credit cards were Daytona Beach and
Panama City Beach; and
WHEREAS, as such, the Mayor and City Commission accept this recommendation by
MBU and direct the City Administration to use all available means to ensure that credit/debit cards
are accepted for towing services by current and future towing permittees.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission hereby direct the City Administration to use all available means to ensure that
credit/debit cards are accepted for towing services by current and future towing permittees.
PASSED and ADOPTED this f day of December, 2020.
ATTEST:
?-4 I ql itriq Dan Gelber, Mayor
Rafael E. Granado, City Clerk
(sponsored by Commissioner Mark Samuelian)
�P `B` ,c'S,,'
APPROVED AS TO
6 FORM & LANGUAGE
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'IHCORPtORA1E o & FOR EXECUTION
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ity Attorney'f(.1‘
Miami Beach United
Tow Permit Resolution
October 19, 2020
Purpose: Miami Beach United recommends the revision of the City of Miami Beach tow
permit to ensure transparency and fairness by allowing for an RFP process that promotes
competition, better rates and enhanced customer service for residents of and visitors to the
City of Miami Beach.
Background: The tow companies have been operating on a month to month basis since
2018. The Commission has been waiting for an independent audit to complete before the
new contract is created. The Inspector General audit was released September 2020.
MBU recommends the following:
Contract Section #/Service Suggested revision Reason/Argument
Description
12 C - Employees of Permittee - Require drug testing of drivers - Ensures safety of residents and
upon request. And require vehicles
random drug testing.
22 A to 22K—Maximum - Eliminate add-on fees and - Fee should be fair and
allowable rates apply a fixed flat fee for all transparent
non-consent tows - Add-on fees are not properly
- Remove these existing documented and can
add-on fees:$6 per mile, $35 sometimes double the actual
Administration, $30 labor,$30 tow charge.
Labor after 30 minutes, $30 - Add-on fees, although
after hours,$30 Notification, deemed as NOT automatic,
$10 over 20' length,$40 are applied across the board
flatbed to all tows.
- Several add-on fees are
duplicated (IG report agrees).
- Several add-on fees are
supposed to be service
included in the base rate (IG
report agrees)..
22 A - Storage Fee - First 8 hours after the - There is no way toverity if the
completion of the tow: no vehicle was stored indoors or
charge. outdoors, andsince the
- Following 24 hours or any part owner has no say in this
thereof is charged per day. decision it's not fair to assess a
- Thereafter, for each charge for a choice made by
additional 24 hours or any the towing company.
part thereof is charged per
day.
- Omit distinction between
indoor/outdoor storage
charges
- Eliminate the.extra charge for
towing of motorcycle/scooter
22 M - Miami Beach Resident - Require resident discount of Currently, resident discount is
Discount 50%for public AND private for public tow only
tow - Require automatic discount
instead of resident having to
ask for it.
- Post discount amount in
Towing Bill of Rights.
- State discount dollar amount
in tow permit.
23 Responsibility for Payment - Require that permittee - An affidavit signed by the
accept credit/debit card as a customer acknowledging the
method of payment. expense andagreeing not to
protest the charge with their
bank could be mandated.for
all credit/debit card
transactions.
- Cash transactions are difficult
to track and/or audit.
29 - Complaints and Disputes - Change from 180 days.to 90 - Vendor violations count only
days when there are (3) vendor
complaints within 180 days,
that's an excessive amount of
time and should be changed
to 90 days instead.
30 - "How's my driving?" - Require a "How's my driving?" - Toensure public safety and
Program sign on all tow trucks that oversight of tow drivers.
includes the tow truck# and . It is common practice for
city complaint telephone# many commercial vehicles
and should be applied to tow
companies due to the nature
of the work they perform
(towing large/heavy vehicles)
24 - Drop fee waiver - Make the drop fee waiver a - The drop fee should be a
requirement instead of just a consistentwaiver andnot an
vendor courtesy arbitrary waiver decided
upon by eachindividual tow
driver.
29 - Complaints and Disputes - Prohibit elected officials from - Elected officials should not
requesting cancellation of have this power as it
tow fees for any individual becomes a perk to dangle
before constituents.And it is a
conflict ofinterest in that
elected official becomes
indebted to the vendor.
RFP Process
- A RFP allows for more
- Put out a RFP for towing competition,ered better rates,
services increased revenue to city
- Allow primary vehicle storage (now only$30 per public tow).
outside Miami Beach - Storage requirement in MB,
coupled with the high cost of
land,makes this requirement
a barrier to entry for any other
potential tow company.
- Cars stored in Miami can be
delivered to Miami Beach by
the tow company itself.
Maybe even delivered to
customer's home
Automated Vehicle Locators - Require Automated Vehicle - This would ensure that the
(AVL) Locators (AVL) on all tow entire time the owner's car is
trucks with the data collected in possession of the tow
to be a public record company, it is accounted for.
- Photo evidence of the hook
up and drop should also be
provided for every tow
- This will ensure that the car is
immediately taken to the
storage lot and that all
documentation on mileage
fees, time in procession,
storage location, etc.is all
properly documented with
proof from the AVL system
Website tracking - Provide website that displays - Since this is public record
all the city (when submitted to the city)
tows/locations/times/costs data in real time should be
etc. made available for
transparency.
Photo Evidence of Infraction - For public tow (aka police - This allows adequate time
tow),require photo evidence ticket cured. Unless vehicle is
of infraction.Adequate time blocking travel lane, blocking
ticketed to cure. fire hydrant, illegal in
handicap spot, or resident
parking permit holder calls in
unable to find a parking spot it
should receive a ticket not a
tow.
Require Signed Authorization - For private tow,require a - This would create-more of a
signed authorization from the complaint driven process and
owner of the lot eliminate much of the spotters
that prey on unsuspecting
owners.
- Greater accountability and
documentation of each and
every tow is essential to
making sure that these
businesses operate with an
enhanced level of customer
service.
Criminal Background Checks - Require that a local and - Currently, the contract reads
national criminal background "provide upon request". And
check be provided to the city only requires a local check.
and the police department.
Not only"upon request".
2020 MBU'Board of-Dtrectors
'Officers
Tanya K.Bhatt.President
Saul'Gross,Treasurer
Ron Sta tmon,Government Affairs
Raquel Pacheco,Marketing•
Hortense De Castro,Recording Secretary
Dtrectors - •
Ryan Barras
Rhea-D'Souza
Gayle Durham
Herb Frank
Jorge Gonzalez
Jack Johnson
Adam Kravitz
Sarah Leddick
Scott Needelman
Kirk Paskal
Sandra Stendel
Resolutions -C7 Q
MIAMI BEACH
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the City Commission
FROM: Raul J.Aguila, City Attorney
DATE: December 9, 2020
SUBJECT:A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, DIRECTING THE CITY ADMINISTRATION
TO USE ALL AVAILABLE MEANS TO ENSURE THAT CREDIT/DEBIT
CARDS ARE ACCEPTED FOR TOWING SERVICES BY CURRENT AND
FUTURE TOWING PERMITTEES.
ANALYSIS
This item was prepared at the request of Commissioner Mark Samuelian.
Applicable Area
Citywide
Is this a"Residents Right Does this item utilize G.Q.
to Know" item, pursuant to Bond Funds?
City Code Section 2-14?
No No
Legislative Tracking
Office of the City Attorney
Sponsor
Commissioner Mark Samuelian
ATTACHMENTS:
Description
❑ Resolution
❑ Exhibit
Page 242 of 1707
Miami Beach United
Tow Permit Resolution
October 19, 2020
Purpose: Miami Beach United recommends the revision of the City of Miami Beach tow
permit to ensure transparency and fairness by allowing for an RFP process that promotes
competition, better rates and enhanced customer service for residents of and visitors to the
City of Miami Beach.
Background: The tow companies have been operating on a month to month basis since
2018. The Commission has been waiting for an independent audit to complete before the
new contract is created. The Inspector General audit was released September 2020.
MBU recommends the following:
Contract Section #/Service Suggested revision Reason/Argument
Description
12 C - Employees of Permittee - Require drug testing of drivers - Ensures safety of residents and
upon request. And require vehicles
random drug testing.
22 A to 22K-Maximum - Eliminate add-on fees and - Fee should be fair and
allowable rates apply a fixed flat fee for all transparent
non-consent tows - Add-on fees ore not properly
- Remove these existing documented and can
add-on fees:$6 per mile, $35 sometimes double the actual
Administration,$30 labor. $30 tow charge.
Labor after 30 minutes, $30 - Add-on fees, although
after hours,$30 Notification, deemed as NOT automatic,
$10 over 20' length, $40 ore applied across the board
flatbed to all tows.
- Several add-on fees are
duplicated (10 report agrees).
- Several odd-on fees are
supposed to be service
included in the base rate (IG
report agrees).
22 A - Storage, - First 8 hours after the - There is no way to verity if the
completion of the tow: no vehicle was stored indoors or
charge. outdoors, and since the
- Following 24 hours or any part owner has no say in this
thereof is charged per day. decision it's not fair to assess a
- Thereafter, for each charge for a choice made by
additional 24 hours or any the towing company.
part thereof is charged per
day.
Page 245 of 1707
- Omit distinction between
indoor/outdoor storage
charges
- Eliminate the extra charge for
towing of motorcycle/scooter
22 M - Miami Beach Resident - Require resident discount of - Currently,resident discount is
Discount 50%for public AND private for public tow only
tow - Require automatic discount
instead of resident having to
ask for it.
- Post discount amount in
Towing Bill of Rights.
- State discount dollar amount
in tow permit.
23 - Responsibility for Payment - Require that permittee - An affidavit signed by the
accept credit/debit card as a customer acknowledging the
method of payment. expense and agreeing not to
protest the charge with their
bank could be mandated for
all credit/debit card
transactions.
- Cash transactions ore difficult
to track and/or audit.
29 - Complaints and Disputes - Change from 180 days to 90 - Vendor violations count only
days when there are (3) vendor
complaints within 180 days,
that's an excessive amount of
time and should be changed
to 90 days instead.
30 - "How's my driving?" - Require a "How's my driving?" - To ensure public safety and
Program sign on all tow trucks that oversight of tow drivers.
includes the tow truck# and - It is common practice for
city complaint telephone# many commercial vehicles
and should be applied to tow
companies due to the nature
of the work they perform
(towing large/heavy vehicles)
24 - Drop fee waiver - Make the drop fee waiver a - The drop fee should be a
requirement instead of just a consistent waiver and not an
vendor courtesy arbitrary waiver decided
upon by each individual tow
driver.
29 - Complaints and Disputes - Prohibit elected officials from - Elected officials should not
requesting cancellation of have this power as it
tow fees for any individual becomes a perk to dangle
before constituents. And it is a
conflict of interest in that
Page 246 of 1707
elected official becomes
indebted to the vendor.
RFP Process
- A RFP allows for more
- Put out a RFP for towing competition,end better rates,
services increased revenue to city
- Allow primary vehicle storage (now only$30 per public tow).
outside Miami Beach - Storage requirement in MB,
coupled with the high cost of
land. makel this requirement
a barrier to entry for any other
potential tow company.
- Cars stored in Miami can be
delivered to Miami Beach by
the tow company itself.
Maybe even delivered to
customer's home
Automated Vehicle Locators - Require Automated Vehicle - This would ensure that the
(AVL) Locators (AVL) on oll tow entire time the owner's car is
trucks with the data collected in possession of the tow
to be a public record compony, it is accounted for.
- Photo evidence of the hook
up and drop should also be
provided for every tow
- This will ensure that the car is
immediately taken to the
storage lot and that all
documentation on mileage
tees, time in procession,
storage location, etc.is all
properly documented with
proof from the AVL system
Website tracking - Provide website that displays - Since this is public record
all the city (when submitted to the city)
tows/locations/times/costs data in real time should be
etc. made available for
transparency.
Photo Evidence of Infraction - For public tow (ako police - This allows adequate time
tow),require photo evidence ticket cured. Unless vehicle is
of infraction. Adequate time blocking travel lone, blocking
ticketed to cure. fire hydrant. illegal in
handicap spot, or resident
parking permit holder calls in
unable to find a parking spot it
should receive a ticket not a
tow.
Page 247 of 1707
Require Signed Authorization - For private tow, require a - This would create more of a
signed authorization from the complaint driven process and
owner of the lot eliminate much of the spotters
that prey on unsuspecting
owners.
- Greater accountability and
documentation of each and
every tow is essential to
making sure that these
businesses operate with an
enhanced level of customer
service.
Criminal Background Checks - Require that a local and - Currently. the contract reads
national criminal background "provide upon request". And
check be provided to the city only requires o local check.
and the police department.
Not only"upon request".
7020IMW load el Oliedess
OMs:us
Tanya K.!half,President
Soul Gross,Yew*
Ron Ste:Amon.Government Attain
Raquel Pacheco.Malasling
Hateme De Castro.Recording Secretary
Obeekin
Ryan Boras
Rhea D'Som
Gayle Den
Hue Wast
Jap Games
Jock Johnson
Adan KIXFAZ
Sada Led**
ScottNeedernon
lilt Nodes!
Sondra Mendel
Page 248 of 1707
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