Title:
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REPORT - APPROVAL OF TOW VENDOR FRANCHISEE LIST FOR POLICE-GENERATED TOWS, AND REVISION OF FRANCHISE FEE
BACKGROUND: Prior to 2004, the City contracted with local tow vendors to provide tow services to remove stopped, standing, parked and hazardous vehicles from public streets, roads and private property on a rotating basis.
On July 13, 2004, the City of Santa Rosa adopted Ordinance No. 3674 authorizing the City Council to grant franchises to one or more tow operators for police generated tow services. A $30,000 franchise fee was set and split between 11 franchisees, resulting in a fee of $2,727.
Resolution No. 26291, approved by Council on June 16, 2005, amended the franchise fee to $50,000 per year, divided among the 11 tow franchise operators, resulting in a fee of $4,500.
Currently, there are seven tow operators, resulting in an annual fee of $7,143. Several tow operators have opted out of the program due to the expense of the franchise fee.
California Vehicle Code Section
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