HomeMy WebLinkAboutContract 51239 �J
CITY"E7'ARY -' G
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S�epF�°����P�� CITY OF FORT WORTH AGREEMENT
FOR TOWING MANAGEMENT,LOGISTICS,
AND TECHNOLOGY SERVICES WITH TEGSCO, LLC
This Agreement for Towing Management, Logistics, and Technology Services (referred to
herein as the "Agreement") is made and entered into on this the I J*i4l day of September, 2018,
by and between the City of Fort Worth, Texas, a home-rule municipality located in the state of
Texas (referred to herein as "City"), and TEGSCO, LLC, whose address is 450 7h Street, San
Francisco, California 94103 (referred to herein as "AutoReturn"). This Agreement supersedes
and replaces any previous agreement between the named parties, whether oral or written, and
whether or not established by custom and practice. The parties shall be referred to individually as
"party" and collectively as "parties."
RECITALS:
WHEREAS, the City occasionally requires Police-Initiated and Police-Purpose Tow
services and such services are necessary to protect the safety of the citizens of the City of Fort
Worth; and
WHEREAS, the City identified needed improvements in record keeping, dispatch
management, and contract management in order to gain efficiencies and carry out its lawful
pursuits; and
WHEREAS, the City released Request for Proposals 18-0233 to receive and review
proposals on how the City's towing management systems and processes could be improved; and
WHEREAS, the City determined that AutoReturn presented the best value to the City;
and
WHEREAS, City Council approved an Agreement with AutoReturn on September 11,
2018,through Mayor and Council Communication?la@jt ; and
WHEREAS, the parties believe that this Agreement will achieve the City's goals of
increasing efficiency in towing services for police-initiated and police-purpose tows within the
City, protecting the welfare of Fort Worth citizens, and provide excellent customer service for
citizens whose cars are towed within the City.
NOW,THEREFORE,WITNESSETH:
That for and in consideration of the mutual promises contained herein, the parties
mutually agree as follows:
LOIDEFINITIONS
1. Agreement shall mean this mutually binding legal contract between City and
City of Fort Worth Agreement for Towing Management, OFFICIAL RECORD
Logistics,and Technology Services with TEGSCO,LLC CITY SECRETARY 1 of 45
FT.WORTH, TI 4
AutoReturn, as described in section 3.01, below, whereby AutoReturn is obligated to
provide specified services and perform specified obligations, and City is obligated to
perform specified obligations.
2. City shall mean the City of Fort Worth, Texas.
3. AutoReturn shall include all employees, its agents or representatives of
AutoReturn.
4. Force Majeure means acts of God, strikes, lockouts, or other industrial
disturbances, acts of the public enemy, orders of any kind from the government of the United
States or the State of Texas or any civil or military authority, insurrections, riots, epidemics,
landslides, lightning, earthquakes, fires, hurricanes, storms, floods, restraint of the government
and the people, civil disturbances, explosions, or other causes not reasonably within the control
of the party claiming such inability.
5. Services means work performed by AutoReturn to comply with promised
delivery of specific technology, performance of certain administrative functions, and technical
assistance specified herein and more fully described in Exhibit A.
6. Police-initiated Tows means all tows initiated pursuant to this agreement that are
requested by a City police officer for the purpose of removal of an abandoned, disabled,junked,
or wrecked vehicle from a public roadway that is to be taken to a vehicle storage facility other
than the City auto pound.
7. Police-purpose Tow means all tows initiated pursuant to this agreement that are
requested by a City police officer for the purpose of the removal of a vehicle and placement at
the City auto pound for a law enforcement purpose.
2.01 EFFECTIVE DATE, DURATION,AND TERM
1. This Agreement shall be effective upon execution by both parties and shall remain
in full force and effect unless and until it expires by operation of the term stated herein, including
any renewal periods if exercised by the City, or until terminated.
2. The initial term of this Agreement shall expire on September 30, 2019, and there
shall be up to four (4) one-year options to renew at the City's sole discretion. Renewal options
may be exercised by written notice from the City to AutoReturn.
3.01 AGREEMENT DOCUMENTS AND EXHIBITS
The Agreement shall include this document and the following exhibits, which are
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC 2 of 45
attached hereto and incorporated herein for all purposes:
a. Exhibit A: Scope of Work
b. Exhibit B: Approved Fees
c. Exhibit C: City Towing List Procedures
d. Exhibit D: Required Terms for any subcontracts
e. Exhibit E: Verification of Signature Authority Form
f. Exhibit F: Implementation Timeline
These documents, including any documents incorporated by reference into any Exhibit,
shall comprise the "Agreement." In the event of conflict between this document and any exhibit
attached hereto, this document shall control.
4.01 SCOPE OF WORK
AutoReturn shall satisfactorily complete all services described in the Scope of Work,
Exhibit"A"and in accordance with the Implementation Schedule, Exhibit"F."
This Agreement shall evidence the entire understanding and agreement between the
parties and shall supersede any prior proposals, correspondence or discussions.
AutoReturn shall satisfactorily provide all deliverables and services described in the
Agreement. A change in the Scope of Work or any term of this Agreement must be negotiated
and agreed to in all relevant details in writing and signed by the authorized representative of both
parties.
5.01 COMPENSATION
AutoReturn shall manage through its proprietary software all police-initiated and police-
purpose tows, amongst other duties discussed in Exhibit A. In consideration for its services, for
the duration of this Agreement, AutoReturn shall have the right to collect a Dispatch Fee as
follows:
1. Police-Initiated Tows. AutoReturn shall receive a dispatch fee of twenty-two dollars
($22.00) for each police-initiated tow performed in connection with this Agreement
from the subcontractor who performs the police-initiated tow. AutoRetum's
subcontractors shall be authorized to charge the owner/operator who claims the
vehicle the full dispatch fee listed in Exhibit B, in addition to the authorized tow fees
and storage and impound fees, as applicable. AutoReturn shall not receive any portion
of any tow, impound, or storage fees.
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC 3 of 45
2. Police-Purpose Tows. The City shall pay AutoReturn the authorized towing fees, as
listed in Exhibit B, for each police-purpose performed in connection with this
Agreement. AutoReturn shall remit the towing fees paid by City to the subcontractor
who performed the Police-Purpose tow in accor'ance with AutoReturn's
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subcontracts, AutoReturn shall not retain any portion of any tow fee paid from the Qt
City to AutoReturn. There shall be no dispatch fee collected on police-purpose tows performed in connection with this Agreement unless the owner/operator reclaiming
the vehicle is also required to pay the authorized towing fee. AutoReturn understands
that not all Police-Purpose Tows will require that the owner/operator pay the
authorized tow fee. For each Police-Purpose Tow for which the owner/operator is
required to pay the authorized tow fee, the City shall charge the $25 dispatch fee to
the owner/operator. The City shall remit the $25 dollars of the collected dispatch fees
to AutoReturn on a monthly basis.
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3. Except for the dispatch fees paid in accordance with subsections (A) and (B-) above, n
AutoReturn shall not be paid any other fee, cost, or payment for services rendered inY.I'
connection with this Agreement. AutoReturn shall not itself or allow any �` Qt�rn
subcontractor to charge any fee not listed in Exhibit B or charge an amount that
exceeds the amount set in Exhibit B.
6.01 GRATUITIES AND BRIBES
City may, by written notice to AutoReturn, cancel this Agreement without liability of any
kind to AutoReturn, if it is determined by City that gratuities or bribes in the form of
entertainment, gifts, or otherwise, were solicited or received by AutoReturn or its agents or
representatives, other than independent contractors, with respect to the performance of this
Agreement. In addition, AutoReturn may be subject to penalties stated in Title 8 of the Texas
Penal Code.
7.01 CITY'S REPRESENTATIVE
City hereby designates the following representative authorized to act on its behalf with
regard to this Agreement for the limited purpose of communicating and transmitting data as
required by this Agreement; the person holding the title below shall not be able to bind the City
in any contractual matter. The default method of providing information and communication shall
be by the email address included below.
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC 4 of 45
Kimberley Dees
Towing Liaison-Auto Pound
City of Fort Worth Impound
2500 Brennan Street
Fort Worth, Texas 76106
(817) 392-5951
zz—CPD—Tow-ImpoundServices@fortworthtexas.gov
Any claim or notice related to performance or continuation of this Agreement shall be sent to the
persons listed in section 15.01.
8.01 INSURANCE
AutoReturn shall maintain insurance from insurers acceptable to City of the following
types and amounts:
Commercial General Liability
$500,000 each occurrence
$500,000 aggregate
or
Garage Liability
$500,000 each accident, other than auto
$500,000 aggregate
Automobile Liability
$1,000,000 each accident, combined single limit
This coverage shall include all vehicles owned, if any, or non-owned that are operating under
AutoReturn's operating authority performing services under this Agreement.
Cargo/On-Hook
$50,000 per unit
Coverage shall include both the unit being towed and its contents. Units covered shall include
but not be limited to motor vehicles, trailers and boats. Coverage shall be written on a direct
primary basis. Cargo/On-Hook coverage shall only be required in the event that AutoReturn
owns any tow trucks used to perform services in connection with this Agreement.
Garagekeeper's Liability
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO;LLC 5 of 45
$30,000 per unit
Garagekeeper's Liability coverage shall only be required in the event that AutoReturn owns any
impound or storage lot used to perform services in connection with this Agreement.
Worker's Compensation/Accident Insurance
Coverage shall meet the minimum requirements of state law, as contained in the Motor Carrier
Rules and Regulations.
AutoReturn shall maintain insurance coverage at all times. Current insurance certificates
shall remain on file with the City during the term of this Agreement. It is the responsibility of
AutoReturn to submit updated insurance to the City. Insurance coverage may, at the sole
discretion of the City, be revised upward by a reasonable amount upon thirty (30) calendar days
prior written notice to AutoReturn. Policies shall be endorsed as follows:
1) The City, its officers, employees and servants shall be endorsed as an additional
insured on all policies except employer's liability insurance coverage under the
workers' compensation insurance policy.
2) Certificates of insurance shall be delivered to the Program Support Division, 505
W. Felix Street, Fort Worth, Texas 75115, prior to any work being performed
under this Agreement.
3) Any failure on part of the City to request required insurance documentation shall
not constitute a waiver of the insurance requirements specified herein.
4) Each insurance policy shall be endorsed to provide the City a minimum thirty(30)
calendar day notice of cancellation, non-renewal, and/or material change in policy
terms or coverage. A ten (10) calendar day notice shall be acceptable in the event
of non-payment of premium.
5) Insurers must be authorized to do business in the State of Texas and have a
current A.M. Best rating of A: VII or equivalent measure of financial strength and
solvency.
6) Deductible limits, or self-funded retention limits, on each policy must not exceed
$10,000.00 per occurrence unless otherwise approved by the City.
7) Other than worker's compensation insurance, in lieu of traditional insurance, City
may consider alternative coverage or risk treatment measures through insurance
pools or risk retention groups. The City must approve, in writing, any alternative
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC 6 of 45
coverage.
8) Worker's compensation insurance policy(s) covering employees shall be endorsed
with a waiver of subrogation providing rights of recovery in favor of the City.
9) City shall not be responsible for the direct payment of insurance premium costs.
10) Insurance policies shall each be endorsed to provide that such insurance is
primary protection and any self-funded or commercial coverage maintained by
City shall not be called upon to contribute to loss recovery.
11) AutoReturn shall report, in a timely manner, to the point of contact included
above of any known loss occurrence that could give rise to a liability claim or
lawsuit or that could result in a property loss.
12) AutoReturn's liability shall not be limited to the specified amounts of insurance
required herein.
13) Upon the request of City, AutoReturn shall provide complete copies of all
insurance policies required by these Agreement documents.
In the event a state or federal law, rule or regulation pertaining to wrecker service
companies operating within the State of Texas exceed insurance requirements specified herein,
such state or federal law, rule or regulation shall prevail for the respective type of insurance
coverage and/or limit thereof.
9.01 RIGHT TO ASSURANCE
Whenever either party to this Agreement, in good faith, has reason to question the other
party's intent to perform hereunder, then demand may be made to the other party for written
assurance of the intent to perform. In the event that no written assurance is given within the
reasonable time specified when demand is made, then and in that event the demanding party may
treat such failure as an anticipatory repudiation of this Agreement.
10.01 DEFAULT
AutoRetum shall be declared in default of this Agreement if it does any of the following:
A. Fails to fully, timely and faithfully perform any of its material obligations
under this Agreement;
B. Fails to provide adequate assurance of performance under the "Right to
Assurance" section herein; or
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC 7 of 45
C. Becomes insolvent or seeks relief under the bankruptcy laws of the United
States.
11.01 TERMINATION AND SUSPENSION
1. City has the right to terminate this Agreement, in whole or in part, for
convenience, without cause and without any liability to AutoReturn, at any time
upon thirty (30) days' written notice to AutoReturn.
2. In the event no funds or insufficient funds are appropriated by City in any fiscal
period for any payments due hereunder, City will notify AutoReturn of such
occurrence and this Agreement shall terminate on the last day of the fiscal period
for which appropriations were received without penalty or expense to City of any
kind whatsoever, except as to the portions of the payments herein agreed upon for
which funds have been appropriated.
3. In the event of any default by AutoReturn, City has the right to terminate this
Agreement for cause, upon ten (10) days' written notice to AutoReturn.
4. AutoReturn has the right to terminate this Agreement only for cause with sixty
(60) days written notice, that being in the event of a material and substantial
breach by City, or by mutual agreement to terminate evidenced in writing by and
between the parties.
5. In the event City terminates under subsections O, (;�, or (z) of this section, the
following shall apply: Upon City's delivery of the referenced notice to
AutoReturn, AutoReturn shall discontinue all services in connection with the
performance of this Agreement. The City shall only be liable to AutoReturn for
any fees, as listed in Exhibit B for services described in Exhibit A that were
actually rendered prior to the date of termination.
6. Upon termination of this Agreement for any reason or expiration, AutoReturn
shall provide City access to all information created, maintained, assembled, or
prepared in connection with this Agreement for a period of not less than sixty (60)
days without charge whatsoever to the City. In the event AutoReturn has received
access to City Information or data as a requirement to perform services hereunder,
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Logistics,and Technology Services with TEGSCO,LLC 8 of 45
AutoReturn shall return all City provided data to City in a machine readable
format or other format deemed acceptable to City.
12.01 INDEMNIFICATION
LIABILITY- A UTORETURN SHALL BE LIABLE AND RESPONSIBLE FOR ANY AND
ALL PROPERTY LOSS, PROPERTY DAMAGE AND/OR PERSONAL INJURY,
INCL UDING DEATH, TO ANY AND ALL PERSONS, OF ANY%IND OR CHARACTER,
WHETHER REAL OR ASSERTED, TO THE EXTENT CAUSED BY THE NEGLIGENT
ACT(S) OR OMISSION(S), MALFEASANCE OR INTENTIONAL MISCONDUCT OF
AUTORETURN,ITS OFFICERS,AGENTS,SERVANTS OR EMPLOYEES.
GENERAL INDEMNIFICATION - AUTORETURN HEREBY COVENANTS AND
AGREES TO INDEMNIFY, HOLD HARMLESS AND DEFEND CITY, ITS OFFICERS,
AGENTS, SERVANTS AND EMPLOYEES, FROMAND AGAINST ANYAND ALL THIRD
PARTY CLAIMS OR LAWSUITS OFANYKIND OR CHARACTER, WHETHER REAL OR
ASSERTED, FOR EITHER PROPERTY DAMAGE OR LOSS (INCLUDING ALLEGED
DAMAGE OR LOSS TO AUTORETURN'S BUSINESS AND ANY RESULTING LOST
PROFITS) AND/OR PERSONAL INJURY, INCLUDING DEATH, TO ANY AND ALL
PERSONS, ARISING OUT OF OR IN CONNECTION WITH THIS AGREEMENT, TO
THE EXTENT CAUSED BY THE NEGLIGENT ACTS OR OMISSIONS OR
MALFEASANCE OF AUTORETURN, ITS OFFICERS, AGENTS, SERVANTS OR
EMPLOYEES.
Nothing contained herein shall be construed to be a waiver by City of any right of protection that it
enjoys under applicable State or Federal law.
12.02 ENVIRONMENTAL INDEMNIFICATION
AUTORETURN DOES HEREBY RELEASE, INDEMNIFY, REIMBURSE, DEFEND,
AND HOLD HARMLESS THE CITY OF FORT WORTH AND ALL PARTICIPATING
CITIES, THEIR OFFICERS,AGENTS AND EMPLOYEES FROM AND AGAINST ANY
AND ALL ENVIRONMENTAL RELEASES AND/OR DAMAGES AND THE
VIOLATION OF ANY AND ALL ENVIRONMENTAL REQUIREMENTS RESULTING
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Logistics,and Technology Services with TEGSCO,LLC 9 of 45
FROM THE HANDLING, COLLECTION, TRANSPORTATION, STORAGE,
DISPOSAL, TREATMENT, RECOVERY, AND/OR REUSE, BY ANY PERSON, OF
HAZARDOUS WASTE WHEN SAID ENVIRONMENTAL DAMAGES OR THE
VIOLATION OF SAID ENVIRONMENTAL REQUIREMENTS WERE THE RESULT
OF ANY ACT OR OMISSION OF AUTORETURN, ITS OFFICERS, AGENTS,
EMPLOYEES, OR SUBCONTRACTORS, OR THE JOINT ACT OR OMISSION OF
AUTORETURN, ITS OFFICERS, AGENTS, EMPLOYEES, OR SUBCONTRACTORS
AND ANY OTHER PERSON OR ENTITY.
12.03 INTELLECTUAL PROPERTY INDEMNIFICATION AUTORETURN AGREES
TO DEFEND, SETTLE, OR PAY, AT ITS OWN COST AND EXPENSE, ANY CLAIM
OR ACTION AGAINST CITY FOR INFRINGEMENT OF ANY PATENT,
COPYRIGHT, TRADE MARK, TRADE SECRET, OR SIMILAR PROPERTY RIGHT
ARISING FROM CITY'S USE OF THE SOFTWARE AND/OR DOCUMENTATION IN
ACCORDANCE WITH THIS AGREEMENT, IT BEING UNDERSTOOD THAT THIS
AGREEMENT TO DEFEND, SETTLE OR PAY SHALL NOT APPLY IF CITY
MODIFIES OR MISUSES THE SOFTWARE AND/OR DOCUMENTATION. SO LONG
AS AUTORETURN BEARS THE COST AND EXPENSE OF PAYMENT FOR CLAIMS
OR ACTIONS AGAINST CITY PURSUANT TO THIS SECTION, AUTORETURN
SHALL HAVE THE RIGHT TO CONDUCT THE DEFENSE OF ANY SUCH CLAIM
OR ACTION AND ALL NEGOTIATIONS FOR ITS SETTLEMENT OR
COMPROMISE AND TO SETTLE OR COMPROMISE ANY SUCH CLAIM;
HOWEVER, CITY SHALL HAVE THE RIGHT TO FULLY PARTICIPATE IN ANY
AND ALL SUCH SETTLEMENT, NEGOTIATIONS, OR LAWSUIT AS NECESSARY
TO PROTECT CITY'S INTEREST, AND CITY AGREES TO COOPERATE WITH
AUTORETURN IN DOING SO. IN THE EVENT CITY, FOR WHATEVER REASON,
ASSUMES THE RESPONSIBILITY FOR PAYMENT OF COSTS AND EXPENSES FOR
ANY CLAIM OR ACTION BROUGHT AGAINST CITY FOR INFRINGEMENT
ARISING UNDER THIS AGREEMENT, CITY SHALL HAVE THE SOLE RIGHT TO
CONDUCT THE DEFENSE OF ANY SUCH CLAIM OR ACTION AND ALL
NEGOTIATIONS FOR ITS SETTLEMENT OR COMPROMISE AND TO SETTLE OR
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC 10 of 45
COMPROMISE ANY SUCH CLAIM; HOWEVER, AUTORETURN SHALL FULLY
PARTICIPATE AND COOPERATE WITH CITY IN DEFENSE OF SUCH CLAIM OR
ACTION. CITY AGREES TO GIVE AUTORETURN TIMELY WRITTEN NOTICE OF
ANY SUCH CLAIM OR ACTION, WITH COPIES OF ALL PAPERS CITY MAY
RECEIVE RELATING THERETO. NOTWITHSTANDING THE FOREGOING, CITY'S
ASSUMPTION OF PAYMENT OF COSTS OR EXPENSES SHALL NOT ELIMINATE
AUTORETURN'S DUTY TO INDEMNIFY CITY UNDER THIS AGREEMENT. IF THE
SOFTWARE AND/OR DOCUMENTATION OR ANY PART THEREOF IS HELD TO
INFRINGE AND THE USE THEREOF IS ENJOINED OR RESTRAINED OR, IF AS A
RESULT OF A SETTLEMENT OR COMPROMISE, SUCH USE IS MATERIALLY
ADVERSELY RESTRICTED, AUTORETURN SHALL, AT ITS OWN EXPENSE AND
AS CITY'S SOLE REMEDY, EITHER: (A) PROCURE FOR CITY THE RIGHT TO
CONTINUE TO USE THE SOFTWARE AND/OR DOCUMENTATION; OR (B)
MODIFY THE SOFTWARE AND/OR DOCUMENTATION TO MAKE IT NON-
INFRINGING, PROVIDED THAT SUCH MODIFICATION DOES NOT MATERIALLY
ADVERSELY AFFECT CITY'S AUTHORIZED USE OF THE SOFTWARE AND/OR
DOCUMENTATION; OR (C) REPLACE THE SOFTWARE AND/OR
DOCUMENTATION WITH EQUALLY SUITABLE, COMPATIBLE, AND
FUNCTIONALLY EQUIVALENT NON-INFRINGING SOFTWARE AND/OR
DOCUMENTATION AT NO ADDITIONAL CHARGE TO CITY; OR (D) IF NONE OF
THE FOREGOING ALTERNATIVES IS REASONABLY AVAILABLE TO
AUTORETURN TERMINATE THIS AGREEMENT, AND REFUND ALL AMOUNTS
PAID TO AUTORETURN BY CITY, SUBSEQUENT TO WHICH TERMINATION
CITY MAY SEEK ANY AND ALL REMEDIES AVAILABLE TO CITY UNDER LAW.
12.04 WARRANTY
AutoReturn warrants that it understands the currently known hazards and suspected hazards
which are presented to persons, property and the environment by hazardous waste. AutoReturn
further warrants that it and its officers, agents, employees, and subcontractors will perform all
services under this Agreement in a safe, efficient and lawful manner using industry accepted
practices, and in full compliance with all applicable state and federal laws governing its activities
and is under no restraint or order which would prohibit performance of services under this
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Agreement. Approval by the City shall not constitute or be deemed to be a release of the
responsibility and liability of AutoReturn, or its officers, agents, employees, or subcontractors, for
the accuracy and competency of their services provided under the Agreement.
Environmental Damages means all claims, judgments, damages, losses, penalties, fines,
liabilities (including strict liability), encumbrances, liens costs, and expenses of investigation and
defense of any claim, whether or not such claim is ultimately defeated, and of any good faith
settlement of judgment, of whatever kind or nature, contingent or otherwise, matured or unmatured,
foreseeable or unforeseeable, including without limitation reasonable attorney's fees and
disbursements and consultant's fees, any of which are incurred as a result of the handling, collection,
transportation, storage, disposal, treatment, recovery, and/or recycling of hazardous waste pursuant
to this Agreement, or the existence of a violation of environmental requirements pertaining to same,
and including without limitation:
1. Damages for personal injury and death, or injury to property or natural resources;
2. Fees incurred for the services of attorneys, consultants, contractors, experts,
laboratories and all other costs incurred in connection with the investigation or
remediation of such hazardous wastes or violation of environmental requirements
including, but not limited to, the preparation of any feasibility studies or reports of
the performance of any cleanup, remediation, removal, response, abatement,
containment, closure, restoration or monitoring work required by any federal, state
or local governmental agency or political subdivision, or otherwise expended in
connection with the existence of such monitoring wells or violations or
environmental requirements, and including without limitation any attorney's fees,
costs and expenses incurred in enforcing this Agreement or collecting any sums due
hereunder; and
3. Liability to any third person or governmental agency to indemnify such person or
agency for costs expended in connection with the items referenced in
"Environmental Requirements." Environmental Requirements shall mean all
applicable present and future statutes, regulations, rules, ordinances, codes, licenses,
permits, orders, approvals,plans, authorizations, concessions, franchises, and similar
items, of all governmental agencies, departments, commissions, boards, bureaus, or
instrumentalities of the United States, states, and political subdivisions thereof and
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Logistics,and Technology Services with TEGSCO,LLC 12 of 45
all applicable judicial, administrative, and regulatory decrees,judgments, and orders
relating to the protection of human health or the environment, including without
limitation:
a. All requirements, including, but not limited to, those pertaining to reporting,
licensing, permitting, investigation, and remediation of emissions, discharges,
releases, or threatened releases of hazardous materials, pollutants, contaminants
or hazardous or toxic substances, materials, or wastes whether solid, liquid, or
gaseous in nature, into the air, surface water, groundwater, storm water, or land,
or relating to the manufacture, processing, distribution, use, treatment, storage,
disposal, transport, or handling of pollutants, contaminants, or hazardous or toxic
substances, materials, or wastes,whether solid, liquid, or gaseous in nature; and
b. All requirements pertaining to the protection of the health and safety of
employees and/or the public.
13.01 COMPLIANCE WITH LAWS, CHARTER AND ORDINANCES
1. This Agreement is to be construed, governed and enforced under all applicable
Texas and federal law and all City ordinances.
2. AutoRetun, its agents, employees and subcontractors shall use reasonable efforts
to comply with all applicable federal and state laws, the Charter and Ordinances
of the City of Fort Worth, as amended, and with all applicable rules and
regulations promulgated by local, state and national boards, bureaus and agencies.
If AutoReturn is notified by City in writing that it or any subcontractor is in
violation of any applicable law, ordinance, rule or regulation, AutoReturn shall
immediately take steps to become compliant or require the subcontract to comply
with the law, ordinance, rule or regulation at issue.
3. In accordance with Chapter 2270, Texas Government Code, a governmental entity
may not enter into a contract with a company for goods or services unless the
contract contains written verification from the company that it: (1) does not
boycott Israel; and (2) will not boycott Israel and will not boycott Israel during the
term of this Agreement. The signatory executing this Agreement on behalf of
AutoReturn verifies AutoReturn does not boycott Israel and will not boycott
Israel during the term of this Agreement.
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Logistics,and Technology Services with TEGSCO,LLC 13 of 45
4. AutoReturn shall verify the identity and employment eligibility of its employees
who perform work under this Agreement, including completing the Employment
Eligibility Verification Form (I-9). AutoReturn shall adhere to all Federal and
State laws as well as establish appropriate procedures and controls so that no
services will be performed by any AutoReturn employee who is not legally
eligible to perform such services. AUTORETURN SHALL INDEMNIFY
CITY AND HOLD CITY HARMLESS FROM ANY PENALTIES,
LIABILITIES, OR LOSSES DUE TO VIOLATIONS OF THIS
PARAGRAPH BY AUTORETURN, AUTORETURN'S EMPLOYEES,
SUBS, AGENTS, OR LICENSEES. City, upon written notice to AutoReturn,
shall have the right to immediately terminate this Agreement for violations of this
provision by AutoReturn.
5. AutoReturn, for itself, its personal representatives, assigns, subcontractors and
successors in interest, as part of the consideration herein, agrees that in the
performance of AutoReturn's duties and obligations hereunder, it shall not
discriminate in the treatment or employment of any individual or group of
individuals on any basis prohibited by law. IF ANY CLAIM ARISES FROM
AN ALLEGED VIOLATION OF THIS NON-DISCRIMINATION
COVENANT BY AUTORETURN, ITS PERSONAL REPRESENTATIVES,
ASSIGNS, SUBCONTRACTORS OR SUCCESSORS IN INTEREST,
AUTORETURN AGREES TO ASSUME SUCH LIABILITY AND TO
INDEMNIFY AND DEFEND CITY AND HOLD CITY HARMLESS FROM
SUCH CLAIM.
14.01 ASSIGNMENT AND DELEGATION
The parties each hereby bind themselves, their successors, assigns and legal
representatives to each other with respect to the terms of this Agreement. AutoReturn shall be
required to offer a subcontract for towing services to any qualified towing companies who are
added to the City's list of approved tow providers for Police-Initiated Tows, Police-Purpose
Tows, or both, in accordance with the procedures in Exhibit C. AutoReturn shall provide the City
a fully executed copy of each subcontract executed in connection with this Agreement. No other
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC 14 of 45
rights, duties, or obligations may be assigned or subcontracted by either party without the prior
expressed written consent of the other party.
15.01 NOTICES
All notices and other communications in connection with this Agreement shall be in
writing and shall be considered given as follows:
1. When delivered personally to the recipient's address as stated in this Agreement;
or
2. Three (3) days after being deposited in the United States mail, with postage
prepaid to the recipient's address as stated in this Agreement.
Notice to AutoReturn:
TEGSCO, LLC
4507 th Street
San Francisco, California 94103
Notice to City:
City of Fort Worth
Attn: Jesus Chapa, Assistant City Manager
200 Texas Street
Fort Worth,TX 76102-6314
Facsimile: (817) 392-8654
With copy to Fort Worth City Attorney's Office at same address
16.01 VENUE
The parties to this Agreement agree and covenant that this Agreement will be enforceable
in Fort Worth, Texas; and that if legal action is necessary to enforce this Agreement, exclusive
venue will lie in the state courts located in Tarrant County, Texas or in the United States District
Court for the Northern District of Texas, Fort Worth Division.
17.01 EXCLUSIVE AGREEMENT
This document, and all appended documents, constitutes the entire Agreement between
AutoReturn and the City. This Agreement may only be amended or supplemented by mutual
agreement of the parties hereto in writing, duly authorized by action of the City Manager or City
Council.
18.01 SEVERABILITY
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC 15 of 45
The invalidity, illegality, or unenforceability of any provision of this Agreement or the
occurrence of any event rendering any portion or provision of this Agreement void shall in no
way affect the validity or enforceability of any other portion or provision of this Agreement. Any
void provision shall be deemed severed from this Agreement, and the balance of this Agreement
shall be construed and enforced as if this Agreement did not contain the particular portion or
provision held to be void. The parties further agree to meet in good faith to attempt to amend this
Agreement to replace any stricken provision with a valid provision that comes as close as
possible to the intent of the stricken provision. The provisions of this section shall not prevent
this entire Agreement from being void should a provision which is of the essence of this
Agreement be determined void.
19.01 CHANGE IN COMPANY NAME OR OWNERSHIP
AutoReturn shall notify the City's Purchasing Manager, in writing, of a company name,
ownership, or address change for the purpose of maintaining updated City records. The president
of AutoReturn or authorized official must sign the letter. A letter indicating changes in a
company name or ownership must be accompanied with supporting legal documentation such as
an updated W-9, documents filed with the state indicating such change, copy of the board of
director's resolution approving the action, or an executed merger or acquisition agreement.
Failure to do so may adversely impact future invoice payments.
20.01 MISCELLANEOUS PROVISIONS
Standard of Care. AutoReturn represents that it employs trained, experienced and
competent persons to perform all of the services, responsibilities and duties specified herein and
that such services, responsibilities and duties shall be performed in a manner according to
generally accepted industry practices.
Time is of the Essence. AutoReturn understands and agrees that time is of the essence
and that any failure of AutoReturn to fulfill obligations for each portion of this Agreement within
the agreed timeframes will constitute a material breach of this Agreement. AutoReturn shall be
fully responsible for its delays or for failures to use commercially reasonable efforts in
accordance with the terms of this Agreement. Where damage is caused to City due to
AutoReturn's failure to perform in these circumstances, City may pursue any remedy available
City of Fort Worth Agreement for Towing Management,
Logistics, and Technology Services with TEGSCO,LLC 16 of 45
without waiver of any of City's additional legal rights or remedies.
Force Majeure. Neither City nor AutoReturn shall be deemed in violation of this
Agreement if it is prevented from performing any of its obligations hereunder by reasons for
which it is not responsible as defined herein. However, notice of such impediment or delay in
performance must be timely given and all reasonable efforts undertaken to mitigate its effects.
Multiple Counterparts. This Agreement may be executed in multiple counterparts, any
one of which shall be considered an original of this document; and all of which, when taken
together, shall constitute one and the same instrument.
Confidentiality. AutoReturn acknowledges that City is a governmental entity and is
subject to the Texas Public Information Act ("Act"). By executing this agreement, AutoReturn
acknowledges that this agreement will be publicly available on the City's website, and
AutoReturn is therefore waiving any claim of confidentiality, whether based in statute or the
common law, to any and all materials contained as part of this agreement including all
documents and information referenced herein or attached hereto. Except for Autolketurn's
proprietary software, City shall own all reports, information, and data collected, maintained,
assembled, and stored in connection with this Agreement.
Governmental Powers. It is understood and agreed that by execution of this Agreement,
City does not waive or surrender any of its governmental powers or immunities.
No Waiver. The failure of City or AutoReturn to insist upon the performance of any term
or provision of this Agreement or to exercise any right granted herein shall not constitute a
waiver of City's or Autolketurn's respective right to insist upon appropriate performance or to
assert any such right on any future occasion.
Headings Not Controlling. Headings and titles used in this Agreement are for reference
purposes only, shall not be deemed a part of this Agreement, and are not intended to define or
limit the scope of any provision of this Agreement.
Review of Counsel. The parties acknowledge that each party and its counsel have
reviewed and revised this Agreement and that the normal rules of construction to the effect that
any ambiguities are to be resolved against the drafting party shall not be employed in the
interpretation of this Agreement or any Exhibit attached hereto.
Right to Audit. AutoReturn agrees that City shall, until the expiration of three(3) years
after final payment under this Agreement, or the final conclusion of any audit commenced during
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC 17 of 45
the said three years, have access to and the right to examine at reasonable times any directly
pertinent books, documents, papers and records, including, but not limited to, all electronic
records, of AutoReturn involving transactions relating to this Agreement at no additional cost to
City. AutoReturn agrees that City shall have access during normal working hours to all necessary
AutoRetum's facilities and shall be provided adequate and appropriate work space in order to
conduct audits in compliance with the provisions of this section. City shall give AutoReturn
reasonable advance notice of intended audits.
21.01 REQUIRED TERMS FOR ANY SUBCONTRACTOR
The City shall maintain a list in accordance with Exhibit C of any qualified tow
companies to whom AutoReturn must offer a subcontract to perform towing services in
connection with either police-initiated tows, police-purpose tows, or both. AutoReturn shall
include the provisions included in Exhibit D in each of its subcontracts with the companies
maintained on the City's list. No amendment or modification to the provision included in Exhibit
D may be made without the prior written consent of the City.
22.01 INDEPENDENT CONTRACTOR
It is understood and agreed by the parties hereto that AutoRetum shall perform all work
and services hereunder as an independent contractor, and not as an officer, agent, servant or
employee of the City. Except as expressly stated otherwise herein, AutoReturn shall have
exclusive control of and the exclusive right to control the details of the work or service to be
performed hereunder, and all persons performing same on behalf of AutoRetum, and shall be
solely responsible for the acts and omissions of its officers, agents, servants, employees,
contractors, subcontractors, licensees and invitees. The doctrine of respondeat superior shall not
apply as between the City and AutoRetum, its officers, agents, servants, employees, contractors
and subcontractors, and nothing herein shall be construed as creating a partnership or joint
venture between the parties hereto.
23.01 CITY TAXES
AutoRetum shall not become delinquent in the payment of any taxes due to City or any
governing body or agency due in connection with this Agreement.
24.01 DISCLOSURE OF CONFLICTS AND CONFIDENTIAL INFORMATION
1. Disclosure of Conflicts. AutoReturn hereby warrants to City that AutoReturn has
made full disclosure in writing of any existing or potential conflicts of interest related to
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC 18 of 45
AutoRetum's services under this Agreement. In the event that any conflicts of interest arise after
the Effective Date of this Agreement, AutoReturn hereby agrees immediately to make full
disclosure to City in writing.
2. Confidential Information. AutoRetum, for itself and its officers, agents and
employees, agrees that it shall treat all information provided to it by City("City Information") as
confidential and shall not disclose any such information to a third party without the prior written
approval of City.
3. Unauthorized Access. AutoReturn shall store and maintain City Information in a
secure manner and shall not allow unauthorized users to access, modify, delete or otherwise
corrupt City Information in any way. AutoReturn shall notify City immediately if the security or
integrity of any City Information has been compromised or is believed to have been
compromised, in which event, AutoRetum shall, in good faith, use all commercially reasonable
efforts to cooperate with City in identifying what information has been accessed by unauthorized
means and shall fully cooperate with City to protect such City Information from further
unauthorized disclosure.
25.01 SIGNATURE AUTHORITY
The person signing this Agreement hereby warrants that he/she has the legal authority to
execute this Agreement on behalf of the respective party, and that such binding authority has
been granted by proper order, resolution, ordinance or other authorization of the entity. This
Agreement and any amendment hereto, may be executed by any authorized representative of
AutoReturn whose name,title and signature is affixed on the Verification of Signature Authority
Form, which is attached hereto as Exhibit "E". Each parry is fully entitled to rely on these
warranties and representations in entering into this Agreement or any amendment hereto.
26.01 ELECTRONIC SIGNATURE
This Agreement may be executed in multiple counterparts, each of which shall be an original and
all of which shall constitute one and the same instrument. A facsimile copy or computer image,
such as a PDF or tiff image, or a signature, shall be treated as and shall have the same effect as
an original.
[Signatures Appear on the Following Page]
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC 19 of 45
IN WITNESS WHEREOF, the parties hereto have executed this Agreement in
multiples this 11,14—day of September, 2018.
ACCEPTED AND AGREED:
CITY OF FORT WORTH:
CONTRACT COMPLIANCE MANAGER:
By signing I acknowledge that I am the person
responsible for the monitoring and
By: — � administration of this contract, including
Name: Jesus Chapa ensuring all performance and reporting
Title: Assistant City Manager requirements.
Date: pri
APPROVAL RECOMMENDED: By:
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Title: Towing Liaison-Auto Pound
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OFFICIAL RECORD
City of Fort Worth Agreement for Towing Management, CITY SECRETARY
Logistics,and Technology Services with TEGSCO,LLC 20 of 45
FT.WORTH,TX
EXHIBIT A
SCOPE OF WORK
In accordance with the timeline included in Exhibit F, AutoReturn shall provide the following
services:
A. Software for Records Management System
1. AutoReturn shall provide the full capabilities of its proprietary software, AutoReturn
Integrated Enterprise System ("ARIES"), and support services that can be accessed by
towing companies, the City of Fort Worth, and affected motorists at all times 365 days a
year. These capabilities are more fully described in AutoReturn's proposal received in
response to the City's RFP, which is incorporated by reference into this Scope of Work
for all purposes.
2. AutoReturn shall work with City to integrate the dispatching system back to police
onboard computers, thereby enabling dispatch directly from City vehicles or devices used
in the field.
3. AutoReturn shall work with City and City IT staff to integrate with existing computer
aided solutions (CAD)/ Tri-Tech Software Solutions to provide access to people or
vehicles queried to import data in reporting/dispatching systems.
4. AutoReturn's dispatch system and website shall be operational seven days per week,
twenty-four hours per day, three hundred sixty-five days per year except for regular
maintenance periods. City shall be notified of scheduled maintenance in advance and no
maintenance period shall take place longer than fifteen (15) minutes without prior written
consent of the City's point of contact listed in the Agreement. AutoReturn shall provide
online and live telephone customer support for motorists to locate and retrieve their
vehicles.
5. AutoReturn shall ensure the reports shall be available electronically via automated
system and downloadable in Microsoft Excel, Portable Document Format (PDF), or other
format as agreed to by both parties. The reports shall provide the following information:
a. Accounting and Financial Records- Fees collected from the owners, agents, and
any person having rightful possession of the vehicles hauled, impounded, and/or
stored in accordance with this Agreement is the responsibility of AutoReturn.
AutoReturn shall maintain detailed records of such and these records shall be
available to the City for inspection.
b. Customer Service Reports- AutoReturn shall provide City with a bi-weekly
detailed report listing any escalated customer complaints and the status of the
complaint.
c. Towing Program Reports- AutoReturn shall provide monthly reports to City for
the towing programs. Information requirements shall include at a minimum:
I) Tow truck reporting to the scene
2) Employees operating the tow truck
3) Date/Time for acceptance of the tow request
4) Date/Time for arrival on scene
5) Date/Time for departure of scene
6) Vehicle make, model, year, color, body style
7) Vehicle Identification Number (VIN)
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 21 of 45
8) License Plate
9) Tow truck cancellations
10)Tow truck passes on tow requests
11)Quantity of tows per company
12)Number of days a vehicle is stored at a VSF or city Impound
13)Information related to auctions, such as date of auction
6. AutoReturn shall ensure that photographs and videos documenting the condition of a
towed vehicle shall be suitably indexed and maintained for a minimum of one year after
the release of the vehicle or its sale at auction.
7. AutoReturn shall ensure the system shall be searchable to locate towed vehicles using
any of the following criteria: 1) vehicle identification number, 2) Incident number, 3)
license plate number, or 4) vehicle owner's name, when available.
8. AutoReturn shall maintain a comprehensive impound and release database. The database
shall include data on numbers of tows by type that can be downloaded for user-selected
time periods, and shall track total storage times per vehicle. The database shall be
configured to allow sorting on variables including the impound status of vehicles at all
VSF's and the City impound lot, dates of arrival, release, auction, and identifying
information on vehicles and owners. A monthly report shall be provided to City by the
tenth (10th) of each month in a generally accepted format such as Excel or Comma-
separated values (CSV) upon Agreement award and execution. The database shall include
at least the following information for each vehicle processed:
1) Make, model, year, color, body style
2) Vehicle Identification Number
3) License Plate
4) Owners name, driver's license number, date of birth, address, and telephone
number
5) Digital images documenting the condition of the vehicle
6) Location vehicle was picked up
7) Date- year, month, day, and time of impoundment
8) User Identification of individual performing impounds and release functions
9) Date- year, month, day, and time of release
10)Identification of impounding tow truck operator
11)Identification of officer or City employee requesting the tow
12)Description or inventory of all unsecured property in the vehicle or truck bed
13)Vehicles sold at auction, including auction date, buyers name, and sales price
14)Vehicles scheduled for sale at next auction and auction date
15)Offense report or incident number
9. AutoReturn shall participate in City meetings and other communications, whether written,
electronic, or by phone, as requested.
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 22 of 45
10. AutoReturn shall be able to manage the reporting of Private Property Tows and
Impounds within the City of Fort Worth. City should be able to search and review Private
Property Tows and Impounds at any time using the website provided by AutoReturn. City
should be able to search using one or more the following criteria: 1) vehicle identification
number, 2) incident number 3) license plate number, and 4) vehicle owner's name, when
available.
11. AutoReturn shall collect all registration documents from nonconsent tow companies
operating within the corporate limits of the City of Fort Worth. AutoReturn shall send a
report to the City on a weekly basis so long as at least one nonconsent tow company has
submitted paperwork to register to perform nonconsent tows within the City during that
week. The report shall include the name and contact information for each company and
the date the documents were received. The report shall be available in a format that is
compatible with City databases, which shall be determined during the implementation
phase described in Exhibit F.
B. Dispatch and Dispatch methods
1. AutoReturn shall provide automated web-based systems capable of dispatch and
inventory that is presently in use in State, County, or City Municipalities with
over 500,000 individuals within their jurisdiction. The system shall allow multiple
users within the City to access the information simultaneously.
2. The system shall be able to send and receive data through multiple
communication channels as needed, but not limited to, computer, phone, and
wireless devices based on Android and IOS platform.
3. The system shall be an encrypted secure system that allows multiple security
levels for multiple users.
4. The system should be able to track and verify location and time utilizing a real
time Global Positioning System (GPS) available from smart phone or similar
mobile computer device. This will enable AutoReturn and City to track vehicles
and wreckers while in service.
5. The system should provide real time location and tracking of tow trucks and shall
be viewable by City through the AutoRetum's website application.
6. The system shall be able to dispatch tow trucks in various ways, including
rotational, zone, GPS-closest proximity basis, and a hybrid of these options. City
reserves the right to change the dispatch methodology at any time to ensure that
the City's goals are being accomplished. Any change in dispatch methodology
will be made in writing. City will create and furnish a map of towing zones to
AutoReturn if a zone dispatch method is chosen. City will provide updated zone
maps, as needed.
7. City will be able to enter a tow request into the AutoReturn's system, which will
take over and dispatch the appropriate tow operator given the applicable dispatch
method. The system shall dispatch tow request immediately upon receipt of pick-
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 23 of 45
up order via the communication system. Thereafter, AutoReturn shall monitor the
progress until the tow is complete.
8. The system shall be able to select an alternate tow truck for dispatch, if the
primary tow truck is unable to meet the required timeframe.
9. The system shall be able to locate towed vehicles by one or more of the following
criteria: 1) vehicle identification number, 2) incident number, 3) license plate
number, and/or 4) vehicle owner's name, when available.
10. The goal response times to be used in any dispatch methodology not based on
closest tow truck to the incident are as follows:
a. for light duty and medium duty tows—twenty(20) minutes or below
b. For heavy duty tows—thirty-five (35) minutes or below
C. Towing Services/Subcontracts
1. Towing ProLrams
a. City shall maintain a list of all qualified towing companies that were qualified
through the RFP process. AutoReturn may request that additional qualified
towing companies be added to perform police-initiated tows in accordance with
the procedure outlined in Exhibit C. Once the towing subcontracts are executed,
AutoReturn shall notify City of any performance issues or disputes arise between
AutoReturn and any of the tow companies on the approved towing list in
accordance with the procedures outlined in Exhibit C. AutoReturn shall
immediately notify the City if it becomes aware that a tow company no longer
meets the qualifications required to be on the City's approved tow provider lists,
as outlined in Exhibit C.
b. For performance, service standards, compliance, customer service, and other
similar issues the Chief of Police or his/her City-employed designee will have
final authority to remove or suspend a subcontracted tow provider. This decision
will be made in accordance with the process included in Exhibit C.
s . However, AutoReturn
will notify the Chief of Police or his designee of the dispute as soon as practical.
d. AutoRetum shall ensure that all subcontractors comply with all state, federal, and
local requirements.
e. AutoReturn shall ensure that all subcontractors notify the City of any tow appeal
hearings within twenty four(24) hours of the subcontractor receiving notice.
f. AutoReturn or its designee shall perform all annual inspections of tow trucks and
vehicle storage facilities used in connection with this Agreement. AutoReturn
shall send a report to the City on a weekly basis so long as at least one inspection
of a tow truck or vehicle storage facility is performed during that week. The
report shall include the name and contact information for each company or facility
and the date the documents were received. The report shall be available in a
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 24 of 45
format that is compatible with City databases, which shall be determined during
the implementation phase described in Exhibit F.
2. Tow Truck Equipment, Service and Training
a. Tow trucks and towing companies shall meet all equipment and personnel licensing
and permitting laws, rules, ordinances, and regulations applicable to and governing
tow trucks, tow operators, and vehicle storage facilities. This may include, but is not
limited to the: Texas Occupations Code, Texas Administrative Code, Texas
Transportation Code, Texas Department of Licensing and Regulation, City of Fort
Worth Code of Ordinances, and all applicable towing rules. AutoReturn shall
maintain and submit, upon request by City, a copy of required licenses and permits.
b. AutoReturn shall provide annual Incident Management training to all tow providers
providing service to the City. All tow providers shall be Incident Management
certified in order to perform tows for the Fort Worth Police Department.
c. AutoReturn shall provide other training to contracted tow providers annually to
improve service delivery standards and safety.
d. AutoReturn shall provide a sufficient number of tow trucks to perform all
light/medium duty towing calls for service expected to number approximately
19,000-23,000 annually.
e. AutoReturn shall provide a sufficient number of tow trucks to perform all heavy duty
towing call for service expected to number approximately 1,000 annually.
f. AutoReturn shall inspect all equipment used to perform towing services in connection
with this Agreement on an annual basis, as required by City ordinance, to ensure
equipment is safe, functional, and includes all necessary/required items and
identification.
g. AutoReturn shall ensure all subcontracted tow providers are registered annually to
perform tows in the City of Fort Worth as required by City Ordinance.
3. Towing Subcontractor Fee Collection
a. AutoReturn or subcontracted towing provider shall collect when a vehicle is released,
all monies including applicable taxes, due against the vehicle. No subcontractor shall
charge a fee not authorized or a fee in excess of the authorized amount included in
Exhibit B.
b. In addition to the towing and impound and storage fees authorized for collection in
accordance with Exhibit B, an additional $25 dispatch fee for each police-initiated
tow will be collected by the towing company when the vehicle is reclaimed by the
owner/operator.
c. AutoReturn is authorized to require towing subcontractors to remit twenty-two ($22)
dollars per Police-Initiated Tow that subcontractor completes in connection with this
Agreement on a periodic basis to AutoReturn.
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 25 of 45
D. Agreement Closeout Procedures
AutoRetum shall provide the City with an itemized written inventory of all vehicles which
remain unclaimed as of the expiration of this Agreement. The inventory shall be provided no
later than thirty (30) days after the expiration date of the Agreement. The inventory shall
include the date of impoundment, vehicle year, make and model, description of the vehicle,
vehicle identification number, and name and address of legal owner of record, if available.
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 26 of 45
EXHIBIT B
APPROVED FEES
Authorized Fees for Police-Initiated and Police-Purpose Tows
Tow-Light Duty $150 first tow truck
$150 second tow truck*
Tow-Medium Duty $150 first tow truck
$150 second tow truck*
Tow-Heavy Duty $250 per hour first truck
2 hour minimum
$250 per hour second truck*
2 hour minimum
Extra Time-Light or Medium Duty $100 per hour charged in 15 minute increments*
Extra Time- Heavy Duty $250 per hour charged in 15 minutes increments*
Tow provider rents equipment Reimbursed plus 15%*
Air Cushions-Regular $150 per hour
After 1"hour, billing in 15 minute increments
Air Cushions-Tanker $400 per hour
After 1't hour, billing in 15 minute increments
Tractor-Tilt Hydraulic Tail-Lowboy-Other $350 per hour-
specialized equip. 2 hour minimum
After 2nd hour, billing in 15 minute increments
Rotator Wrecker $500 per hour-
2 hour minimum
After 2"d hour, billing in 15 minute increments
Extra employee $20/per hour*
4 hour minimum charge
Use of a dolly $0
Mileage $0**
Fuel charges/surcharges $0
Clean up and debris removal $0
Travel time $0
Authorized Dispatch fee for Police-Initiated Tows
Dispatch Fee 1 $25
Authorized Miscellaneous Fees
Impound/Storage and related fees In accordance with state law
* With Police supervisor's written approval.
** City acknowledges that, if a vehicle owner requests a vehicle be towed outside of the
corporate limits of the City, an additional mileage fee may apply, but responsibility for such
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 27 of 45
payment shall not lie with the City. There shall be no mileage fee for any Police Initiated Tow
that is taken to a contracted tow provider's facility or the City's auto pound.
No contractor or subcontractor shall charge any fee not authorized by the City or in excess of the
authorized fee.
Nothing herein is intended to set any maximum fee amount for any private property or consent
tows. These fees are only applicable to police-initiated and police-purpose tows and related
services that are requested and provided in connection with the City's Agreement.
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 28 of 45
EXHIBIT C
CITY TOWING LIST PROCEDURES
Adding Tow Truck Companies to the City's Approved Police-Purpose Tow Provider List
All tow providers on the Police-Purpose Tow Provider list shall be added at the discretion of the
City to ensure that there is sufficient coverage for the needs of the City. Each provider included
on this list must be qualified and a current approved tow provider on the City's Approved Police-
Initiated Tow Provider List. No provider shall be guaranteed the right to be included on this list
and any provider may be removed at any time at the discretion of the City. Any tow provider that
the City adds to this list must be offered the opportunity to subcontract with AutoReturn.
Adding Tow Truck Companies to the City's Approved Police-Initiated Tow Provider List
Tow providers who meet the following qualifications shall be eligible to be added to the City's
list of Approved Police-Initiated Tow Providers. No tow provider shall have a legal right to be
included on the list and any tow provider may be removed from the list at any time in accordance
with the discipline process below or if the tow provider no longer meets the qualifications
required to be added to the list. Any tow provider that the City adds to this list must be offered
the opportunity to subcontract with AutoReturn. AutoReturn shall confirm the contents of any
application made by a tow provider seeking to be added to the City's approved list. Upon
confirming the information, AutoReturn shall remit the application to the person listed in the
Agreement as the contact point. The City shall notify AutoReturn once a decision is made
regarding whether the tow provider will be added to one or more of the City's approved tow
provider lists.
1. Qualifications: Any tow provider requesting to be added to the City's list must provide an
application with statements confirming and information to support the following criteria:
- Tow provider shall perform all necessary work for the removal from the public
streets, ways or other public property in the City of Fort Worth and from private
property when directed by the Police Department or duly authorized representative;
vehicles which have been abandoned, involved in collisions, cleaning up accident
scene, parking violations,vehicles to be checked for evidence, prisoners vehicles and
disabled city vehicles.
- All towing services shall be provided in accordance with all applicable legal and
regulatory standards, including state and federal laws, rules, and regulations. Under
no circumstances will Contractor make recommendations concerning where a vehicle
should be towed or repaired, except as expressly allowed herein. Contractor/Operator
will tow all vehicles to the location directed by the Fort Worth Police Department.
Contractor/Operator is prohibited from towing any vehicle to any repair shop in
which it or its subcontractors own a monetary interest, operate from or is collocated
with.
- Tow provider shall submit an equipment list identifying the type and quantity of each
category of equipment it will provide to perform the requested services. All
equipment proposed to be used to provide services must meet state mandated
minimum requirements with documentation thereof to be provided on request.
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All tow trucks, tow truck operators, and vehicle storage facilities must be capable of
using the technology provided by AutoReturn (smart phone, internet connection,
computer).
- Tow provider will provide uniformed tow truck operators. Uniforms must be clean
and have names of the company and the name of the operator on the outside of the
uniform. Tow provider and employees shall comply with all state laws and
regulations concerning license and registration of vehicles and drivers. Tow
provider's employees will comply with all traffic laws when operating vehicles.
- At direction from the Fort Worth Police Department, the Tow provider agrees it shall
be responsible for cleanup, removal and disposal of any debris (all parts, metal, glass,
dirt, small amounts of vehicular fluids, i.e.: oil, gasoline, grease spots) for scenes at
which it provides tow services. The process for removal and disposal of debris must
be in accordance with all laws, ordinance, and environmental laws and regulations.
- Tow provider agrees that it shall follow the rules and procedures of the Fort Worth
Auto Pound when vehicles are towed to that location.
- Tow provider agrees that it will comply with all laws, rules, regulations, and
ordinances when performing services in connection with this agreement.
- Tow provider agrees that it will not charge any fee that is not authorized by the City
or charge any fee in excess of the authorized amount.
- Tow provider agrees that it shall maintain insurance coverage at all times in
accordance with its subcontract.
- To minimize potential false liability claims against the City, AutoRetum, and the
subcontractor, tow provider must be able to record the condition of each vehicle at
the time a tow is initiated, if such documentation can be achieved without
compromising safety. Digital images or videos shall be taken of all four (4) sides of
the vehicle to document the condition of each vehicle.
- For light and medium duty tows, tow provider must include evidence that tow
provider has a minimum of four (4) tow trucks to include a minimum of two (2)tilt
bed/roll back/flatbed dual rear wheel wreckers and a minimum of two (2) vehicles at
the discretion of the Tow provider, shall be available, operational, licensed, tagged,
and insured at all times.
- For heavy duty tows, tow provider must include evidence that tow provider has a
minimum of two (2) heavy duty tow trucks with the proper equipment and signage in
accordance state laws shall be available at all times.
- Regarding vehicle storage facility standards and oversight, Tow provider must
demonstrate the Tow provider is capable of providing vehicle storage facility and
vehicle storage services meeting the following minimum criteria:
o All vehicle storage facilities (VSFs) shall meet all applicable State licensing,
inspection, and operating requirements, which may include, but are not
limited to the Texas Occupations Code, Texas Transportation Code, Texas
Administrative Code, and all applicable vehicle storage rules.
o VSF proposed shall be located within the corporate limits of the City of Fort
Worth(provide location and estimated storage capability).
- Proposer shall describe each VSF proposed for the storage of vehicles, each of which
must be fenced and secured to prevent vandalism, minimize the possibility of
damage, and facilitate removal. The fence(s) should be at least eight (8) foot high
chain link with razor wire, if allowable, on top and shall be secured with a locking
gate. Contractor may propose alternative to chain link fencing with razor wire on the
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 30 of 45
top. Final decision as to acceptability of the alternate solution shall rest with the City.
- Security System: VSFs shall be equipped with security lighting that adequately
illuminates the facility.
- Tow provider should provide information showing it has a minimum of five
(5) years' experience providing towing and vehicle storage services. City may
consider a provider with less than five (5) years' experience, if the provider
furnishes at least three references for which the company has provided the
services.
- Each tow provider must furnish a copy of the Articles of Incorporation or
other similar corporate documents on file with the Texas Secretary of State for
the Proposer and each of its proposed subcontractors. In addition, provider
must furnish documentation from the Secretary of State and/or Tarrant County
showing any other names under which it is authorized to do business (DBAs).
- Tow provider must provide the City with a copy of any and all State and
Federal licenses and permits. By submitting an application to be added to one
or more of the City's lists, provider consents to the Fort Worth Police
Department running a criminal background check on the owners and key
personnel of the provider and all proposed subcontractors.
- Tow provider must clearly indicate if the provider or any of its employees or
agents have ever been charged with or paid a fine for non-compliance with
any local, state or federal laws, rules, or regulations related to towing services,
operation of a VSF, or other law that would impact issuance of a towing- or
VSF-related license or permit by the State of Texas.
Provider shall include an affirmative statement that it is currently in
compliance and will throughout the term of any subcontract maintain
compliance with applicable federal and state laws, rules, and regulations.
- Tow providers must list and provide a brief explanation of all pending or
anticipated claims or litigation in which the provider is currently involved or
anticipates.
- Tow provider must describe its written safety program and safety meetings
schedules.
Discipline process
AutoReturn shall be responsible for reporting to the City (Police Department) bi-weekly all
complaints received for any tow provider or service provider subcontracted with AutoRetum in
connection with this contract.
AutoRetum shall be responsible for communicating either in person or by telephone with the
City as soon as practicable any recurring complaints, trends, or issues that arise from services
provided in connection with this contract, including any subcontracts.
AutoReturn shall provide the Chief of Police or his/her City-employed designee with any
requested details related to any complaint made in connection with services provided in
connection with this Agreement. AutoReturn shall be given a reasonable amount of time to
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 31 of 45
collect and remit any requested information to the Chief of Police or his/her City-employed
designee.
Options for addressing complaints, issues, or concerns shall be addressed in the manner
determined to be appropriate in the discretion of the Chief of Police or his/her City-employed
designee.
Available options shall include but shall not be limited to-
A) Clarifying basic details of the complaint in case it is not valid
B) Coaching/mentoring/training
C) Documented warning
D) Temporary suspension from the City's lists of approved providers for Police-Purpose
Tows, Police-Initiated Tows, or both (1 day- 30 days)
E) Temporary suspension from the City's lists of approved providers for Police-Purpose
Tows, Police-Initiated Tows, or both (31 day- 90 days)
F) Permanent suspension from the City's lists of approved providers for Police-Purpose
Tows, Police-Initiated Tows, or both.
The decision of the Police Chief or his/her City-employed designee regarding the discipline of a
tow company on the City's list of approved providers for Police-Purpose Tows, Police-Initiated
Tows, or both shall be final and binding. AutoReturn shall not dispatch any calls to any tow
provider who is suspended from the City's list of approved providers for Police-Purpose Tows,
Police-Initiated Tows, or from both lists while that tow provider is suspended.
Reasons for discipline shall include, but shall not be limited to:
1) Charging a fee not authorized by the City or charging a fee in excess of the authorized
amount;
2) Permitting a tow truck to be operated by anyone while under the influence of alcohol and/or
illegal drugs;
3) Performing tow services in connection with this Agreement while consuming, or while
under the influence of drugs or alcohol;
4) Permitting a tow truck to be operated by anyone whose operator's license is suspended;
5) Transferring or assigning any call for service to any other subcontractor;
6) Any sustained complaint of theft by personnel of subcontractor while acting in their capacity
as employees of subcontractor;
7) Any sustained complaint of threats made by personnel of the subcontractor while acting in
their capacity as employees of subcontractor made against third parties during a police-
initiated or police-purpose tow or otherwise;
City of Fort Worth Agreement for Towing Management,
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8) Failing to comply with all directions of police personnel at the scene of a police-initiated or
police-purpose tow, civilian employees at the Police Pound, or individuals performing
inspections;
9) Failure to comply with any state or federal law or code or City ordinance related to the
operation of a tow truck or vehicle storage facility;
10)Disobeying traffic control devices (traffic lights, stop signs, etc.);
11) Using any type of siren besides the backup warning signal;
12) Making any repairs or alterations to a vehicle obtained from a police- initiated or police-
purpose tow;
13)Towing any vehicle which is occupied by any person, except as specifically directed by a
police officer;
14)Charging for services not performed or making duplicate charges for the same service
performed in connection with this agreement;
15)Using profane or obscene language which offends a customer or any other person;
16)Being verbally or physically offensive, abusive, disrespectful or discourteous to any
customer, motorist, City employee or any other person;
17)Inappropriate touching any customer, motorist, City employee or any other person;
18)Operating any vehicle or other equipment in the performance of services in connection
with this Agreement in a careless, reckless, or negligent manner; or
19)Failure to maintain compliance with all required qualifications to be added and included
on the City's list of Approved Police-Initiated Tow Providers.
All reports, communications, and actions related to discipline of a tow provider shall be
documented and retained by AutoRetum for at least 3 years following the expiration or
termination of this Agreement.
AutoReturn shall follow up on all reports, communications, or other type of complaint on a bi-
weekly basis until the complaint is properly corrected as determined by the Chief of Police or
his/her City-employed designee.
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 33 of 45
EXHIBIT D
REQUIRED PROVISIONS FOR SUBCONTRACTS
AutoRetum shall include provisions substantially similar to the provision copied below in any subcontract
entered into in connection with this Agreement.
1. Any subcontract must include an executed addendum from the subcontractor including the
following affirmative statement: "I understand that my company is being offered this
subcontract because my company is included on the City's Approved Police-Initiated
Tow Provider list. I understand that I nor my company have a property right in being
added to the list or remaining on the list and that the City can suspend or remove my
company from the list for disciplinary reasons or for failure to meet the City's
qualifications at any time. I further understand that in the event my company is
suspended from the list, my company will no longer receive dispatch calls for any tows in
connection with this Agreement for the duration of the suspension."
2. AutoReturn shall include a copy of Exhibit C in each subcontract.
3. INDEMNIFICATION
LIABILITY- <SUBCONTRACTOR>SHALL BE LLABLE AND RESPONSIBLE FOR ANY
AND ALL PROPERTY LOSS, PROPERTY DAMAGE AND/OR PERSONAL INJURY,
INCLUDING DEATH, TO ANY AND ALL PERSONS, OF ANY KIND OR CHARACTER,
WHETHER REAL OR ASSERTED, TO THE EXTENT CAUSED BY THE NEGLIGENT
ACT(S) OR OMISSION(S), MALFEASANCE OR INTENTIONAL MISCONDUCT OF
<SUBCONTRACTOR>,ITS OFFICERS,AGENTS, SERVANTS OR EMPLOYEES.
GENERAL INDEMNIFICATION - <SUBCONTRACTOR> HEREBY COVENANTS AND
AGREES TO INDEMNIFY, HOLD HARMLESS AND DEFEND CITY, ITS OFFICERS,
AGENTS, SERVANTS AND EMPLOYEES, FROM AND AGAINST ANYAND ALL THIRD
PARTY CLAIMS OR LAWSUITS OF ANY KIND OR CHARACTER, WHETHER REAL OR
ASSERTED, FOR EITHER PROPERTY DAMAGE OR LOSS (INCLUDING ALLEGED
DAMAGE OR LOSS TO AUTORETURN'S BUSINESS AND ANY RESULTING LOST
PROFITS) AND/OR PERSONAL INJURY, INCLUDING DEATH, TO ANY AND ALL
PERSONS, ARISING OUT OF OR IN CONNECTION WITH THIS A GREEMENT, TO
THE EXTENT CAUSED BY THE NEGLIGENT ACTS OR OMISSIONS OR
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 34 of 45
MALFEASANCE OF<SUBCONTRACTOR>, ITS OFFICERS, AGENTS, SERVANTS OR
EMPLOYEES.
Environmental Indemnification.
<SUBCONTRACTOR> DOES HEREBY RELEASE, INDEMNIFY, REIMBURSE,
DEFEND, AND HOLD HARMLESS THE CITY OF FORT WORTH, ITS OFFICERS,
AGENTS AND EMPLOYEES FROM AND AGAINST ANY AND ALL
ENVIRONMENTAL RELEASES AND/OR DAMAGES AND THE VIOLATION OF
ANY AND ALL ENVIRONMENTAL REQUIREMENTS RESULTING FROM THE
HANDLING, COLLECTION, TRANSPORTATION, STORAGE, DISPOSAL,
TREATMENT, RECOVERY, AND/OR REUSE, BY ANY PERSON, OF HAZARDOUS
WASTE WHEN SAID ENVIRONMENTAL DAMAGES OR THE VIOLATION OF SAID
ENVIRONMENTAL REQUIREMENTS WERE THE RESULT OF ANY ACT OR
OMISSION OF <SUBCONTRACTOR>, ITS OFFICERS, AGENTS, EMPLOYEES, OR
SUBCONTRACTORS, OR THE JOINT ACT OR OMISSION OF<SUBCONTRACTOR>,
ITS OFFICERS,AGENTS,EMPLOYEES, OR SUBCONTRACTORS AND ANY OTHER
PERSON OR ENTITY.
WARRANTY
<Subcontractor> warrants that it understands the currently known hazards and suspected
hazards which are presented to persons, property and the environment by hazardous waste.
<Subcontractor> further warrants that it and its officers, agents, employees, and subcontractors will
perform all services under this Agreement in a safe, efficient and lawful manner using industry
accepted practices, and in full compliance with all applicable state and federal laws governing its
activities and is under no restraint or order which would prohibit performance of services under this
Agreement. Approval by the City shall not constitute or be deemed to be a release of the
responsibility and liability of<Subcontractor>, or its officers, agents, employees, or subcontractors,
for the accuracy and competency of their services provided under the Agreement.
Environmental Damages means all claims, judgments, damages, losses, penalties, fines,
liabilities (including strict liability), encumbrances, liens costs, and expenses of investigation and
defense of any claim, whether or not such claim is ultimately defeated, and of any good faith
settlement of judgment, of whatever kind or nature, contingent or otherwise,matured or unmatured,
foreseeable or unforeseeable, including without limitation reasonable attorney's fees and
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 35 of 45
disbursements and consultant's fees, any of which are incurred as a result of the handling, collection,
transportation, storage, disposal, treatment, recovery, and/or recycling of hazardous waste pursuant
to this Agreement, or the existence of a violation of environmental requirements pertaining to same,
and including without limitation:
a. Damages for personal injury and death, or injury to property or natural resources;
b. Fees incurred for the services of attorneys, consultants, contractors, experts, laboratories and
all other costs incurred in connection with the investigation or remediation of such
hazardous wastes or violation of environmental requirements including, but not limited to,
the preparation of any feasibility studies or reports of the performance of any cleanup,
remediation, removal, response, abatement, containment, closure, restoration or monitoring
work required by any federal, state or local governmental agency or political subdivision, or
otherwise expended in connection with the existence of such monitoring wells or violations
or environmental requirements, and including without limitation any attorney's fees, costs
and expenses incurred in enforcing this Agreement or collecting any sums due hereunder;
and
C. Liability to any third person or governmental agency to indemnify such person or agency for
costs expended in connection with the items referenced in"Environmental Requirements."
Environmental Requirements shall mean all applicable present and future statutes,
regulations, rules, ordinances, codes, licenses, permits, orders, approvals, plans,
authorizations, concessions, franchises, and similar items, of all governmental agencies,
departments, commissions, boards, bureaus, or instrumentalities of the United States, states,
and political subdivisions thereof and all applicable judicial, administrative, and regulatory
decrees, judgments, and orders relating to the protection of human health or the
environment, including without limitation:
a. All requirements, including, but not limited to, those pertaining to reporting,
licensing, permitting, investigation, and remediation of emissions, discharges,
releases, or threatened releases of hazardous materials, pollutants, contaminants or
hazardous or toxic substances, materials, or wastes whether solid, liquid, or gaseous
in nature, into the air, surface water, groundwater, storm water, or land, or relating to
the manufacture, processing, distribution, use, treatment, storage, disposal, transport,
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 36 of 45
or handling of pollutants, contaminants, or hazardous or toxic substances, materials,
or wastes,whether solid, liquid, or gaseous in nature; and
b. All requirements pertaining to the protection of the health and safety of employees
and/or the public.
4. COMPLIANCE WITH LAWS, CHARTER AND ORDINANCES
1. This Agreement is to be construed, governed and enforced under all applicable
Texas and federal law and all City ordinances.
2. <SUBCONTRACTOR>, its agents, employees and subcontractors shall use best
efforts to comply with all applicable federal and state laws, the Charter and
Ordinances of the City of Fort Worth, as amended, and with all applicable rules
and regulations promulgated by local, state and national boards, bureaus and
agencies.
3. <SUBCONTRACTOR> shall verify the identity and employment eligibility of its
employees who perform work under this Agreement, including completing the
Employment Eligibility Verification Form (I-9). <SUBCONTRACTOR> shall
adhere to all Federal and State laws as well as establish appropriate procedures
and controls so that no services will be performed by any <SUBCONTRACTOR>
employee who is not legally eligible to perform such services.
<SUBCONTRACTOR> SHALL INDEMNIFY CITY AND HOLD CITY
HARMLESS FROM ANY PENALTIES, LIABILITIES, OR LOSSES DUE
TO VIOLATIONS OF THIS PARAGRAPH BY AUTORETURN,
<SUBCONTRACTOR>'S EMPLOYEES, SUBS, AGENTS, OR LICENSEES.
4. <SUBCONTRACTOR>, for itself, its personal representatives, assigns,
subcontractors and successors in interest, as part of the consideration herein,
agrees that in the performance of <SUBCONTRACTOR>'s duties and
obligations hereunder, it shall not discriminate in the treatment or employment of
any individual or group of individuals on any basis prohibited by law. IF ANY
CLAIM ARISES FROM AN ALLEGED VIOLATION OF THIS NON-
DISCRIMINATION COVENANT BY <SUBCONTRACTOR>, ITS
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 37 of 45
PERSONAL REPRESENTATIVES, ASSIGNS, SUBCONTRACTORS OR
SUCCESSORS IN INTEREST, AUTORETURN AGREES TO ASSUME
SUCH LIABILITY AND TO INDEMNIFY AND DEFEND CITY AND
HOLD CITY HARMLESS FROM SUCH CLAIM.
5. CITY TAXES
<Subcontractor> shall not become delinquent in the payment of any taxes due to City of
Fort Worth or any governing body or agency due in connection with this Agreement.
6. Right to Audit. <Subcontractor> agrees that City shall, until the expiration of
three (3) years after final payment under this contract, or the final conclusion of
any audit commenced during the said three years, have access to and the right to
examine at reasonable times any directly pertinent books, documents, papers and
records, including, but not limited to, all electronic records, of <Subcontractor>
involving transactions relating to this Agreement at no additional cost to City.
<Subcontractor> agrees that City shall have access during normal working hours
to all necessary <Subcontractor>'s facilities and shall be provided adequate and
appropriate work space in order to conduct ,audits in compliance with the
provisions of this section. City shall give <Subcontractor> reasonable advance
notice of intended audits.
7. <Subcontractor> shall maintain insurance from insurers acceptable to City of the
following types and amounts:
Commercial General Liability
$500,000 each occurrence
$500,000 aggregate
Or
Garage Liability
$500,000 each accident, other than auto
$500,000 aggregate
Automobile Liability
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 38 of 45
$1,000,000 each accident, combined single limit
This coverage shall include all vehicles owned or non-owned that are operating
under <Subcontractor's> operating authority performing services under this
Agreement.
Cargo/On-Hook
$50,000 per unit
Coverage shall include both the unit being towed and its contents. Units covered
shall include but not be limited to motor vehicles, trailers and boats. Coverage shall
be written on a direct primary basis.
Garagekeeper's Liability
$30,000 per unit
Worker's Compensation/Accident Insurance
Coverage shall meet the minimum requirements of state law, as contained in the
Motor Carrier Rules and Regulations.
<Subcontractor> shall maintain insurance coverage at all times. Current insurance
certificates shall remain on file with the City during the term of this Agreement. It is
the responsibility of the AutoReturn to submit updated insurance to the City from
each of its subcontractors. Insurance coverage may, at the sole discretion of the
City, be revised upward upon thirty (30) calendar days prior written notice to
AutoReturn. Policies shall be endorsed as follows:
1) The City, its officers, employees and servants shall be endorsed as an
additional insured on all policies except employer's liability insurance
coverage under the workers'compensation insurance policy.
2) Certificates of insurance shall be delivered to the Program Support
Division, 505 W. Felix Street, Fort Worth, Texas 75115, prior to any
work being performed under this Agreement.
3) Any failure on part of the City to request required insurance
documentation shall not constitute a waiver of the insurance
requirements specified herein.
City of Fort Worth Agreement for Towing Management,
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4) Each insurance policy shall be endorsed to provide the City a
minimum thirty (30) calendar day notice of cancellation, non-renewal,
and/or material change in policy terms or coverage. A ten (10)
calendar day notice shall be acceptable in the event of non-payment of
premium.
5) Insurers must be authorized to do business in the State of Texas and
have a current A.M. Best rating of A: VII or equivalent measure of
financial strength and solvency.
6) Deductible limits, or self-funded retention limits, on each policy must
not exceed $10,000.00 per occurrence unless otherwise approved by
the City.
7) Other than worker's compensation insurance, in lieu of traditional
insurance, City may consider alternative coverage or risk treatment
measures through insurance pools or risk retention groups. The City
must approve, in writing, any alternative coverage.
8) Worker's compensation insurance policy(s) covering employees shall
be endorsed with a waiver of subrogation providing rights of recovery
in favor of the City.
9) City shall not be responsible for the direct payment of insurance
premium costs.
10)Insurance policies shall each be endorsed to provide that such
insurance is primary protection and any self-funded or commercial
coverage maintained by City shall not be called upon to contribute to
loss recovery.
11)AutoReturn shall report, in a timely manner, to the Grants and
Contracts Section of any known loss occurrence that could give rise to
a liability claim or lawsuit or that could result in a property loss.
12)<Subcontractor's> liability shall not be limited to the specified
amounts of insurance required herein.
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 40 of 45
13)Upon the request of City, AutoReturn shall provide complete copies of
all insurance policies required by these Agreement documents.
In the event a state or federal law, rule or regulation pertaining to wrecker service
companies operating within the State of Texas exceed insurance requirements
specified herein, such state or federal law, rule or regulation shall prevail for the
respective type of insurance coverage and/or limit thereof. r_^�
1/tCju AV G�e,� 6�ti in Q ALW GC (r,an(t,urn S, reg L/' 1,1.0, f svb7
f S• M C y I'tt/t;�1°G� -� vi� --f i.2.- /Yl)�i.m✓m .g � "i�'cP F� �'i w=-
8. DEBRIS REMOVAL AND FLUID CLEANUP V
Subcontractor shall completely remove all debris, except known hazardous material,
w�i�'"'
resulting from any accident to which the subcontractor is responding. Removal of
debris shall not be considered complete by merely sweeping it to the curb line. C
Subcontractor shall notick-u known hazardous material Texas Administrative
p p any
Code, Title 30, Part 1, Chapter 327, (Texas Commission on Environmental Quality,
Spill Prevention and Control).
9. INDEPENDENT CONTRACTOR
It is understood and agreed that <subcontractor> in performing any work or services
hereunder is an independent contractor, and not an officer, agent, servant or employee
of the City. Subcontractor agrees that by executing a subcontract with City's
contractor, AutoReturn, <subcontractor> shall not become entitled to any benefits
provided by the City. The doctrine of respondeat superior shall not apply as between
the City and any subcontractor of AutoReturn, or subcontractor's officers, agents,
servants, employees, contractors and subcontractors, and nothing shall be construed
as creating a partnership or joint venture between the City and the subcontractor.
10. NOTIFICATION OF TOW HEARINGS
Subcontractor shall include the following information on every tow ticket provided
for a tow undertaken pursuant to or in connection with this agreement:
"If you choose to have a hearing as allowed by Chapter 2308 of the Texas
Occupations Code, the Fort Worth Police Department shall be served at the address
below:
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 41 of 45
Fort Worth Police Department
C/O Fort Worth City Secretary
Attn: Tow Appeal Hearing
200 Texas Street
Fort Worth, Texas 76102"
Failure by subcontractor to provide the consumer with the information included
above with the subcontractor's tow ticket shall be deemed a breach of contract, and if
the City is assessed any fee, fine, or cost in the appeal hearing, the subcontractor must
reimburse the City the full amount assessed by the Court. The subcontractor shall not
be dispatched on any police-initiated or police-purpose tows until it has reimbursed
the City.
Subcontractor must notify the City within twenty-four hours of receipt of notice for a
tow appeal hearing involving a tow that was made pursuant to or in connection with
this agreement. Notices shall be sent electronically to the City at the address included
in the contract. Failure to provide the notice to the City within twenty-four hours
shall be deemed a breach of contract and if the City is assessed any fee, fine, or cost
in the appeal hearing, the Subcontractor must reimburse the City the full amount
assessed by the Court. The subcontractor shall not be dispatched on any police-
initiated tows until it has reimbursed the City.
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 42 of 45
EXHIBIT E
VERIFICATION OF SIGNATURE AUTHORITY
Execution of this Signature Verification Form ("Form") hereby certifies that the following individuals
and/or positions have the authority to legally bind Vendor and to execute any agreement, amendment or
change order on behalf of Vendor. Such binding authority has been granted by proper order, resolution,
ordinance or other authorization of Vendor. City is fully entitled to rely on the warranty and
representation set forth in this Form in entering into any agreement or amendment with Vendor. Vendor
will submit an updated Form within ten (10) business days if there are any changes to the signatory
authority. City is entitled to rely on any current executed Form until it receives a revised Form that has
been properly executed by Vendor.
1. Name:
Position:
Signature
2. Name:
Position:
Signature
3. Name:
Position:
Signature
Name:
Signature of President/CEO
Other Title:
Date:
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 43 of 45
EXHIBIT F
IMPLEMENTATION TIMELINE
Deliverable/ Description Timeline Performanc
Milestones (due/completion Measure/ Comments
Date, reference Acceptance
date, or frequenc Criteria
Transition Plan/ Provide a detailed schedule of 20-30 days City written
Implementation Plan Transition from existing method Approval
Gather Auto Pound Provide requirements incorporated 45-60 days (or as Delivery to
Requirements In Automated Record Management Dictated City
System and Data Base by necessity)
Collision and Impound Provide implementation 30 days (or as City written
Towing Programs Schedule of towing programs Dictated Approval
by necessity)
Automated Dispatch Provide a web-based 45-90 days(or as Delivery to
Management System dispatch Dictated City
And inventory system by necessity)
Dispatch Center Provide a staffed facility for 45-90 days (or as Delivery to
FW Dispatching Dictated City
by necessity)
Implement Auto Pound Automated Record 60-90 days (or as Delivery to
Operations management system and Dictated City
Data Base operational by necessity)
Propose subcontractors Provide applications for all proposed 30 days (or as Delivery to
subcontractors for addition on the Dictated City
City's list (if approved). City will by necessity)
Provide updated list of approved
Towing companies within 10 days of
Receiving the applications.
Execute subcontracts Execute subcontracts with all towing 50 days (or as Delivery to
companies on the City's approved Dictated City
Police-Initiated Tow Provider list who by necessity)
are willing to execute a subcontract.
Equipment lists or access Provide a list of towing 60 days (or as City written
Equipment information Equipment Resources Dictated Approval
by necessity)
Rules and Regulations Develop with City If requested City written
during contract Approval
Private Property Website available for PPI and Repo 45 days Delivery to
Impounds Companies to report online (or as Dictated by City
necessity)
Training I Provide training to Tow Company 10 -15 days Delivery to
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 44 of 45
(company/City) staff and City(Fort Worth Police (following City
Department) delivery of
Automated
Management
System)
Fully Operational All services operational 90 days (not Delivery to
including CAD City
integration)
CAD/Tri Tech Integration MDC/MDT 60 days* City written Based on
Dispatch capabilities in production Approval development
With Tri-tech efforts combined
with Tri Tech CAD
CAD/Tri Tech completion MDC/MDT capabilities 120 days* Delivery to Based on
Operational City Development
efforts combined
with Tri Tech CAD
*City recognizes that CAD integration is dependent on cooperation of third-party CAD provider. City and
AutoRetum will be able to extend the deadlines herein up to an additional thirty days,if needed.
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 45 of 45
ADDENDUM NO. 1 TO CITY OF FORT WORTH AGREEMENT
FOR TOWING MANAGEMENT, LOGISTICS,
AND TECHNOLOGY SERVICES WITH TEGSCO, LLC
This addendum shall be incorporated into the Agreement referenced above and shall have the full force
and effect of law.
Autolketurn shall not require any subcontractor to purchase, keep, open,or otherwise use an escrow
account, or similar account, for any purpose related to this Agreement or any subcontract made in
connection with this agreement.
The City,through the Police Chief, shall attempt to resolve any dispute between Autolketurn and any
subcontractor related to any subcontract. In the event that the City is unable to mediate a resolution, both
parties shall have the ability to submit to alternative dispute resolution or seek any remedies available to
it by law.
By:
Name: Jesus Chapa y
Title: Assistant City Manager
By:
ame: X01-..-, Pe v�d 1 c�•►
Title: C TO
Date: 111 12.01 S
City of Fort Worth Agreement for Towing Management,
Logistics,and Technology Services with TEGSCO,LLC Page 1 of 1
M&C Review Page 1 of 4
Official site of the City of Fort Worth,Texas
CITY COUNCIL AGENDA FOR 1f
COUNCIL ACTION: Approved on 9/11/2018
REFERENCE 13P18-0233 POLICE
DATE: 9/11/2018 NO.: P-12251 LOG NAME: INITIATED TOWING JD
PD
CODE: P TYPE: NOW PUBLIC CONSENT HEARING: NO
SUBJECT: Authorize Execution of Agreement with Tegsco, LLC, for Dispatch, Communications, and
Records Software and Management Services for Law Enforcement Purpose Tows with
an Annual Amount of$525,000 in Tow Fees Payable to Local Vendors from City Funds
for Tows to the Fort Worth Auto Pound (ALL COUNCIL DISTRICTS)
RECOMMENDATION:
It is recommended that the City Council authorize the execution of an agreement with Tegsco, LLC, for
dispatch, communications, and records software and management services for Law Enforcement Purpose
Tows with an annual amount of$525,000 in tow fees payable to local vendors from City funds for tows to
the Fort Worth auto pound.
Dispatch fees in the approximate amount of$550,000.00 will be payable to Tegsco for all other Police
Initiated Tows (tows taken to a tow vendor's facility) from dispatch fees paid by vehicle owners when
reclaiming their vehicles. Due to questions raised about the anticipated volume of tows being higher than
staffs prior estimates, the annual amounts are calculated based on an anticipated 3,500 tows being taken
to the City auto pound and an additional 25,000 tows being taken to tow vendors' lots.
DISCUSSION:
The purpose of this Mayor and Council Communication (M&C) is to approve a contract for updated
dispatch, communications, and records software for all nonconsent tows within the City and management
services for Law Enforcement Purpose Tows. For the purpose of this M&C, Law Enforcement Purpose
Tows are made up of two categories of tows, tows that are dispatched at the request of a police officer and
are paid for by the citizen ("Police-Initiated Tows") and tows that are dispatched at the request of a police
officer and are paid for by the City ("Police-Purpose Tows"). Approval of the contract through this M&C will
also approve the attached fees, which reflect the amounts of certain fees that may be charged in
connection with Law Enforcement Purpose Tows.
Background
Currently, Law Enforcement Purpose Tows involve a manual, resource-intensive process using rotation lists
within established zones. Each time an officer encounters a situation requiring a tow truck, the officer radios
the Police Department's communications staff who must consult rotation lists of the twenty-plus local
contracted vendors and make telephone calls to find a vendor who is next on rotation in that zone, who has
the appropriate equipment, and who is ready and able to take the tow call. The manual dispatch and
communications process does not clear wrecks as quickly as they could be cleared and takes
communications staff time away from their other duties. In addition, using just a strict rotation dispatch
model can create life-safety concerns by limiting the Police Department's ability to clear a wreck as quickly
as possible when the vehicle poses an immediate safety hazard or is unduly impeding traffic.
Records of towed vehicles are maintained in multiple separate paper and computer files that have to be
manually updated by Police Department staff following receipt of information submitted to them by tow
companies and City staff via fax, phone, radio, and email. Use of the resource-intensive, low-tech records
process can cause delays in providing information to officers and to individuals who are calling to report a
towed car as stolen or who are seeking to locate vehicles that they know have been towed.
The final renewal options for the City's current contracts with its towing vendors will expire at the end of
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September. Because the 3,000-3,500 tows to the City's impound lot,which are paid for by the Police
Department, involve expenditure of$450,000 to$525,000 per year, a competitive procurement process was
needed to obtain towing services.
Because the City was going out for bid already, the Police Department decided to leverage the opportunity
by issuing a request for proposals (RFP) that allowed vendors to propose providing (1)towing services; (2)
dispatch, communications, and records software; or(3) dispatch, communication, and records software and
towing management services, using towers (either direct employees or subcontractors)that met the
qualifications to provide towing services under(1).
Proposed Agreement
Following the RFP process, details of which are provided below, the scoring committee recommended a
contract be awarded to Tegsco, LLC (Tegsco).
Key terms of the proposed agreement include:
Tow Providers
All tow providers performing Law Enforcement Purpose Tows must meet qualifications established by the
City, including a requirement that the provider have a permanent vehicle storage facility within the City
limits.
Tegsco must offer subcontracts to all tow providers meeting City qualifications and who are also included
on the City's approved tow provider lists.
The City will maintain a separate list of qualified tow providers for each type of tow (police-initiated and
police-purpose). It is anticipated that the two towing companies that were qualified through the RFP
process will be on the list to receive all Police-Purpose tows and that the list for all Police-Initiated tows
will include the two providers approved through the RFP process and all other eligible providers who are
later approved by the City. To meet the City's needs as a market participant, it reserves the right to add
qualified towers to the list for Police-Purpose tows on an as-needed basis.
No tow provider may be disciplined, suspended, or terminated by Tegsco without the express prior
approval of the Police Department.
Tow Fees
City will pay the established tow fee for each Police-Purpose Tow that is taken to the City's impound lot,
with funds initially remitted to Tegsco and then disbursed in full to local vendors.
The citizen whose car is towed will pay the established tow fee to the local tow provider for each Police-
Initiated Tow that is taken to a tow provider's lot.
The approved tow fees are attached to this M&C. The City will have the discretion to raise these fees if
the City determines an increase is necessary to address market conditions.
Tegsco will not retain any portion of any tow fee.
Vehicle Storage and Auction Proceeds
Certain vehicles pulled for evidentiary or similar purposes will be sent to the City's impound lot.
All other Police Initiated Tows will be taken to the tow provider's lot.
If the vehicle taken to a provider's lot is not redeemed by the vehicle owner/agent, the vehicle can be
auctioned in accordance with state law by the tow/impound provider who will keep all of the proceeds.
Neither the City nor Tegsco will receive a revenue share of the auction proceeds.
Dispatch Fee
City will impose a dispatch fee of $25 for each Police-Initiated Tow.
For all Police-Initiated Tows the dispatch fee will be handled as follows:
- Vehicle owners/agents reclaiming vehicles will pay the tow provider the full $25 fee.
- $3 will be retained by the tow provider.
- $22 of the fee will be remitted to Tegsco.
The Vendor proposes this fee allocation to ensure tow providers are made whole for the $22 dispatch fee
payable to Tegsco for the average number of vehicles that are not anticipated to be reclaimed by
owners/agents. In addition to the $3 per tow, tow providers will also retain all proceeds from the auction
of unclaimed vehicles, net of any fees required to be paid under state law.
For tows that are taken to the City's impound lot, no dispatch fee will be payable to Tegsco unless the
vehicle owner/agent is also required to pay a tow fee.
Dispatch, Communications, and Records Software
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Licenses to use the software shall be provided to the City and all tow providers within the City with no
license fee required; Tegsco will be compensated for use of the software from the $22/City-Initiated Tow
dispatch fee.
Tow providers wishing to take part in City-Initiated Tows must have an internet enabled iPhone or
Android device and a computer with an internet connection.
All tow providers within the City will be required to use the reporting software to report private property
tows.
No fee is payable to Tegsco in connection with a private property or consent tow; fee only applies to a
City-Initiated Tow.
Consent tows are not subject to reporting requirement.
In addition to providing real-time information about each towed vehicle's location via the software,
Tegsco must provide a toll-free telephone number that is staffed 24-hours-per-day, seven-days-per-
week to assist in locating towed vehicles.
The software and tow dispatch algorithms will be fully customizable by the City to meet the needs of the
Police Department and to address any concerns raised by any stakeholder.
For example, the Police Department anticipates initially using a two-tiered dispatch system with Priority
One tows (those involving an imminent safety threat or posing an undue traffic hazard as determined in
the reasonable discretion of the officer on site) dispatched on a closest-to model and Priority Two tows
(all those not meeting Priority One criteria) being dispatched using a fully automate zone-based rotation
similar to what is done via the manual process today.
The software will be capable of fully customizable reporting as determined by the City to meet the needs
of the Police Department and to address any concerns raised by any stakeholder.
The Police Department will be requiring regular reporting on allocation of tows among vendors to ensure
an equitable distribution of Police Initiated Tows among all tow providers, regardless of their size.
Termination
Either party would have a right to terminate in the event that there is a material breach of contract by
the other party that is not cured as required by the contract.
In addition, the City would also have a right to terminate under the following conditions:
- In the event funding is not appropriated by the City Council.
- At the City's convenience.
RFP Process
This RFP was advertised every Wednesday in the Fort Worth Star-Telegram from May 23, 2018 through
June 13, 2018. A pre-proposal conference was held Wednesday, May 30, 2018, at 10:OOam at the Bob
Bolen Public Safety Complex. Fifteen (15) interested firms attended the conference. One hundred thirty-
nine vendors were solicited from the purchasing vendor database.
Seven proposals were received. Two proposals were for Towing Services. Two proposals were for
dispatch, communications, and records software only. Three proposals were submitted for dispatch,
communication, and records software plus towing management services, using towers (either direct
employees or subcontractors) that meet City-established qualifications.
It is important to note that the RFP required that (i) any vendor that submitted for the software-plus-
services option was required to offer subcontracts to all vendors that submitted and qualified for Towing
Services and (ii) all vendors that submitted for Towing Services were agreeing to provide Law
Enforcement Purpose Tows, whether by direct City contract or subcontract.
The two proposals submitted for Towing Services were evaluated and both vendors were found to meet
the City's qualifications and both companies will be included on the Police-Purpose and Police-Initiated
towing lists.
The two proposals submitted for software only were reviewed by the evaluation committee and were
found to not meet the minimum requirements of the requested capabilities. Additionally, the proposals
required up front funding from the City to implement the systems. No interviews were pursued.
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The evaluation committee interviewed all three firms that responded to the dispatch, communication,
and records software plus towing management services - the Fort Worth Area Towing Alliance, LLC;
Sameis Holdings LLC dba Dispatch &Tracking Solutions; and Tegsco, LLC. The purpose of the interviews
was to clarify the understanding of the firms' capabilities, qualifications and technology after scoring
each based solely on the written responses. After completing the interviews, the committee rated
Tegsco, LLC' s offer as the proposal that presented the best value to the City of Fort Worth.
PRICING ANALYSIS - The towing fees are set by the City. The City will reimburse Tegsco, LLC, without
mark-up or additional fees, for the approximately 3,000 vehicles towed to the Auto Pound. For Fiscal
Year 2019, the estimated cost will be approximately $525,000.00 annually for vehicles towed to the Auto
Pound. A portion of these costs will be offset by fee revenue from customers claiming vehicles following
release of the vehicles from the Auto Pound.
M/WBE Office - A waiver of the goal for MBE/SBE subcontracting requirements was requested by the
Police Department and approved by the M/WBE Office, in accordance with the BDE Ordinance, because
the purchase of goods or services is from sources where subcontracting or supplier opportunities are
negligible.
AGREEMENT TERMS - The initial term of the agreement will begin upon execution by both parties and
end on September 30, 2019.
RENEWAL OPTIONS - The Agreement may be renewed for up to four successive one-year terms at the
City's option. This action does not require specific City Council approval provided that the City Council
has appropriated sufficient funds to satisfy the City's obligations during the renewal term.
FISCAL INFORMATION/CERTIFICATION:
The Director of Finance certifies that upon approval of the above recommendations and the adoption of the
Fiscal Year 2018-2019 budget by the City Council to include the above referenced item, funds will be
available in the Fiscal Year 2019 Operating Budget, as appropriated, of the General Fund.
BQN\18-0233\JD
TO
Fund Department Account Project Program Activity Budget Reference# Amount
ID ID Year Chartfield 2
FROM
Fund Department Account Project Program Activity Budget Reference# Amount
ID I I ID I I Year Chartfield 2
Submitted for City Manager's Office by: Jay Chapa (5804)
Originating Department Head: Susan Alanis(8180)
Additional Information Contact: Cynthia B. Garcia (8525)
Jack Dale (8357)
ATTACHMENTS
Authorized Fees for Police Initiated Tows.pdf
Tegsco Form 1295 Certificate 2018 07 23.pdf
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CERTIFICATE OF INTERESTED PARTIES
FORM 1295
Complete Nos.1-4 and 6 if there are interested parties. V+� _ OFFICE USE ONLY
Complete Nos.1,2,3,5,and 6 if there are no interested paries. CERTIFICATION OF FILING
1 Name of business entity filing form,and the city,state and country of the business entity's place Certiiicare Number:
of business. 201E-382953
TEGSCO,LLC
San Francisco,CA United States Date Filed:
2 Name of governmental entity or state agency that is a party tc t(i;e coniract fur which the form is 07f2312013
being filed. ?
City of Fort Worth,Texas ^��—� nate Acknrv��d j� e
3 Provide the identification number used by the governmental entity or state agency to track or identify the contract,and provide a
description of the services,goods,or other property to be provided under the contract.
RFP Number 18-0233
Police Initiated Towing Services
i
4 Nature of interest
Name of Interested Party City,State,Country(place of business) (check app`icaa'e)
Controlling rn_terrrediar
5 Check only if there is NO Interested Party. ❑
X
6 UNSWORN DECLARATION
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