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Subcommittee recommends extension of Auto Return towing agreement amid falling tow volumes
Summary
SFMTA staff asked to extend the Auto Return towing, storage and disposal agreement for five years citing improved operations, lower complaints and reduced tow volumes; the budget analyst recommended approval and the item was forwarded to the full Board with recommendation.
Item 6 addressed a proposed extension of the agreement for towing, storage and disposal of abandoned or illegally parked vehicles with the current operator (Auto Return). Steve Lee of the SFMTA explained that tow volume has declined (about 19% overall and 13% in the last year) and that Auto Return has reduced customer complaints from roughly 20 per month under the prior contractor to about one per quarter under the current agreement.
The SFMTA said the current agreement contained an option to extend and that the agency intends to issue a new RFP in January 2014. The budget analyst noted projected additional annual revenue to the SFMTA of approximately $9.4 million effective 07/01/2010 and recommended approval of the proposed five‑year extension; the analyst also said a new vendor would likely need to repay Auto Return about $1.5 million in build‑out costs, which influenced the recommendation to extend.
Supervisors asked questions about customer complaint trends, the number of unclaimed vehicles and comparative performance to the prior contractor. The committee moved the item to the full Board with recommendation.
