§ 19-403. Tow fee study.

(a)

Three (3) or more towing companies performing, either alone or together, fifty (50) percent or more of the nonconsent tows during the preceding calendar year may request a tow fee study. Said request must be made in writing to the director. The request must identify the specific fees requested to be reviewed and indicate the requestor's willingness to provide any necessary financial documentation that the city may deem necessary to conduct the review.

(b)

A non-refundable fee of five thousand dollars ($5,000.00) in the form of a cashier's check payable to the city must be forwarded to the director before the study will be undertaken. This fee is intended to defray the cost of the study.

(c)

The tow fee study shall be performed at the direction of the department director. The methodology used to conduct study will be established by the finance department of the city. The finance department shall determine what financial information is necessary to conduct the study, to include but not limited to financial information requested from non-consent towing companies in the city. Any and all towing companies joining in the request for a tow fee study must provide all requested financial information. Such information shall be kept confidential to the maximum extent allowed by law.

(d)

The tow fee study shall be completed within one hundred twenty (120) days of the date that the deposit is paid and all requested financial information is received, whichever is later.

(e)

The findings of the tow fee study shall be presented to city council. The city council shall adopt an ordinance that increases or decreases the maximum fees for nonconsent tows or that makes a finding that an adjustment is not justified. If the study indicates that a rate increase is justified, then the department director shall submit his recommendation to city council.

(f)

The provisions of this item shall not be required if a rate study has been performed within the preceding period of forty-eight (48) months. In the intervening forty-eight (48) months, the finance department will perform an analysis of fuel costs as follows:

(1)

A fuel adjustment calculation will be performed if:

a.

The average annual price of diesel fuel as reported by OPIS for the San Antonio area is below three dollars and eighty-three cents ($3.83), or

b.

The average annual price of diesel fuel as reported by OPIS for the San Antonio area is above three dollars and ninety-five cents ($3.95).

c.

If the average annual price as reported by OPIS for the San Antonio area is between three dollars and eighty-three cents ($3.83) and three dollars and ninety-five cents ($3.95), there will be no fuel adjustment calculation.

(2)

Any adjustment in the rate due to fuel cost fluctuation shall become effective January 1, starting the first year after the enactment of this Code provision.

(g)

Nothing in this section shall preclude the city from undertaking a tow fee study at its own discretion at any time.

(Ord. No. 2013-01-31-0075, § 1(Att. I), 1-31-13)