4-Attachment B - SOW - MH26-11 Tow and Wrecker Services - FINAL.docx

Scope of Work Attachment B

1. PURPOSE

a. The purpose of this State of Utah Cooperative Contract will be for the benefit and use of all Eligible Users, which includes the State of Utah’s government departments, institutions, agencies, political subdivisions (e.g., colleges, school districts, counties, cities, etc.), and, as applicable, nonprofit organizations, agencies of the federal government, or any other entity authorized by the laws of the State of Utah to participate in State Cooperative Contracts. This contract does not guarantee any sales.

b. Any awarded contract may be modified to incorporate new technology or technological upgrades related to the Scope of Work throughout the term of the contract.

2. ANTICIPATED PRODUCTS, SERVICES, and BACKGROUND

a. It is anticipated that the awarded Contractors will provide towing and wrecking services for Eligible Users. Towing and wrecking services will be for Eligible User’s fleet vehicles, such as cars, trucks, vans, heavy duty vehicles, and buses and associated equipment on an as needed basis when they are mechanically disabled or involved in accidents. Any related services will be considered within the scope of work.

b. This scope of work excludes privately owned vehicles (i.e. Eligible Users must not use this contract to have private-citizen vehicles towed. This scope of work also excludes police dispatch rotations or other rotation types.

c. Historically, the State has had 8 vendors on contract within the Tow and Wrecking portfolio, which expires in the Fall of 2026. Net sales from all the contracts (collectively), ranged from $66,000 - $89,000 per year. The State hopes to award Contractors that can service any or all counties within the State of Utah.

i. A Contractor does not have to service the entire State but will be required to service at least one entire county to be awarded a contract.

ii. Net sales are historical figures and do not reflect any future guarantee of sales.

3. SCOPE OF WORK

a. Eligible Users

i. The primary Eligible Users are State Agencies or other entities that operate under the authority or require the assistance of the State’s Division of Risk Management or the State’s Division of Fleet Operations.

ii. While specific Division of Risk Management or Division of Fleet Operations policies and internal workflows are incorporated into this Scope of Work, the core service requirements and pricing are applicable to all Eligible Users. Eligible Users not subject to the Division of Risk Management or Division of Fleet Operations may utilize this contract for their towing and wrecking needs according to their own internal policies and preferences.

b. Response Times & Availability

i. The Contractor must provide towing services on a 24-hour, seven day per week basis with a single 24-hour phone line.

1. Contractors that decline towing requests will be reported to the Division of Purchasing Contract Manager by the Eligible Users. Upon multiple reports of being unable to fulfill the towing requests, the Contract Manager may terminate this contract as stated in Attachment A

ii. The Contractor must arrive at the scene within the stated times from the time of the call for service, unless delayed due to conditions listed in Delays Section (Section g).

1. Salt Lake, Davis, Weber, and Utah counties (i.e. The Wasatch Front): 25 minutes

2. All other counties: 45 minutes

3. Rural Areas, although not defined, may be allotted additional time upon mutual agreement between the Eligible User and the Contractor.

iii. If a Contractor is not available to provide service within the times stated above, the Eligible User has the right to cancel the service request and/or request the service from any available vendor.

1. When there is not a Contractor available in a particular county, Eligible Users may call any vendor based on the needs of their situation, whether they are an awarded Contractor or not.

c. Contractor Requirements

i. The Contractor must ensure all equipment required for these services be suitable for the purpose intended, unless otherwise specifically provided in this contract. This includes equipment being in satisfactory mechanical condition and the proper type of equipment is utilized for each service request, consistent with industry standards.

ii. The Contractor must ensure all work be performed in a skillful and workmanlike manner. Eligible Users may require in writing that the Contractor remove any employee deemed by the State to be incompetent, careless, or otherwise objectionable.

iii. The Contractor must be in good standing with the Utah State Tax Commission and provide a letter of good standing upon request.

d. Towing Operations

i. The Contractor must confirm the drop off location at the time of the initial call.

1. The Eligible User may arrange for the pick up and drop off of multiple or other vehicles upon request.

ii. Contractors must completely clean the scene of an accident, including but not limited to oil, debris, radiator fluid including absorbent material etc.

iii. Recovery Operations, meaning when a vehicle is trapped, overturned, etc., that require specialized recovery equipment or expertise, must be pre-approved by the Eligible User. This includes, but is not limited to, any non-standard situations (e.g. situations that require more than the ‘one-truck, one-operator’). The driver of the vehicle does not have the authority to pre-authorize this service or any additional fees associated with this service.

e. Subcontractors

i. An approved list of subcontractors must be provided by the Contractor and will be available on the State’s contract website. Updates to this list must be emailed to the Division of Purchasing’s Contract Manager.

ii. If the Contractor sends a subcontractor out for the towing service, the subcontractor providing the service must comply with all aspects of this contract at the stated rates of this contract.

iii. If the Contractor sends a subcontractor out for the towing service, the subcontractor must be able to provide documentation of the subcontractor relationship with the Contractor upon the request of the Eligible User.

f. Holding Yards & Compliance

i. All yards must be State Tax Commission licensed and secured to prevent unauthorized access. If a Contractor leases or rents a yard then they must have a letter of authorization to use said properties (dated, notarized, and on owner letterhead).

ii. All yards must have signage that clearly identifies a contact or company name, a phone number, a yard number, and the hours of operations.

iii. The Contractor may not hold vehicles in impound.

g. Excusable Service Delays

i. Any failure to perform to the Eligible Users expectations must be beyond the control of the Contractor.

ii. The Contractor will not be at fault or in risk of contract breach for a delay resulting from the effects of a natural or human caused events outside of the Contractor’s control, such as: fires, floods, extreme or severe weather, epidemics, quarantine restrictions, strikes, road closures, or any like situations.

1. Severe weather is considered any weather that is unusual for the State of Utah. Winter weather can and should be expected; however, heavier than expected snowfall would be considered severe weather. Contractor and public safety should never be compromised.

h. Towing Receipts, Invoices, and Payment Information

i. The Contractor is required to provide a Towing Receipt containing the following information:

1. Contractor’s business name, address, and phone number

2. Contractor’s Driver’s Name (i.e. the employee who performed the towing)

3. Unit number (of the vehicle being towed)

4. Year, Make, model, and vehicle identification number (VIN) of the towed vehicle

5. License plate number of the towed vehicle

6. Start and end time with total hours (rounded to nearest quarter-hour) of services provided

7. Date the towed vehicle was delivered or retrieved from the tow yard or storage area, if applicable

8. Line-item Description of services and allowed fees

9. This contract number

ii. Invoices should be immediately provided to the Eligible User via email and within 15 days. The earlier the better to ensure the Division of Risk Management or Division of Fleet Operations has sufficient time to process the invoice.

iii. The Contractor must charge the rates as stated in this contract regardless of when it is discovered the vehicle belonged to an Eligible User, even if it is discovered after an invoice is created. Invoices must be corrected and re-issued to the Eligible User in the event non-contracted rates or fees are charged.

iv. If the Eligible User requests to set up a charge account with the Contractor, the Contractor must not require the Eligible User to sign any agreement or application (i.e. credit application) that contains additional terms and conditions beyond this agreement.

4. PRICING INFORMATION

a. Contractor must provide pricing, or a way to determine pricing, for all products, services, and fees related to the scope of this agreement. Pricing will be detailed in Attachment C of this agreement.

b. The Contractor must not charge any fees that are not listed on the Price Sheet (Attachment C), for added clarification:

i. The Contractor must not charge storage fees for Eligible User’s vehicles while waiting to deliver to an authorized auto shop should that business be closed. When authorized auto shop is open and contractor is delivering the vehicle, Contractor may only charge hookup fee from Contractor’s nearest yard to vendor.

ii. The Contractor must not charge a mileage fee (in addition to a milage rate), drop fees, after hour fees, administrative fees, deadhead fees, credit card processing fees, or any other miscellaneous fees.

iii. If a County Dispatcher requests the service on behalf of an Eligible User, and the County Dispatch charges a dispatch fee to the Eligible User, then the Contractor may charge that dispatch fee to the Eligible User as a pass-through fee to the Eligible User. In such cases, the Contractor must provide a copy of the Dispatch County’s records reflecting the dispatch fee.

iv. Fuel Surcharges – Fuel surcharges may be allowed if the fuel is greater than $4.00 per gallon based on the Rocky Mountain Daily Average per gallon fuel costs and may not exceed 15% of the standard rate.

1. Standard Rate = Tow Rate + (miles x per mile rate)

a. Example: Tow rate: $120.00 + 10 miles @ $3.00 per mile $120.00 + $30.00= $150.00 x 15% = $22.50 as fuel surcharge Fuel surcharge cannot exceed $22.50 in this example.

2. To determine the Rocky Mountain daily average per gallon (for diesel or gasoline), refer to the US Energy Information Administration's website at https://www.eia.gov/

c. The Contractor may not charge full hourly rates for partial hours worked. Hourly rates are to be billed in quarter-hour (15-minute) increments.

d. All pricing and rates are guaranteed during the price guarantee period. Pricing is considered maximum pricing. After the price guarantee period is over, the Contractor may submit a request to amend the contract pricing if the following conditions are met:

i. The price guarantee period has been met.

ii. The request is made at least 30 days in advance of the expected effective date.

iii. The price adjustment must not produce a higher profit margin than the original contract pricing

iv. The price adjustment may not exceed the Division of Risk Management’s maximum amounts. The Division of Purchasing Contract Manager can provide those amounts to the Contractor upon request.

v. The request includes a thorough market analysis (e.g. data from the Producer Price Index) and/or documentation with objective data from the Contractor’s suppliers of materials or products.

The Division of Purchasing’s Contract Manager has the right to approve or deny any price adjustment requests. Pricing will remain as stated in the agreement beyond the price guarantee period until an amendment has been executed.

e. Additional services with associated pricing may be added to the contract upon approval of the Division of Purchasing’s Contract Manager. Additions, with their applicable pricing must be incorporated via amendment.

i. Contractor may only request additions once per calendar year