Article of American Towman magazine

An efficient storage facility begins with the operator's knowledge of contract or permitting process.

Regardless of the kinds of towing the operator provides, the bottom line remains the operator’s ability to provide ample protection, care and custody of vehicles stored for private property impounds, law enforcement seizures, law enforcement tows, private storage requests by the general public and insurance holds.

Location: Review contract specifics as to location requirements, distance of storage facility in relation to law enforcement substation, command center, jurisdiction or patrol beats. In areas where geographical /rural jurisdiction covers large areas, the contract will dictate where the storage facility may be located. In rural locations, specifics may be loosely defined. Be sure you understand the exact requirements as to where the storage facility may be located. Example: — “the business office and storage yard must be within five-miles of the sheriff’s substation. Only inspected and approved facilities may be used.”

Minimum Size and Requirements: Contract specifics shall denote exact or approximate sizes and make a specific statement, i.e., — “Facility must be capable of storing 400 vehicles.” General wording of most contracts shall indicate something to the effect, ... “the minimum storage area shall be sufficient size to hold all vehicles stored as a result of this contract.” Other contracts may state — “facility size must be capable of handling 75 to 100 vehicles.” As an average, lot sizes acceptable by contract are usually 10,000 square feet, however, varies by description size and need. Pay special attention to size requirements. Additional requirements will specify types of minimal structure and square footage for business offices. Contract stipulation may require interior storage space.

Compliance with Local Requirements: All fencing, lighting, signage and structures must be approved and certified by regional, municipal, or state zoning. All applicable zoning and building codes must be met. Documents showing proof of acceptance are commonly required and called for as enclosures to a submitted bid. Contract narrative may state, — “Tow operator will have available and provide copies of local governing body’s zoning, special use, conditional use, business, and special requirement permits. Additionally, operators will provide proof of compliance to all local requirements.” When providing copies of documents, review all dates of expiration before submittal. This is an area where applicants are disqualified due to a single document (out-of-many) being submitted with an already expired date.

Perimeter and Interior Security: Storage facilities must utilize materials of common construction to surround and illuminate interior and exterior perimeters. The operator must provide security in the best interest of keeping unauthorized individuals away from stored vehicles. Specific requirements may be spelled out in contract narrative. Special attention is important in understanding exactly what is required.

Lot Surface: Contract narratives may call for a specific surface within the facility. Depending on geographical location of the storage yard, surfaces required are those designed to resist standing water. Surfaces that provide ample drainage are generally acceptable. Know what the requirements are in your area.

Examination Area: Especially in contracts requiring evidence inspection, an area must be set aside where a subsequent investigation may be held. Surface size varies depending on the needs of the agency. Whatever the actual size, contracts often specify a minimum measurement around the vehicle and to allow the use of a mechanic’s creeper for bottom-side inspection. The examination area may call for installation of electrical outlet(s) so work lights may be used.

Fencing and Gates: Exterior walls may be of solid concrete block, board or chain link fencing material having sufficient strength to deter unauthorized entry. General narrative may indicate, — “the storage area will be completely enclosed with a 6-foot high security fence with poles set no further apart than 8-feet and embedded in concrete.” This type of fence is typical in most storage areas to provide minimal acceptance to contract specifics. Does the contract call for “vision obscurement material”? Fences and walls of other types having greater strength and height are acceptable. Usually, no requirement as to barbed or Concertina-wire is called for within a bid. At the choosing of the operator, they may install these products at their own liability. Although a great deterrent and based on local law, injuries inflicted by these products may result in the operator paying damages.

When your fence is of adequate construction, include a photograph of the perimeter wall with a brief narrative noting additional strength and height to illustrate acceptable security. Does the contract specify that, if vehicles are towed by various agencies, must they be stored in separate areas? If an evidence area is requested, what are the specifics as to size and security?

Gates can be of any combination, size and manufacturer as long as they provide the same ample protection to keep unauthorized persons from entry. Electric entry-gates controlled by key personnel are most efficient. It’s advisable to have one individual gate that allows pedestrian traffic into escorted perimeter areas. Rolling gates are stronger than swinging gates. What best suits the needs of your company and facility in relation to the volume will determine the best answer.

Lighting: There must be adequate lighting to illuminate perimeter and interior footage of the facility. All lighting must meet standards set by local governing agency in regards to zoning and permits. Contract specifics generally identify minimum requirements as to the type of products used to provide minimum illumination. Example: — “The minimum lighting standards per 10,000 square feet and approved by established local authority shall be:

1. Four (4) 300 watt Incandescent Medium - wide flood lights or,
2. Three (3) 300 watt Quartz Halogen lights or,
3. Two (2) 100 watt High Pressure Sodium filled.

Narrative for lighting requirements generally indicates minimum standards or formula depending on square footage of the facility. Where allowable storage yards are smaller in size, the contract will denote acceptable standards. Watch for wording regarding facility size, i.e., — “Additional square footage will be at the same ratio,” or, — “Storage yards with less than 10,000 square feet will meet the above minimums.” Where specifically indicated in contract narrative, meeting minimums will assure compliance to the contract. Any lighting beyond minimums is more than acceptable. A well-balanced use of motion detector lights, dusk-to-dawn timers, and flood bulbs provide adequate illumination.

Cameras: Most contracts don’t require the use of security cameras. This is an option at the discretion of the operator. Cameras are subject to malfunction, weather conditions and high expense. Systems do allow for 24-hour screening. In areas where theft and unlawful entry are common, cameras may act as an additional deterrence when known. Cameras are a better deterrent to employee theft when personnel are aware that the premises are under constant surveillance. Cameras within the employee areas (release counters, and cashier stations) keep incidents of employee theft down. Depending on the needs of the operator, cameras may be placed where employees are not aware of their presence. In the event of theft, replay may turn a suspect up. In most cases, office employees do not pay attention to their use.

Security Dogs: A security dog can be a valuable tool in rural areas. In city tow facilities, dogs are an extreme liability issue. Consider the overall safety in regards to an accidental dog-bite versus hiring armed or unarmed security guards. Here is an area that is seldom (if ever) seen in a law enforcement contract. Like calling for barbed wire and Concertina-wire, contract administrators are aware of existing litigation that may be brought against their agency when a dog bite occurs. Carefully evaluate the need against potential liability if you choose using a guard dog. Consult your insurance carrier to obtain additional coverage. You may find that many insurance companies will not provide dog-bite coverage in these types of applications.

On-Site Residents: Where allowed by contract, on-site residents may be considered employees of the company and must submit to a background investigation in the same manner as required by contract. This applies where that individual is within the storage compound and has access to stored vehicles. Where the on-site resident is a watch person only and does not interact with customers of the company, approval may not be required. It’s always best to seek approval of the contracting agency before allowing the person such residency.

Insurance Coverage: As with insuring other aspects of your company, the contract may call for specific amounts of business coverage. Consult your agent for proper Garage Keepers Legal Liability (GKLL) coverage in instances of theft, damage, dog-bite, on-site injury, Workman’s Compensation, fire and other incidents that result in monetary loss to the company, employees, vehicle owners, and the general public visiting your facility. Limits will be stipulated within the contract narrative, Example — “a combined single limit not less than $750,000 per occurrence shall be carried.”

Accessibility: The storage yard and/or business office must be accessible 24-hours a day and 7-days a week so that the owner or their agent may pay for the towing and storage fees to recover their vehicle and obtain its release. Contracts do allow for an after-hours gate fee to be charged where specifically spelled out in contract narrative.

Business Office Requirements: The business office must be clean and free of reasonable debris that presents a business like image to the general public. Access to a public phone and a customer sitting area may be made available. Contacts may require that the operator shall allow any agency representative or their agent, access to business records for their review during normal business hours. Operators shall provide such access where mandated.

Editor’s Note: Next month Part 2 will conclude this article.

Managing Your Impound Lot & Understanding Contract Specs (Part 1 of 2) An efficient storage facility begins with the operator's knowledge of contract or permitting process. Regardless of the kinds of towing the operator provides, the bottom line remains the operator’s ability to provide ample protection, care and custody of vehicles stored for private property impounds, law enforcement seizures, law enforcement tows, private storage requests by the general public and insurance holds. Location: Review contract specifics as to location requirements, distance of storage facility in relation to law enforcement substation, command center, jurisdiction or patrol beats. In areas where geographical /rural jurisdiction covers large areas, the contract will dictate where the storage facility may be located. In rural locations, specifics may be loosely defined. Be sure you understand the exact requirements as to where the storage facility may be located. Example: — “the business office and storage yard must be within five-miles of the sheriff’s substation. Only inspected and approved facilities may be used.” Minimum Size and Requirements: Contract specifics shall denote exact or approximate sizes and make a specific statement, i.e., — “Facility must be capable of storing 400 vehicles.” General wording of most contracts shall indicate something to the effect, ... “the minimum storage area shall be sufficient size to hold all vehicles stored as a result of this contract.” Other contracts may state — “facility size must be capable of handling 75 to 100 vehicles.” As an average, lot sizes acceptable by contract are usually 10,000 square feet, however, varies by description size and need. Pay special attention to size requirements. Additional requirements will specify types of minimal structure and square footage for business offices. Contract stipulation may require interior storage space. Compliance with Local Requirements: All fencing, lighting, signage and structures must be approved and certified by regional, municipal, or state zoning. All applicable zoning and building codes must be met. Documents showing proof of acceptance are commonly required and called for as enclosures to a submitted bid. Contract narrative may state, — “Tow operator will have available and provide copies of local governing body’s zoning, special use, conditional use, business, and special requirement permits. Additionally, operators will provide proof of compliance to all local requirements.” When providing copies of documents, review all dates of expiration before submittal. This is an area where applicants are disqualified due to a single document (out-of-many) being submitted with an already expired date. Perimeter and Interior Security: Storage facilities must utilize materials of common construction to surround and illuminate interior and exterior perimeters. The operator must provide security in the best interest of keeping unauthorized individuals away from stored vehicles. Specific requirements may be spelled out in contract narrative. Special attention is important in understanding exactly what is required. Lot Surface: Contract narratives may call for a specific surface within the facility. Depending on geographical location of the storage yard, surfaces required are those designed to resist standing water. Surfaces that provide ample drainage are generally acceptable. Know what the requirements are in your area. Examination Area: Especially in contracts requiring evidence inspection, an area must be set aside where a subsequent investigation may be held. Surface size varies depending on the needs of the agency. Whatever the actual size, contracts often specify a minimum measurement around the vehicle and to allow the use of a mechanic’s creeper for bottom-side inspection. The examination area may call for installation of electrical outlet(s) so work lights may be used. Fencing and Gates: Exterior walls may be of solid concrete block, board or chain link fencing material having sufficient strength to deter unauthorized entry. General narrative may indicate, — “the storage area will be completely enclosed with a 6-foot high security fence with poles set no further apart than 8-feet and embedded in concrete.” This type of fence is typical in most storage areas to provide minimal acceptance to contract specifics. Does the contract call for “vision obscurement material”? Fences and walls of other types having greater strength and height are acceptable. Usually, no requirement as to barbed or Concertina-wire is called for within a bid. At the choosing of the operator, they may install these products at their own liability. Although a great deterrent and based on local law, injuries inflicted by these products may result in the operator paying damages. When your fence is of adequate construction, include a photograph of the perimeter wall with a brief narrative noting additional strength and height to illustrate acceptable security. Does the contract specify that, if vehicles are towed by various agencies, must they be stored in separate areas? If an evidence area is requested, what are the specifics as to size and security? Gates can be of any combination, size and manufacturer as long as they provide the same ample protection to keep unauthorized persons from entry. Electric entry-gates controlled by key personnel are most efficient. It’s advisable to have one individual gate that allows pedestrian traffic into escorted perimeter areas. Rolling gates are stronger than swinging gates. What best suits the needs of your company and facility in relation to the volume will determine the best answer. Lighting: There must be adequate lighting to illuminate perimeter and interior footage of the facility. All lighting must meet standards set by local governing agency in regards to zoning and permits. Contract specifics generally identify minimum requirements as to the type of products used to provide minimum illumination. Example: — “The minimum lighting standards per 10,000 square feet and approved by established local authority shall be: 1. Four (4) 300 watt Incandescent Medium - wide flood lights or, 2. Three (3) 300 watt Quartz Halogen lights or, 3. Two (2) 100 watt High Pressure Sodium filled. Narrative for lighting requirements generally indicates minimum standards or formula depending on square footage of the facility. Where allowable storage yards are smaller in size, the contract will denote acceptable standards. Watch for wording regarding facility size, i.e., — “Additional square footage will be at the same ratio,” or, — “Storage yards with less than 10,000 square feet will meet the above minimums.” Where specifically indicated in contract narrative, meeting minimums will assure compliance to the contract. Any lighting beyond minimums is more than acceptable. A well-balanced use of motion detector lights, dusk-to-dawn timers, and flood bulbs provide adequate illumination. Cameras: Most contracts don’t require the use of security cameras. This is an option at the discretion of the operator. Cameras are subject to malfunction, weather conditions and high expense. Systems do allow for 24-hour screening. In areas where theft and unlawful entry are common, cameras may act as an additional deterrence when known. Cameras are a better deterrent to employee theft when personnel are aware that the premises are under constant surveillance. Cameras within the employee areas (release counters, and cashier stations) keep incidents of employee theft down. Depending on the needs of the operator, cameras may be placed where employees are not aware of their presence. In the event of theft, replay may turn a suspect up. In most cases, office employees do not pay attention to their use. Security Dogs: A security dog can be a valuable tool in rural areas. In city tow facilities, dogs are an extreme liability issue. Consider the overall safety in regards to an accidental dog-bite versus hiring armed or unarmed security guards. Here is an area that is seldom (if ever) seen in a law enforcement contract. Like calling for barbed wire and Concertina-wire, contract administrators are aware of existing litigation that may be brought against their agency when a dog bite occurs. Carefully evaluate the need against potential liability if you choose using a guard dog. Consult your insurance carrier to obtain additional coverage. You may find that many insurance companies will not provide dog-bite coverage in these types of applications. On-Site Residents: Where allowed by contract, on-site residents may be considered employees of the company and must submit to a background investigation in the same manner as required by contract. This applies where that individual is within the storage compound and has access to stored vehicles. Where the on-site resident is a watch person only and does not interact with customers of the company, approval may not be required. It’s always best to seek approval of the contracting agency before allowing the person such residency. Insurance Coverage: As with insuring other aspects of your company, the contract may call for specific amounts of business coverage. Consult your agent for proper Garage Keepers Legal Liability (GKLL) coverage in instances of theft, damage, dog-bite, on-site injury, Workman’s Compensation, fire and other incidents that result in monetary loss to the company, employees, vehicle owners, and the general public visiting your facility. Limits will be stipulated within the contract narrative, Example — “a combined single limit not less than $750,000 per occurrence shall be carried.” Accessibility: The storage yard and/or business office must be accessible 24-hours a day and 7-days a week so that the owner or their agent may pay for the towing and storage fees to recover their vehicle and obtain its release. Contracts do allow for an after-hours gate fee to be charged where specifically spelled out in contract narrative. Business Office Requirements: The business office must be clean and free of reasonable debris that presents a business like image to the general public. Access to a public phone and a customer sitting area may be made available. Contacts may require that the operator shall allow any agency representative or their agent, access to business records for their review during normal business hours. Operators shall provide such access where mandated. Editor’s Note: Next month Part 2 will conclude this article.