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HomeMy WebLinkAboutC24111 - Shopping Cart RetrievalContract No. C24111 REQUEST: SUBMITTED BY: APPLICANT: DATE: Recommendation: LLP CITY OF PALM DESERT DEVELOPMENT SERVICES STAFF REPORT Extend the Contract through the end of the 2006/07 Fiscal Year for Ongoing Shopping Cart Retrieval Services Gary Rosenblum, Risk Manager California Shopping Cart Retrieval 6363 Auburn Boulevard, Suite B Citrus Heights, CA 95621 July 13, 2006 By Minute Motion: Approve a 12-month extension to the existing contract through the end of the 2006/07 Fiscal Year for California Shopping Cart Retrieval Corporation (CART) Retrieval Services. Executive Summary: On January 12, 2006, the City Council approved a contract extension and budget appropriation of $15,000 to contract with California Shopping Cart Retrieval Corporation (CART) to the end of the 2006 fiscal year. The service provided by California Shopping Cart Retrieval Corporation (CART) has proven to be satisfactory and the request is to continue the service contract for 12 more months. California Shopping Cart Retrieval Corporation (CART) invoices the City on a $4.50 per -cart -retrieved basis, and is retrieving approximately 267carts per month. Since implementing this service the City has spent $11,300 in 10 months. Funds are available in Account No. 110-4260-422.30-90 in the amount of $15,000.00 to pay for this service for the 2006/07 fiscal year. Discussion: The top ten stores for number of carts collected every month tend to be Target, Trader Joes, Dollar Tree, 99 Cent Store, Bed Bath and Beyond, Walgreens, Jensen's, Home Goods, Rite Aid and Toys R Us. The locations where the carts are found indicate that the combination of retail type (regularly purchased food and sundry domestic goods) and proximity to either a bus stop, or a concentration of rental apartments or particular neighborhoods where certain residents regularly take the carts home and leave them in the street. Extend Contract for Shopping Cart Retrieval Services Page 2 of 2 July 13, 2006 The City has an important interest in continuing the cart retrieval service to reduce visual blight. The City's cart retrieval program also empowers residents who are unhappy about seeing the carts on their streets to be able to make the phone call, report the cart, and take an active, positive role in improving their community. The phone number is 800-252-4613. The program has been successful from the standpoint of removing the carts from the streets efficiently, and CART has provided a good quality service. The current program does nothing to prevent carts from being taken and abandoned. The City has no ordinance requiring anything of retailers to prevent their carts from being taken from their property and abandoned on City and private property. There is no organized program to contact retailers and request that they improve their performance in regard to abandoned shopping carts. The cart retrieval service does not contact each retailer to document delivery of the returned carts, so the retailers have no direct knowledge of how many carts our service is bringing back to their property. Retail stores that utilize shopping carts incur a cost to buy and maintain them. Some, such as our major food stores like Albertsons, Vons and Ralphs, also incur the additional cost to contract with CART directly to bring their carts back. Consequently, shopping carts from these retailers do not appear on our monthly reports at all. Submitted By: Gary Rosenblum Risk Manager Approval: Carlos L. Ort City Manage Paul Gi oln + Director f Finance/City Treasurer Department Head: Homer Croy ACM for Development Services ZITY COUNCIL ACTION: APPROVED DENIED RECEIVED OTHER. MEETIN_ DATE /". / tAo AYES: NOES:, �P�JC ABSENT:, ABSTAIN: VERIFIED BY: I4 Original on File wi City Clerk's Office