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HomeMy WebLinkAboutC24112 - Shopping Crt RtrvlREQUEST: SUBMITTED BY: APPLICANT: DATE: Recommendation: N CITY OF PALM DESERT DEVELOPMENT SERVICES STAFF REPORT Extension of Contract for Shopping Cart Retrieval Services (Contract No. C2411 2 ) Gary Rosenblum, Risk Manager California Shopping Cart Retrieval Corporation (CART) 6363 Auburn Boulevard, Suite B Citrus Heights, CA 95621 June 28, 2007 By Minute Motion: Approve a one-year extension to the subject contract with California Shopping Cart Retrieval Corporation, Citrus Heights, California, at the rate of $4.50/per cart. Funds are available in the FY 2007/2008 budget from Account No. 110-4260-422-3090. Executive Summary: On July 13, 2006, the City Council approved a contract extension and budget appropriation of $15,000 to the contract with California Shopping Cart Retrieval to the end of the 2006/2007 fiscal year. The service provided by California Shopping Cart Retrieval Corporation has proven to be satisfactory and the request is to extend the service contract for one year. California Shopping Cart Retrieval Corporation retrieves carts three days a week and invoices the City on a $4.50 per -cart -retrieved basis. This fiscal year, the number of carts retrieved has increased from approximately 267carts per month to 300 per month. The City has spent an average of $1,350 per month for shopping cart retrieval in FY 2006/07. Funds are available in Account No. 110-4260-422-3090 in the amount of $17,000.00 to pay for this service for the 2007/08 fiscal year. Discussion: The City contracts with a service provider to take shopping carts off our streets to diminish visual blight and reduce risk of accidents. The carts come from a wide range of Palm Desert retailers including, but not limited to Trader Joes, Dollar Tree, 99 Cent Store, Bed Bath and Beyond, Walgreens, Jensen's, Home Goods, Rite Aid and Toys R Us. Many carts are taken off the retailer's property (which technically is theft of private property) Extension for Shopping Cart Retrieval Services Page 2 of 2 June 28, 2007 to transport purchases to either a bus stop, or to apartments in particular neighborhoods. It is presumed that certain Palm Desert residents who do not drive walk the carts home and then leave them in the neighborhood, while others take the bus from neighboring cities, and leave them at the bus stops. The City has an important interest in getting carts off the street to reduce visual blight and reduce the potential risk of cart related accidents. The City's cart retrieval program also empowers residents who are unhappy about seeing the carts on their streets to be able to make a phone call, report the cart, and take an active, positive role in improving their community. The program has been successful from the standpoint of removing the carts from the streets efficiently, and California Shopping Cart Retrieval Corporation has provided a good quality service. The City currently 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. There is no organized program to contact retailers and request that they improve their performance in regard to preventing the theft of their shopping carts. There is no program to encourage residents who do not own vehicles to acquire their own personal cart to use each time they shop. 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 California Shopping Cart Retrieval Corporation directly to bring their carts back. Consequently, shopping carts from these retailers do not appear on our monthly reports at all. The retailers who do not contract with the service are essentially having their cart retrieval service subsidized by the City. Submitted By: Gary Rosefiblum Risk Manager Approval: Carlos L. Ort • a City Manager J 'aul Gibson Director of Finance/City Treasurer Department Hea Horner Cro ACM for opment Services CITY COUNCIL ACTION: APPROVED DENIED RECEIVED OTHER MEETING DAT_ AYES: NOES: ABSENT: ABSTAIN:�r- VERIFIED BY: j /41/n Original on File Gil City Clerk's Office ITEM WAS REMOVED FOR SEPARATE DISCUSSION - THEN APPROVED THE RECOMMENDATION, WITH ADDITIONAL DIRECTION FOR STAFF TO RETURN TO THE CITY COUNCIL WITH ANY RECOMMENDATIONS THAT COULD BE INCORPORATED WITH EXISTING STATE LAW RELATIVE TO SHOPPING CART RETRIEVAL IN THE CITY. g-0?