Council allows signing of deals with 2 towing firms

CEBU - To intensify the campaign against illegally-parked vehicles, the Cebu City Council’s committee on laws and ordinances has allowed acting mayor Michael Rama to sign contracts with two private towing companies to tow vehicles that are parked in areas designated as no parking zones.

Once Rama signs the contracts, Road Warriors Towing Services and One-Stop Towing Services may start operating legally in the city and collect the corresponding fees from the drivers or owners of the vehicles towed.

Councilor Edgardo Labella, chairman of the committee on laws and ordinances that reviewed the proposal of Councilor Augustus Pe Jr., said the City Government has the power to enter into contracts with private entities for the purpose of delivering basic services and in the exercise of its powers, such as the regulation of streets and traffic.

In the prepared draft of the contract, it was stated that it is the towing company or the city that will assume sole responsibility for the theft, disappearance or damage of a vehicle, or its parts, or any personal effects within the vehicle, once the vehicle has been taken to the city’s impounding area or storage facility of the towing company.

For every four-wheeled vehicle that will be towed by the private towing company, the city shall be entitled to a share of 15 per cent of the towing fees, and 25 percent share for the towing fees of motorcycles.

It was learned that towing of vehicles in Cebu City has become a lucrative business because a towing company may earn up to P1 million a month out of towing fees.

There is an existing ordinance that allows the inclusion of the motorcycles in the impounding if these are found illegally parked in sidewalks obstructing the pedestrian lanes.

In the past months, there were about 800 motorcycles and several other types of vehicles that were towed every month.

The owners of motorcycles that are towed by the private towing company need to pay P1,500 before they can claim back their units and P2,000 to P3,000 on other types of vehicles, depending on the category.

In the draft contract prepared by One-Stop Towing Services, it was stated they should be allowed to remove a mechanical part of the vehicle to prevent unauthorized removal of the unit but it would be reflected in the inventory list.

Mayor Tomas Osmena earlier explained that the idea of towing and impounding the vehicles caught illegally parked in the roads and streets of the city is meant to discourage the motorists not to obstruct the roads and prevent traffic congestion. — Rene U. Borromeo/WAB (FREEMAN NEWS)