Archive: City of Toronto Licensing and Standards Committee

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Declarations of Interest under the Municipal Conflict of Interest Act

Confirmation of Minutes: June 14, 2017

Speakers/Presentations: A complete list will be distributed at the meeting

Communications/Reports

Tow Truck Owners and Drivers

Towing Rates

Private Property Towing Rate

1.  City Council increase the private property towing rate from $88 to $108 (plus applicable taxes), inclusive of all services that may be performed in relation to the tow.

Accident Towing Rate

2.  City Council remove differentiated towing rates for the towing of vehicles from City streets (currently $166) and from highways (currently $188), and set a harmonized accident towing rate of $250 (plus applicable taxes), inclusive of all services that may be performed in relation to the tow, with the exception of any additional fees for recovery services and mileage, where required.

3.  City Council direct that the private property and accident towing rates shall automatically increase, annually, based on the Consumer Price Index for the Toronto Census Metropolitan Area.

Recovery Services

4.  City Council permit tow truck owners and drivers to charge a fee of $100 (plus applicable taxes) should the performance of recovery services be required when towing a vehicle from an accident scene on a City street or highway.

5.  City Council direct that tow truck owners and drivers be required to take a minimum of two clear photographs to justify charging for recovery services.

6.  City Council add a definition of “recovery services” to mean: “A service carried out to relocate or reposition a vehicle that involves the use of a winch or a specialized extraction device and that must be performed to prepare a vehicle for attachment or towing, but does not include the use of a hoisting device, a hook, a dolly, a flat bed, or other standard equipment used in the towing of a vehicle.”

7.  City Council delete the section that permits tow truck owners to charge and include a fee on their schedule of rates (which must be filed with Municipal Licensing and Standards) for the uprighting of an overturned vehicle and winching, as these services are included in the City’s proposed regulated rate for recovery services.

Second Tow from a Collision Reporting Centre

8.  City Council delete the current restriction on re-tows and permit tow truck owners and drivers to charge a fee for towing a vehicle from a collision reporting centre to a destination as directed by a consumer, provided that the fee is agreed upon in advance by the consumer.

Mileage

9.  City Council permit tow truck owners and drivers to charge a fee of $3.25 per kilometer (plus applicable taxes), for each kilometre of travel beyond 5 km outside the City, when directed by a consumer to tow his or her vehicle from an accident scene to a final destination more than 5 km outside City limits.

Schedule of Rates

10.  City Council direct that the schedule of rates that tow truck owners must file with Municipal Licensing and Standards, list maximum charges for specific towing and storage services, rather than listing ranges containing a minimum and maximum charge, and that towing rates set by the City of Toronto need not be filed.

11.  City Council direct that tow truck owners be required to file a current and up-to-date schedule of rates with Municipal Licensing and Standards, when any changes occur or upon licence renewal.

Vehicle Weight

12.  City Council add a definition of “Manufacturer’s Gross Vehicle Weight Rating (GVWR)” to mean: “The maximum total vehicle rated capacity, as rated by the manufacturer specification stamp on the vehicle, which includes the weight of the vehicle’s chassis, body, engine, engine fluids, fuel, accessories, driver, passengers and cargo.”

13.  City Council increase the regulated vehicle weight to which regulated towing rates apply from 6,000 lb to 3,175 kg (7,000 lb), to ensure that the majority of passenger vehicles are subject to regulated rates for private property and accident towing.

14.  City Council amend all weights specified in the bylaw, from imperial units to metric units.

Written Authorization

15.  City Council direct that:

a.  tow truck owners and drivers receive written authorization from a consumer or someone acting on the consumer’s behalf before providing or charging for towing and storage services; which authorization must include:

i.  information explaining the roles, rights and responsibilities of the tow truck owner/driver and the consumer;

ii. the date/time the tow truck arrived on scene;

iii. the origin/location of the tow;

iv.  the final destination of the tow as directed by the consumer (or where applicable, a police officer);

v.  the name and contact information of the towing company;

vi. the tow truck operator’s ML&S tow truck driver licence number and ML&S tow truck number plate;

vii. information of the vehicle being towed (make, model, year, VIN #, licence plate);

viii. the name and contact information of the consumer;

ix.  the name, badge number, and detachment of the police officer leading the accident investigation (where applicable);

x.  an itemized bill listing services provided, the cost for each service and the total cost charges (and any estimated charges);

xi.  the signature of the consumer (or the police officer in charge of the accident investigation) giving consent to perform the listed towing services; and

xii. the signature of the tow truck owner or driver.

b.  the written authorization be completed in duplicate, with one copy provided to the consumer and the other copy retained by the tow truck owner;

c.  tow truck owners and drivers be prohibited from altering any information on the written authorization, once the tow truck owner or driver and consumer have agreed upon and signed-off on the written authorization; and

d.  in the event that the agreed upon final destination is not able to accept a consumer’s vehicle, that the tow truck owner or driver obtain authorization from the consumer (or someone acting on the consumer’s behalf) for an alternate destination.

Deviation in Final Bill of Services

16.  City Council prohibit tow truck owners and drivers from charging an amount more than 10% above the estimated amount authorized by a consumer, to align with provincial amendments to the Consumer Protection Act, and delete the current provision which prohibits tow truck owners and drivers from charging an amount that exceeds the amount indicated in their filed schedule of rates, or, the original estimate amount plus 15% (whichever is less).

Payment Methods

17.  City Council direct that tow truck owners and drivers accept credit card payments, in addition to cash.

Stops during Towing Service

18.  City Council direct that tow truck owners and drivers be prohibited from making any intermediate stops when towing a vehicle to a collision reporting centre or specified location, as directed by a consumer or a police officer.

Consumer Access to Personal Property in Vehicle

19.  City Council direct that tow truck owners and drivers be required to permit a consumer access to his or her vehicle to remove personal property, at no additional cost or fee.

Procedure for Dropping a Vehicle at a Collision Reporting Centre

20.  City Council direct that tow truck owners and drivers dropping or depositing a vehicle at a collision reporting centre, be required to:

i.  park the vehicle in the designated area of the collision reporting centre;

ii.  secure the vehicle (e.g., doors are locked, windows closed, lights and hazards are off, etc., as applicable);

iii.  immediately return the vehicle’s keys to the consumer or to collision reporting centre staff if the consumer is not present;

iv.  present proof of a valid ML&S tow truck owner or driver licence to collision reporting centre staff, in order to receive payment for depositing/dropping a vehicle; and

v.  collect payment and exit the premises as soon as the vehicle has been deposited/dropped according to the above requirements.

Tow Truck Vehicle Weight

21.  City Council direct that all tow trucks have a minimum Gross Vehicle Weight Rating (GVWR) of 4,536 kg and be registered with the Ministry of Transportation for their weight rating.

Tow Truck Equipment

22.  City Council direct that tow truck owners be required to maintain the following equipment in every tow truck owned by him or her:

i.  a functional digital camera or a mobile phone with functional camera (for use in justifying the performance of recovery services); and

ii.  a high visibility florescent safety vest, to be used/worn by tow truck owners and drivers when working on a City street or highway.

Record Keeping

23.  City Council direct that tow truck owners be permitted to keep records electronically or in hard copy.

Drop-Fees

24.  City Council delete restrictions that prohibit an owner or driver of a tow truck or a tow truck broker to demand and/or receive a payment of a drop fee or commission in return for towing a vehicle to a particular place, to align with provincial amendments to the Consumer Protection Act.

Other Amendments

Tow Truck Vehicle Inspections

25.  City Council authorize Municipal Licensing and Standards to suspend a tow truck owner’s licence for failing to have their tow truck examined by a designated mechanic, or, when a mechanical inspection certificate is not provided.

Use of Hoisting Devices

26.  City Council direct that tow truck owners and drivers be required to ensure that hoisting devices are lowered at all times when a tow truck is in motion, except when a vehicle is being towed.

Referral of Billing Disputes to Police

27.  City Council delete the section that directs tow truck owners and drivers to refer disputes with consumers related to amounts and rates to be paid to the Police.

Stylistic Amendments

28.  City Council approve amendments to Toronto Municipal Code Chapter 545, Licensing, Article VI, Owners and Drivers of Tow Trucks, to reflect the recommendations and authorize the City Solicitor and Executive Director, Municipal Licensing and Standards, to re-structure, consolidate and simplify all existing requirements to improve the readability of the Bylaw.

Public Garages

Schedule of Rates

29.  City Council direct that all vehicle storage providers be required to file a schedule of rates containing their charge(s) or fee(s) for storage; with requirements consistent with the schedule of rates required to be filed by vehicle repair facilities and collision reporting centres.

Written Authorization

30.  City Council direct that all vehicle repair and storage providers be required to receive written authorization from a consumer or someone acting on the consumer’s behalf before providing or charging for repair and storage services.

Consumer Access to Personal Property in Vehicle

31.  City Council direct that vehicle repair facilities and storage providers be required to permit a consumer access to his or her vehicle to remove personal property, at no additional cost or fee, if access is requested during regular business hours.

Deviation in Final Bill of Services

32.  City Council direct that vehicle repair and storage providers be prohibited from charging an amount more than 10% above the estimated payment amount authorized by a consumer, to align with provincial amendments to the Consumer Protection Act.

Drop-Fees

33.  City Council delete the restriction that prohibits the operator of a public garage from paying a tow truck owner, driver or broker a drop fee or commission for towing a vehicle to their public garage or any other particular place, to align with provincial amendments to the Consumer Protection Act.

Technical/Stylistic Amendments

34.  City Council approve amendments to Toronto Municipal Code Chapter 545, Licensing, Article XXII, Public Garages, to reflect the recommendations, subject to such technical and stylistic amendments as required by the City Solicitor and the Executive Director, Municipal Licensing and Standards.

Review of Collision Reporting Centres

35.  City Council direct the Executive Director, Municipal Licensing and Standards to undertake a review of the City’s collision reporting centres to ensure consumer protection, in consultation with the Toronto Police Service, and report back on any further recommendations to the Licensing and Standards Committee.

Implementation

36.  City Council direct that the changes to Toronto Municipal Code Chapter 545, Licensing, Article XXII, Tow Trucks and Public Garages, come into force on November 1, 2017.

In 2014, the Province of Ontario concluded a review of the towing industry that the City of Toronto participated in. Based on the results of that review, the Province enacted new requirements under the Consumer Protection Act, Highway Traffic Act and Repair and Storage Liens Act pertaining to towing and vehicle storage.

Building upon the new Provincial legislation, staff have reviewed Toronto’s Tow Truck Industry regulations. The Tow Truck Review has engaged more than 400 stakeholders through 11 formal consultation sessions, various stakeholder meetings, 5 issues-based surveys tailored to specific towing stakeholder groups, and the posting of draft proposals. Staff have also reviewed emails, phone calls, letters and written proposals containing issues and recommendations as a part of the review.

Collectively, the proposed amendments aim to improve Toronto’s towing industry, balancing the need to protect consumers and the public interest with the need to ensure a sustainable tow truck industry.

Key amendments include:

Increasing Towing Rates:

–  increasing the private property towing rate to $108 (currently $88);
–  eliminating the current distinction between an accident tow from a City street (currently $166) and an accident tow from a highway (currently $188), and establishing a new, harmonized rate of $250;
–  permitting tow truck owners and drivers to charge a fee of $100 for recovery services;
–  permitting tow truck owners and drivers to charge a separate fee for a second tow from a collision reporting centre, provided that the fee is agreed upon in advance by the consumer;
–  permitting tow truck owners and drivers to charge $3.25/km for each kilometre of travel beyond 5 km outside City limits, when directed by a consumer to tow a vehicle from an accident scene directly to a final destination (in situations where a visit to the CRC is not required);
–  building in an automatic annual inflation adjustment on the regulated accident and private property towing rates.

Strengthening Consumer Awareness/Protection:

–  increasing the regulated vehicle weight from 6,000 lb to 3,175 kg (7,000 lb), to ensure that the majority of passenger vehicles are protected and subject to regulated rates for private property and accident towing;
–  requiring tow truck owners and drivers, vehicle repair and storage providers to obtain written authorization from a consumer before providing or charging for any services;
–  requiring tow truck owners and drivers to accept credit card payments;
–  prohibiting tow truck owners and drivers from making any intermediate stops when bringing a vehicle to a collision reporting centre or to a final destination as directed by a customer or the police; and
–  requiring tow truck owners and drivers, vehicle repair and storage providers to allow a consumer access to personal contents in their vehicles.

The Toronto Police Service and Legal Services were consulted in the preparation of this report.

The Deputy City Manager and Chief Financial Officer has reviewed this report and agrees with the financial impact information.

1.  City Council endorse the Province of Ontario’s plans for a provincially-operated retail model for cannabis sales that does not permit sales by private entities.

2.  City Council request the Province of Ontario, in the development of provincial cannabis regulations, work with the City of Toronto and the Toronto Police Service to develop appropriate enforcement strategies, including provincially funded and/or provided enforcement to support efforts to eliminate illegal cannabis sales.

3.  City Council request the Province of Ontario to ensure that municipal concerns and input form a part of the consideration when determining locations of provincially-operated cannabis retail outlets.

4.  City Council request that the Government of Canada and the Province of Ontario ensure that the City of Toronto is adequately funded on a full cost recovery basis for the City’s role in implementation and enforcement arising from the legalization of cannabis, including enforcement costs related to the operations of illegal cannabis sales and use.
5.  City Council request the Province of Ontario enhance the City’s enforcement authorities and tools to address illegal sales of cannabis through cannabis specific legislation or by amendments to the City of Toronto Act, 2006, the Planning Act, the Provincial Offences Act  and/or any other applicable statute to:

a.  Prohibit sales of cannabis outside the legal regime and provide authorities for the City to enforce the prohibition;

b.  Authorize and/or establish higher maximum penalties/fines for offences relating to sales of cannabis outside of the legal regime;

c.  Provide the City with the appropriate authority to effectively combat illegal cannabis storefronts, such as the power to expediently issue or obtain closure orders for premises; and

d.  Authorize the City to establish additional regulation and offences to address concerns related to cannabis, including illegal sales, consumption or other nuisance-related concerns, as may be required.

6.  City Council request the Province of Ontario consult with the City when developing regulations related to places of consumption for cannabis and that the Province provide the City with detailed guidance and adequate resources and authorities to enforce regulations.

7.  City Council request the Province of Ontario consult with the City when developing regulations for home cultivation of cannabis and that the Province provide the City with detailed guidance and adequate resources and authorities to enforce regulations.
8.  City Council request the Government of Canada closely oversee cannabis production sites, ensure rigorous safety and security standards are met, and ensure that federal licensing is subject to City regulations including that the City can continue to regulate the location of production facilities through zoning.

9.  City Council ask the Government of Canada and the Province of Ontario to earmark funding for public education, ongoing research and monitoring on cannabis use and health impacts, and evaluation of the new legal regime.
10.  City Council forward this report to the Province of Ontario’s Legalization of Cannabis Secretariat, the Government of Canada’s Cannabis Legalization and Regulation Secretariat, the Federation of Canadian Municipalities, and the Association of Municipalities of Ontario.

11.  City Council request the Executive Director, Municipal Licensing and Standards, in consultation with the interdivisional cannabis working group, report back to the appropriate committee once federal and provincial governments have finalized the regulatory frameworks for cannabis with recommendations on next steps for the City of Toronto.

Under the proposed rules, the federal government would regulate cannabis production and the provincial government would regulate cannabis distribution and retail sales.

Throughout the summer, the Province of Ontario has been conducting consultations to determine the potential impacts of cannabis legalization and to inform the future provincial legislation. On September 8, 2017, the provincial government announced its framework for cannabis legalization. The province plans to:

– Establish a provincially-operated retail model, with stores operated by a subsidiary to the Liquor Control Board of Ontario (LCBO) that sell only cannabis (no co-location with alcohol);

– Restrict places where cannabis can be used to private residences only;

– Set minimum age of purchase at 19 years old;

– Develop a prevention and harm reduction approach to educate the public;

– Develop an enforcement strategy with municipalities, local police services, the Ontario Provincial Police (OPP) and the federal government to help shut down illegal retailers; and

– Hold an enforcement summit with police, public health experts, and stakeholders to inform enforcement efforts.
City staff have convened an interdivisional working group to identify municipal concerns relating to the legalization of cannabis and the resources and tools needed to assist the City in their potential role within the legalized system. The interdivisional group consists of: Municipal Licensing and Standards, Toronto Public Health, City Planning, Toronto Fire Services, Toronto Building, Corporate Finance, Toronto Police Service, City Manager’s Office, Economic Development and Culture, and Legal Services.

In June 2017, the Board of Health (BOH) adopted recommendations to the provincial and federal governments to consider as they develop and finalize legislation to legalize cannabis. This report builds on and complements recommendations adopted by the BOH.

This report supports the province’s plan to sell cannabis through a provincially-operated retail model. This model is preferred as it is a stronger regulatory mechanism than a private retail model, and would allow the province to closely oversee the operations of retailers and ensure that they operate in a responsible and accountable manner to uphold public health and safety. A provincially-operated retail model guided by public health objectives and social responsibility would help ensure that public health and safety is paramount, thereby reducing local impacts that would require extensive municipal oversight and enforcement.

Further, this report proposes that the City make the following recommendations to the province:

– Ensure that the City’s concerns are considered when determining locations of cannabis storefronts.

– Commit to fully recover municipal costs of implementing and enforcing the new framework for legalized cannabis.

– Empower the City with municipal enforcement tools to use against storefronts operating illegally.

– Consult with the City when developing regulations for home cultivation of cannabis.
Staff will continue to work interdivisionally and with the province to ensure that the City is represented as the provincial government finalizes its plans for legalization. Staff will report to the appropriate committee with recommendations on next steps for the City of Toronto, as needed.

The Deputy City Manager and Chief Financial Officer has reviewed this report and agrees with the financial impact information.