HomeMy WebLinkAboutCD-57-96 THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON
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REPORT
Meeting: General Purpose and Administration Committee File#
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Date: Monday, November 18, 1996 Res. #('4P
By-Law#
Report �8-5-7-96- File##:
Subject: MARK STEWART - ANIMAL LICENSING SERVICE INC.
Recommendations:
It is respectfully recommended that the General Purpose and Administration
Committee recommend to Council the following:
1 . THAT Report CD-57-96 be received;
2. THAT Animal Licensing Service Inc. be given the exclusive rights to sell door to
door licenses in the Municipality of Clarington for the year 1997 commencing on
March 1 , 1997 until November 30, 1997 and subject to review by Council at the
end of the year;
3. THAT the agreement be executed by the Mayor and Town Clerk and the
authorizing By-law be forwarded to Council for approval; and
4. THAT Mark Stewart, Animal Licensing Service Inc., be advised of Council's
decision.
1 . BACKGROUND
1 .1 Our Animal Control Services Staff and the Staff of the Oshawa and Whitby
shelters are now holding meetings for the purpose of exchanging ideas on
various animal related topics including ways to generate additional funds and
save the municipalities some money. It came to light that both the Oshawa and
Whitby Shelters have contracted the services of Animal Licensing Service Inc. to
sell dog licenses door to door in their respective municipality. The results of this
canvassing are reflected in the chart below.
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REPORT CD-57-96 PAGE 2
ANIMAL LICENSING WHITBY OSHAWA
SERVICE INC.
Agreement No Yes
Revenues Generated Almost Triple More Than Double
Duration of Services 2 Years 1 Year
1 .2 Oshawa and Whitby Animal Control Staff advise that the number of stray dogs at
their shelter has decreased dramatically because dogs bearing a dog tag can be
immediately returned to their owner.
1.3 Attachment #1 to this report is a copy of Mark Stewart's proposal. and
Attachment #2 to this report is the proposed agreement.
2. RECOMMENDATIONS
2.1 Staff recommends giving exclusive rights to Animal Licensing Service Inc. for the
following reasons:
1. This Dog Licensing is an excellent opportunity for the Municipality to
increase revenues.
2. Many more lost dogs will be returned to their owners because they can be
identified by their dog tag.
3. The length of a stray dog's stay at the shelter will be minimized if the dog
is identifiable and immediately returned to its owner rather than being
impounded for one, two or three days. Thus the dog is not traumatized by
being impounded and costs to the municipality for feeding and keeping the '
dog are reduced.
4. Residents who were not aware of the municipal by-law which requires a
dog owner to buy a yearly dog license will now be informed and most
likely will buy a dog tag in future years.
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REPORT CD-57-96 PAGE 3
5. All existing sales outlets will continue to sell dog tags and will therefore not
be negatively affected.
6. This contract will be strictly on a commission basis and the Municipality
does not have to pay any monies "up front".
2.2 In conclusion, Staff is of the opinion that this can only create a "WIN-WIN"
situation as there is no financial risk to the municipality and this has the possibility
of generating double our regular revenues for dog licenses which totalled an
amount of $14,250.00 for the year 1996.
2.3 It is therefore recommended:
THAT Report CD-57-96 be received;
THAT Animal Licensing Service Inc. be given the exclusive rights to sell door to
door licenses in the Municipality of Clarington for the year 1997 commencing on
March 1 , 1997 until November 30, 1997 and subject to review by Council at the
end of the year;
THAT the agreement be executed by the Mayor and Town Clerk and the
authorizing By-law be forwarded to Council for approval; and
THAT Mark Stewart, Animal Licensing Service Inc., be advised of Council's
decision.
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REPORT CD-57-96 PAGE 4
Respectfully submitted, Reviewed by,
P ti L rrie, M.C.T. W. H. Stockwell
T Clerk Chief Administrative Officer
MPK*PLB*Ib
ATTACHMENT #1 - Proposal by Mark Stewart
ATTACHMENT #2 - Proposed Agreement
Interested parties to be advised of Council's decision:
Mark Stewart, Animal Licensing Service Inc.
Animal Control Services
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Animal Licensina Inc.
Telephone 905-666-8983
111 Victoria St.E.#1
Whitby,Ont,L1 N 8X1
Dogs in Clarington, as in municipalities throughout the province, are required to be licensed.
The process helps reunite lost dogs with their owners and to identify dogs who attack people or
other animals or are in contravention of their municipal bylaws. It also provides municipalities with
revenues. (It is not a "cash cow" however, rarely, if ever do these revenues even cover the cost of
running an animal control department.)
These is much room for growth in the sale of dog licences in Clarington. In 1995 about 1,700
licenses were sold to the town's 20,300 households. And it looks like the number of license sold
will slip to about 1,300 in 1996.
With an effective dog licensing program that Animal Licensing Service Inc. can offer in the urban
parts of the community sales, should increase to at least 3,200 licenses. The municipality would
use continue methods to generate current sales of rural licenses for an additional 300 licenses in
those area for total sales of 3,500.
Animal Licensing Services Inc. uses trained agents in a door to door program to all urban
households in the town to ensure compliance with dog licensing bylaws. Agents sell licenses at the
door to unlicensed dogs owners.
Because Animal Licensing Services charges no up front fee -- only a commission on what it sells--
the municipality is assured of extra revenues with no risk of loss.
A1989 Statistics Canada report said 20 per cent of households in Ontario own a dog, while
another 3.5 per own more two or more dogs ( Giving a ratio of more than 27 per cent of dogs to
household .)
Animal Licensing estimate of dog licences sales in Clarington assumed a ratio of 25 per cent
households having at least one dog. And it assumes successfully contacting and selling licenses to
80 per cent of those homes.
However given the municipalities high number single family and semi detached homes, this
estimate is conservative.
The effectiveness of Animal Licensing Service has been shown in the city of Oshawa, where, in
five months of operation about 3,500 new licenses have been sold. After paying commission to
Animal Licensing Services, Oshawa has about $35,000 in new revenues.
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(Because of lower licensing fees in Clarington, the town's net revenues from sales will be lower
than in Oshawa.)
Animal Licensing Service Inc. would require the exclusive rights to sell door to door licenses in
Clarington. (Animal control officers, city hall, vets and any other existing outlets, could continue
to sell the licenses.)
A commission of$3 for altered licenses and $5 for unaltered licenses would be charged by Animal
Licensing Service Inc.
After paying commission to Clarington should receive new revenues Animal Licensing Inc. of
$20,060 from the improved sales of dog licences using the following numbers.
1,750 altered dogs with rabies vaccine $ 12,250
50 altered dogs with no rabies vaccine $ 450
320 unaltered dogs with rabies vaccine $ 5,760
80 unaltered dogs with no rabies vaccine $ 1,600
We look forward to discussing this proposal more fully. Animal Licensing Service can be
contacted through Mark Stewart at (905) 666-8983,
712
THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON
BY-LAW 96-188
Being a By-law to authorize the execution of an
Agreement between the Corporation of the Municipality of
Clarington and Animal Licensing Service Inc.
THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON HEREBY ENACTS AS
FOLLOWS:
1. THAT the Mayor and Clerk are hereby authorized to execute
on behalf of the Corporation of the Municipality of
Clarington, and seal with the Corporate Seal, an Agreement
with Animal Licensing Service Inc. for the sale of dog
licenses "door to door" in the Municipality of Clarington from
March 1, 1997 to November 30, 1997.
2. THAT this Agreement attached hereto as Schedule "A" form part
of this By-law.
By-law read a first and second time this 25th day of November,
1996.
By=law read a third time and finally passed this 25th day of
November, 1996.
Mayor
Clerk
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ATTACHMENT U2 TO REPORT CD-57-96
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This Agreement signed in Triplicate on the 25th day of November,
1996.
B E T W E E N:
THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON
"the Municipality"
- and -
Animal Licensing Services Inc.
"contractor"
AGREEMENT
The Contractor has provided a proposal to the
Municipality to sell Dog Licences to the residents of Clarington on
a contracted "door to door" basis and this Agreement is being
entered into to clarify the terms and conditions on which services
will be rendered.
The Municipality and the Contractor both acknowledge
that they have each received adequate consideration to enter this
contract.
Table of Contents
Article 1.00 Scope of Services 1
Article 2.00 Term and Renewal 2
Article 3.00 Rent/Remuneration 3
Article 4.00 Rights and Obligations of the Municipality 4
Article 5.00 Rights and Obligations of the Contractor 5
Article 6.00 Covenants, Representations and
Warranties of the Contractor 6
Article 7.00 General 7
Article 8.00 Termination 8
Article 9.00 Definitions 9
1.00 Scope of Services
1.01 Licence Sales: The Contractor shall provide the service of
selling dog licences to the residents of the Municipality of
Clarington, door to door. This operation will be carried out
between the hours of 9:00 a.m. and 9:00 p.m. , from Monday to
Saturday, (excepting statutory holidays) for the term of this
contract.
1.02 Other Services: The Contractor shall communicate to the
residents of Clarington the reasons and benefits for dog licensing.
This will include the distribution of brochures and other
literature regarding the licensing of dogs in Clarington, as
provided by the Municipality.
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2.00 Term and Renewal
2.01 Term: This contract will have a fixed term of March 1, 1997
to November 30, 1997. This service is being contracted on a trial
basis for that period. The effectiveness of the program will be
evaluated at that time and a decision made with respect to future
requirements and procedures.
2.02 Renewal: This contract has no right of renewal.
3.00 Rent/Remuneration
3.01 Remittance: The Contractor shall make weekly deposits in the
full amount of all proceeds of all licence sales to an account to
be opened by the Municipality for this purpose at the Toronto
Dominion Bank in Bowmanville. Cash, cheques made payable to the
Municipality of Clarington, or credit card payments (Visa,
Mastercard) will be acceptable for payment of licences.
3.02 Remuneration: Remuneration in the amount of $3.00 for the
sale of each licence for an altered animal and $5.00 for the sale
of each licence for an unaltered animal shall be paid to the
Contractor on a weekly basis. Registration forms and invoices to
support the licences sold must be submitted to the Municipality by
9:00 a.m. , the Monday following the completed work week. A cheque
will be issued on the following Friday, provided the remuneration
exceeds $50.00. Where this minimum requirement is not met, then
payment shall be deferred to a following Friday when the $50.00 has
been achieved. Where a cheque received by the Contractor proves to
be N.S.F. , such cheque shall be handled by the Municipality in the
manner normally prescribed under Municipality procedures for the
handling of such cheques under other circumstances. Payments to
the Contractor shall not be withheld.
3.03 Data: Data collected with respect to door-to-door sale of
licences shall be delivered to the Animal Shelter by 12:00 noon on
the Monday following the collection of the data.
3.04 Books and Records: The Contractor agrees to keep such books
and records of the operation of the licence sales as the
Municipality may require, and allow the Municipality access at all
times to inspect these books and records. The Contractor agrees to
employ an Auditor licensed under the Public Accountancy Act, R.S.O.
1990, c.P.37, s. 14 (as amended from time to time) , whose identity
is acceptable to the Municipality.
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3.05 Dispute: In the event that a dispute arises between the
Contractor and the Municipality as to the amount of money payable
to either party pursuant to this Agreement, the decision shall be
referred to the Town Clerk (or such other person as she may
designate) , and the decision of the Town Clerk (or designate) as to
the amount of the payment shall be final.
4.00 Rights and Obligations of the Municipality of Clarington
4.01 Exclusivity: The Municipality covenants that it shall not
retain any other door-to-door sales persons for animal licences
during the currency of this Agreement.
4.02 No Guarantee: The Contractor acknowledges that the
Municipality has made no representations, warranties or estimates
regarding expected sales of licences to the residents of
Clarington. The Municipality has made no predictions or estimates
whatsoever regarding profits or sales.
4.03 Confidential Records: The Municipality will provide to the
Contractor, a list of individuals who have already purchased their
1997 animal licences and will provide him with an update of
individuals purchasing licences throughout the year by non door-to-
door sales. Such information is considered to be of a confidential
nature.
4.04 Reference Materials: All reference materials required to
educate the residents of Clarington with respect to the animal
licensing program shall be provided to the Contractor by the
Municipality.
4.05 Training: The Municipality will provide appropriate training
to the Contractor and/or his agents regarding the benefits of
animal licensing, prior to the commencement of the Agreement.
4.06 Waiver: The failure of the Municipality to insist, in one or
more instances, upon the performance of the Contractor or his
agents of any of the terms and/or conditions of this Agreement
shall not be construed as a waiver of the future performance of any
such term and/or condition and the obligations of the Contractor
shall continue in full force and effect.
4.07 Advertising: The Municipality shall have the right to place
advertising in the appropriate media (local newspaper or radio)
from time to time introducing and promoting the animal licensing
program and its benefits.
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5.00 Rights and Obligations of the Contractor
5.01 No Assignment: The Contractor acknowledges that the
background and experience of its principal officer, Mark Stewart,
as well as the proposal submitted to the Municipality under his
name were key components in the Municipality's entering into this
Agreement. The door-to-door sales are to be conducted only by the
Contractor and any of his employees or agents that have received
the prior approval of the Municipality. The Contractor agrees that
it shall not transfer the business (as it operates) to another
person or corporation, and acknowledges that he is not entitled to
assign all or any portion of this Agreement without the prior
1 written consent of the Municipality. The Municipality may
arbitrarily withhold consent to an assignment in its sole and
absolute discretion. Nothing contained in this agreement prohibits
the Contractor from performing similar services for other
municipalities or companies.
5.02 Lawful Operation: The Contractor shall, at all times, hold
and maintain in good standing any licences or permits required by
Federal, Provincial or Municipal laws and regulations.
5.03 Insurance: The Contractor shall obtain and maintain
comprehensive liability insurance from a company satisfactory to
the Municipality.
This insurance shall:
(a) have a limit of liability of not less than
$2,000,000.00 (two million dollars) per
occurrence for property damage and bodily
injury;
(b) cover all operations and liability undertaken
by the Contractor pursuant to this Agreement;
(c) include both "owned" and "non-owned" vehicle
coverage;
(d) be endorsed to provide that the policy or
policies will not be altered, cancelled, or
allowed to lapse during the currency of this
Agreement (including any renewal) without
thirty (30) days prior written notice to the
Municipality; and
(e) name the Municipality as additional insured.
5.04 Indemnification: The Contractor agrees that it will from
time to time, and at all times, hereafter, well and truly save,
keep harmless and fully indemnify the Municipality and its elected
officials, employees and agents and its successors and assigns,
from and against all actions, claims, and demands whatsoever which
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may be brought against or made upon the Municipality and against
all loss, liability, judgements, claims, costs, demands or expenses
which the Municipality sustain, suffer or be put to resulting from
or arising out of the Contractor's failure to exercise reasonable
care, skill or diligence in the performance or rendering of any
work or service required hereunder to be performed or rendered by
the Contractor, its agents, servants, employees or sub consultants
or any of them.
5.05 Fidelity Bond: Inasmuch as this Agreement covers working on
Municipal property and private property within Clarington without
supervision, the Contractor must provide evidence that all
personnel employed in, on, upon or about the premises of Clarington
are covered by a Fidelity Bond of not less than $10,000.00 for each
individual involved on Municipal property or private property
within Clarington.
5.06 Workers' Compensation: The Contractor acknowledges that this
Agreement is a "Contract for Service" and that it and its employees
or agents are deemed to be independent Operators under the
Operational Policy of the Workers' Compensation Act, R.S.O. 1990,
Sections 1 (1) (m) , and 11. In the event that the Contractor must
register with the Workers Compensation Board as an employer, it
shall furnish Workers Compensation Board Clearance Certificates to
the Municipality at 45 day intervals or as required to confirm its
good standing. The Workers Compensation Board letter of
Independent Operator's status shall form a part of this agreement.
5.07 Equipment: The Contractor shall supply its own
transportation during the currency of this Agreement. The
Contractor shall further supply any computer equipment and office
materials required to collect and disseminate the data required ?)y
the Municipality.
5.08 Identification: The Municipality shall provide
identification for each of the Contractor's approved agents and/or
employees that is the official identification for one representing
the Municipality. This will be a photo identification card that
will be presented when making a call at a private residence or
private property within the Municipality.
5.09 Confidentiality: The Contractor agrees that all information
received from the Municipality and from the residents of the
Municipality of Clarington with respect to animal licensing within
the Municipality of Clarington is confidential information and
shall be treated accordingly. This confidentiality shall extend to
its employees and/or agents. All written and computer material,
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information and records shall be returned to the Municipality upon
termination of this Agreement.
5.10 Advertising: There shall be no advertising carried out by
the Contractor for this program.
6.00 Rulea of Operation: The Contractor covenants to abide by all
of the terms and conditions of this Agreement.
7.00 General
7.01 Notices: Any notice to be given under this Agreement must be
in writing, signed by or on behalf of the party giving such notice
and delivered by hand or mailed by prepaid first class mail in
Canada and addressed as follows:
if to the Municipality at:
Marie Knight, Deputy Clerk
The Corporation of the Municipality of Clarington
40 Temperance Street
Bowmanville, Ontario
L1C 3A6
If to the Contractor, at:
Animal Licensing Services Inc.
c/o Mr. Mark Stewart
111 Victoria Street East, Unit #1
Whitby, Ontario
L1N 8X1
or at such other address as any party hereto may have specified by
notice in writing and given to the other party. Where notice is
given by mail, it shall be deemed to have been received by the
person to whom the same is addressed, on the fifth (5th) business
day following the day upon which such notice, sent by prepaid first
class mail, has been deposited in a post office in Canada.
7.02 Freedom of Information: Pursuant to the Municipal Freedom of
Information and Protection of Privacy Act, R.S.O. 1990, c.M.56, as
amended, the Contractor acknowledges that this Agreement to be
provided by the Contractor to the Municipality, are subject to the
same Act. If the Contractor wishes to maintain confidence on any
document submitted, it must stipulate at the time that the document
is submitted, that it is being submitted in confidence. The
Municipality will not be responsible to the Contractor for the
release of any information given without claim to confidentiality.
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8.00 Termination
8:01 Termination by the Municipality: The Contractor agrees that
upon breach by it (or by persons for whom it is lawfully
responsible) of any of the express or implied terms and conditions
of this Agreement, the Municipality may, in addition to any other
remedy available at law, terminate this Agreement. Upon receipt by
the Contractor of a notice of termination, this Agreement shall be
considered terminated.
8:02 Return of Information: On the termination of this Agreement,
the Contractor shall return within 24 hours and at its own expense
all documentation, identification, forms and literature provided by
Clarington for the purposes of carrying out the work of this
contract.
8.03 Termination by the Contractor: In the event that the animal
licensing program becomes unprofitable to the Contractor, it may,
upon fourteen (14) days's notice in writing to Clarington,
terminate this Agreement and discontinue the door-to-door sales of
licences.
9.00 Definitions:
Soliciting "Door-to-Door" means soliciting each single
dwelling unit on every urban and rural street within the
Municipality of Clarington.
A "Single Dwelling Unit" is each private home (whether
single or semi private) , each private apartment (whether
within a private home or apartment building) , each
townhouse, or each unit in a group dwelling.
The Sale of a Licence is not completed unless and until
the following has taken place: an explanation to the pet
owner of the benefits of having a licence, the completion
of all appropriate paperwork, the transfer of monies, the
delivery of the licence to the pet owner, and the
delivery of the paperwork to the Clarington Animal
Shelter as per Articles 3.03 and 3.04 .
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Signed in Triplicate on the 25th day of November, 1996
ANIMAL LICENSING SERVICE INC.
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Name:
Title:
Name:
Title:
(I/We have the authority to bind the
Corporation)
The Corporation of the
Municipality of Clarington
Mayor
Clerk
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