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HomeMy WebLinkAboutCD-57-96 THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON DN:ANIMAL.LIC VVVl1� REPORT Meeting: General Purpose and Administration Committee File# `��`1 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. i i q PAPElgO PAPIEF TO // EC CAE iHES B PgiMEU Wl RECY-PAPEq 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. 708 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. 7,09 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 710 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. 71 ' i (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 713 ATTACHMENT U2 TO REPORT CD-57-96 1 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. 714 i 2 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. 715 3 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. 716 4 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 717 H. 5 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, 718 6 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. 719 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 . X20 8 Signed in Triplicate on the 25th day of November, 1996 ANIMAL LICENSING SERVICE INC. rf s` Name: Title: Name: Title: (I/We have the authority to bind the Corporation) The Corporation of the Municipality of Clarington Mayor Clerk X21 �