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Home My WebLink About9/21/2016 - STAFF REPORTS L A LM s'04 iy a V N °gtFo IO CITY COUNCIL STAFF REPORT a1, DATE: ` Legislative SUBJECT: PROPOSED ORDINANCE AMENDING PALM SPRINGS MUNICIPAL CODE CHAPTER 11.100, ABATEMENT OF ABANDONED SHOPPING CARTS, TO FURTHER REDUCE THE NUMBER OF SUCH CARTS LITTERING PRIVATE PROPERTIES AND THE PUBLIC RIGHTS-OF- WAY FROM: David H. Ready, City Manager BY: Community & Economic Development SUMMARY The City Council will consider modification of the current regulations concerning abandoned shopping carts. The goal would be to prevent shopping carts from being abandoned in locations where they are visually blighting or pose a threat to the safety of motorists and pedestrians. RECOMMENDATION: 1. Waive the reading of the ordinance text in its entirety and read by title only; and 2. Introduce on first reading Ordinance No. "AN ORDINANCE OF THE CITY OF PALM SPRINGS, CALIFORNIA, AMENDING CHAPTER 11.100 OF THE PALM SPRINGS MUNICIPAL CODE RELATING TO ABATEMENT OF ABANDONED SHOPPING CARTS." STAFF ANALYSIS: Abandoned shopping carts become a public nuisance when they are left in the public right-of-way, posing safety threats to motorists and pedestrians. They are also a visually blighting influence on the community when left at bus stops and in parkways, washes, landscaped medians and storm water retention basins. Since 1995, Palm Springs has had an ordinance aimed at protecting the city from the public nuisance posed by abandoned shopping carts. The existing ordinance makes it a crime to remove a shopping cart from business premises, to possess it after it has ITEM NO.` _ September 21, 2016 The Honorable Robert Moon Mayor, City of Palm Springs 3200 Tahquitz Canyon Way Palm Springs, CA 92262 RE: Shopping Cart Ordinance - OPPOSED Dear Mayor Moon, On behalf of the California Grocers Association, I write to inform you our opposition to portions of the ordinance that automatically mandate the use of cart containment.As an industry we appreciate and understand the need to prevent shopping cart theft and subsequent abandonment. It is important to remember the cart owner, along with the neighborhoods and the city, are all victims of this crime. Imposing an expensive and automatic mandate on grocers appears to be punishing a victim. We respectfully ask the Council remove all references to automatic mandates for cart containment before moving forward. The California Grocers Association is a non-profit, statewide trade association representing the food industry since 1898. CGA represents approximately 500 retail member companies operating over 6,000 food stores in California with 80% of companies being independent grocers. CGA represents numerous grocers operating in Palm Springs. It is important to recognize that removal of shopping carts from a retailer is a crime.Along with retailers being deprived of their property,those taking carts often abandon them in surrounding neighborhoods creating issues for residents and the city. Our experience is those taking carts tend to be individuals living nearby without access to a personal vehicle, taking public transportation, or using the cart for mobility help beyond the retail location. In limited cases it is individuals using carts to transport personal property over a long period time. Based on this experience jurisdictions and the industry have learned consistent and regular cart retrieval is best to both deter and correct cart theft. We look forward to partnering with the city to achieve this level of cart retrieval. There are some technologies that intend to "contain" a shopping cart on the store property. Unfortunately, these systems are expensive and not completely reliable. The most common is a locking wheel system that receives an electronic signal at the edge of the parking lot to initiate a locking mechanism on one of the carts wheels.These systems are 70-80% accurate, usually with the device triggering to early or not at all. Systems are also very susceptible to individuals determined to remove the cart. Containment systems cost $20,000 to $50,000 and an additional $3,000 to $5,000 a year to maintain. Even when employing these systems carts are still stolen from the store that then require cart retrieval. The grocery industry is a 1-2% profit margin industry,which is the one of lowest in the retail environment. Requiring grocers remodeling or opening a new location to install electronic containment is essentially a tax on operating stores. It could stifle both store improvements and influence location decisions,which is not beneficial for the city or the industry.An automatic mandate also assumes that all grocers are not taking the issue seriously and working diligently to retain carts. Under the proposed L4em 3. 4, CALIFORNIA GROCERS ASSOCIATION 1 1215 K Sfraet,5uiro 700 1 Sacramenro,CA I T:916.dd8.3545 I F:916.448.2793 1 www.capree ,...om Page 2 The Honorable Robert Moon September 21, 2016 ordinance regardless of how many carts are stolen from a store or how the stores respond to the theft they will eventually be forced into purchasing an expensive and possibly unnecessary system.When looking at cart theft not all stores are impacted similarly.As discussed earlier,stores near public transit or nearby housing are impacted more heavily than stores frequented by consumers with their own transportation.To pass a blanket mandate on all grocers is a blunt expensive impact that is unnecessary is unfair. We look forward to working with Palm Springs to reduce cart theft and subsequent abandonment,but must respectfully ask all references to mandatory cart containment be removed from the ordinance. Thank you for your consideration and we look forward to a partnership based approach to developing solutions. Sincerely, TIMOTHY M.JAMES Sr. Manager, Loc ernment Relations cc: Members, Palm Springs City Council Mr. David Ready, City Manager, City of Palm Springs Mr. James Thompson, City Clerk, City of Palm Springs CALIFORNIA GROCERS ASSOCIATION 1 1215 K Stree1,Sane 700 1Sacramento,CA I T:916.ddR.3565 I F:916.66R.2793 I www.saurec....... Cindy Berardi From: Carlos Illingworth <Carlos.Illingworth@safeway.com> Sent: Wednesday, September 21, 2016 4:16 PM To: Robert Moon Subject: Shopping Cart Containment Mayor Moon, I know Tim James with the California Grocers Association, which we are members of, has been in touch regarding mandating shopping cart containment.We operate an Albertsons and Vons in the city and are very concerned about the proposal.While I am sure it is well-intended, we do not think the ordinance is necessary when we already contract with California Shopping Cart Company for retrieval services, which has worked well for us.Additionally, it would add an additional cost to businesses looking to open stores in the city or make significant investments in existing locations. We are certainly willing to work with you and your colleagues to address this issue, but urge you not to move forward in this direction. Carlos Carlos Illingworth Southern California Director, Communications and Government Affairs NO PAVILIONS my favorft r mW eL*w nw.k t SOUfNEM CALIFMNNI UVISION Office: (714) 300-6131 Mobile: (626) 367-0786 Fax: (623) 295-3875 carlos.illingworth@safeway.com A Please consider the environment before printing this email 1