SUBJECT
title
Public Hearing and Introductory Ordinance of the City of Laredo, Texas, amending Ordinance 2023-O-062 of the City of Laredo and authorizing to increase the insufficient fund fee to $100.00 plus the per axle toll fee for southbound commercial vehicles that arrive at the toll booth with insufficient funds in the automatic vehicle identification (A.V.I.) system and if an AVI account has multiple insufficient fund U-turns the company must leave a credit card on file and schedule automatic replenishment of funds as further described in Exhibit “A” and hereby repealing all conflicting sections in all ordinances currently in effect.
body
PREVIOUS COUNCIL ACTION
On April 3, 2023, City Council approved the final reading amending Section 1 of Ordinance 2023-O-062 of the City of Laredo and authorized to increase the insufficient fund fee to $50.00 plus the $4.75 per axle fee for southbound commercial vehicles that arrive at the toll booth with insufficient funds in the Automatic Vehicle Identification (A.V.I.) System as further described in Exhibit “A” and hereby repealing all conflicting sections in all ordinances currently in effect.
BACKGROUND
The need to increase the insufficient fund fee for southbound commercial vehicles utilizing the Automatic Vehicle Identification System (A.V.I.) is to continue to avoid a disruption to the flow of traffic.
Currently when a vehicle arrives at the toll booth and the A.V.I. account associated with that vehicle does not have enough funds to cover the toll fee, the vehicle is not allowed to continue into Mexico and advised to turn around and exit the toll facilities.
The average insufficient fund U-turns per month at Colombia Solidarity Bridge are 20 and at the World Trade Bridge are 260.
COMMITTEE RECOMMENDATION
The Port of Entry Advisory Committee has been made aware of this process and unanimously agreed to increase the insufficient fund fee to continue to decrease the U-turn occurrences.
STAFF RECOMMENDATION
recommendation
Increase the insufficient fund fee to $100.00 plus the per axle toll fee for southbound commercial vehicles that arrive at the toll booth with insufficient funds in the A.V.I. account and make it mandatory to leave a credit card on file and schedule automatic replenishment of funds for companies with multiple violations.
end
Fiscal Impact
Fiscal Year: 2024
Budgeted Y/N?: Yes
Source of Funds: Fees
Account #: 553-4015-351-1059 & 553-4061-351-1059
Change Order: Exceeds 25% Y/N: N/A
FINANCIAL IMPACT:
The estimated monthly financial impact if the average U-turns per month continue will be $34,000.00.