What happened:
On February 3, 2021, City Council passed a motion to table agenda item 5.2, “Discussion and possible action, pursuant to Sec 11-216 of the City Codes, to increase the number of wrecker companies approved to operate on the City’s rotation list and/or to conduct private property towing within the city limits,” until staff presented research and recommendations. At the meeting, Mayor McNulty read a letter to the council from a valley native hoping to retire and start his towing business after being in the industry for 17 years in San Marcos, Texas.
During this meeting, Police Chief O’Carroll revealed that wrecker permits expire on December 31, “At the end of the calendar year, it’s in the ordinance.” After being asked by McNulty if any of the towing companies renewed their permit, Police Chief O’Carroll answered, “None to this date.”
City Attorney Ed Cyganiewicz recommended, “As opposed to eliminating the cap, I would suggest that you increase the amount allowed.” Jody McIntyre, the owner of Paradise Towing and Isla Towing, appeared before the council and stated, “If there are any awards or permits or changes to the ordinance allowing more companies, that should go to local companies that have time and money invested here in the island.”
When it reappeared on February 24, 2021, McNulty read a letter from business owner Jody McIntyre with A+ Pro Towing service commenting on the effect of business COVID-19 has caused. “The Covid-19 virus pandemic has potentially affected the towing market of South Padre Island, resulting in a major reduction in the towing services. This has created a financial hardship for the wrecker (towing) companies that are currently allowed to operate on SPI.”
Discussion about limiting businesses was divided in reasoning, as the council worried over possible burden to the SPI Police Department. Police Chief Claudine O’Carroll assured the council, “We can swing either way,” as it was not going to harm or burden the police force.
Councilman Kerry Schwartz sided with the cap saying, “I don’t think there’s a need for any more wrecker services. Most businesses on the Island are all suffering.” Councilwoman Eva Jean Dalton was not in favor of keeping the cap at five, “I don’t like limiting business. It’s very difficult. I would hate for someone to say we have too many realtors on the Island.”
No action took place, as the motion “died” in a 3-3 tie. After the motion died, the council moved on to the next agenda item.
Why it matters:
Hoping to move and become a future business owner on South Padre Island to start a new retirement life, Anthony Ríos was turned down due to a cap on the number of tow truck businesses allowed on the Island. The current limit is 5.
Current ordinance for permit holders is:
(A) Currently the maximum amount of wrecker services authorized to conduct business on the police rotation list is five (5) wrecker services. They are: 1) Paradise Towing, 2) Bay Area Towing, 3) A-pro Island Beach Towing, 4) Cantu's Towing and 5) Isla Towing.
(B) Currently the maximum amount of wrecker services authorized to conduct private property towing services within the city limits of South Padre Island is five (5). They are: 1) Paradise Towing, 2) Bay Area Towing, 3) A-pro Island Beach Towing, 4) Cantu's Towing and 5) Isla Towing.
Ríos’ biggest issue while attempting to start his tow truck business was the permitting process. “I did not want to start investing into the permitting process unless it would be possible to start a business because SPI had a cap.” Along with the permitting process, communication with the City was also an issue, “I’ve been trying to get a permit since November (2020),” saying he felt “dodged” until he put more pressure for a response from the City.
In the beginning, he said he spoke to a person in the police department. “She told me that the permits are not available but that if I wanted to purchase one from the towing companies, they could sell me one. As far as I know, from my understanding, that’s illegal.”
According to Ríos, after conversations with city leaders, Mayor Patrick McNulty, City Manager Randall Smith, and Chief of Police Claudine O’Carroll, “I told the Mayor and the City Manager and the Chief of Police, I’m not going to spend thousands of dollars to get insured, to pay for the rent (of the property) if I am not guaranteed a permit. I told them if I get a permit, I can guarantee that I can get established within a day, two days tops. But why would I get this permit, get the lot, pay all this money, and then all of a sudden, they’re going to turn around and say, ‘No, sorry, they’re all gone.’”
He stated that the City told him, “Come January 1, 2021, they’re all up for renewal, so it’s first come first served.” He said, “Okay, I’ll follow the rules. I did what they told me to do. Come January 2 I started knocking on the door, ‘Hey, I would love to purchase my permit’ and all of a sudden (the city says), we have to redo our ordinances because they’re all outdated.”
Ríos then told Island Matters via phone interview that he felt he was “pushed out into the cold” after lack of communications with the City and then showing up to City Hall back in December of 2020 and escorted out of the building. “I showed up to City Hall like they told me, and when I showed up, they pretty much told me that I couldn’t come in and that I would have to make an appointment.”
After he was told by Chief of Police Claudine O’Carroll that they would be in contact, “Nobody has kept in contact with me,” said Ríos.
What now:
[This agenda item has not been placed in City Councils agenda as of now.]