[Adopted 6-30-1992 by Ord. No. MC 2949 (Ch. 187, Art. I, of the 1981
Revised Code)]
A.
N.J.S.A. 40A:11-5(1)(u) has been amended to allow motor vehicle towing
and storage contracts without bids, pursuant to reasonable nonexclusionary
and nondiscriminatory terms and conditions, which may include the
provision of such services on a rotating basis.
B.
N.J.S.A. 40:48-2.49 has been amended in the first paragraph thereof
to allow a municipality to set forth nondiscriminatory and nonexclusionary
regulations governing operators engaged in the removal and storing
of motor vehicles, to include but not be limited to:
(1)
A schedule of fees or other charges which an operator may charge
vehicle owners for towing services, storage services or both.
(2)
Minimum standards of operator performance, including but not limited
to standards concerning the adequacy of equipment and facilities,
availability and response time and the security of vehicles towed
and stored.
(3)
The designation of a municipal officer or agency to enforce the provisions
of the chapter in accordance with due process of law.
(4)
The requirement that such regulations and fee schedules of individual
towers shall be made available to the public during normal business
hours of the municipality.
A.
There shall be no more than two towing companies authorized to provide
towing services to the Township of Irvington. Qualified towing contractors
(hereinafter referred to as "contractors") shall be invited to submit
proposals under this article to provide services for towing and storage
of vehicles involved in accidents, stolen vehicles and other vehicles
designated by the Irvington Public Safety Department, as set forth
herein, 24 hours a day, seven days a week, in the Township of Irvington,
in accordance with specifications set forth herein. Notice of request
for proposals shall be placed in the Irvington Herald or other appropriate
publication and by posting said notice conspicuously in the Irvington
Town Hall.
[Amended 6-10-2008 by Ord. No. MC 3381; 9-20-2015 by Ord. No. MC 3551; 10-14-2015 by Ord. No. MC 3553]
B.
Proposals shall be reviewed and investigated for compliance with
the specifications set forth herein. All those contractors who meet
the standards articulated in the specifications will be included on
the list of eligible towers. Failure to comply with any specification
in whole or in part may be grounds for elimination from consideration
from inclusion on the list of eligible towers, as determined by the
administration. The Irvington Municipal Council will certify the final
list.
C.
All such proposals shall be submitted to the Director of Public Safety
or his designate, along with an application fee of $192.
[Amended 9-29-1992 by Ord. No. MC 2958; 12-14-1999 by Ord. No. MC 3134; 8-14-2001 by Ord. No. MC 3176; 10-12-2005 by Ord. No. MC 3306; 12-29-2009 by Ord.
No. MC 3413]
The Director of Public Safety or his designee shall serve as
the designated municipal officer with authority to enforce the provisions
of this article in accordance with due process of law. Complaints
of violation of the conditions of this article shall be reviewed by
the Director of Public Safety or his designate, and failure to comply
with its terms and specifications shall be deemed grounds for revocation
of a contract to tow and store motor vehicles and to remove the contractor
in violation from the list of eligible towers.
[Amended 10-14-2015 by Ord. No. MC 3553]
If a contractor by virtue of its demonstrated ability to comply
with the specifications of this article is added to the list of eligible
towers, the contractor will be called and asked to provide towing
and storage services by the Irvington Public Safety Department when
the need arises. Contractors on the list will be called in succession
and the names utilized in rotating fashion whenever jobs arise. If
more than one vehicle is involved in an accident, the next tower in
the rotation will be asked to take all the vehicles involved. If for
some reason a contractor is unable to perform, completely perform
or does not respond within a reasonable time, the Public Safety Department
will go to the next contractor on the list. Once the police reach
the last name on the list, the next contractor called for the next
job shall be the first name on the list. The Township reserves the
right, at its sole discretion, to call other towers not on the list
in the event of an emergency.
Each contractor qualifying to have its name placed on the list
of eligible towers must enter into a contract with the Township of
Irvington, the basis of which is set forth in the specifications.
Each contract shall be for a two-year period from the date of execution
or as otherwise provided in the contract.
A.
Contractors qualifications.
(1)
Any person, company or corporation applying for a place on the list
of eligible towers must have at least five years' experience
as a tower or as an employee in the towing of vehicles and vehicles
storage in order to be considered.
(2)
The Department of Public Safety shall conduct a background check
of all applicants, employees and/or officers, and the conviction of
a crime of moral turpitude shall disqualify the contractor.
[Amended 10-14-2015 by Ord. No. MC 3553]
(3)
The contractor shall perform and conduct the work in compliance with
the laws of the State of New Jersey and all applicable Township ordinances
and pursuant to the directions of the officers, agents and representatives
of the Township.
(4)
Contractors must furnish copies of all contracts for the towing services
to which it is currently a party.
(5)
No contract contemplated by these specifications will be awarded
to any prospective contractor if any of the contractors are officers
or employees of the Township. The Township reserves the right to cancel
or rescind any contract if the successful contractor is at any time
during the contract period in violation of this section.
(6)
All tow trucks must be licensed by the Township of Irvington and
all other appropriate licensing agencies.
(7)
If the contractor is associated with a body shop, repair facility,
paint shop, salvage yard or recycling business, no fees shall be discounted
in favor of or subsidized by such body shop, repair facility, paint
shop, salvage yard or recycling business.
B.
Employees.
(1)
The contractor shall employ a sufficient number of employees to comply
with the operational requirements of the Irvington Public Safety Department.
Each contractor must submit a list of all current employees along
with any plans to hire additional employees if awarded this contract.
[Amended 10-14-2015 by Ord. No. MC 3553]
(2)
No person shall be employed by the contractor who has not been approved
by the Irvington Public Safety Department.
[Amended 10-14-2015 by Ord. No. MC 3553]
(3)
Each employee of the contractor shall be provided with a photo ID
by the contractor, which shall be of sturdy construction and visibly
worn by the employee.
(4)
All equipment and personnel of the contractor are subject to inspection
at all times by the Irvington Public Safety Department.
[Amended 10-14-2015 by Ord. No. MC 3553]
(5)
Complaints of any kind relative to service, overcharging, theft,
damage, discourteous behavior and the like are to be referred to the
Director of the Irvington Public Safety Department for investigation
and further referral to the appropriate department head for further
action when necessary.
[Amended 10-14-2015 by Ord. No. MC 3553]
(6)
The contractor and all of his employees shall be prohibited from
using profane language in the course of their employment; and they
are further prohibited from collecting or attempting to collect a
fee, payment or charge other than provided for in these specifications
and applicable ordinances. A breach of this condition by the contractor
or its employees shall render this contract null and void at the Township's
discretion.
(7)
Tow truck operators of the contractor must be at least 18 years of
age and have a valid New Jersey driver's license.
(8)
Employees of the contractor are not to be represented as or be considered
as employed by the Township.
(9)
The contractor is solely and completely responsible for the conduct
of his employees.
C.
Wreckers.
(1)
Each contractor must have three "flatbeds," which shall be defined
as equipment capable of removing a vehicle from the surface upon which
it is located to the bed of the tow trucks so as to avoid damage to
certain motor vehicles which cannot be towed in the conventional manner
due to air-lock suspension or the like. Wreckers used by the contractor
must be of such construction and capacity that they will, with a combination
of wreckers, be able to tow any type vehicle, including uprighted
or overturned vehicles. These wreckers must be found satisfactory
by the Director of Public Safety or his designee. "Tow vehicles" means
only those vehicles equipped with a boom or booms, winches, slings,
tilt beds, wheel lifts or under-reach equipment for transport of private
passenger automobiles, including such other features as otherwise
herein set forth.
[Amended 9-20-2015 by Ord. No. MC 3551]
(2)
The contractor shall provide each wrecker with a shovel, broom and
other equipment necessary to clean up broken glass and debris from
the scene of an accident to which he is summoned and he shall be responsible
for said cleanup, at no additional charge to the Township or parties
involved in the accident.
(3)
The contractor shall respond to all calls within 20 minutes under
normal conditions. Any response beyond the 20 minutes required herein
shall require a written explanation to the Township Attorney by the
end of the next business day. He or she will then transmit such response
to the Mayor and members of the Municipal Council Towing Committee.
The failure to provide any explanation shall be grounds for termination
of the vendor's services and a recommendation that said contractor
is not reliable or responsible as regard to future contracts.
[Amended 6-10-2008 by Ord. No. MC 3381]
(4)
Each contractor shall furnish with his, its or their proposal the
following information with respect to the above-mentioned tow trucks
and rollback flatbed truck: the make, model, year and registration
number of each truck and a certified or photostatic copy of the registration
of each truck. For leased trucks, the contractor shall be required
to furnish with the proposal a copy of each said lease with the proposal.
(5)
All tow trucks used and employed in towing the vehicles shall be
kept in a clean condition and shall bear the name and address of the
contractor embossed thereon.
(6)
The contractor must equip each tow truck with a radio which would
allow them to have two-way communication that will allow them to respond
to all calls within 20 minutes, under normal conditions. Any substitution
is subject to the review and approval of the Director of Public Safety.
(7)
The contractor must have access to heavy-duty towing equipment and
must attach a copy of an agreement to have the use of such equipment
from an owner thereof, if such equipment is not owned by the contractor.
D.
Specifications of wreckers.
(1)
Each wrecker shall be equipped with one set of dollies.
(2)
Each wrecker shall be equipped with a steering wheel lock for towing
vehicles from the rear.
(3)
Each wrecker shall be equipped with towing-sling-type tow bar rubber
straps to lift the car so that no part of the metal of the wrecker
touches the car.
(4)
Each wrecker shall be equipped with a special motorcycle-type towing
sling.
E.
Land areas.
(1)
The contractor shall show proof that he owns, leases or is under
contract to own or lease a total minimum storage area which accommodates
500 vehicles. This storage area shall consist of no more than two
permissible lots which will accommodate 500 vehicles. A deed, lease
or contract shall be provided as evidence meeting the above requirement
and a letter from the Township verifying that such use is permissible.
The two storage areas referenced herein must be within 10 minutes
of the Township's Police Headquarters. In the event that any
of the chosen companies fails to meet the required standards set forth
herein, the Township in its discretion may contract with an alternate
vendor from the list it has available during the contractual period.
[Amended 6-10-2008 by Ord. No. MC 3381;9-20-2015 by Ord. No. MC 3551]
(2)
There may be two or more storage areas, all of which must be within
10 minutes travel time from Police Headquarters, Civic Square, Irvington,
hereinafter referred to as a "release area." Upon presentation of
a release, there shall be no additional cost to the claimant of the
vehicle, beyond the original cost for towing and storage.
(3)
Any lease shall extend beyond the expiration of the proposed contract
so that a sufficient amount of time is provided to allow for the disposal
of vehicles.
(4)
No vehicles covered herein shall be parked upon a public street or
sidewalk except with the permission of the Director of Public Safety.
All towed vehicles must be stored by the contractor within the storage
area described in the proposal except with the permission of the Director.
Each vehicle stored in violation of these specifications and without
the permission of the Director of Public Safety shall be subject to
a penalty of $10 per day per vehicle.
(5)
Visual on-site inspections of the premises shall be made and the
site approved before the award of the contract by the Department of
Public Safety. All of the land proposed to be utilized by the contractor
for storage must be level and clear of all debris and be clearly marked
as of the date of award of the contract.
[Amended 10-14-2015 by Ord. No. MC 3553]
(6)
For the purpose of property security, the entire land area must be
enclosed by a fence sufficient to provide for security. The fence
shall be of an open type to allow police units to observe any unusual
activity and not less than six feet in height. The storage area shall
be properly lighted during all hours of darkness to safeguard against
criminal activity. The contractor shall be authorized to substitute
equivalent security measures with the approval of the Director of
Public Safety.
(7)
Vehicles shall not be placed one on top of another without the express
written permission of the Township Attorney.
(8)
Additional storage area for use in the event of an emergency shall
be provided by the contractor at his expense. Each contractor must
list the additional storage area to be utilized, along with a letter
authorizing such use by the property owner.
(9)
The contractor should not have to remove more than four vehicles
to retrieve a specific vehicle in the lot. Storage shall not be more
than five deep. A sufficient amount of space shall be allowed for
Public Safety Department access for proper identification of vehicles
and shall comply with all relevant laws. A vehicle must be retrieved
within one hour from the time the owner presents the contractor with
a release and payment. A sufficient amount of space shall be allowed
to enable the Public Safety Department to conduct an auction of vehicles
from time to time, called a "staging area."
[Amended 10-14-2015 by Ord. No. MC 3553]
(10)
The contractor will maintain an indoor storage facility sufficient
to accommodate not fewer than three vehicles and 25 motorcycles and/or
mopeds for safeguarding such vehicles subject to, among other things,
impoundment or investigation or where such vehicles are subject to
forfeiture pursuant to law. The contractor must submit proof that
such storage area is secured pursuant to law and the rules of evidence.
Such storage shall be at the direction of the Director of Public Safety
or the Prosecutor of Essex County or Attorney General of the State
of New Jersey or their appropriate designees, without cost to the
Township in appropriate cases. If a vehicle is being held on official
police investigation or Township investigation and said vehicle must
be transported to another location for further investigation, such
transportation shall be under the direction of the Director of Public
Safety or his designees or other Township official, as the case may
be. There shall be no additional charges for this service.
F.
Removing abandoned vehicles.
(1)
An abandoned vehicle is considered to be a vehicle of any size, in
any condition, abandoned anywhere within the Township (see N.J.S.A.
39:4-56.1 et seq.) on any street or public right-of-way, public or
quasi-public place such as property owned by the Housing Authority,
Board of Education, Public Library, public parks and playgrounds or
other municipal-owned lot or property. The decision of the Director
of Public Safety as to classification shall be considered final and
binding on the contractor.
(2)
Removal of an abandoned vehicle shall be performed under the direction
and supervision of the Department of Public Safety on a 24 hours a
day, seven days a week basis. All calls shall be answered within a
twenty-minute period.
[Amended 10-14-2015 by Ord. No. MC 3553]
(3)
Vehicles shall be disposed of under the laws and rules of the State
of New Jersey. The contractor shall provide the Irvington Public Safety
Department with a written list of all vehicles unclaimed and held
in storage on the first business day of February, May, August and
November of each year. Such list shall include a description of the
vehicle, the VIN and registration numbers and the date on which the
vehicle was placed in storage. The contractor shall fully cooperate
with the Irvington Public Safety Department and the Township in connection
with disposal of all abandoned vehicles for public auction.
[Amended 10-14-2015 by Ord. No. MC 3553]
(4)
The contractor shall be responsible for each vehicle until the final
disposition and removal as ordered by the Irvington Public Safety
Department. Any vehicle that has been sold at the Township auction
must be removed from the contractor's lot within 15 days after
receipt of the title. The contractor shall indemnify and hold the
Township harmless from any and all claims against the Township, including
attorneys fees and costs arising out of the performance of the contract,
including the storage and towing of vehicles, and the contractor's
security and bond shall so provide.
[Amended 10-14-2015 by Ord. No. MC 3553]
(5)
At the time of the application for titles on unclaimed vehicles,
the Township shall determine if it will apply for junk title or true
saleable title. If the Township determines to apply for a true saleable
title and determines to utilize the vehicle for the Township business
and registers it in the name of the Township, then and in that event
the contractor shall waive any and all charges which may be due on
the vehicle in question. If the Township obtains a true, saleable
title and does not utilize the vehicle for its own purpose, said vehicle
shall be sold at public auction to the highest bidder. The highest
bidder shall pay all storage and towing fees prior to receipt of said
vehicle. These fees shall be in addition to the amount of the bid.
The purchase price paid shall belong solely to the Township.
G.
Removing and storing other vehicles.
(1)
Vehicles involved in accidents or otherwise disabled, stolen motor
vehicles involved in suspected crimes and unregistered, illegally
parked, uninsured and undocumented vehicles must be towed, stored
and released only under the direction and supervision of the Irvington
Public Safety Department. Vehicles shall be released between the hours
of 7:00 a.m. and 6:00 p.m., Monday to Friday, and between 8:00 a.m.
and 1:00 p.m., Saturday, Sunday and holidays, by the contractor. There
shall be no release fees charged for releasing vehicles after normal
business hours. The Public Safety Department will be available to
issue releases during the aforesaid hours.
[Amended 10-14-2015 by Ord. No. MC 3553]
(2)
The contractor shall further provide towing and emergency road service
to Township vehicles, including tire changes, jump starts, winch services,
installation of snow chains, accidents, breakdowns, insufficient fuel
and other problems. Such services shall be made available to all Township
vehicles, including sanitation vehicles.
(3)
In the event that an owner arrives within 12 hours at the storage
area with a proper release obtained from the Irvington Public Safety
Department following a tow of a disabled vehicle, the owner shall
only be charged for the tow and 1/2 the storage fee for storage. Any
part of the first 12 hours shall be charged at 1/2 the normal storage
fee.
[Amended 10-14-2015 by Ord. No. MC 3553]
(4)
The contractor shall be required to furnish extra towing equipment
and services during storm periods, periods of snow emergency, traffic
emergency, disasters, any act of God or for any other reason, when
so designated by the Mayor or his duly authorized representatives.
(5)
With the exception of abandoned vehicles, all vehicles which are
open at a window, roof, engine or trunk compartment must be immediately
covered by the contractor so as to protect the vehicle from damage
by the elements.
(6)
Owners of vehicles shall not be charged or prevented from removing
personal items, not an integral part of or affixed to the motor vehicle,
if owners present themselves at the storage area with a release from
the Public Safety Department.
[Amended 10-14-2015 by Ord. No. MC 3553]
H.
Motorized bicycles. Motorized bicycles shall be towed by the contractor
to the designated storage area, and all provisions pertaining to vehicles
shall apply.
I.
Records and inspection.
(1)
The contractor shall maintain records of all vehicles towed, stored
and released by him under this contractor. These records shall be
kept for a minimum of six years.
(2)
The contractor shall not release any vehicle without first obtaining
a written release from the Irvington Public Safety Department.
[Amended 10-14-2015 by Ord. No. MC 3553]
(3)
The Irvington Public Safety Department shall maintain an inspection
record of all property found anywhere in the towed vehicles, including
the trunk and glove compartment, when open or where a key is available.
At the time of pickup of said vehicle, the contractor or his employees
shall review said inspection record. The contractor or his employees,
after review of said record with the Irvington Public Safety Department,
shall initial the acceptance of said record as being complete and
accurate.
[Amended 10-14-2015 by Ord. No. MC 3553]
(4)
The Township or its designees shall have access to any part of the
storage areas at any time for the purpose of inspection.
(5)
Notification to owners of vehicles shall be performed by the Irvington
Public Safety Department within a reasonable period of time.
[Amended 10-14-2015 by Ord. No. MC 3553]
J.
Charge for services.
(1)
Fees for private passenger vehicles damaged in an accident or recovered after being stolen may not exceed the fees established by § 604-10, Service rates and charges, of this chapter.
[Amended 9-20-2015 by Ord. No. MC 3551]
(2)
All Township vehicles will be towed, stored or otherwise serviced
at a flat rate of $1 per vehicle.
(3)
All vehicles as described in Subsection G above, excepting passenger motor vehicles stolen or damaged in an accident as covered by N.J.A.C. 11:3-38, shall be towed and stored, if necessary, at the rates reference below in § 604-10, except that vehicles held for police investigation shall be towed and stored at no charge. All vehicles described in Subsection F, Removing abandoned vehicles, will be towed and stored, if necessary, at rates referenced below in § 604-10.
[Amended 9-15-2015 by Ord. No. MC 3552]
(4)
The daily storage charge may be imposed after 12 hours have elapsed
from the time the vehicle has been towed.
(5)
The contractor may charge storage fees for a maximum of 180 days.
After 180 days no further storage fee will be charged, except in extraordinary
circumstances.
(6)
If an owner arrives at a scene of a tow and his or her vehicle is
hooked up to a tow vehicle, the vehicle must be released on the spot
for a fee of $25. If the vehicle has not been hooked up, then there
shall be no charge to the owner or driver.
[Amended 3-9-2004 by Ord.
No. MC 3257]
(7)
All charges shall be posted conspicuously at the contractor's premises
and shall be prominently displayed on bills for services rendered.
(8)
Towing and storage charges shall be waived by the contractor upon
the request of the Township Attorney.
(9)
The contractor must accept cash and approved Visa or Master Card
as payment for towing and storage charges and must provide the owner
or operator of a motor vehicle with a receipt for any fees paid to
the contractor, regardless of the method of payment, cash or credit
card.
(10)
The contractor shall prepare a bill for charges pertaining to
such vehicle and present it to the claimant of a vehicle; also, a
duplicate must be maintained by the contractor for open inspection
by the Public Safety Department.
[Amended 10-14-2015 by Ord. No. MC 3553]
(11)
The Township will not be responsible for charges due and owing
from a claimant of a vehicle, nor will it assist the contractor in
collecting such charges. The contractor shall make no claim or collect
any money for towing or storage fees when the only party responsible
or liable for such fees is the Township of Irvington.
(12)
All money received from an auction will be deposited with the
Township Treasurer, who will then release the proper amount to the
contractor upon presentation of his bill through the Township Purchasing
Agent. Should the total bill be in excess of the money realized at
the auction, the contractor agrees to accept this latter amount in
full payment of his bill. If the amount realized at the auction is
in excess of the total bill, then the contractor shall be paid in
full and the money remaining shall become the property of the Township.
The title fee which the Township must pay to the State of New Jersey
for the title certificates shall be passed on to the purchaser at
the auction, even if the contractor is the purchaser, and shall be
in addition to the bid price.
K.
Insurance.
(1)
The contractor shall secure and furnish to the Township of Irvington
a noncancelable public liability and property damage insurance certification,
naming the Township of Irvington as coinsurer in an amount not less
than $1,000,000 for each person and $3,000,000 each accident and $500,000
property damage. In addition, proof of worker's compensation
insurance must be provided and automobile insurance for bodily injury
of not less than $300,000 per person, $500,000 per accident and property
damage liability insurance of not less than $25,000 for each accident;
in addition, proof of garage liability in the amount of no less than
$1,000,000 combined single limit and garagekeepers liability in an
amount not less than $60,000 per location. These items are required
prior to execution of this contract.
(2)
The contractor agrees to hold the Township of Irvington harmless
from any and all claims or suits arising by virtue of the furnishing
or delivery of the aforementioned services.
(3)
The contractor shall secure and furnish to the Township of Irvington
an insurance certificate endorsed to provide collision coverage for
vehicles in tow.
(4)
All insurance provided by the contractor must be with an insurance
company licensed by the State of New Jersey and acceptable to the
Township of Irvington.
L.
Miscellaneous requirements.
(1)
The contractor must comply with the mandatory affirmative action
requirements under N.J.A.C. 17:27 and indicate its willingness to
comply with the language of this provision by execution of forms as
set forth by the Township Purchasing Agent.
(2)
The contractor must also execute all other documents prepared by
the Township Purchasing Agent, setting forth the names and addresses
of all stockholders in the corporation, or partners in the partnership,
who own 10% or more of its stock, or of all individual partners in
the partnership who own a 10% or greater interest therein, as the
case may be.
(3)
The contractor must comply with other reasonable requests for documentation
from the purchasing agent designed to disclose the business reputation,
its business organization, ability to perform and willingness to comply
with the laws of the State of New Jersey. Each contractor may be required
to enter into a formal written contract within 10 days after the establishment
of the list or as soon thereafter as said contract shall be drawn
by the Township Attorney. Said contract shall contain, among other
things, the following: The contractor shall furnish at the time of
execution of contract a surety performance bond to the Township of
Irvington in the amount of the projected value of the contract, said
bond to be executed by the contractor as principal, and said bond
to be in such form satisfactory and acceptable to the Township Attorney.
This bond will be given in compliance with the requirements of the
statutes of the State of New Jersey in respect to bond contractors
on public works. Revised Statutes of New Jersey, 1937, N.J.S.A. 2A:44-143
through 2A:44-147 and amendments thereof, and liability hereunder
is limited as in said statutes provided.
(4)
An agreement by said contractor to save harmless the Township of
Irvington and all of its employees, from any and all claims or suits
arising by virtue of furnishing or delivery of such commodity or services.
(5)
That the contractor will comply with the provisions of all applicable
State of New Jersey Statutes, all ordinances of the Township of Irvington,
and all applicable requirements of the Occupational Safety and Health
Acts.
(6)
It is the intent of the Township of Irvington that any purchases
and contracts made pursuant to specifications and all acts connected
with said purchases shall be controlled by the Township of Irvington.
(7)
Should any dispute arise respecting true interpretation or meaning
of these specifications, the same shall be decided by the Purchasing
Agent of the Township of Irvington, in conjunction with the Township
Attorney and the Public Safety Department, and such decision shall
be final and binding.
[Amended 10-14-2015 by Ord. No. MC 3553]
(8)
Damage to property. If any property owned by the Township of Irvington
is damaged by the equipment or employees of the contractor, the contractor
shall be liable for the cost of the repairs necessary on account of
such damage, and the right is reserved to deduct such cost from any
sum or sums that may be due or become due to the contractor.