Second Regular Session Seventy-third General Assembly STATE OF COLORADO ENGROSSED This Version Includes All Amendments Adopted on Second Reading in the House of Introduction LLS NO. 22-0063.02 Jery Payne x2157 HOUSE BILL 22-1314 House Committees Senate Committees Business Affairs & Labor Appropriations A BILL FOR AN ACT C ONCERNING THE RIGHTS OF A PERS ON WITH OWNERSHIP INTEREST IN101 A VEHICLE THAT HAS BEEN TOWED FROM PRIVATE PROPERTY102 WITHOUT THE PERSON 'S CONSENT, AND, IN CONNECTION103 THEREWITH, MAKING AN APPROPRIATION .104 Bill Summary (Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov .) Current law requires a towing carrier (carrier) to notify law enforcement, within 30 minutes after towing an abandoned vehicle, of the carrier's name and the storage location and description of the vehicle. The HOUSE Amended 2nd Reading April 28, 2022 HOUSE SPONSORSHIP Ricks and Hooton, SENATE SPONSORSHIP Gonzales and Sonnenberg, Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment. Capital letters or bold & italic numbers indicate new material to be added to existing statute. Dashes through the words indicate deletions from existing statute. bill clarifies that the carrier is deemed to have complied if: ! The carrier gave the location of the storage facility to law enforcement when obtaining authorization for the tow; or ! The carrier made 2 or more attempts within the 30 minutes after the tow to notify a law enforcement agency but was unsuccessful for reasons beyond the control of the carrier. When a carrier tows a vehicle without the owner's or lienholder's consent, current law requires the carrier to notify the department of revenue, the owner, and the lienholder of the tow between 2 and 10 days after the tow, thus imposing a 2-day waiting period before notification. The bill repeals this waiting period and instead requires notice within 10 days after the tow. The carrier is authorized to use a telephone to notify the owner or lienholder. Current law also denies the carrier daily storage fees if the carrier fails to reasonably notify the owner and lienholder. The bill forbids daily storage fees until the carrier has sent the required notice to the owner and lienholder. The bill requires that carriers that are towing a vehicle from private property without the owner's, operator's, or lienholder's consent: ! Charge the same fees for tows made without the owner's consent as the carrier charges for tows made with the owner's consent. These fees must be filed with the public utilities commission (PUC) and posted at the carrier's storage location. ! Accept cash and major credit cards, as defined by rule of the PUC, and, upon request, disclose the accepted forms of payment; ! Not charge storage fees for a day on which the carrier did not store the vehicle; ! Before connecting to a vehicle, photographically document the vehicle's condition and the reason for the tow. Failure to produce documentation of the vehicle's condition or the reason for the tow creates a rebuttable presumption that any damages to the vehicle were caused by the carrier or that the tow was not authorized. ! Maintain an area at each storage facility with lighting adequate to inspect a vehicle for damage; ! Upon demand of the owner, retrieve the vehicle or the contents of the towed vehicle or allow the owner to retrieve the vehicle or the contents; ! Obtain authorization from the property owner, leaseholder, or common interest community within 24 hours before towing a vehicle from private property; ! Give 24 hours' written notice before removing a vehicle from a parking spot or the common areas of a condominium, cooperative, apartment, or mobile home 1314 -2- park; ! Upon request, provide evidence of the carrier's insurance coverages; ! Have a sign at storage facilities that states the name, telephone number, and hours of operation of the carrier's business; ! Upon request, provide an itemized bill showing each charge and the rate for each fee that the person has incurred; ! Give a written notice of the ability to make a complaint to the PUC; ! To perform a nonconsensual tow, other than for an abandoned motor vehicle, from private property normally used for parking, the property owner must have provided adequate signs communicating the parking regulations that subject a vehicle to being towed; and ! Unless ordered by a peace officer, not tow a vehicle from private property because the rear license plate shows the vehicle registration is expired. A carrier's mechanic's lien is abolished if the carrier tows a vehicle from private property without the owner's, operator's, or lienholder's consent. If a carrier fails to comply with the provisions of the bill, the carrier may not charge or retain any fees or charges for the services performed with respect to the vehicle and must return any fees it collected with respect to the vehicle. It is an affirmative defense in any action to collect towing fees that the carrier failed to comply with these provisions. If a carrier damages a vehicle or violates these provisions in a manner that causes damages and refuses to reimburse the owner, operator, or lienholder, the owner or lienholder may recover attorney fees. The carrier and an owner or lienholder may use mediation to resolve disputes involving nonconsensual tows. Any mediated agreement may be submitted to the office of tow hearings (office), which is created in the bill, and a court, both of which are authorized to enforce the agreement. The office is created within the PUC to adjudicate disputes between carriers and owners or lienholders when a vehicle is towed from private property without the owner's or lienholder's consent. The office will employ hearing officers or use administrative law judges to govern proceedings and to hold hearings to determine whether a carrier violated the law or caused damages. The office may order carriers to reimburse owners or lienholders, and this reimbursement may include attorney fees. The final actions of the office are subject to judicial review in accordance with the "State Administrative Procedure Act". Carriers are required to record certain information about each 1314 -3- nonconsensual tow, retain the information in their records for 3 years, and produce the records within 48 hours upon request. A carrier is prohibited from paying money or other valuable consideration to a landowner or business for the privilege of nonconsensually towing vehicles. It is a deceptive trade practice to violate the provisions of the bill, and the attorney general is responsible for enforcement. Be it enacted by the General Assembly of the State of Colorado:1 SECTION 1. In Colorado Revised Statutes, 42-4-2103, amend2 (2), (3)(a), (3)(c)(I)(A), (3)(c)(I)(D), (3)(c)(II), and (4) introductory3 portion; and repeal (4)(b) as follows:4 42-4-2103. Abandonment and nonconsensual towing of motor5 vehicles - private property - rules. (2) (a) (I) Any operator having in his6 or her possession any POSSESSING A motor vehicle that was abandoned on7 private property shall notify, within thirty minutes, the department, the8 sheriff, or the sheriff's designee, of the county in which the motor vehicle9 is located or the chief of police, or the chief's designee, of the10 municipality in which the motor vehicle is located. T HE NOTICE MUST11 INCLUDE:12 (A) as to The name of the operator; and13 (B) The location of the impound lot STORAGE FACILITY where the14 vehicle is located; and15 (C) A description of the abandoned motor vehicle, including the16 make, model, color, and year; the number, issuing state, and expiration17 date of the license plate; and the vehicle identification number.18 (II) A N OPERATOR IS DEEMED TO HAVE COMPLIED WITH19 SUBSECTION (2)(a)(I) OF THIS SECTION IF:20 (A) T HE OPERATOR GAVE THE LOCATION OF THE STORAGE21 FACILITY TO THE LAW ENFORCEMENT AGENCY WHEN OBTAINING22 1314-4- AUTHORIZATION FOR THE TOW ; OR1 (B) T HE OPERATOR MADE TWO OR MORE ATTEMPTS , WITHIN THE2 THIRTY MINUTES REQUIRED IN SUBSECTION (2)(a)(I) OF THIS SECTION, TO3 NOTIFY THE RESPONSIBLE LAW ENFORCEMENT AGENCY BUT WAS4 UNSUCCESSFUL FOR REASONS BEYOND THE CONTROL OF THE OPERATOR .5 (b) Upon such notification RECEIVING THE NOTICE REQUIRED IN6 SUBSECTION (2)(a) OF THIS SECTION, the law enforcement agency that7 receives such THE notice shall:8 (I) Assign the vehicle a tow report number immediately;9 (II) shall Enter the vehicle and the fact that it has been towed in10 the Colorado crime information center computer system; and11 (III) shall Ascertain, if possible, whether or not the vehicle has12 been reported stolen, and, if so, reported, such THE agency shall:13 (A) Recover and secure the motor vehicle;14 (B) and Notify its rightful owner; and15 (C) Terminate the abandonment proceedings under this part 21.16 (c) Upon the release of the vehicle to the owner or lienholder, the17 operator shall notify the responsible law enforcement agent, who shall18 adjust or delete the entry in the Colorado crime information center19 computer system. The responsible law enforcement agency and operator20 shall have the right to recover from the owner their reasonable fees for21 recovering and securing the vehicle. Nothing in this section shall be22 construed to authorize AUTHORIZES fees for services that were not23 provided or that were provided by another person or entity.24 (3) (a) N OT MORE THAN TEN DAYS AFTER A MOTOR VEHICLE HAS25 BEEN TOWED, an operator shall no less than two days, but no more than 26 ten days after a motor vehicle has been towed or abandoned, report such27 1314 -5- THE motor vehicle tow to the department by first-class or certified mail,1 by personal delivery, or by internet communication. which THE report2 shall MUST be on a form prescribed and supplied by the department.3 (c) (I) (A) N OT MORE THAN TEN DAYS AFTER A MOTOR VEHICLE4 HAS BEEN TOWED, an operator or its agent shall no less than two days, but 5 no more than ten days after a motor vehicle has been towed or abandoned,6 determine who the owner is and if WHETHER there is a lienholder and7 send NOTIFY THE OWNER AND ANY LIENHOLDER BY SENDING a notice8 by certified mail, return receipt requested, to the address of the owner and9 any lienholder as determined from records of the department or from the10 national search performed by the department IN ACCORDANCE WITH11 SUBSECTION (3)(c)(IV) OF THIS SECTION. AN OPERATOR SHOULD WAIT12 TWENTY-FOUR HOURS AFTER THE TOW TO NOTIFY THE OWNER AND ANY13 LIENHOLDER AND SEND THE NOTICE AS SOON AS REASONABLY PRACTICAL14 AFTER THE TWENTY-FOUR HOURS. AN OPERATOR SHALL NOT CHARGE15 MORE THAN SEVENTY-FIVE DOLLARS TO SEND THE NOTICE.16 (D) The cost of complying with this paragraph (c) SUBSECTION17 (3)(c) is a cost of towing. except that the total of all costs of complying18 with this section shall not exceed one hundred fifty dollars. The tow19 operator shall send the notice to the owner and lienholder within five days20 after receiving the information from the department IN ACCORDANCE WITH21 SUBSECTION (3)(c)(I)(A) OF THIS SECTION.22 (II) The operator shall IS not be entitled to recover any daily23 storage fees from the day the vehicle is towed until the day the OPERATOR24 SENDS THE owner and ANY lienholder are notified, unless the operator 25 reasonably attempts to notify the owner and lienholder by the date26 specified in subparagraph (I) of this paragraph (c). Sending a notice by27 1314 -6- certified mail, return receipt requested, to the owner and the lienholder as1 represented in department records shall be deemed a reasonable attempt2 to notify the owner and the lienholder. Failure to notify the owner and the3 lienholder due to the receipt of erroneous information from the4 department shall not cause the loss of such storage fees accrued from the5 date the vehicle is towed until the owner and the lienholder receive such6 notice THE NOTICE REQUIRED IN SUBSECTION (3)(c)(I) OF THIS SECTION.7 (4) Within three days after the receipt of the records set forth in8 subsection (3)(c) of this section from the department, the operator shall9 notify by certified mail the owner of record, including an out-of-state10 owner of record. The operator shall make a reasonable effort to ascertain11 the address of the owner of record. The notice must contain the following12 information:13 (b) The claim of any lien under section 42-4-2105;14 SECTION 2. In Colorado Revised Statutes, 42-4-2104, amend15 (1)(a) and (4) as follows:16 42-4-2104. Appraisal of abandoned motor vehicles - sale.17 (1) (a) TO SELL A motor vehicles that are VEHICLE THAT WAS abandoned18 on private property, shall be appraised and sold by the operator MUST19 SELL THE MOTOR VEHICLE in a commercially reasonable manner at a20 public or private sale held not less than thirty days nor more than sixty21 days after the postmarked date the notice was mailed pursuant to section22 42-4-2103 (4) or the date the operator receives notice that no record exists23 for such vehicle. Such sale shall be made THE OPERATOR MUST MAKE THE24 SALE to a licensed motor vehicle dealer or wholesaler, or wholesale motor25 vehicle auction dealer, or through a classified newspaper advertisement26 published in Colorado. THE APPRAISAL MUST BE PERFORMED BY AN27 1314 -7- INDEPENDENT THIRD PERSON. For purposes of this section, a sale shall not1 be considered IS NOT commercially reasonable if: 2 (I) The vehicle's appraisal value is more than three hundred fifty3 dollars and the vehicle is sold to an officer or partner of the operator that4 has possession of the vehicle or to any other person with a proprietary5 interest in such THE operator; OR6 (II) THE OPERATOR FAILS TO SET THE SALE PRICE AT THE TIME OF7 SALE, LIST THE FAIR MARKET PRICE AT THE TIME OF SALE, OR REPORT THE8 SALE; OR REPORT THE SALE PRICE TO THE DEPARTMENT WITHIN FIVE9 BUSINESS DAYS AFTER THE SALE.10 (4) Transferring the title of a motor vehicle to an operator to11 satisfy a debt covered by a lien created pursuant to this part 21 shall12 INCURRED IN TOWING AN ABANDONED VEHICLE IS not be deemed to be the13 sale of a motor vehicle.14 SECTION 3. In Colorado Revised Statutes, 42-4-2105, amend15 (1) and (3) as follows:16 42-4-2105. Liens upon towed motor vehicles. (1) (a) Whenever17 IN ACCORDANCE WITH THE ATTACHMENT SCHEDULE IN SUBSECTION (1)(b)18 OF THIS SECTION, an operator who is registered with the department in19 accordance with subsection (2) of this section recovers, removes, or stores20 a motor vehicle upon instructions from the owner of record OR any other21 legally authorized person in control of such THE motor vehicle, or from22 the owner or lessee of real property upon which a motor vehicle is23 illegally parked or such ABANDONED OR THE owner's or lessee's agent24 authorized in writing, such THE operator shall have HAS a possessory lien,25 subject to the provisions of section 42-4-2103 (3), upon such THE motor26 vehicle and its attached accessories, equipment, and personal property for27 1314 -8- all the costs and fees for recovering, towing, and storage as authorized in1 section 42-4-2108. Such THE lien shall be IS a first and prior lien on the2 motor vehicle, and such lien shall be IS satisfied before all other charges3 against such THE motor vehicle. This subsection (1) shall not apply to4 personal property if subsection (3) of this section applies to such personal5 property.6 (b) THE LIEN GRANTED IN SUBSECTION (1)(a) OF THIS SECTION7 ATTACHES TO THE MOTOR VEHICLE IN ACCORDANCE WITH THE FOLLOWING8 SCHEDULE:9 (I) IF THE OPERATOR RECOVERED , REMOVED, OR STORED THE10 MOTOR VEHICLE UPON INSTRUCTIONS FROM THE OWNER OF RECORD OR11 ANY OTHER LEGALLY AUTHORIZED PERSON IN CONTROL OF THE MOTOR12 VEHICLE, THE LIEN ATTACHES TO THE MOTOR VEHICLE WHEN THE13 OPERATOR TAKES POSSESSION OF THE MOTOR VEHICLE ; OR14 (II) IF THE OPERATOR RECOVERED , REMOVED, OR STORED THE15 MOTOR VEHICLE UPON INSTRUCTIONS OF THE OWNER OR LESSEE OF REAL16 PROPERTY UPON WHICH A MOTOR VEHICLE WAS ILLEGALLY PARKED OR17 ABANDONED OR UPON THE OWNER'S OR LESSEE'S AGENT AUTHORIZED IN18 WRITING, THE LIEN ATTACHES TO THE MOTOR VEHICLE THIRTY DAYS AFTER19 THE POSTMARKED DATE THE NOTICE WAS MAILED IN ACCORDANCE WITH20 SECTION 42-4-2103 (4) OR THE DATE THE OPERATOR RECEIVED NOTICE21 THAT NO RECORD EXISTS FOR THE MOTOR VEHICLE .22 (3) If the operator obtains personal property from an abandoned23 vehicle that has been towed pursuant to this part 21 and if the serial or24 identification number of such property has been visibly altered or25 removed, the operator shall not have a lien upon such property and shall26 destroy or discard such property within five days after disposing of such27 1314 -9- THE vehicle pursuant to sections 42-4-2104 and 42-4-2107.1 SECTION 4. In Colorado Revised Statutes, amend 42-4-2106 as2 follows:3 42-4-2106. Perfection of lien. The lien provided for in section4 42-4-2105 shall be IS perfected by taking physical possession of the motor5 vehicle and its attached accessories, equipment, or personal property and6 by sending to the department, within ten working days after the time7 possession was taken, a notice containing the information required in the8 report to be made under the provisions of section 42-4-2103. In addition,9 such THE LIEN IS NOT PERFECTED UNTIL THE LIEN ATTACHES IN10 ACCORDANCE WITH THE SCHEDULE DESCRIBED IN SECTION 42-4-210511 (1)(b). THE report shall MUST contain a declaration by the operator that a12 possessory lien is claimed for all past, present, and future charges, up to13 the date of redemption, and that the lien is enforceable and may be14 foreclosed pursuant to the provisions of this part 21.15 SECTION 5. In Colorado Revised Statutes, amend 42-4-2107 as16 follows:17 42-4-2107. Sale of abandoned vehicle. (1) A N OPERATOR MAY18 SELL any motor vehicle and its attached accessories and equipment or19 personal property within or attached to such THE vehicle that are not20 redeemed by the last-known owner of record or lienholder after such21 owner or lienholder has been sent notice of such lien by the operator shall22 be sold in accordance with the provisions of section 42-4-2104 THE23 NOTICE WAS SENT IN ACCORDANCE WITH SECTION 42-4-2104 (1).24 (2) Within five days after foreclosure of the lien pursuant to this25 section AT LEAST FIVE DAYS BEFORE A VEHICLE IS SOLD IN ACCORDANCE26 WITH SUBSECTION (1) OF THIS SECTION, the operator shall send a notice to27 1314 -10- the law enforcement agency having jurisdiction over the operator. Such1 notice shall THE NOTICE MUST contain a list of personal property found2 within the abandoned vehicle that has an intact serial or identification3 number and such EACH serial or identification number. Such notification4 shall be made THE OPERATOR SHALL DELIVER THE NOTICE by certified5 mail, facsimile machine, or personal delivery.6 SECTION 6. In Colorado Revised Statutes, 42-4-2108, amend7 (1), (2) introductory portion, and (2)(c); and repeal (2)(b) as follows:8 42-4-2108. Proceeds of sale. (1) (a) If the sale of any motor9 vehicle, personal property, and attached accessories or equipment under10 the provisions of section 42-4-2104 produces an amount less than or11 equal to the sum of all charges of the operator, who has perfected his or12 her lien, then the operator shall have HAS a valid claim against the owner13 for the full amount of such THE charges, less the amount received upon14 the sale of such motor vehicle. A N OPERATOR DOES NOT HAVE A VALID15 CLAIM IF THE OPERATOR HAS VIOLATED SECTION 40-10.1-405.16 (b) Failure to register such A vehicle in accordance with this title17 shall constitute TITLE 42 IS DEEMED a waiver of such THE owner's right to18 be notified pursuant to this part 21. for the purposes of foreclosure of the19 lien pursuant to section 42-4-2107. Such Charges shall be SPECIFIED IN20 SUBSECTION (1)(a) OF THIS SECTION ARE assessed in the manner provided21 for in paragraph (a) of subsection (2) IN ACCORDANCE WITH SUBSECTION22 (2)(a) of this section.23 (2) If the sale of any motor vehicle and its attached accessories or24 equipment under the provisions of section 42-4-2104 produces an amount25 greater than the sum of all charges of the operator who has perfected his26 or her THE OPERATOR'S lien:27 1314 -11- (b) Any balance remaining after payment pursuant to paragraphs1 (a) and (a.5) of this subsection (2) shall be forwarded to the department,2 and the department may recover from such balance any taxes, fees, and3 penalties due to it with respect to such motor vehicle. The department4 shall provide a receipt to the operator within seven days after receiving5 the money if the operator provides the department with a postage-paid,6 self-addressed envelope.7 (c) (I) THE OPERATOR SHALL PAY any balance remaining after8 payment pursuant to paragraph (b) of this subsection (2) shall be paid by9 the department: MAKING THE PAYMENT REQUIRED IN SUBSECTION (2)(a.5)10 OF THIS SECTION IN ACCORDANCE WITH THE FOLLOWING :11 (A) First, to any lienholder of record as the lienholder's interest12 may appear upon the records of the department;13 (B) Second, to any owner of record as the owner's interest may so14 appear; and15 (C) then THIRD, to any person submitting proof of such THE16 person's interest in such THE motor vehicle upon the application of such17 THE lienholder, owner, or person.18 (II) If such payments are not requested and made within One19 hundred twenty days after the sale of the abandoned motor vehicle, the20 OPERATOR SHALL TRANSFER THE balance, shall be transmitted AFTER21 MAKING THE PAYMENT REQUIRED UNDER SUBSECTIONS (2)(a) TO (2)(c)(I)22 OF THIS SECTION, to the state treasurer, who shall credit the same to the23 highway users tax fund for allocation and expenditure as specified in24 section 43-4-205 (5.5)(e), C.R.S. UNCLAIMED PROPERTY TRUST FUND,25 CREATED IN SECTION 38-13-801, AND DISPOSED OF IN ACCORDANCE WITH26 ARTICLE 13 OF TITLE 38.27 1314 -12- SECTION 7. In Colorado Revised Statutes, 40-10.1-101, amend1 (13); and add (1.5), (4.5), and (6.5) as follows:2 40-10.1-101. Definitions. As used in this article 10.1, unless the3 context otherwise requires:4 (1.5) "A UTHORIZED OR INTERESTED PERSON " MEANS:5 (a) T HE VEHICLE OWNER, AUTHORIZED OPERATOR, OR AUTHORIZED6 AGENT OF THE OWNER OF THE VEHICLE ;7 (b) T HE LIENHOLDER OF THE VEHICLE OR AGENT OF THE8 LIENHOLDER OF THE VEHICLE; OR9 (c) IF THE OWNER SIGNS A RELEASE AUTHORIZING AN INSURANCE10 COMPANY TO ACT ON BEHALF OF THE OWNER , THE INSURANCE COMPANY11 OR AGENT OF THE INSURANCE COMPANY PROVIDING INSURANCE12 COVERAGE ON THE VEHICLE.13 (4.5) "C OMMON PARKING AREA " MEANS ANY PART OF THE14 FOLLOWING AREAS THAT ARE NORMALLY USED FOR PARKING , SUCH AS THE15 SIDE OF A STREET OR PARKING SPACES, THAT AN OWNER DOES NOT HAVE16 THE RIGHT TO EXCLUDE OTHER RESIDENTS OF THE FOLLOWING FROM USING17 FOR PARKING:18 (a) A CONDOMINIUM, AS DEFINED IN SECTION 38-33.3-103 (9);19 (b) A COOPERATIVE, AS DEFINED IN SECTION 38-33.3-103 (10);20 (c) A MULTIFAMILY BUILDING, WHICH IS ALSO KNOWN AS AN21 APARTMENT COMPLEX , WITH SEPARATE LIVING QUARTERS THAT ARE22 RENTED OR LEASED SEPARATELY ; OR23 (d) A MOBILE HOME PARK, AS DEFINED IN SECTION 38-12-201.5 (6).24 (6.5) "D ROP FEE" MEANS A FEE A TOWING OPERATOR CHARGES TO25 UNHOOK A VEHICLE FROM A TOW TRUCK .26 (13) "Nonconsensual towing", or "nonconsensual tow", "TOWED27 1314 -13- NONCONSENSUALLY ", "NONCONSENSUALLY TOW ", OR "TOWED WITHOUT1 CONSENT" means the transportation of a motor vehicle by tow truck FROM2 PRIVATE PROPERTY if such THE transportation is performed without the3 prior consent or authorization of:4 (a) The owner or OF THE VEHICLE, AUTHORIZED operator OF THE5 VEHICLE, OR AGENT OF THE OWNER of the motor vehicle;6 (b) T HE LIENHOLDER OF THE VEHICLE OR AGENT OF THE7 LIENHOLDER, UNLESS THE VEHICLE IS BEING TOWED FOR THE PURPOSE OF8 REPOSSESSION UNDER A LIEN AGREEMENT ; OR9 (c) I F THE OWNER SIGNS A RELEASE AUTHORIZING AN INSURANCE10 COMPANY TO ACT ON BEHALF OF THE OWNER , THE INSURANCE COMPANY11 OR AGENT OF THE INSURANCE COMPANY PROVIDING INSURANCE12 COVERAGE ON THE VEHICLE.13 14 SECTION 8. In Colorado Revised Statutes, 40-10.1-401, amend15 (2) as follows:16 40-10.1-401. Permit requirements. (2) (a) The commission may17 deny an application OR REFUSE TO RENEW A PERMIT under this part 4 of18 a person who has, within the immediately preceding five years, been19 convicted of, or pled guilty or nolo contendere to, a felony OR A20 TOWING-RELATED OFFENSE. The commission may also deny an21 application under this part 4 or refuse to renew the permit of a towing22 carrier based upon a determination that the towing carrier or any of its23 owners, principals, officers, members, partners, or directors has not24 satisfied a civil penalty arising out of any administrative or enforcement25 action brought by the commission.26 (b) THE COMMISSION MAY DENY AN APPLICATION OR REFUSE TO27 1314 -14- RENEW A PERMIT OF A TOWING CARRIER UNDER THIS PART 4 BASED ON A1 DETERMINATION THAT THERE IS GOOD CAUSE TO BELIEVE THE ISSUANCE2 OF OR RENEWAL OF THE PERMIT IS NOT IN THE PUBLIC INTEREST . THE3 DETERMINATION IS SUBJECT TO APPEAL IN ACCORDANCE WITH4 COMMISSION RULES.5 SECTION 9. In Colorado Revised Statutes, 40-10.1-403, amend6 (5)(a); and add (4)(d)(I)(C), (4)(d)(I)(D), (4)(d)(I)(E), (4)(d)(I)(F),7 (4)(d)(I)(G), (4)(d)(I)(H), and (5)(c) as follows:8 40-10.1-403. Towing task force - creation - rules - repeal.9 (4) (d) (I) By December 1 of each year, the commission shall make a10 report to the house of representatives transportation and local government11 committee, the house of representatives business affairs and labor12 committee, the senate business, labor, and technology committee, and the13 senate transportation and energy committee, or any successor committees.14 The report must:15 (C) INCLUDE THE ANALYSIS REQUIRED IN SUBSECTION (5)(C) OF16 THIS SECTION;17 (D) INCLUDE THE TASK FORCE'S DEFINITION OF CONSENSUAL TOW18 AND NONCONSENSUAL TOW ;19 (E) INCLUDE THE RANGE OF DOLLAR AMOUNTS CONSIDERED WHEN20 SETTING ALL RATES RELATED TO CHARGES BY TOWING CARRIERS FOR21 NONCONSENSUAL TOWS, INCLUDING INFORMATION CONSIDERED FOR THE22 MINIMUM AND MAXIMUM RATES FOR ALL FEES CHARGED, THE FORMULAS23 FOR DETERMINING THE ACTUAL COST AND MARKET RATE FOR THE FINAL24 FEES SET FOR ALL RATES, A SUMMARY OF ANY PUBLIC COMMENT OR25 FEEDBACK PROVIDED RELATED TO THE RATES SET, AND ANY OTHER26 INFORMATION THE TASK FORCE TOOK INTO CONSIDERATION WHEN27 1314 -15- ESTABLISHING ALL RATES;1 (F) INCLUDE THE TIMES, INCLUDING THE SHORTEST, MEAN,2 MEDIAN, MODE, AND LONGEST, TO SETTLE COMPLAINTS MADE TO THE3 COMMISSION;4 (G) INCLUDE THE CATEGORIES OF COMPLAINTS AND THE NUMBER5 OF COMPLAINTS IN EACH CATEGORY ; AND6 (H) INCLUDE A LIST OF THE TOWING CARRIERS THAT HAVE BEEN7 ISSUED A PERMIT, THE NUMBER OF VALID COMPLAINTS AGAINST EACH8 CARRIER, AND THE ACTION TAKEN BY THE COMMISSION IN RESPONSE TO9 EACH VALID COMPLAINT.10 (5) The task force has the following duties and powers:11 (a) To make comprehensive recommendations to the commission12 about the maximum rates that may be charged for the recovery, towing,13 and storage of a vehicle that has been towed without the owner's consent.14 The task force shall make comprehensive recommendations to the15 commission about the maximum rates after July 1, 2022, but no later than16 September 1, 2022 November 1, 2022.17 (c) TO ANALYZE AND MAKE RECOMMENDATIONS TO THE18 COMMISSION ABOUT NONCONSENSUAL TOWING RATES CHARGED TO THE19 PUBLIC. IN ANALYZING NONCONSENSUAL RATES, THE TASK FORCE SHALL20 TAKE INTO ACCOUNT CURRENT CONSENSUAL TOWING MARKET RATES AND21 THEIR RELATIONSHIP TO NONCONSENSUAL TOWING RATES .22 SECTION 10. In Colorado Revised Statutes, add 40-10.1-405,23 40-10.1-406, 40-10.1-407, 40-10.1-408, and 40-10.1-409 as follows:24 40-10.1-405. Nonconsensual tows - rights of owners, operators,25 and lienholders - rules. (1) Towing fees. (a) TOWING CARRIERS SHALL26 PROMINENTLY DISPLAY AT THEIR PLACE OF BUSINESS AND ON ANY27 1314 -16- WEBSITE OF THE TOWING CARRIER THE CURRENT MAXIMUM RATES1 PERMITTED BY RULE OF THE COMMISSION FOR EACH TOW SERVICE2 PROVIDED BY THE TOWING CARRIER. THE SIGN MUST INCLUDE THE3 FOLLOWING STATEMENT: "THE MAXIMUM PERMITTED RATE IS BASED UPON4 RULES OF THE PUBLIC UTILITIES COMMISSION, AND IF THERE ARE5 CONCERNS OR QUESTIONS ABOUT THESE RATES OR THE TOWING CARRIER,6 THEN CALL THE PUBLIC UTILITIES COMMISSION CONSUMER AFFAIRS7 HOTLINE AT 303-894-2070. 8 (b) (I) A TOWING CARRIER SHALL ACCEPT:9 (A) C ASH;10 (B) MAJOR CREDIT CARDS; AND11 (C) O THER FORMS OF PAYMENT REQUIRED BY RULE OF THE12 COMMISSION.13 (II) T HE COMMISSION SHALL PROMULGATE A RULE DEFINING WHAT14 QUALIFIES AS A MAJOR CREDIT CARD FOR THE PURPOSES OF THIS15 SUBSECTION (1)(b).16 (c) A TOWING CARRIER SHALL NOT:17 (I) C HARGE STORAGE FEES FOR ANY TWENTY -FOUR-HOUR PERIOD18 DURING WHICH THE TOWING CARRIER DID NOT STORE THE VEHICLE, BUT19 THE TOWING CARRIER MAY CHARGE A PRORATED FEE FOR ANY PART OF A20 TWENTY-FOUR-HOUR PERIOD THE TOWING CARRIER STORED THE VEHICLE ;21 AND22 (II) C HARGE OR RETAIN ANY FEES NOT IDENTIFIED IN THE RULES OF23 THE COMMISSION FOR THE NONCONSENSUAL TOW OF A VEHICLE FROM24 PRIVATE PROPERTY.25 (2) Towing carrier document vehicle's condition and reason26 for tow - adequate illumination. (a) B EFORE A TOWING CARRIER27 1314 -17- CONNECTS A TOWING VEHICLE TO A VEHICLE WITHOUT CONSENT , THE1 TOWING CARRIER SHALL DOCUMENT THE VEHICLE 'S CONDITION AND THE2 REASON FOR THE TOW BY:3 (I) T AKING AT LEAST FOUR PHOTOGRAPHS OF THE VEHICLE , WITH4 AT LEAST ONE PHOTOGRAPH TAKEN FROM THE FRONT , ONE PHOTOGRAPH5 TAKEN FROM THE REAR, ONE PHOTOGRAPH TAKEN FROM THE DRIVER 'S6 SIDE, AND ONE PHOTOGRAPH TAKEN FROM THE PASSENGER 'S SIDE. THESE7 PHOTOGRAPHS MUST:8 (A) S HOW THE ENTIRE VEHICLE FROM THE REQUIRED ANGLE ;9 (B) H AVE THE VEHICLE FILL AT LEAST THREE -FOURTHS OF THE10 PHOTOGRAPH, MEASURED FROM SIDE TO SIDE; AND11 (C) B E RENDERED IN A RESOLUTION OF AT LEAST TWO THOUSAND12 PIXELS BY AT LEAST TWO THOUSAND PIXELS .13 (II) T AKING A PHOTOGRAPH THAT SHOWS THE REASON FOR THE14 VEHICLE BEING TOWED WITHOUT CONSENT . THE PHOTOGRAPH MUST:15 (A) S HOW THE POSITION OF THE VEHICLE IN RELATION TO THE16 REASON, INCLUDING ANY SIGN, THAT THE VEHICLE WAS TOWED; AND17 (B) B E RENDERED IN A RESOLUTION OF AT LEAST TWO THOUSAND18 PIXELS BY AT LEAST TWO THOUSAND PIXELS .19 (b) U PON DEMAND BY AN AUTHORIZED OR INTERESTED PERSON ,20 THE TOWING CARRIER SHALL PROVIDE COPIES OF THE PHOTOGRAPHS21 REQUIRED TO BE TAKEN PURSUANT TO SUBSECTION (2)(a)(I) OR (2)(a)(II)22 OF THIS SECTION.23 (c) (I) A REBUTTABLE PRESUMPTION THAT A TOWING CARRIER24 DAMAGED A VEHICLE IS CREATED BY EVIDENCE THAT :25 (A) T HE TOWING CARRIER HAS FAILED TO PRODUCE PHOTOGRAPHS26 OF THE VEHICLE'S CONDITION IN COMPLIANCE WITH SUBSECTION (2)(b) OF27 1314 -18- THIS SECTION; AND1 (B) A VEHICLE HAS SUFFERED DAMAGE .2 (II) A TOWING CARRIER'S FAILURE TO PRODUCE A PHOTOGRAPH OF3 THE REASON FOR THE TOW IN COMPLIANCE WITH SUBSECTION (2)(b) OF4 THIS SECTION CREATES A REBUTTABLE PRESUMPTION THAT THE TOWING5 CARRIER DID NOT HAVE AUTHORIZATION TO TOW A VEHICLE .6 (d) D URING BUSINESS HOURS OR WHEN A VEHICLE IS BEING7 RELEASED, A TOWING CARRIER SHALL MAINTAIN AN AREA AT EACH8 STORAGE FACILITY WITH LIGHTING THAT IS ADEQUATE TO ALLOW A9 PERSON TO INSPECT A VEHICLE FOR DAMAGE PRIOR TO ITS RELEASE FROM10 STORAGE.11 (3) Authorization and notice required for tows from private12 property. (a) A TOWING CARRIER SHALL NOT NONCONSENSUALLY TOW13 A VEHICLE FROM PRIVATE PROPERTY UNLESS :14 (I) T HE VEHICLE IS BEING REPOSSESSED BY A CREDITOR WITH A15 LIEN OR SECURITY INTEREST IN THE VEHICLE;16 (II) T HE REMOVAL IS EXPRESSLY ORDERED OR AUTHORIZED BY A17 COURT ORDER, AN ADMINISTRATIVE ORDER, OR A PEACE OFFICER OR BY18 OPERATION OF LAW;19 (III) T HE VEHICLE BLOCKS A DRIVEWAY OR ROADWAY ENOUGH TO20 EFFECTIVELY OBSTRUCT A PERSON 'S ACCESS TO THE DRIVEWAY OR21 ROADWAY; OR22 (IV) T HE TOWING CARRIER HAS RECEIVED PERMISSION TO TOW THE23 VEHICLE, WITHIN THE TWENTY-FOUR HOURS IMMEDIATELY PRECEDING THE24 TOW, FROM:25 (A) T HE OWNER OF OR LEASE HOLDER OF THE PRIVATE PROPERTY ;26 (B) A PERSON SUBJECT TO THE "COLORADO COMMON INTEREST27 1314 -19- OWNERSHIP ACT", ARTICLE 33.3 OF TITLE 38, IF THE PRIVATE PROPERTY1 IS LOCATED WITHIN THE BOUNDARIES OF THE PERSON 'S AREA OF2 OPERATION; OR3 (C) A N AGENT OF A PERSON DESCRIBED IN SUBSECTION4 (3)(a)(IV)(A) OR (3)(a)(IV)(B) OF THIS SECTION; EXCEPT THAT THE5 TOWING CARRIER DOES NOT QUALIFY AS AN AGENT WITH AUTHORITY TO6 GRANT PERMISSION UNDER THIS SUBSECTION (3)(a).7 (b) (I) E XCEPT AS PROVIDED IN SUBSECTION (3)(b)(IV) OF THIS8 SECTION, A TOWING CARRIER SHALL NOT NONCONSENSUALLY TOW A9 VEHICLE FROM A PARKING SPACE OR COMMON PARKING AREA WITHOUT10 THE TOWING CARRIER OR PROPERTY OWNER GIVING THE VEHICLE OWNER11 OR OPERATOR TWENTY-FOUR HOURS' WRITTEN NOTICE, UNLESS:12 (A) T HE VEHICLE OWNER OR OPERATOR HAS RECEIVED TWO13 PREVIOUS NOTICES FOR PARKING INAPPROPRIATELY IN THE SAME MANNER ;14 (B) T HE VEHICLE IS BEING REPOSSESSED BY A CREDITOR WITH A15 LIEN OR SECURITY INTEREST IN THE VEHICLE;16 (C) T HE REMOVAL IS EXPRESSLY AUTHORIZED BY COURT ORDER OR17 OPERATION OF LAW; 18 (D) T HE VEHICLE BLOCKS A DRIVEWAY OR ROADWAY ENOUGH TO19 EFFECTIVELY OBSTRUCT A PERSON 'S ACCESS TO THE DRIVEWAY OR20 ROADWAY;21 (E) THE VEHICLE IS PARKED IN VIOLATION OF SECTION 42-4-120822 (4) OR IN RESERVED PARKING FOR PEOPLE WITH DISABILITIES WITHOUT23 DISPLAYING AN IDENTIFYING PLACARD OR AN IDENTIFYING PLATE, AS24 THOSE TERMS ARE DEFINED IN SECTION 42-3-204 (1)(f) AND (1)(g), THAT25 IS CURRENTLY VALID OR HAS BEEN EXPIRED FOR NO MORE THAN SIXTY26 DAYS;27 1314 -20- (F) THE VEHICLE IS PARKED IN OR EFFECTIVELY OBSTRUCTING A1 DESIGNATED AND MARKED FIRE ZONE ;2 (G) THE VEHICLE IS OCCUPYING WITHOUT PERMISSION OR3 EFFECTIVELY OBSTRUCTING ACCESS TO OR FROM AN INDIVIDUALLY4 DESIGNATED, RENTED, OR PURCHASED PARKING SPACE OF A RESIDENT; OR5 (H) THE VEHICLE IS PARKED WITHOUT DISPLAYING VALID6 AUTHORIZATION IN A PARKING LOT MARKED FOR THE EXCLUSIVE USE OF7 RESIDENTS.8 (II) T HE TOWING CARRIER OR PROPERTY OWNER SHALL PROVIDE9 THE NOTICE DESCRIBED IN SUBSECTION (3)(b)(I) OF THIS SECTION BY10 PLACING A WRITTEN NOTICE ON THE WINDSHIELD OF THE VEHICLE AT11 LEAST TWENTY-FOUR HOURS BEFORE TOWING THE VEHICLE .12 (III) T HE NOTICE MUST STATE CLEARLY:13 (A) T HAT THE VEHICLE WILL BE TOWED WITHOUT CONSENT IF THE14 VEHICLE REMAINS PARKED INAPPROPRIATELY ;15 (B) A DESCRIPTION OF THE INAPPROPRIATE PARKING THAT HAS16 CAUSED THE NOTICE TO BE GIVEN;17 (C) T HE TIME THE VEHICLE WILL BE TOWED IF IT IS NOT MOVED TO18 APPROPRIATE PARKING; AND19 (D) T HAT CONTINUING TO PARK INAPPROPRIATELY IN THE SAME20 MANNER MAY LEAD TO THE VEHICLE BEING TOWED WITHOUT NOTICE .21 (IV) I F THE VEHICLE IS PARKED A THIRD OR SUBSEQUENT TIME IN22 THE SAME INAPPROPRIATE MANNER THAT CAUSED IT TO RECEIVE PREVIOUS23 NOTICES, THE TOWING CARRIER OR PROPERTY OWNER NEED NOT GIVE THE24 NOTICE REQUIRED IN SUBSECTION (3)(b)(I) OF THIS SECTION BEFORE25 TOWING THE VEHICLE.26 (V) F OR PURPOSES OF THIS SUBSECTION (3)(b), A VEHICLE IS27 1314 -21- PARKED INAPPROPRIATELY WHEN IT IS PARKED IN A MANNER THAT :1 (A) V IOLATES THE PROCEDURES NECESSARY TO OBTAIN2 AUTHORIZATION TO PARK IN THE LOT OR SPACE ;3 (B) F AILS TO COMPLY WITH THE PROPERTY OWNER 'S SIGNS OR THE4 AGREEMENTS OF THE TENANTS ; OR5 (C) V IOLATES A STATUTE, RULE, ORDINANCE, OR RESOLUTION OF6 THE STATE OR A POLITICAL SUBDIVISION OF THE STATE .7 (c) IN ORDER FOR A TOWING CARRIER TO CONDUCT A8 NONCONSENSUAL TOW UNDER SUBSECTION (3)(b)(I)(G) OR (3)(b)(I)(H) OF9 THIS SECTION, THE PROPERTY OWNER MUST HAVE POSTED SIGNAGE VISIBLE10 AND FACING THE DRIVER AT EACH ENTRY WAY INTO A PARKING AREA11 INDICATING THAT PARKING SPACES ARE DESIGNATED FOR ONE OR MORE12 SPECIFIED RESIDENTS AND THAT A VEHICLE PARKED WITHOUT13 AUTHORIZATION IS SUBJECT TO BEING TOWED. THE SIGN MUST ALSO14 CONTAIN THE INTERNATIONAL TOWING SYMBOL NO SMALLER THAN FOUR15 INCHES BY FOUR INCHES AND BE PERMANENTLY MOUNTED IN A POSITION16 THAT IS NO LOWER THAN FIVE FEET AND NO HIGHER THAN EIGHT FEET.17 18 (4) Notice, disclosures, and signs. (a) I N CONNECTION WITH A19 NONCONSENSUAL TOW , THE TOWING CARRIER SHALL PROVIDE , UPON20 REQUEST, EVIDENCE OF THE TOWING CARRIER 'S COMMERCIAL LIABILITY21 INSURANCE COVERAGE, INCLUDING CARGO LIABILITY COVERAGE, GARAGE22 KEEPER'S LIABILITY COVERAGE, IF APPLICABLE, AND MOTOR VEHICLE23 LIABILITY COVERAGE, TO AN AUTHORIZED OR INTERESTED PERSON .24 (b) A TOWING CARRIER SHALL MAINTAIN A CLEARLY VISIBLE SIGN25 AT THE ENTRANCE TO THE STORAGE FACILITY HOLDING A26 NONCONSENSUALLY TOWED VEHICLE . THE SIGN MUST:27 1314 -22- (I) STATE THE NAME OF THE BUSINESS, TELEPHONE NUMBER, AND1 HOURS OF OPERATION;2 (II) S TATE: "A VEHICLE THAT IS NONCONSENSUALLY TOWED FROM3 PRIVATE PROPERTY MAY BE RETRIEVED EVEN IF THE OWNER DOES NOT PAY4 THE TOWING CARRIER'S FEES, BUT THE OWNER STILL OWES THE TOWING5 CARRIER THOSE FEES."6 (III) B E NO LESS THAN TWO SQUARE FEET IN SIZE;7 (IV) H AVE LETTERING NOT LESS THAN TWO INCHES IN HEIGHT ;8 (V) H AVE LETTERING THAT CONTRASTS SHARPLY IN COLOR WITH9 THE BACKGROUND ON WHICH THE LETTERS ARE PLACED ; AND10 (VI) B E PRINTED IN ENGLISH.11 (c) U PON REQUEST, A TOWING CARRIER SHALL PROVIDE TO AN12 AUTHORIZED OR INTERESTED PERSON AN ITEMIZED BILL SHOWING EACH13 CHARGE AND THE RATE FOR EACH FEE THAT THE AUTHORIZED OR14 INTERESTED PERSON HAS INCURRED AS A RESULT OF A NONCONSENSUAL15 TOW.16 (d) U PON REQUEST, A TOWING CARRIER SHALL DISCLOSE ACCEPTED17 FORMS OF PAYMENT, INCLUDING THOSE REQUIRED TO BE ACCEPTED IN18 ACCORDANCE WITH SUBSECTION (1)(b) OF THIS SECTION.19 (e) I F A TOWING CARRIER HAS NONCONSENSUALLY TOWED A20 VEHICLE FROM PRIVATE PROPERTY, THE TOWING CARRIER SHALL GIVE THE21 AUTHORIZED OR INTERESTED PERSON THAT IS RETRIEVING THE VEHICLE A22 WRITTEN NOTICE OF THE PERSON'S ABILITY TO MAKE A COMPLAINT TO THE23 COMMISSION. THE NOTICE:24 (I) M UST BE WRITTEN IN A CONSPICUOUS TYPE FACE AND FONT ON25 BOTH THE RECEIPT AND BILL FOR THE TOW; AND26 (II) M UST NOT BE IN A TYPE FACE OR FONT THAT IS SMALLER THAN27 1314 -23- THE OTHER NUMBERS OR WORDS ON THE RECEIPT OR BILL , AS APPLICABLE.1 (f) (I) A TOWING CARRIER SHALL NOT PERFORM A2 NONCONSENSUAL TOW OF A VEHICLE , OTHER THAN AN ABANDONED3 MOTOR VEHICLE AS DEFINED IN SECTION 42-4-2102 (1), FROM PRIVATE4 PROPERTY NORMALLY USED FOR PARKING UNLESS :5 (A) N OTICE OF THE PARKING REGULATIONS WAS PROVIDED TO THE6 VEHICLE OPERATOR WHEN THE VEHICLE ENTERED THE PRIVATE PROPERTY7 AND PARKED; AND8 (B) N OTICE THAT ANY VEHICLE PARKED IN VIOLATION OF THE9 REGULATIONS IS SUBJECT TO TOW AT THE VEHICLE OWNER 'S EXPENSE WAS10 PROVIDED TO THE VEHICLE OPERATOR WHEN THE VEHICLE ENTERED THE11 PRIVATE PROPERTY AND PARKED .12 (II) A PROPERTY OWNER WITH TENANTS SHALL PROVIDE THE13 NOTICE DESCRIBED IN THIS SUBSECTION (4)(f) BY ISSUING EACH TENANT14 A WRITTEN DOCUMENT CONTAINING ANY APPLICABLE PARKING15 REGULATIONS BEFORE THE REGULATIONS ARE ADOPTED OR AMENDED OR16 BEFORE THE PERSON AGREES TO BE A TENANT .17 (III) A TOWING CARRIER THAT ENTERS INTO AN AGREEMENT WITH18 A PROPERTY OWNER TO NONCONSENSUALLY TOW VEHICLES FROM THE19 PROPERTY SHALL POST SIGNS THAT:20 (A) A RE NO LESS THAN ONE SQUARE FOOT IN SIZE;21 (B) H AVE LETTERING NOT LESS THAN ONE INCH IN HEIGHT ;22 (C) H AVE LETTERING THAT CONTRASTS WITH THE BACKGROUND23 ON WHICH THE LETTERS ARE PLACED ;24 (D) S TATE: "AUTHORIZED PARKING ONLY";25 (E) I NCLUDE THE NAME AND TELEPHONE NUMBER OF THE TOWING26 CARRIER AUTHORIZED TO PERFORM TOWS FROM THE PRIVATE PROPERTY ;27 1314 -24- (F) ARE PRINTED IN ENGLISH;1 (G) A RE PLACED AT THE ENTRANCE TO THE PRIVATE PROPERTY ,2 FACE OUTWARD TOWARD THE STREET , AND ARE VISIBLE PRIOR TO3 ENTERING AND UPON ENTERING THE PRIVATE PROPERTY ;4 (H) A RE PLACED INSIDE THE AREA USED FOR PARKING , FACE5 TOWARD THE PARKING SPACES , AND, IF THE PRIVATE PROPERTY IS NOT6 PROVIDED FOR RESIDENTIAL PARKING AND HAS MORE THAN TEN7 FREESTANDING LAMPPOSTS ON THE PROPERTY , ARE POSTED ON EACH8 LAMPPOST OR POSTED UPRIGHT NEAR EACH LAMPPOST ;9 (I) A RE NOT OBSTRUCTED OR PLACED IN SUCH A MANNER THAT10 PREVENTS VISIBILITY; AND11 (J) A RE NOT PLACED HIGHER THAN EIGHT FEET OR LOWER THAN12 THREE FEET FROM THE GROUND SURFACE CLOSEST TO THE SIGN 'S13 PLACEMENT.14 (g) T HE TOWING CARRIER SHALL RETAIN EVIDENCE , INCLUDING15 PHOTOGRAPHS OF THE RELEVANT SIGNS , OF GIVING THE NOTICES AND16 DISCLOSURES REQUIRED IN SUBSECTION (4)(f) OF THIS SECTION FOR THREE17 YEARS AFTER THE DATE OF COMPLETION OF A NONCONSENSUAL TOW AND18 PROVIDE THE EVIDENCE TO THE COMMISSION OR AN ENFORCEMENT19 OFFICIAL UPON REQUEST.20 (5) No mechanic's liens on vehicle or contents.21 (a) N OTWITHSTANDING SECTION 38-20-105, A TOWING CARRIER THAT22 NONCONSENSUALLY TOWS A VEHICLE DOES NOT HAVE A MECHANIC 'S LIEN23 ON THE CONTENTS OF THE VEHICLE TO COVER THE COST OF TOWING THE24 VEHICLE.25 (b) I F AN AUTHORIZED OR INTERESTED PERSON REQUESTS THAT A26 TOWING CARRIER RETURN A VEHICLE OR THE CONTENTS OF A VEHICLE27 1314 -25- THAT WAS TOWED WITHOUT CONSENT WITHIN THIRTY DAYS AFTER THE1 POSTMARKED DATE THE NOTICE WAS MAILED IN ACCORDANCE WITH2 SECTION 42-4-2103 (4) OR THE DATE THE OPERATOR RECEIVED NOTICE3 THAT NO RECORD EXISTS FOR THE MOTOR VEHICLE, THE TOWING CARRIER4 SHALL IMMEDIATELY RETRIEVE OR ALLOW THE AUTHORIZED OR5 INTERESTED PERSON TO RETRIEVE THE VEHICLE OR ANY CONTENTS IN6 ACCORDANCE WITH SUBSECTION (6)(a) OF THIS SECTION. THIS SUBSECTION7 (5)(b) DOES NOT APPLY TO A VEHICLE OR THE CONTENTS OF A VEHICLE IF8 THE VEHICLE OR THE CONTENTS OF THE VEHICLE ARE SUBJECT TO A HOLD9 ORDER ISSUED BY A COURT , DISTRICT ATTORNEY, LAW ENFORCEMENT10 AGENCY, OR PEACE OFFICER.11 (c) FOR AN AUTHORIZED OR INTERESTED PERSON TO RETRIEVE A12 VEHICLE WITHOUT PAYING THE TOWING CARRIER, THE AUTHORIZED OR13 INTERESTED PERSON MUST SIGN A FORM AFFIRMING THAT THE14 AUTHORIZED OR INTERESTED PERSON OWES THE TOWING CARRIER15 PAYMENT FOR FEES THAT COMPLY WITH THIS ARTICLE 10.1, PART 21 OF16 ARTICLE 4 OF TITLE 42, OR ARTICLE 20 OF TITLE 38. THE TOWING CARRIER17 MAY USE THE FORM TO TAKE REASONABLE ACTIONS TO COLLECT THE18 DEBT, INCLUDING INITIATING A COURT ACTION OR USING A COLLECTION19 AGENCY. THE DEPARTMENT SHALL:20 (I) CREATE THE FORM;21 (II) GIVE THE FORM THE FOLLOWING TITLE: "TOWED VEHICLE22 RELEASE NOTICE: RETRIEVAL WITH PAYMENT OWED"; AND23 (III) PROVIDE THE FORM ON THE PUBLIC UTILITIES COMMISSION24 WEBSITE FOR TOWING CARRIERS TO RETRIEVE AND USE .25 (6) Releasing the vehicle upon request. (a) A TOWING CARRIER26 SHALL RELEASE A NONCONSENTUALLY TOWED VEHICLE IN ACCORDANCE27 1314 -26- WITH SUBSECTION (5)(b) OF THIS SECTION, REGARDLESS OF WHETHER THE1 AUTHORIZED OR INTERESTED PERSON HAS PAID THE TOWING CARRIER .2 (b) A TOWING CARRIER SHALL NOT ASSESS A DROP CHARGE TO3 RELEASE THE VEHICLE AFTER THE VEHICLE IS HOOKED UP TO THE TOW4 TRUCK BUT BEFORE THE VEHICLE IS REMOVED FROM THE PROPERTY .5 (c) I F APPROACHED BY AN AUTHORIZED OR INTERESTED PERSON ,6 THE TOWING CARRIER SHALL NOTIFY THE AUTHORIZED OR INTERESTED7 PERSON THAT THE TOWING CARRIER IS REQUIRED TO RELEASE THE VEHICLE8 UPON REQUEST OF THE AUTHORIZED OR INTERESTED PERSON . 9 (d) U PON REQUEST BY THE AUTHORIZED OR INTERESTED PERSON ,10 THE TOWING CARRIER SHALL STOP ANY TOW IN PROGRESS BEFORE THE11 VEHICLE IS REMOVED FROM PRIVATE PROPERTY .12 (7) No towing for expired registration. U NLESS THE TOW IS13 BASED ON AN ORDER GIVEN BY A PEACE OFFICER , A TOWING CARRIER14 SHALL NOT TOW A VEHICLE FROM PRIVATE PROPERTY BECAUSE THE REAR15 LICENSE PLATE OF THE VEHICLE OR THE RECORD OBTAINED USING THE16 SYSTEM DESCRIBED IN SECTION 42-4-2103 (3)(c)(III) INDICATES THAT THE17 VEHICLE'S REGISTRATION HAS EXPIRED.18 (8) Towing carrier responsibility. F OR A NONCONSENSUAL TOW ,19 THE TOWING CARRIER IS RESPONSIBLE FOR THE SECURITY AND SAFETY OF20 THE TOWED VEHICLE UNTIL IT IS RELEASED TO AN AUTHORIZED OR21 INTERESTED PERSON.22 (9) Applicability. THIS SECTION DOES NOT APPLY TO:23 (a) A TOW ORDERED BY A PEACE OFFICER OR TECHNICIAN24 DIRECTED BY A PEACE OFFICER IN THE COURSE AND SCOPE OF THE25 OFFICER'S OR TECHNICIAN'S DUTIES; OR26 (b) A TOW FROM A PARKING SPACE THAT SERVES A BUSINESS IF :27 1314 -27- (I) THE PARKING SPACE IS NOT IN A COMMON PARKING AREA; AND1 (II) THE PARKING SPACE IS ON COMMERCIAL REAL ESTATE , AS2 DEFINED IN SECTION 38-22.5-102 (2).3 4 40-10.1-406. Failure to comply. (1) No fees. (a) I F A TOWING5 CARRIER FAILS TO COMPLY WITH THIS ARTICLE 10.1, ARTICLE 20 OF TITLE6 38, OR PART 18 OR 21 OF ARTICLE 4 OF TITLE 42 OR ANY RULE7 PROMULGATED UNDER THIS ARTICLE 10.1 OR PART 18 OR 21 OF ARTICLE8 4 OF TITLE 42, THE TOWING CARRIER:9 (I) S HALL NOT CHARGE OR RETAIN ANY FEES OR CHARGES FOR THE10 SERVICES PERFORMED WITH RESPECT TO THE VEHICLE ; AND11 (II) S HALL RETURN TO THE AUTHORIZED OR INTERESTED PERSON12 ANY FEES IT COLLECTED WITH RESPECT TO THE VEHICLE .13 (b) I T IS AN AFFIRMATIVE DEFENSE IN ANY ACTION TO COLLECT14 TOWING FEES THAT:15 (I) T HE VEHICLE WAS TOWED NONCONSENSUALLY ; AND16 (II) T HE TOWING CARRIER FAILED TO COMPLY WITH SECTION17 40-10.1-405.18 (2) Attorney fees. A N AUTHORIZED OR INTERESTED PERSON19 SEEKING REIMBURSEMENT FOR DAMAGES MAY RECOVER FROM THE20 TOWING CARRIER REASONABLE ATTORNEY FEES IF :21 (a) T HE VEHICLE WAS TOWED NONCONSENSUALLY ;22 (b) A COURT HOLDS THAT:23 (I) T HE TOWING CARRIER FAILED TO COMPLY WITH THIS ARTICLE24 10.1, ARTICLE 20 OF TITLE 38, OR PART 18 OR 21 OF ARTICLE 4 OF TITLE 4225 OR ANY RULE PROMULGATED UNDER THIS ARTICLE 10.1 OR PART 18 OR 2126 OF ARTICLE 4 OF TITLE 42, AND THIS FAILURE CAUSED DAMAGES ,27 1314 -28- INCLUDING ECONOMIC DAMAGES , TO THE VEHICLE OWNER OR1 LIENHOLDER; OR2 (II) T HE TOWING CARRIER DAMAGED A VEHICLE WHILE3 CONNECTING IT TO A TOWING VEHICLE , WHILE POSSESSING THE VEHICLE,4 OR WHILE RETURNING THE VEHICLE TO AN AUTHORIZED OR INTERESTED5 PERSON; AND6 (c) T HE AUTHORIZED OR INTERESTED PERSON DEMANDED7 REIMBURSEMENT FOR THE SUFFERED DAMAGES AND THE TOWING CARRIER8 REFUSED TO REIMBURSE THE AUTHORIZED OR INTERESTED PERSON FOR9 THE DAMAGES.10 (3) Damages recovered for party in interest. I N A COURT11 ACTION ARISING FROM A NONCONSENSUAL TOW, ANY AUTHORIZED OR12 INTERESTED PERSON MAY RECOVER THE DAMAGES SUFFERED BY ANOTHER13 AUTHORIZED OR INTERESTED PERSON FROM A TOWING CARRIER IF THE14 PERSON WHO RECOVERS THE DAMAGES REIMBURSES THE OTHER15 AUTHORIZED OR INTERESTED PERSON FOR THE DAMAGES SUFFERED BY THE16 AUTHORIZED OR INTERESTED PERSON . A COURT MAY ISSUE AN ORDER17 IMPLEMENTING THIS SUBSECTION (3).18 40-10.1-407. Records. (1) A TOWING CARRIER SHALL RECORD19 THE FOLLOWING INFORMATION FOR EACH NONCONSENSUAL TOW :20 (a) T HE UNIQUE SERIAL NUMBER OF THE TOW RECORD OR INVOICE ;21 (b) T HE NAME, ADDRESS, TOWING CARRIER PERMIT NUMBER , AND22 TELEPHONE NUMBER OF THE TOWING CARRIER ;23 (c) T HE ADDRESS AND TELEPHONE NUMBER OF THE STORAGE24 FACILITY USED BY THE TOWING CARRIER ;25 (d) T HE MAKE, MODEL, YEAR, COMPLETE VEHICLE IDENTIFICATION26 NUMBER, AND LICENSE PLATE NUMBER, IF AVAILABLE, OF THE TOWED27 1314 -29- VEHICLE;1 (e) T HE ORIGIN ADDRESS OF THE TOW, THE DESTINATION ADDRESS2 OF THE TOW, AND THE ONE-WAY MILEAGE BETWEEN THE TWO ADDRESSES ;3 (f) T HE PRINTED NAME, ADDRESS, TELEPHONE NUMBER , AND4 SIGNATURE OF THE PERSON AUTHORIZING THE TOW ;5 (g) T HE PRINTED NAME AND SIGNATURE OF THE TOW TRUCK6 DRIVER;7 (h) A N ITEMIZED INVOICE OF ALL TOWING CHARGES ASSESSED ;8 (i) T HE SIGNATURE OF THE PERSON TO WHOM THE VEHICLE IS9 RELEASED; EXCEPT THAT THE TOWING CARRIER MAY WRITE "REFUSED TO10 SIGN" IF THE PERSON TO WHOM THE VEHICLE IS RELEASED REFUSES TO SIGN11 THE RELEASE DOCUMENT; 12 (j) T HE DATE AND TIME OF ANY OF THE FOLLOWING, IF PERFORMED:13 (I) H OOKING THE VEHICLE TO THE TOW TRUCK ;14 (II) U NHOOKING THE VEHICLE FROM THE TOW TRUCK ;15 (III) C OMPLETING THE TOW;16 (IV) N OTIFYING THE APPROPRIATE LAW ENFORCEMENT AGENCY ;17 (V) P LACING THE VEHICLE IN STORAGE; AND18 (VI) R ELEASING THE TOWED VEHICLE FROM STORAGE; AND19 (k) ANY OTHER INFORMATION REQUIRED BY RULE OF THE20 COMMISSION.21 (2) A TOWING CARRIER SHALL RECORD THE INFORMATION22 REQUIRED TO BE RECORDED BY SUBSECTION (1) OF THIS SECTION BEFORE23 THE ACTION TO WHICH IT REFERS IS PERFORMED, UNLESS IMPRACTICABLE24 DUE TO SAFETY CONCERNS. IF THE SAFETY CONCERNS DELAY RECORDING25 THE INFORMATION REQUIRED BY SUBSECTION (1) OF THIS SECTION, THE26 TOWING CARRIER SHALL RECORD THE INFORMATION AS SOON AS27 1314 -30- REASONABLY POSSIBLE.1 (3) A TOWING CARRIER SHALL RETAIN THE INFORMATION2 REQUIRED IN SUBSECTION (1) OF THIS SECTION FOR THREE YEARS AFTER3 THE TOW COMMENCED .4 (4) W ITHIN FORTY-EIGHT HOURS AFTER A REQUEST , A TOWING5 CARRIER SHALL PROVIDE THE INFORMATION REQUIRED TO BE RECORDED6 BY SUBSECTION (1) OF THIS SECTION TO AN AUTHORIZED OR INTERESTED7 PERSON.8 40-10.1-408. Kickbacks prohibited. A TOWING CARRIER SHALL9 NOT PAY MONEY OR OTHER VALUABLE CONSIDERATION FOR THE10 PRIVILEGE OF NONCONSENSUALLY TOWING VEHICLES .11 40-10.1-409. Violators subject to penalties. (1) A TOWING12 CARRIER THAT VIOLATES THIS PART 4 IS SUBJECT TO THE PENALTIES13 PROVIDED IN SECTION 40-10.1-114.14 (2) A VIOLATION OF THIS PART 4 IS A DECEPTIVE TRADE PRACTICE15 UNDER SECTION 6-1-105 (1)(ooo) AND IS SUBJECT TO ENFORCEMENT BY16 THE ATTORNEY GENERAL 'S OFFICE IN ADDITION TO THE ENFORCEMENT17 DESCRIBED IN THIS SECTION.18SECTION 11. In Colorado Revised Statutes, add 40-10.1-412 as19 follows:20 40-10.1-412. Nonconsensual towing rules. UPON MAKING A21 FINDING THAT A NONCONSENSUAL TOWING PRACTICE HARMS THE PUBLIC22 INTEREST, THE COMMISSION MAY PROMULGATE RULES , AS NECESSARY, TO23 STOP OR CHANGE THE NONCONSENSUAL TOWING PRACTICE THAT HARMS24 THE PUBLIC INTEREST.25 SECTION 12. In Colorado Revised Statutes, 6-1-105, add26 (1)(ooo) as follows:27 1314 -31- 6-1-105. Unfair or deceptive trade practices. (1) A person1 engages in a deceptive trade practice when, in the course of the person's2 business, vocation, or occupation, the person:3 (ooo) V IOLATES PART 4 OF ARTICLE 10.1 OF TITLE 40.4 SECTION 13. In Colorado Revised Statutes, amend 38-20-1055 as follows:6 38-20-105. Lien of common carrier. (1) E XCEPT AS PROVIDED7 IN SUBSECTION (2) OF THIS SECTION, every common carrier of goods or8 passengers who, at the request of the owner of any personal goods,9 carries, conveys, or transports the same from one place to another and10 every other person who safely keeps or stores any personal property at the11 request of the owner or person lawfully in possession thereof shall have 12 OF THE PERSONAL PROPERTY HAS a lien upon all such THE personal13 property for his reasonable charges for the transportation, storage, or14 keeping thereof OF THE PERSONAL PROPERTY and for all reasonable and15 proper advances made thereon by him THE COMMON CARRIER OR16 WAREHOUSE, in accordance with the usage and custom of common17 carriers and warehousemen WAREHOUSES.18 (2) I N ACCORDANCE WITH SECTION 40-10.1-405 (5)(a), THIS19 SECTION DOES NOT GRANT A TOWING CARRIER A LIEN ON THE20 CONTENTS OF A VEHICLE IF THE VEHICLE WAS TOWED NONCONSENSUALLY ,21 AS DEFINED IN SECTION 40-10.1-101 (13).22 SECTION 14. Appropriation. (1) For the 2022-23 state fiscal23 year, $68,827 is appropriated to the department of regulatory agencies.24 This appropriation is from the general fund. To implement this act, the25 department may use this appropriation as follows:26 (a) $52,342 for use by the public utilities commission for personal27 1314 -32- services, which amount is based on an assumption that the commission1 will require an additional 0.8 FTE;2 (b) $10,752 for use by the public utilities commission for3 operating expenses; and4 (c) $5,733 for the purchase of vehicle lease services.5 (2) For the 2022-23 state fiscal year, $5,733 is appropriated to the6 department of personnel. This appropriation is from reappropriated funds7 received from the department of regulatory agencies under subsection8 (1)(c) of this section. To implement this act, the department of personnel9 may use this appropriation for vehicle replacement lease/purchase10 services to the department of regulatory agencies.11 SECTION 15. Act subject to petition - effective date. This act12 takes effect at 12:01 a.m. on the day following the expiration of the13 ninety-day period after final adjournment of the general assembly; except14 that, if a referendum petition is filed pursuant to section 1 (3) of article V15 of the state constitution against this act or an item, section, or part of this16 act within such period, then the act, item, section, or part will not take17 effect unless approved by the people at the general election to be held in18 November 2022 and, in such case, will take effect on the date of the19 official declaration of the vote thereon by the governor.20 1314 -33-