Second Regular Session Seventy-third General Assembly STATE OF COLORADO REVISED This Version Includes All Amendments Adopted on Second Reading in the Second House LLS NO. 22-0063.02 Jery Payne x2157 HOUSE BILL 22-1314 House Committees Senate Committees Business Affairs & Labor Finance Appropriations 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 SENATE Amended 2nd Reading May 6, 2022 HOUSE 3rd Reading Unamended April 29, 2022 HOUSE Amended 2nd Reading April 28, 2022 HOUSE SPONSORSHIP Ricks and Hooton, Amabile, Bacon, Bernett, Boesenecker, Cutter, Daugherty, Esgar, Gonzales-Gutierrez, Herod, Kipp, Lindsay, Lontine, Sirota 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 EXCEPT THAT THE OPERATOR MAY CHARGE FOR THE FIRST TWENTY -FOUR8 HOURS OF STORAGE IN ACCORDANCE WITH SECTION 40-10.1-405 (1)(c)(I).9 (4) Within three days after the receipt of the records set forth in10 subsection (3)(c) of this section from the department, the operator shall11 notify by certified mail the owner of record, including an out-of-state12 owner of record. The operator shall make a reasonable effort to ascertain13 the address of the owner of record. The notice must contain the following14 information:15 (b) The claim of any lien under section 42-4-2105;16 SECTION 2. In Colorado Revised Statutes, 42-4-2104, amend17 (1)(a) and (4) as follows:18 42-4-2104. Appraisal of abandoned motor vehicles - sale.19 (1) (a) TO SELL A motor vehicles that are VEHICLE THAT WAS abandoned20 on private property, shall be appraised and sold by the operator MUST21 SELL THE MOTOR VEHICLE in a commercially reasonable manner at a22 public or private sale held not less than thirty days nor more than sixty23 days after the postmarked date the notice was mailed pursuant to section24 42-4-2103 (4) or the date the operator receives notice that no record exists25 for such vehicle. Such sale shall be made THE OPERATOR MUST MAKE THE26 SALE to a licensed motor vehicle dealer or wholesaler, or wholesale motor27 1314 -7- vehicle auction dealer, or through a classified newspaper advertisement1 published in Colorado. THE APPRAISAL MUST BE PERFORMED BY AN2 INDEPENDENT THIRD PERSON. For purposes of this section, a sale shall not3 be considered IS NOT commercially reasonable if: 4 (I) The vehicle's appraisal value is more than three hundred fifty5 dollars and the vehicle is sold to an officer or partner of the operator that6 has possession of the vehicle or to any other person with a proprietary7 interest in such THE operator; OR8 (II) THE OPERATOR FAILS TO SET THE SALE PRICE AT THE TIME OF9 SALE, LIST THE FAIR MARKET PRICE AT THE TIME OF SALE, OR REPORT THE10 SALE; OR REPORT THE SALE PRICE TO THE DEPARTMENT WITHIN FIVE11 BUSINESS DAYS AFTER THE SALE.12 (4) Transferring the title of a motor vehicle to an operator to13 satisfy a debt covered by a lien created pursuant to this part 21 shall14 INCURRED IN TOWING AN ABANDONED VEHICLE IS not be deemed to be the15 sale of a motor vehicle.16 SECTION 3. In Colorado Revised Statutes, 42-4-2105, amend17 (1) and (3) as follows:18 42-4-2105. Liens upon towed motor vehicles. (1) (a) Whenever19 IN ACCORDANCE WITH THE ATTACHMENT SCHEDULE IN SUBSECTION (1)(b)20 OF THIS SECTION, an operator who is registered with the department in21 accordance with subsection (2) of this section recovers, removes, or stores22 a motor vehicle upon instructions from the owner of record OR any other23 legally authorized person in control of such THE motor vehicle, or from24 the owner or lessee of real property upon which a motor vehicle is25 illegally parked or such ABANDONED OR THE owner's or lessee's agent26 authorized in writing, such THE operator shall have HAS a possessory lien,27 1314 -8- subject to the provisions of section 42-4-2103 (3), upon such THE motor1 vehicle and its attached accessories, equipment, and personal property for2 all the costs and fees for recovering, towing, and storage as authorized in3 section 42-4-2108. Such THE lien shall be IS a first and prior lien on the4 motor vehicle, and such lien shall be IS satisfied before all other charges5 against such THE motor vehicle. This subsection (1) shall not apply to6 personal property if subsection (3) of this section applies to such personal7 property.8 (b) THE LIEN GRANTED IN SUBSECTION (1)(a) OF THIS SECTION9 ATTACHES TO THE MOTOR VEHICLE IN ACCORDANCE WITH THE FOLLOWING10 SCHEDULE:11 (I) IF THE OPERATOR RECOVERED , REMOVED, OR STORED THE12 MOTOR VEHICLE UPON INSTRUCTIONS FROM THE OWNER OF RECORD OR13 ANY OTHER LEGALLY AUTHORIZED PERSON IN CONTROL OF THE MOTOR14 VEHICLE, THE LIEN ATTACHES TO THE MOTOR VEHICLE WHEN THE15 OPERATOR TAKES POSSESSION OF THE MOTOR VEHICLE ; OR16 (II) IF THE OPERATOR RECOVERED , REMOVED, OR STORED THE17 MOTOR VEHICLE UPON INSTRUCTIONS OF THE OWNER OR LESSEE OF REAL18 PROPERTY UPON WHICH A MOTOR VEHICLE WAS ILLEGALLY PARKED OR19 ABANDONED OR UPON THE OWNER'S OR LESSEE'S AGENT AUTHORIZED IN20 WRITING, THE LIEN ATTACHES TO THE MOTOR VEHICLE THIRTY DAYS AFTER21 THE POSTMARKED DATE THE NOTICE WAS MAILED IN ACCORDANCE WITH22 SECTION 42-4-2103 (4) OR THE DATE THE OPERATOR RECEIVED NOTICE23 THAT NO RECORD EXISTS FOR THE MOTOR VEHICLE .24 (3) If the operator obtains personal property from an abandoned25 vehicle that has been towed pursuant to this part 21 and if the serial or26 identification number of such property has been visibly altered or27 1314 -9- removed, the operator shall not have a lien upon such property and shall1 destroy or discard such property within five days after disposing of such2 THE vehicle pursuant to sections 42-4-2104 and 42-4-2107.3 SECTION 4. In Colorado Revised Statutes, amend 42-4-2106 as4 follows:5 42-4-2106. Perfection of lien. The lien provided for in section6 42-4-2105 shall be IS perfected by taking physical possession of the motor7 vehicle and its attached accessories, equipment, or personal property and8 by sending to the department, within ten working days after the time9 possession was taken, a notice containing the information required in the10 report to be made under the provisions of section 42-4-2103. In addition,11 such THE LIEN IS NOT PERFECTED UNTIL THE LIEN ATTACHES IN12 ACCORDANCE WITH THE SCHEDULE DESCRIBED IN SECTION 42-4-210513 (1)(b). THE report shall MUST contain a declaration by the operator that a14 possessory lien is claimed for all past, present, and future charges, up to15 the date of redemption, and that the lien is enforceable and may be16 foreclosed pursuant to the provisions of this part 21.17 SECTION 5. In Colorado Revised Statutes, amend 42-4-2107 as18 follows:19 42-4-2107. Sale of abandoned vehicle. (1) A N OPERATOR MAY20 SELL any motor vehicle and its attached accessories and equipment or21 personal property within or attached to such THE vehicle that are not22 redeemed by the last-known owner of record or lienholder after such23 owner or lienholder has been sent notice of such lien by the operator shall24 be sold in accordance with the provisions of section 42-4-2104 THE25 NOTICE WAS SENT IN ACCORDANCE WITH SECTION 42-4-2104 (1).26 (2) Within five days after foreclosure of the lien pursuant to this27 1314 -10- section AT LEAST FIVE DAYS BEFORE A VEHICLE IS SOLD IN ACCORDANCE1 WITH SUBSECTION (1) OF THIS SECTION, the operator shall send a notice to2 the law enforcement agency having jurisdiction over the operator. Such3 notice shall THE NOTICE MUST contain a list of personal property found4 within the abandoned vehicle that has an intact serial or identification5 number and such EACH serial or identification number. Such notification6 shall be made THE OPERATOR SHALL DELIVER THE NOTICE by certified7 mail, facsimile machine, or personal delivery.8 SECTION 6. In Colorado Revised Statutes, 42-4-2108, amend9 (1), (2) introductory portion, and (2)(c); and repeal (2)(b) as follows:10 42-4-2108. Proceeds of sale. (1) (a) If the sale of any motor11 vehicle, personal property, and attached accessories or equipment under12 the provisions of section 42-4-2104 produces an amount less than or13 equal to the sum of all charges of the operator, who has perfected his or14 her lien, then the operator shall have HAS a valid claim against the owner15 for the full amount of such THE charges, less the amount received upon16 the sale of such motor vehicle. A N OPERATOR DOES NOT HAVE A VALID17 CLAIM IF THE OPERATOR HAS VIOLATED SECTION 40-10.1-405.18 (b) Failure to register such A vehicle in accordance with this title19 shall constitute TITLE 42 IS DEEMED a waiver of such THE owner's right to20 be notified pursuant to this part 21. for the purposes of foreclosure of the21 lien pursuant to section 42-4-2107. Such Charges shall be SPECIFIED IN22 SUBSECTION (1)(a) OF THIS SECTION ARE assessed in the manner provided23 for in paragraph (a) of subsection (2) IN ACCORDANCE WITH SUBSECTION24 (2)(a) of this section.25 (2) If the sale of any motor vehicle and its attached accessories or26 equipment under the provisions of section 42-4-2104 produces an amount27 1314 -11- greater than the sum of all charges of the operator who has perfected his1 or her THE OPERATOR'S lien:2 (b) Any balance remaining after payment pursuant to paragraphs3 (a) and (a.5) of this subsection (2) shall be forwarded to the department,4 and the department may recover from such balance any taxes, fees, and5 penalties due to it with respect to such motor vehicle. The department6 shall provide a receipt to the operator within seven days after receiving7 the money if the operator provides the department with a postage-paid,8 self-addressed envelope.9 (c) (I) THE OPERATOR SHALL PAY any balance remaining after10 payment pursuant to paragraph (b) of this subsection (2) shall be paid by11 the department: MAKING THE PAYMENT REQUIRED IN SUBSECTION (2)(a.5)12 OF THIS SECTION IN ACCORDANCE WITH THE FOLLOWING :13 (A) First, to any lienholder of record as the lienholder's interest14 may appear upon the records of the department;15 (B) Second, to any owner of record as the owner's interest may so16 appear; and17 (C) then THIRD, to any person submitting proof of such THE18 person's interest in such THE motor vehicle upon the application of such19 THE lienholder, owner, or person.20 (II) If such payments are not requested and made within One21 hundred twenty days after the sale of the abandoned motor vehicle, the22 OPERATOR SHALL TRANSFER THE balance, shall be transmitted AFTER23 MAKING THE PAYMENT REQUIRED UNDER SUBSECTIONS (2)(a) TO (2)(c)(I)24 OF THIS SECTION, to the state treasurer, who shall credit the same to the25 highway users tax fund for allocation and expenditure as specified in26 section 43-4-205 (5.5)(e), C.R.S. UNCLAIMED PROPERTY TRUST FUND,27 1314 -12- CREATED IN SECTION 38-13-801, AND DISPOSED OF IN ACCORDANCE WITH1 ARTICLE 13 OF TITLE 38.2 SECTION 7. In Colorado Revised Statutes, 40-10.1-101, amend3 (13); and add (1.5), (4.5), and (6.5) as follows:4 40-10.1-101. Definitions. As used in this article 10.1, unless the5 context otherwise requires:6 (1.5) "A UTHORIZED OR INTERESTED PERSON " MEANS:7 (a) T HE VEHICLE OWNER, AUTHORIZED OPERATOR, OR AUTHORIZED8 AGENT OF THE OWNER OF THE VEHICLE ;9 (b) T HE LIENHOLDER OF THE VEHICLE OR AGENT OF THE10 LIENHOLDER OF THE VEHICLE; OR11 (c) IF THE OWNER SIGNS A RELEASE AUTHORIZING AN INSURANCE12 COMPANY TO ACT ON BEHALF OF THE OWNER , THE INSURANCE COMPANY13 OR AGENT OF THE INSURANCE COMPANY PROVIDING INSURANCE14 COVERAGE ON THE VEHICLE.15 (4.5) "C OMMON PARKING AREA " MEANS ANY PART OF THE16 FOLLOWING AREAS THAT ARE NORMALLY USED FOR PARKING , SUCH AS THE17 SIDE OF A STREET OR PARKING SPACES, THAT AN OWNER DOES NOT HAVE18 THE RIGHT TO EXCLUDE OTHER RESIDENTS OF THE FOLLOWING FROM USING19 FOR PARKING:20 (a) A CONDOMINIUM, AS DEFINED IN SECTION 38-33.3-103 (9);21 (b) A COOPERATIVE, AS DEFINED IN SECTION 38-33.3-103 (10);22 (c) A MULTIFAMILY BUILDING, WHICH IS ALSO KNOWN AS AN23 APARTMENT COMPLEX , WITH SEPARATE LIVING QUARTERS THAT ARE24 RENTED OR LEASED SEPARATELY ; OR25 (d) A MOBILE HOME PARK, AS DEFINED IN SECTION 38-12-201.5 (6).26 (6.5) "D ROP FEE" MEANS A FEE A TOWING OPERATOR CHARGES TO27 1314 -13- UNHOOK A VEHICLE FROM A TOW TRUCK .1 (13) "Nonconsensual towing", or "nonconsensual tow", "TOWED2 NONCONSENSUALLY ", "NONCONSENSUALLY TOW ", OR "TOWED WITHOUT3 CONSENT" means the transportation of a motor vehicle by tow truck FROM4 PRIVATE PROPERTY if such THE transportation is performed without the5 prior consent or authorization of:6 (a) The owner or OF THE VEHICLE, AUTHORIZED operator OF THE7 VEHICLE, OR AGENT OF THE OWNER of the motor vehicle;8 (b) T HE LIENHOLDER OF THE VEHICLE OR AGENT OF THE9 LIENHOLDER, UNLESS THE VEHICLE IS BEING TOWED FOR THE PURPOSE OF10 REPOSSESSION UNDER A LIEN AGREEMENT ; OR11 (c) I F THE OWNER SIGNS A RELEASE AUTHORIZING AN INSURANCE12 COMPANY TO ACT ON BEHALF OF THE OWNER , THE INSURANCE COMPANY13 OR AGENT OF THE INSURANCE COMPANY PROVIDING INSURANCE14 COVERAGE ON THE VEHICLE.15 SECTION 8. In Colorado Revised Statutes, 40-10.1-111, amend 16 (1)(c)(I) as follows:17 40-10.1-111. Filing, issuance, and annual fees. (1) A motor18 carrier shall pay the commission the following fees in amounts prescribed19 in this section or, if not prescribed in this section, as set administratively20 by the commission with approval of the executive director of the21 department of regulatory agencies:22 (c) (I) The filing fee for a permit to operate under part 4 or part 823 of this article 10.1 is one hundred fifty dollars ADMINISTRATIVELY SET BY24 THE COMMISSION TO COVER THE DIRECT AND INDIRECT COST OF25 IMPLEMENTING PARTS 4 AND 8 OF THIS ARTICLE 10.1, BUT THE FEE26 AMOUNT MUST BE APPROVED BY THE EXECUTIVE DIRECTOR OF THE27 1314 -14- DEPARTMENT OF REGULATORY AGENCIES .1 2 SECTION 9. In Colorado Revised Statutes, 40-10.1-401, amend3 (2) as follows:4 40-10.1-401. Permit requirements. (2) (a) The commission may5 deny an application OR REFUSE TO RENEW A PERMIT under this part 4 of6 a person who has, within the immediately preceding five years, been7 convicted of, or pled guilty or nolo contendere to, a felony OR A8 TOWING-RELATED OFFENSE. The commission may also deny an9 application under this part 4 or refuse to renew the permit of a towing10 carrier based upon a determination that the towing carrier or any of its11 owners, principals, officers, members, partners, or directors has not12 satisfied a civil penalty arising out of any administrative or enforcement13 action brought by the commission.14 (b) THE COMMISSION MAY DENY AN APPLICATION OR REFUSE TO15 RENEW A PERMIT OF A TOWING CARRIER UNDER THIS PART 4 BASED ON A16 DETERMINATION THAT THERE IS GOOD CAUSE TO BELIEVE THE ISSUANCE17 OF OR RENEWAL OF THE PERMIT IS NOT IN THE PUBLIC INTEREST. THE18 DETERMINATION IS SUBJECT TO APPEAL IN ACCORDANCE WITH19 COMMISSION RULES.20 SECTION 10. In Colorado Revised Statutes, 40-10.1-403,21 amend (5)(a); and add (4)(d)(I)(C), (4)(d)(I)(D), (4)(d)(I)(E),22 (4)(d)(I)(F), (4)(d)(I)(G), (4)(d)(I)(H), and (5)(c) as follows:23 40-10.1-403. Towing task force - creation - rules - repeal.24 (4) (d) (I) By December 1 of each year, the commission shall make a25 report to the house of representatives transportation and local government26 committee, the house of representatives business affairs and labor27 1314 -15- committee, the senate business, labor, and technology committee, and the1 senate transportation and energy committee, or any successor committees.2 The report must:3 (C) INCLUDE THE ANALYSIS REQUIRED IN SUBSECTION (5)(C) OF4 THIS SECTION;5 (D) INCLUDE THE TASK FORCE'S DEFINITION OF CONSENSUAL TOW6 AND NONCONSENSUAL TOW ;7 (E) INCLUDE THE RANGE OF DOLLAR AMOUNTS CONSIDERED WHEN8 SETTING ALL RATES RELATED TO CHARGES BY TOWING CARRIERS FOR9 NONCONSENSUAL TOWS, INCLUDING INFORMATION CONSIDERED FOR THE10 MINIMUM AND MAXIMUM RATES FOR ALL FEES CHARGED, THE FORMULAS11 FOR DETERMINING THE ACTUAL COST AND MARKET RATE FOR THE FINAL12 FEES SET FOR ALL RATES, A SUMMARY OF ANY PUBLIC COMMENT OR13 FEEDBACK PROVIDED RELATED TO THE RATES SET, AND ANY OTHER14 INFORMATION THE TASK FORCE TOOK INTO CONSIDERATION WHEN15 ESTABLISHING ALL RATES;16 (F) INCLUDE THE TIMES, INCLUDING THE SHORTEST, MEAN,17 MEDIAN, MODE, AND LONGEST, TO SETTLE COMPLAINTS MADE TO THE18 COMMISSION;19 (G) INCLUDE THE CATEGORIES OF COMPLAINTS AND THE NUMBER20 OF COMPLAINTS IN EACH CATEGORY ; AND21 (H) INCLUDE A LIST OF THE TOWING CARRIERS THAT HAVE BEEN22 ISSUED A PERMIT, THE NUMBER OF VALID COMPLAINTS AGAINST EACH23 CARRIER, AND THE ACTION TAKEN BY THE COMMISSION IN RESPONSE TO24 EACH VALID COMPLAINT.25 (5) The task force has the following duties and powers:26 (a) To make comprehensive recommendations to the commission27 1314 -16- about the maximum rates that may be charged for the recovery, towing,1 and storage of a vehicle that has been towed without the owner's consent.2 The task force shall make comprehensive recommendations to the3 commission about the maximum rates after July 1, 2022, but no later than4 September 1, 2022 November 1, 2022.5 (c) TO ANALYZE AND MAKE RECOMMENDATIONS TO THE6 COMMISSION ABOUT NONCONSENSUAL TOWING RATES CHARGED TO THE7 PUBLIC. IN ANALYZING NONCONSENSUAL RATES, THE TASK FORCE SHALL8 TAKE INTO ACCOUNT CURRENT CONSENSUAL TOWING MARKET RATES AND9 THEIR RELATIONSHIP TO NONCONSENSUAL TOWING RATES .10 SECTION 11. In Colorado Revised Statutes, add 40-10.1-405,11 40-10.1-406, 40-10.1-407, 40-10.1-408, 40-10.1-409, and 40-10.1-410 as12 follows:13 40-10.1-405. Nonconsensual tows - rights of owners, operators,14 and lienholders - rules. (1) Towing fees. (a) TOWING CARRIERS SHALL15 PROMINENTLY DISPLAY AT THEIR PLACE OF BUSINESS AND ON ANY16 WEBSITE OF THE TOWING CARRIER THE CURRENT MAXIMUM RATES17 PERMITTED BY RULE OF THE COMMISSION FOR EACH TOW SERVICE18 PROVIDED BY THE TOWING CARRIER. THE SIGN MUST INCLUDE THE19 FOLLOWING STATEMENT: "THE MAXIMUM PERMITTED RATE IS BASED UPON20 RULES OF THE PUBLIC UTILITIES COMMISSION, AND IF THERE ARE21 CONCERNS OR QUESTIONS ABOUT THESE RATES OR THE TOWING CARRIER,22 THEN CALL THE PUBLIC UTILITIES COMMISSION CONSUMER AFFAIRS23 HOTLINE AT 303-894-2070. 24 (b) (I) A TOWING CARRIER SHALL ACCEPT:25 (A) C ASH;26 (B) MAJOR CREDIT CARDS; AND27 1314 -17- (C) OTHER FORMS OF PAYMENT REQUIRED BY RULE OF THE1 COMMISSION.2 (II) T HE COMMISSION SHALL PROMULGATE A RULE DEFINING WHAT3 QUALIFIES AS A MAJOR CREDIT CARD FOR THE PURPOSES OF THIS4 SUBSECTION (1)(b).5 (c) A TOWING CARRIER SHALL NOT:6 (I) C HARGE STORAGE FEES FOR ANY TWENTY -FOUR-HOUR PERIOD7 DURING WHICH THE TOWING CARRIER DID NOT STORE THE VEHICLE, BUT8 THE TOWING CARRIER MAY CHARGE, IN ACCORDANCE WITH SECTION9 42-4-2103 (3)(c), A PRORATED FEE FOR ANY PART OF A10 TWENTY-FOUR-HOUR PERIOD THE TOWING CARRIER STORED THE VEHICLE;11 AND12 (II) C HARGE OR RETAIN ANY FEES NOT IDENTIFIED IN THE RULES OF13 THE COMMISSION FOR THE NONCONSENSUAL TOW OF A VEHICLE FROM14 PRIVATE PROPERTY.15 (2) Towing carrier document vehicle's condition and reason16 for tow - adequate illumination. (a) B EFORE A TOWING CARRIER17 CONNECTS A TOWING VEHICLE TO A VEHICLE WITHOUT CONSENT , THE18 TOWING CARRIER SHALL DOCUMENT THE VEHICLE 'S CONDITION AND THE19 REASON FOR THE TOW BY:20 (I) T AKING AT LEAST FOUR PHOTOGRAPHS OF THE VEHICLE , WITH21 AT LEAST ONE PHOTOGRAPH TAKEN FROM THE FRONT , ONE PHOTOGRAPH22 TAKEN FROM THE REAR, ONE PHOTOGRAPH TAKEN FROM THE DRIVER 'S23 SIDE, AND ONE PHOTOGRAPH TAKEN FROM THE PASSENGER 'S SIDE. THESE24 PHOTOGRAPHS MUST:25 (A) S HOW THE ENTIRE VEHICLE FROM THE REQUIRED ANGLE ;26 (B) H AVE THE VEHICLE FILL AT LEAST THREE -FOURTHS OF THE27 1314 -18- PHOTOGRAPH, MEASURED FROM SIDE TO SIDE; AND1 (C) B E RENDERED IN A RESOLUTION OF AT LEAST TWO THOUSAND2 PIXELS BY AT LEAST TWO THOUSAND PIXELS .3 (II) T AKING A PHOTOGRAPH THAT SHOWS THE REASON FOR THE4 VEHICLE BEING TOWED WITHOUT CONSENT . THE PHOTOGRAPH MUST:5 (A) S HOW THE POSITION OF THE VEHICLE IN RELATION TO THE6 REASON, INCLUDING ANY SIGN, THAT THE VEHICLE WAS TOWED; AND7 (B) B E RENDERED IN A RESOLUTION OF AT LEAST TWO THOUSAND8 PIXELS BY AT LEAST TWO THOUSAND PIXELS .9 (b) U PON DEMAND BY AN AUTHORIZED OR INTERESTED PERSON ,10 THE TOWING CARRIER SHALL PROVIDE COPIES OF THE PHOTOGRAPHS11 REQUIRED TO BE TAKEN PURSUANT TO SUBSECTION (2)(a)(I) OR (2)(a)(II)12 OF THIS SECTION.13 (c) (I) A REBUTTABLE PRESUMPTION THAT A TOWING CARRIER14 DAMAGED A VEHICLE IS CREATED BY EVIDENCE THAT :15 (A) T HE TOWING CARRIER HAS FAILED TO PRODUCE PHOTOGRAPHS16 OF THE VEHICLE'S CONDITION IN COMPLIANCE WITH SUBSECTION (2)(b) OF17 THIS SECTION; AND18 (B) A VEHICLE HAS SUFFERED DAMAGE .19 (II) A TOWING CARRIER'S FAILURE TO PRODUCE A PHOTOGRAPH OF20 THE REASON FOR THE TOW IN COMPLIANCE WITH SUBSECTION (2)(b) OF21 THIS SECTION CREATES A REBUTTABLE PRESUMPTION THAT THE TOWING22 CARRIER DID NOT HAVE AUTHORIZATION TO TOW A VEHICLE .23 (d) D URING BUSINESS HOURS OR WHEN A VEHICLE IS BEING24 RELEASED, A TOWING CARRIER SHALL MAINTAIN AN AREA AT EACH25 STORAGE FACILITY WITH LIGHTING THAT IS ADEQUATE TO ALLOW A26 PERSON TO INSPECT A VEHICLE FOR DAMAGE PRIOR TO ITS RELEASE FROM27 1314 -19- STORAGE.1 (3) Authorization and notice required for tows from private2 property. (a) A TOWING CARRIER SHALL NOT NONCONSENSUALLY TOW3 A VEHICLE FROM PRIVATE PROPERTY UNLESS :4 (I) T HE VEHICLE IS BEING REPOSSESSED BY A CREDITOR WITH A5 LIEN OR SECURITY INTEREST IN THE VEHICLE;6 (II) T HE REMOVAL IS EXPRESSLY ORDERED OR AUTHORIZED BY A7 COURT ORDER, AN ADMINISTRATIVE ORDER, OR A PEACE OFFICER OR BY8 OPERATION OF LAW;9 (III) T HE VEHICLE BLOCKS A DRIVEWAY OR ROADWAY ENOUGH TO10 EFFECTIVELY OBSTRUCT A PERSON 'S ACCESS TO THE DRIVEWAY OR11 ROADWAY; OR12 (IV) T HE TOWING CARRIER HAS RECEIVED PERMISSION TO TOW THE13 VEHICLE, WITHIN THE TWENTY-FOUR HOURS IMMEDIATELY PRECEDING THE14 TOW, FROM:15 (A) T HE OWNER OF OR LEASE HOLDER OF THE PRIVATE PROPERTY ;16 (B) A PERSON SUBJECT TO THE "COLORADO COMMON INTEREST17 O WNERSHIP ACT", ARTICLE 33.3 OF TITLE 38, IF THE PRIVATE PROPERTY18 IS LOCATED WITHIN THE BOUNDARIES OF THE PERSON 'S AREA OF19 OPERATION; OR20 (C) A N AGENT OF A PERSON DESCRIBED IN SUBSECTION21 (3)(a)(IV)(A) OR (3)(a)(IV)(B) OF THIS SECTION; EXCEPT THAT THE22 TOWING CARRIER DOES NOT QUALIFY AS AN AGENT WITH AUTHORITY TO23 GRANT PERMISSION UNDER THIS SUBSECTION (3)(a).24 (b) (I) E XCEPT AS PROVIDED IN SUBSECTION (3)(b)(IV) OF THIS25 SECTION, A TOWING CARRIER SHALL NOT NONCONSENSUALLY TOW A26 VEHICLE FROM A PARKING SPACE OR COMMON PARKING AREA WITHOUT27 1314 -20- THE TOWING CARRIER OR PROPERTY OWNER GIVING THE VEHICLE OWNER1 OR OPERATOR TWENTY-FOUR HOURS' WRITTEN NOTICE, UNLESS:2 (A) T HE VEHICLE OWNER OR OPERATOR HAS RECEIVED TWO3 PREVIOUS NOTICES FOR PARKING INAPPROPRIATELY IN THE SAME MANNER ;4 (B) T HE VEHICLE IS BEING REPOSSESSED BY A CREDITOR WITH A5 LIEN OR SECURITY INTEREST IN THE VEHICLE;6 (C) T HE REMOVAL IS EXPRESSLY ORDERED OR AUTHORIZED BY A 7 COURT ORDER, AN ADMINISTRATIVE ORDER, OR A PEACE OFFICER OR BY8 OPERATION OF LAW; 9 (D) T HE VEHICLE BLOCKS A DRIVEWAY OR ROADWAY ENOUGH TO10 EFFECTIVELY OBSTRUCT A PERSON 'S ACCESS TO THE DRIVEWAY OR11 ROADWAY;12 (E) THE VEHICLE IS PARKED IN VIOLATION OF SECTION 42-4-120813 (4) OR IN RESERVED PARKING FOR PEOPLE WITH DISABILITIES WITHOUT14 DISPLAYING AN IDENTIFYING PLACARD OR AN IDENTIFYING PLATE , AS15 THOSE TERMS ARE DEFINED IN SECTION 42-3-204 (1)(f) AND (1)(g), THAT16 IS CURRENTLY VALID OR HAS BEEN EXPIRED FOR NO MORE THAN SIXTY17 DAYS;18 (F) THE VEHICLE IS PARKED IN OR EFFECTIVELY OBSTRUCTING A19 DESIGNATED AND MARKED FIRE ZONE ;20 (G) THE VEHICLE IS OCCUPYING WITHOUT PERMISSION OR21 EFFECTIVELY OBSTRUCTING ACCESS TO OR FROM AN INDIVIDUALLY22 DESIGNATED, RENTED, OR PURCHASED PARKING SPACE OF A RESIDENT; OR23 (H) THE VEHICLE IS PARKED WITHOUT DISPLAYING VALID24 AUTHORIZATION IN A PARKING LOT MARKED FOR THE EXCLUSIVE USE OF25 RESIDENTS.26 (II) T HE TOWING CARRIER OR PROPERTY OWNER SHALL PROVIDE27 1314 -21- THE NOTICE DESCRIBED IN SUBSECTION (3)(b)(I) OF THIS SECTION BY1 PLACING A WRITTEN NOTICE ON THE WINDSHIELD OF THE VEHICLE AT2 LEAST TWENTY-FOUR HOURS BEFORE TOWING THE VEHICLE .3 (III) T HE NOTICE MUST STATE CLEARLY:4 (A) T HAT THE VEHICLE WILL BE TOWED WITHOUT CONSENT IF THE5 VEHICLE REMAINS PARKED INAPPROPRIATELY ;6 (B) A DESCRIPTION OF THE INAPPROPRIATE PARKING THAT HAS7 CAUSED THE NOTICE TO BE GIVEN;8 (C) T HE TIME THE VEHICLE WILL BE TOWED IF IT IS NOT MOVED TO9 APPROPRIATE PARKING OR THE INAPPROPRIATE PARKING HAS BEEN 10 CORRECTED; AND11 (D) T HAT CONTINUING TO PARK INAPPROPRIATELY IN THE SAME12 MANNER MAY LEAD TO THE VEHICLE BEING TOWED WITHOUT NOTICE .13 (IV) I F THE VEHICLE IS PARKED A THIRD OR SUBSEQUENT TIME IN14 THE SAME INAPPROPRIATE MANNER THAT CAUSED IT TO RECEIVE PREVIOUS15 NOTICES, THE TOWING CARRIER OR PROPERTY OWNER NEED NOT GIVE THE16 NOTICE REQUIRED IN SUBSECTION (3)(b)(I) OF THIS SECTION BEFORE17 TOWING THE VEHICLE.18 (V) F OR PURPOSES OF THIS SUBSECTION (3)(b), A VEHICLE IS19 PARKED INAPPROPRIATELY WHEN IT IS PARKED IN A MANNER THAT :20 (A) V IOLATES THE PROCEDURES NECESSARY TO OBTAIN21 AUTHORIZATION TO PARK IN THE LOT OR SPACE ;22 (B) F AILS TO COMPLY WITH THE PROPERTY OWNER 'S SIGNS OR THE23 AGREEMENTS OF THE TENANTS ; OR24 (C) V IOLATES A STATUTE, RULE, ORDINANCE, OR RESOLUTION OF25 THE STATE OR A POLITICAL SUBDIVISION OF THE STATE .26 (c) IN ORDER FOR A TOWING CARRIER TO CONDUCT A27 1314 -22- NONCONSENSUAL TOW UNDER SUBSECTION (3)(b)(I)(G) OR (3)(b)(I)(H) OF1 THIS SECTION, THE PROPERTY OWNER MUST HAVE POSTED SIGNAGE VISIBLE2 AND FACING THE DRIVER AT EACH ENTRY WAY INTO A PARKING AREA3 INDICATING THAT PARKING SPACES ARE DESIGNATED FOR ONE OR MORE4 SPECIFIED RESIDENTS AND THAT A VEHICLE PARKED WITHOUT5 AUTHORIZATION IS SUBJECT TO BEING TOWED. THE SIGN MUST ALSO6 CONTAIN THE INTERNATIONAL TOWING SYMBOL NO SMALLER THAN FOUR7 INCHES BY FOUR INCHES AND BE PERMANENTLY MOUNTED IN A POSITION8 THAT IS NO LOWER THAN FIVE FEET AND NO HIGHER THAN EIGHT FEET.9 10 (4) Notice, disclosures, and signs. (a) I N CONNECTION WITH A11 NONCONSENSUAL TOW , THE TOWING CARRIER SHALL PROVIDE , UPON12 REQUEST, EVIDENCE OF THE TOWING CARRIER 'S COMMERCIAL LIABILITY13 INSURANCE COVERAGE, INCLUDING CARGO LIABILITY COVERAGE, GARAGE14 KEEPER'S LIABILITY COVERAGE, IF APPLICABLE, AND MOTOR VEHICLE15 LIABILITY COVERAGE, TO AN AUTHORIZED OR INTERESTED PERSON .16 (b) A TOWING CARRIER SHALL MAINTAIN A CLEARLY VISIBLE SIGN17 AT THE ENTRANCE TO THE STORAGE FACILITY HOLDING A18 NONCONSENSUALLY TOWED VEHICLE . THE SIGN MUST:19 (I) S TATE THE NAME OF THE BUSINESS, TELEPHONE NUMBER, AND20 HOURS OF OPERATION;21 (II) S TATE: "IF A VEHICLE IS NONCONSENSUALLY TOWED FROM 22 PRIVATE PROPERTY, THE OWNER MAY RETRIEVE THE CONTENTS OF THE23 VEHICLE EVEN IF THE OWNER DOES NOT PAY THE TOWING CARRIER 'S FEES.24 I F THE OWNER FILLS OUT THE APPROPRIATE FORM , THE OWNER MAY 25 RETRIEVE THE VEHICLE AFTER PAYING A REDUCED FEE , BUT THE OWNER26 STILL OWES THE TOWING CARRIER THE BALANCE OF THOSE FEES ."27 1314 -23- (III) BE NO LESS THAN TWO SQUARE FEET IN SIZE;1 (IV) H AVE LETTERING NOT LESS THAN TWO INCHES IN HEIGHT ;2 (V) H AVE LETTERING THAT CONTRASTS SHARPLY IN COLOR WITH3 THE BACKGROUND ON WHICH THE LETTERS ARE PLACED ; AND4 (VI) B E PRINTED IN ENGLISH.5 (c) U PON REQUEST, A TOWING CARRIER SHALL PROVIDE TO AN6 AUTHORIZED OR INTERESTED PERSON AN ITEMIZED BILL SHOWING EACH7 CHARGE AND THE RATE FOR EACH FEE THAT THE AUTHORIZED OR8 INTERESTED PERSON HAS INCURRED AS A RESULT OF A NONCONSENSUAL9 TOW.10 (d) U PON REQUEST, A TOWING CARRIER SHALL DISCLOSE ACCEPTED11 FORMS OF PAYMENT, INCLUDING THOSE REQUIRED TO BE ACCEPTED IN12 ACCORDANCE WITH SUBSECTION (1)(b) OF THIS SECTION.13 (e) I F A TOWING CARRIER HAS NONCONSENSUALLY TOWED A14 VEHICLE FROM PRIVATE PROPERTY, THE TOWING CARRIER SHALL GIVE THE15 AUTHORIZED OR INTERESTED PERSON THAT IS RETRIEVING THE VEHICLE A16 WRITTEN NOTICE OF THE PERSON'S ABILITY TO MAKE A COMPLAINT TO THE17 COMMISSION. THE NOTICE:18 (I) M UST BE WRITTEN IN A CONSPICUOUS TYPE FACE AND FONT ON19 THE INVOICE, THE RECEIPT, AND THE BILL FOR THE TOW; AND20 (II) M UST NOT BE IN A TYPE FACE OR FONT THAT IS SMALLER THAN21 THE OTHER NUMBERS OR WORDS ON THE RECEIPT OR BILL , AS APPLICABLE.22 (f) (I) A TOWING CARRIER SHALL NOT PERFORM A23 NONCONSENSUAL TOW OF A VEHICLE , OTHER THAN AN ABANDONED24 MOTOR VEHICLE AS DEFINED IN SECTION 42-4-2102 (1), FROM PRIVATE25 PROPERTY NORMALLY USED FOR PARKING UNLESS :26 (A) N OTICE OF THE PARKING REGULATIONS WAS PROVIDED TO THE27 1314 -24- VEHICLE OPERATOR WHEN THE VEHICLE ENTERED THE PRIVATE PROPERTY1 AND PARKED; AND2 (B) N OTICE THAT ANY VEHICLE PARKED IN VIOLATION OF THE3 REGULATIONS IS SUBJECT TO TOW AT THE VEHICLE OWNER 'S EXPENSE WAS4 PROVIDED TO THE VEHICLE OPERATOR WHEN THE VEHICLE ENTERED THE5 PRIVATE PROPERTY AND PARKED .6 (II) A PROPERTY OWNER WITH TENANTS SHALL PROVIDE THE7 NOTICE DESCRIBED IN THIS SUBSECTION (4)(f) BY ISSUING EACH TENANT8 A WRITTEN DOCUMENT CONTAINING ANY APPLICABLE PARKING9 REGULATIONS BEFORE THE REGULATIONS ARE ADOPTED OR AMENDED OR10 BEFORE THE PERSON AGREES TO BE A TENANT .11 (III) A TOWING CARRIER THAT ENTERS INTO AN AGREEMENT WITH12 A PROPERTY OWNER TO NONCONSENSUALLY TOW VEHICLES FROM THE13 PROPERTY SHALL POST SIGNS THAT:14 (A) A RE NO LESS THAN ONE SQUARE FOOT IN SIZE;15 (B) H AVE LETTERING NOT LESS THAN ONE INCH IN HEIGHT ;16 (C) H AVE LETTERING THAT CONTRASTS WITH THE BACKGROUND17 ON WHICH THE LETTERS ARE PLACED ;18 (D) S TATE: "AUTHORIZED PARKING ONLY";19 (E) I NCLUDE THE NAME AND TELEPHONE NUMBER OF THE TOWING20 CARRIER AUTHORIZED TO PERFORM TOWS FROM THE PRIVATE PROPERTY ;21 (F) A RE PRINTED IN ENGLISH;22 (G) A RE PLACED AT THE ENTRANCE TO THE PRIVATE PROPERTY ,23 FACE OUTWARD TOWARD THE STREET , AND ARE VISIBLE PRIOR TO24 ENTERING AND UPON ENTERING THE PRIVATE PROPERTY ;25 (H) A RE PLACED INSIDE THE AREA USED FOR PARKING , FACE26 TOWARD THE PARKING SPACES , AND, IF THE PRIVATE PROPERTY IS NOT27 1314 -25- PROVIDED FOR RESIDENTIAL PARKING AND HAS MORE THAN TEN1 FREESTANDING LAMPPOSTS ON THE PROPERTY , ARE POSTED ON EACH2 LAMPPOST OR POSTED UPRIGHT NEAR EACH LAMPPOST ;3 (I) A RE NOT OBSTRUCTED OR PLACED IN SUCH A MANNER THAT4 PREVENTS VISIBILITY; AND5 (J) A RE NOT PLACED HIGHER THAN EIGHT F EET OR LOWER THAN6 THREE FEET FROM THE GROUND SURFACE CLOSEST TO THE SIGN 'S7 PLACEMENT.8 (g) T HE TOWING CARRIER SHALL RETAIN EVIDENCE , INCLUDING9 PHOTOGRAPHS OF THE RELEVANT SIGNS , OF GIVING THE NOTICES AND10 DISCLOSURES REQUIRED IN SUBSECTION (4)(f) OF THIS SECTION FOR THREE11 YEARS AFTER THE DATE OF COMPLETION OF A NONCONSENSUAL TOW AND12 PROVIDE THE EVIDENCE TO THE COMMISSION OR AN ENFORCEMENT13 OFFICIAL UPON REQUEST.14 (5) No mechanic's liens on vehicle or contents.15 (a) N OTWITHSTANDING SECTION 38-20-105, A TOWING CARRIER THAT16 NONCONSENSUALLY TOWS A VEHICLE DOES NOT HAVE A MECHANIC 'S LIEN17 ON THE CONTENTS OF THE VEHICLE TO COVER THE COST OF TOWING THE18 VEHICLE.19 (b) I F AN AUTHORIZED OR INTERESTED PERSON REQUESTS THAT A20 TOWING CARRIER RETURN THE CONTENTS OF A VEHICLE THAT WAS21 TOWED WITHOUT CONSENT WITHIN THIRTY DAYS AFTER THE POSTMARKED22 DATE THE NOTICE WAS MAILED IN ACCORDANCE WITH SECTION 42-4-210323 (4) OR THE DATE THE OPERATOR RECEIVED NOTICE THAT NO RECORD24 EXISTS FOR THE MOTOR VEHICLE, THE TOWING CARRIER SHALL25 IMMEDIATELY RETRIEVE OR ALLOW THE AUTHORIZED OR INTERESTED26 PERSON TO RETRIEVE THE VEHICLE'S CONTENTS. THIS SUBSECTION (5)(b)27 1314 -26- DOES NOT APPLY TO THE CONTENTS OF A VEHICLE IF THE CONTENTS1 OF THE VEHICLE ARE SUBJECT TO A HOLD ORDER ISSUED BY A COURT ,2 DISTRICT ATTORNEY, LAW ENFORCEMENT AGENCY , OR PEACE OFFICER.3 (c) T HE TOWING CARRIER SHALL IMMEDIATELY RETRIEVE A 4 VEHICLE THAT HAS BEEN NONCONSENSUALLY TOWED OR ALLOW THE5 OWNER TO RETRIEVE THE VEHICLE IF:6 (I) T HE OWNER PAYS FIFTEEN PERCENT OF THE FEES , NOT TO 7 EXCEED SIXTY DOLLARS , OWED THE TOWING CARRIER FOR THE8 NONCONSENSUAL TOW ; AND9 (II) T HE AUTHORIZED OR INTERESTED PERSON IS NOT A 10 LIENHOLDER OR INSURANCE COMPANY .11 (d) FOR AN AUTHORIZED OR INTERESTED PERSON TO RETRIEVE A12 VEHICLE WITHOUT PAYING THE TOWING CARRIER THE TOTAL AMOUNT13 OWED TO THE TOWING CARRIER, THE AUTHORIZED OR INTERESTED PERSON14 MUST SIGN A FORM AFFIRMING THAT THE AUTHORIZED OR INTERESTED15 PERSON OWES THE TOWING CARRIER PAYMENT FOR FEES THAT COMPLY16 WITH THIS ARTICLE 10.1, PART 21 OF ARTICLE 4 OF TITLE 42, OR ARTICLE17 20 OF TITLE 38. KNOWINGLY PROVIDING FALSE INFORMATION ON THE18 FORM IS UNLAWFUL. SIGNING THIS FORM DOES NOT PROHIBIT A VEHICLE19 OWNER FROM FILING A COMPLAINT WITH THE COMMISSION OR PURSUING20 OTHER REMEDIES. THE TOWING CARRIER MAY USE THE FORM TO TAKE21 REASONABLE ACTIONS TO COLLECT THE DEBT, INCLUDING INITIATING A22 COURT ACTION OR USING A COLLECTION AGENCY. THE DEPARTMENT23 SHALL:24 (I) CREATE THE FORM;25 (II) GIVE THE FORM THE FOLLOWING TITLE: "TOWED VEHICLE26 RELEASE NOTICE: RETRIEVAL WITH PAYMENT OWED"; AND27 1314 -27- (III) PROVIDE THE FORM ON THE PUBLIC UTILITIES COMMISSION1 WEBSITE FOR TOWING CARRIERS TO RETRIEVE AND USE .2 (6) Releasing the vehicle upon request. (a) A TOWING CARRIER3 SHALL RELEASE A NONCONSENTUALLY TOWED VEHICLE IN ACCORDANCE4 WITH SUBSECTION (5)(c) OF THIS SECTION. 5 (b) A TOWING CARRIER SHALL NOT ASSESS A DROP CHARGE TO6 RELEASE THE VEHICLE AFTER THE VEHICLE IS HOOKED UP TO THE TOW7 TRUCK BUT BEFORE THE VEHICLE IS REMOVED FROM THE PROPERTY .8 (c) I F APPROACHED BY AN AUTHORIZED OR INTERESTED PERSON 9 BEFORE THE VEHICLE IS REMOVED FROM PRIVATE PROPERTY , THE TOWING10 CARRIER SHALL NOTIFY THE AUTHORIZED OR INTERESTED PERSON THAT11 THE TOWING CARRIER IS REQUIRED TO RELEASE THE VEHICLE UPON12 REQUEST OF THE AUTHORIZED OR INTERESTED PERSON . 13 (d) U PON REQUEST BY THE AUTHORIZED OR INTERESTED PERSON ,14 THE TOWING CARRIER SHALL STOP ANY TOW IN PROGRESS BEFORE THE15 VEHICLE IS REMOVED FROM PRIVATE PROPERTY .16 (7) No towing for expired registration. U NLESS THE TOW IS17 BASED ON AN ORDER GIVEN BY A PEACE OFFICER , A TOWING CARRIER18 SHALL NOT TOW A VEHICLE FROM PRIVATE PROPERTY BECAUSE THE REAR19 LICENSE PLATE OF THE VEHICLE OR THE RECORD OBTAINED USING THE20 SYSTEM DESCRIBED IN SECTION 42-4-2103 (3)(c)(III) INDICATES THAT THE21 VEHICLE'S REGISTRATION HAS EXPIRED.22 (8) Towing carrier responsibility. F OR A NONCONSENSUAL TOW ,23 THE TOWING CARRIER IS RESPONSIBLE FOR THE SECURITY AND SAFETY OF24 THE TOWED VEHICLE UNTIL IT IS RELEASED TO AN AUTHORIZED OR25 INTERESTED PERSON.26 (9) Applicability. THIS SECTION DOES NOT APPLY TO:27 1314 -28- (a) A TOW ORDERED BY A PEACE OFFICER OR TECHNICIAN1 DIRECTED BY A PEACE OFFICER IN THE COURSE AND SCOPE OF THE2 OFFICER'S OR TECHNICIAN'S DUTIES; OR3 (b) A TOW FROM A PARKING SPACE THAT SERVES A BUSINESS IF :4 (I) THE PARKING SPACE IS NOT IN A COMMON PARKING AREA; AND5 (II) THE PARKING SPACE IS ON COMMERCIAL REAL ESTATE, AS6 DEFINED IN SECTION 38-22.5-102 (2).7 8 40-10.1-406. Failure to comply. (1) No fees. (a) I F A TOWING9 CARRIER FAILS TO COMPLY WITH THIS ARTICLE 10.1, ARTICLE 20 OF TITLE10 38, OR PART 18 OR 21 OF ARTICLE 4 OF TITLE 42 OR ANY RULE11 PROMULGATED UNDER THIS ARTICLE 10.1 OR PART 18 OR 21 OF ARTICLE12 4 OF TITLE 42, THE TOWING CARRIER:13 (I) S HALL NOT CHARGE OR RETAIN ANY FEES OR CHARGES FOR THE14 SERVICES PERFORMED WITH RESPECT TO THE VEHICLE ; AND15 (II) S HALL RETURN TO THE AUTHORIZED OR INTERESTED PERSON16 ANY FEES IT COLLECTED WITH RESPECT TO THE VEHICLE .17 (b) I T IS AN AFFIRMATIVE DEFENSE IN ANY ACTION TO COLLECT18 TOWING FEES THAT:19 (I) T HE VEHICLE WAS TOWED NONCONSENSUALLY ; AND20 (II) T HE TOWING CARRIER FAILED TO COMPLY WITH SECTION21 40-10.1-405.22 (2) Attorney fees. A N AUTHORIZED OR INTERESTED PERSON23 SEEKING REIMBURSEMENT FOR DAMAGES MAY RECOVER FROM THE24 TOWING CARRIER REASONABLE ATTORNEY FEES IF :25 (a) T HE VEHICLE WAS TOWED NONCONSENSUALLY ;26 (b) A COURT HOLDS THAT:27 1314 -29- (I) THE TOWING CARRIER FAILED TO COMPLY WITH THIS ARTICLE1 10.1, ARTICLE 20 OF TITLE 38, OR PART 18 OR 21 OF ARTICLE 4 OF TITLE 422 OR ANY RULE PROMULGATED UNDER THIS ARTICLE 10.1 OR PART 18 OR 213 OF ARTICLE 4 OF TITLE 42, AND THIS FAILURE CAUSED DAMAGES ,4 INCLUDING ECONOMIC DAMAGES , TO THE VEHICLE OWNER OR5 LIENHOLDER; OR6 (II) T HE TOWING CARRIER DAMAGED A VEHICLE WHILE7 CONNECTING IT TO A TOWING VEHICLE , WHILE POSSESSING THE VEHICLE,8 OR WHILE RETURNING THE VEHICLE TO AN AUTHORIZED OR INTERESTED9 PERSON; AND10 (c) T HE AUTHORIZED OR INTERESTED PERSON DEMANDED11 REIMBURSEMENT FOR THE SUFFERED DAMAGES AND THE TOWING CARRIER12 REFUSED TO REIMBURSE THE AUTHORIZED OR INTERESTED PERSON FOR13 THE DAMAGES.14 (3) Damages recovered for party in interest. I N A COURT15 ACTION ARISING FROM A NONCONSENSUAL TOW, ANY AUTHORIZED OR16 INTERESTED PERSON MAY RECOVER THE DAMAGES SUFFERED BY ANOTHER17 AUTHORIZED OR INTERESTED PERSON FROM A TOWING CARRIER IF THE18 PERSON WHO RECOVERS THE DAMAGES REIMBURSES THE OTHER19 AUTHORIZED OR INTERESTED PERSON FOR THE DAMAGES SUFFERED BY THE20 AUTHORIZED OR INTERESTED PERSON . A COURT MAY ISSUE AN ORDER21 IMPLEMENTING THIS SUBSECTION (3).22 40-10.1-407. Records. (1) A TOWING CARRIER SHALL RECORD23 THE FOLLOWING INFORMATION FOR EACH NONCONSENSUAL TOW :24 (a) T HE UNIQUE SERIAL NUMBER OF THE TOW RECORD OR INVOICE ;25 (b) T HE NAME, ADDRESS, TOWING CARRIER PERMIT NUMBER , AND26 TELEPHONE NUMBER OF THE TOWING CARRIER ;27 1314 -30- (c) THE ADDRESS AND TELEPHONE NUMBER OF THE STORAGE1 FACILITY USED BY THE TOWING CARRIER ;2 (d) T HE MAKE, MODEL, YEAR, COMPLETE VEHICLE IDENTIFICATION3 NUMBER, AND LICENSE PLATE NUMBER, IF AVAILABLE, OF THE TOWED4 VEHICLE;5 (e) T HE ORIGIN ADDRESS OF THE TOW, THE DESTINATION ADDRESS6 OF THE TOW, AND THE ONE-WAY MILEAGE BETWEEN THE TWO ADDRESSES ;7 (f) T HE PRINTED NAME, ADDRESS, TELEPHONE NUMBER , AND8 SIGNATURE OF THE PERSON AUTHORIZING THE TOW ;9 (g) T HE PRINTED NAME AND SIGNATURE OF THE TOW TRUCK10 DRIVER;11 (h) A N ITEMIZED INVOICE OF ALL TOWING CHARGES ASSESSED ;12 (i) T HE SIGNATURE OF THE PERSON TO WHOM THE VEHICLE IS13 RELEASED; EXCEPT THAT THE TOWING CARRIER MAY WRITE "REFUSED TO14 SIGN" IF THE PERSON TO WHOM THE VEHICLE IS RELEASED REFUSES TO SIGN15 THE RELEASE DOCUMENT; 16 (j) T HE DATE AND TIME OF ANY OF THE FOLLOWING, IF PERFORMED:17 (I) H OOKING THE VEHICLE TO THE TOW TRUCK ;18 (II) U NHOOKING THE VEHICLE FROM THE TOW TRUCK ;19 (III) C OMPLETING THE TOW;20 (IV) N OTIFYING THE APPROPRIATE LAW ENFORCEMENT AGENCY ;21 (V) P LACING THE VEHICLE IN STORAGE; AND22 (VI) R ELEASING THE TOWED VEHICLE FROM STORAGE; AND23 (k) ANY OTHER INFORMATION REQUIRED BY RULE OF THE24 COMMISSION.25 (2) A TOWING CARRIER SHALL RECORD THE INFORMATION26 REQUIRED TO BE RECORDED BY SUBSECTION (1) OF THIS SECTION BEFORE27 1314 -31- THE ACTION TO WHICH IT REFERS IS PERFORMED, UNLESS IMPRACTICABLE1 DUE TO SAFETY CONCERNS. IF THE SAFETY CONCERNS DELAY RECORDING2 THE INFORMATION REQUIRED BY SUBSECTION (1) OF THIS SECTION, THE3 TOWING CARRIER SHALL RECORD THE INFORMATION AS SOON AS4 REASONABLY POSSIBLE.5 (3) A TOWING CARRIER SHALL RETAIN THE INFORMATION6 REQUIRED IN SUBSECTION (1) OF THIS SECTION FOR THREE YEARS AFTER7 THE TOW COMMENCED .8 (4) W ITHIN FORTY-EIGHT HOURS AFTER A REQUEST , A TOWING9 CARRIER SHALL PROVIDE THE INFORMATION REQUIRED TO BE RECORDED10 BY SUBSECTION (1) OF THIS SECTION TO AN AUTHORIZED OR INTERESTED11 PERSON.12 40-10.1-408. Kickbacks prohibited. A TOWING CARRIER SHALL13 NOT PAY MONEY OR OTHER VALUABLE CONSIDERATION FOR THE14 PRIVILEGE OF NONCONSENSUALLY TOWING VEHICLES .15 40-10.1-409. Violators subject to penalties. (1) A TOWING16 CARRIER THAT VIOLATES THIS PART 4 IS SUBJECT TO THE PENALTIES17 PROVIDED IN SECTION 40-10.1-114.18 (2) A VIOLATION OF THIS PART 4 IS A DECEPTIVE TRADE PRACTICE19 UNDER SECTION 6-1-105 (1)(ooo) AND IS SUBJECT TO ENFORCEMENT BY20 THE ATTORNEY GENERAL 'S OFFICE IN ADDITION TO THE ENFORCEMENT21 DESCRIBED IN THIS SECTION.22 23 40-10.1-410. Towing rules. UPON MAKING A FINDING THAT A 24 TOWING PRACTICE HARMS THE PUBLIC INTEREST , THE COMMISSION MAY25 PROMULGATE RULES, AS NECESSARY, TO STOP OR CHANGE THE TOWING26 PRACTICE THAT HARMS THE PUBLIC INTEREST .27 1314 -32- SECTION 12. In Colorado Revised Statutes, 6-1-105, add1 (1)(ooo) as follows:2 6-1-105. Unfair or deceptive trade practices. (1) A person3 engages in a deceptive trade practice when, in the course of the person's4 business, vocation, or occupation, the person:5 (ooo) V IOLATES PART 4 OF ARTICLE 10.1 OF TITLE 40.6 SECTION 13. In Colorado Revised Statutes, amend 38-20-1057 as follows:8 38-20-105. Lien of common carrier. (1) E XCEPT AS PROVIDED9 IN SUBSECTION (2) OF THIS SECTION, every common carrier of goods or10 passengers who, at the request of the owner of any personal goods,11 carries, conveys, or transports the same from one place to another and12 every other person who safely keeps or stores any personal property at the13 request of the owner or person lawfully in possession thereof shall have 14 OF THE PERSONAL PROPERTY HAS a lien upon all such THE personal15 property for his reasonable charges for the transportation, storage, or16 keeping thereof OF THE PERSONAL PROPERTY and for all reasonable and17 proper advances made thereon by him THE COMMON CARRIER OR18 WAREHOUSE, in accordance with the usage and custom of common19 carriers and warehousemen WAREHOUSES.20 (2) I N ACCORDANCE WITH SECTION 40-10.1-405 (5)(a), THIS21 SECTION DOES NOT GRANT A TOWING CARRIER A LIEN ON THE22 CONTENTS OF A VEHICLE IF THE VEHICLE WAS TOWED NONCONSENSUALLY ,23 AS DEFINED IN SECTION 40-10.1-101 (13).24 SECTION 14. Appropriation. (1) For the 2022-23 state fiscal25 year, $109,475 is appropriated to the department of regulatory agencies26 for use by the public utilities commission. This appropriation is from the27 1314 -33- public utilities commission motor carrier fund created in section1 40-2-110.5 (6), C.R.S. To implement this act, the commission may use2 this appropriation as follows:3 (a) $85,981 for personal services, which amount is based on an4 assumption that the commission will require an additional 1.4 FTE;5 (b) $17,761 for operating expenses; and6 (c) $5,733 for the purchase of vehicle lease services.7 (2) For the 2022-23 state fiscal year, $5,733 is appropriated to the8 department of personnel. This appropriation is from reappropriated funds9 received from the department of regulatory agencies under subsection10 (1)(c) of this section. To implement this act, the department of personnel11 may use this appropriation for vehicle replacement lease/purchase12 services to the department of regulatory agencies.13 SECTION 15. Act subject to petition - effective date. This act14 takes effect at 12:01 a.m. on the day following the expiration of the15 ninety-day period after final adjournment of the general assembly; except16 that, if a referendum petition is filed pursuant to section 1 (3) of article V17 of the state constitution against this act or an item, section, or part of this18 act within such period, then the act, item, section, or part will not take19 effect unless approved by the people at the general election to be held in20 November 2022 and, in such case, will take effect on the date of the21 official declaration of the vote thereon by the governor.22 1314 -34-