Second Regular Session
Seventy-fourth General Assembly
STATE OF COLORADO
REENGROSSED
This Version Includes All Amendments
Adopted in the House of Introduction
LLS NO. 24-0240.01 Jery Payne x2157
HOUSE BILL 24-1051
House Committees Senate Committees
Transportation, Housing & Local Government
Finance
Appropriations
A BILL FOR AN ACT
C
ONCERNING THE REGULATION OF BUSINESSES THAT OBTAIN A PERMIT101
FROM THE PUBLIC UTILITIES COMMISSION TO TOW MOTOR102
VEHICLES, AND, IN CONNECTION THEREWITH, MAKING AN103
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/
.)
Transportation Legislation Review Committee. The bill
requires a driver of tow trucks to undergo a fingerprint-based criminal
history record check (check). If the check produces a criminal history that
HOUSE
3rd Reading Unamended
April 24, 2024
HOUSE
Amended 2nd Reading
April 23, 2024
HOUSE SPONSORSHIP
Boesenecker and Mauro,
SENATE SPONSORSHIP
Gonzales and Priola,
Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
Capital letters or bold & italic numbers indicate new material to be added to existing law.
Dashes through the words or numbers indicate deletions from existing law. the public utilities commission (commission) determines is inappropriate
to drive a tow truck, the driver will not be permitted to drive the tow
truck.
Current law authorizes the commission to deny or refuse to renew
a towing carrier permit if:
! The towing carrier was convicted within the last 5 years of
a felony or a towing-related offense or has failed to satisfy
a civil penalty imposed by the commission; or
! The commission determines that it is not in the public
interest for the towing carrier to hold a towing carrier
permit.
The bill:
! Authorizes the commission to suspend or revoke a permit
for each of these specified violations;
! Authorizes the commission to suspend or revoke a permit
if it is not in the public interest for the towing carrier to
hold a towing permit; and
! Sets a rebuttable presumption that it is not in the public
interest for a towing carrier to hold a permit if the towing
carrier has violated the towing laws.
The bill prohibits a member of the towing task force in the
department of regulatory agencies, which advises the commission on
towing matters, from voting on a matter that will financially benefit the
member or if the member is the subject of a complaint about which the
task force is advising the commission.
Current law requires the commission to report certain towing
issues and financial information to certain committees of the Senate and
House of Representatives of the general assembly. The bill requires the
commission to promulgate a rule to require towing carriers to provide:
! Any information needed to prepare the report;
! Audited financial statements; and
! Any other information required by the commission.
The bill directs the commission to aggregate and anonymize the financial
statements and make the aggregated and anonymized data publicly
available.
A towing carrier is forbidden from patrolling or monitoring
property to enforce parking restrictions on behalf of the property owner.
Currently, the owner of a motor vehicle pays to retrieve the motor
vehicle when the vehicle has been nonconsensually towed from another
person's property. The bill requires certain property owners to pay for the
removal of the vehicle from their property and for any storage for the first
30 days. The towing carrier is required to notify the vehicle owner that
the vehicle owner can retrieve the vehicle free of charge for the first 30
days.
If a motor vehicle is nonconsensually towed in violation of the
1051
-2- rights granted in state statute, the towing carrier must, within 48 hours
after the determination of a statutory violation, return the vehicle to the
place it was towed from.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, 40-10.1-401, amend2
(2) as follows:3
40-10.1-401. Permit requirements - rules. (2) (a) (I) The4
commission may deny an application FOR or SUSPEND, REVOKE, OR refuse5
to renew a permit under this part 4 of a person who THAT has, within the6
immediately preceding five years, been convicted of, or pled guilty or7
nolo contendere to, a felony or a towing-related offense. The commission8
may also deny an application under this part 4 or SUSPEND, REVOKE, OR9
refuse to renew the permit of a towing carrier based upon a determination10
that the towing carrier or any of its owners, principals, officers, members,11
partners, or directors has not satisfied a civil penalty arising out of any AN12
administrative or enforcement action brought by the commission.13
(II) A TOWING CARRIER THAT APPLIES FOR A PERMIT OR THAT14
APPLIES TO RENEW A PERMIT SHALL DISCLOSE TO THE COMMISSION EACH15
PERSON THAT IS IDENTIFIED AS A PRINCIPAL IN ACCORDANCE WITH RULES16
PROMULGATED BY THE COMMISSION .17
(b) The commission may deny an application FOR or SUSPEND,18
REVOKE, OR refuse to renew a permit of a towing carrier under this part19
4 based on a determination that there is good cause to believe the20
issuance of or renewal of the permit IT is not in the public interest FOR21
THE TOWING CARRIER TO POSSESS A PERMIT. The determination is subject22
to appeal in accordance with commission rules. IT IS REBUTTABLY23
PRESUMED THAT A TOWING CARRIER'S POSSESSION OF A PERMIT IS NOT IN24
1051-3- THE PUBLIC INTEREST IF THE TOWING CARRIER HAS WILLFULLY AND1
REPEATEDLY FAILED TO COMPLY WITH THIS ARTICLE 10.1 OR PART 18 OR2
21 OF ARTICLE 4 OF TITLE 42.3
SECTION 2. In Colorado Revised Statutes, 40-10.1-403, amend4
(4)(d)(II); and add (3.5), (4)(e), and (4)(f) as follows:5
40-10.1-403. Towing task force - creation - conflict of interest6
- rules - report - repeal. (3.5) (a) A MEMBER SHALL NOTIFY THE TASK7
FORCE AND ABSTAIN FROM VOTING IF:8
(I) THE MEMBER WILL FINANCIALLY BENEFIT FROM, OR HAS A9
FINANCIAL INTEREST IN A PERSON THAT WILL BENEFIT FROM, A10
RATE-SETTING RECOMMENDATION MADE BY THE TASK FORCE ; OR11
(II) THE TASK FORCE IS ADVISING THE COMMISSION ABOUT A12
COMPLAINT, AND THE MEMBER IS THE SUBJECT OF THE COMPLAINT OR HAS13
A FINANCIAL INTEREST IN A PERSON THAT IS THE SUBJECT OF THE14
COMPLAINT.15
(b) A MEMBER DOES NOT HAVE A CONFLICT OF INTEREST IF THE16
MEMBER BENEFITS MERELY FROM BELONGING TO A CLASS THAT IS17
AFFECTED BY THE RATE SETTING DESCRIBED IN SUBSECTION (3.5)(a)(I) OF18
THIS SECTION.19
(4) (d) (II) This subsection (4)(d) is repealed, effective July 1,20
2026 SEPTEMBER 1, 2026.21
(e) BY SEPTEMBER 1, 2025, THE COMMISSION SHALL PROMULGATE22
RULES REQUIRING EACH TOWING CARRIER TO PROVIDE, AS A CONDITION23
OF PERMIT ISSUANCE OR RENEWAL ON OR AFTER A DATE SPECIFIED IN THE24
RULES, ANY INFORMATION NEEDED TO PREPARE THE REPORT REQUIRED BY25
SUBSECTION (4)(d)(I) OF THIS SECTION.26
(f) THE COMMISSION MAY PROMULGATE RULES TO COLLECT OTHER27
1051
-4- INFORMATION REQUIRED AS PART OF THE TOWING CARRIER PERMITTING1
PROCESS. THE INFORMATION REQUIRED BY RULE MAY INCLUDE THE2
ANNUAL VOLUME OF TOWS BY CATEGORY, THE CURRENT PRICING PER3
CATEGORY OF TOW FOR ALL FEES CHARGED, AND THE NUMBER OF TOW4
TRUCKS EACH TOWING CARRIER OPERATES .5
SECTION 3. In Colorado Revised Statutes, 40-10.1-405, amend6
(3)(a)(IV) introductory portion, (3)(a)(IV)(A), (3)(a)(IV)(C), (3)(b)(I)(H),7
(3)(c), (4)(b)(II), (5)(b), (5)(c) introductory portion, (5)(d) introductory8
portion, and (8); repeal (4)(f)(III), (8), and (9)(b)(I); and add (3)(a)(V),9
(3)(d), (3)(e), (4)(f)(I)(C), and (5)(e) as follows:10
40-10.1-405. Nonconsensual tows - rights of owners,11
operators, and lienholders - rules. (3) Authorization, signs, and12
notice required for tows from private property. (a) A towing carrier13
shall not nonconsensually tow a vehicle from private property unless:14
(IV) The towing carrier has received DOCUMENTED permission,15
to WHICH MUST NOT BE AUTOMATED OR PREAPPROVED, FOR EACH16
INDIVIDUAL tow OF the vehicle, within the twenty-four hours immediately17
preceding the tow, from THE FOLLOWING PERSON THAT MUST DOCUMENT18
THE PERMISSION BY SIGNING THE FORM CREATED IN ACCORDANCE WITH19
SUBSECTION (3)(d)(I) OF THIS SECTION:20
(A) The owner of or leaseholder of the private property; EXCEPT21
THAT, IF THE OWNER OR LEASEHOLDER WOULD EARN INCOME FROM THE22
NONCONSENSUAL TOW, THE TOWING CARRIER SHALL NOT PERFORM THE23
NONCONSENSUAL TOW BUT MAY AUTHORIZE ANOTHER TOWING CARRIER24
TO PERFORM THE NONCONSENSUAL TOW ;25
(C) An agent EMPLOYEE of a person described in subsection26
(3)(a)(IV)(A) or (3)(a)(IV)(B) of this section OR AN EMPLOYEE OF A27
1051
-5- PROPERTY MANAGEMENT COMPANY RETAINED TO COLLECT RENT AND1
PERFORM RESIDENTIAL SERVICES; except that the towing carrier does not2
qualify as an agent with authority to grant permission under this3
subsection (3)(a) EMPLOYEE WHO HAS A FINANCIAL INTEREST IN OR4
RELATIONSHIP WITH THE TOWING CARRIER OR A PARKING LOT5
MANAGEMENT COMPANY THAT EARNS INCOME FROM MANAGING OR6
CONTROLLING PARKING OR PERMISSION TO PARK OR THAT EARNS INCOME7
FROM NONCONSENSUAL TOWS SHALL NOT GRANT PERMISSION TO8
AUTHORIZE THE TOW; OR9
(V) THE TOWING CARRIER HAS RECEIVED PERMISSION FOR EACH10
INDIVIDUAL TOW.11
(b) (I) Except as provided in subsection (3)(b)(IV) of this section,12
a towing carrier shall not nonconsensually tow a vehicle from a parking13
space or common parking area without the towing carrier or property14
owner giving the vehicle owner or operator twenty-four hours' written15
notice, unless:16
(H) The vehicle is parked without displaying valid authorization17
in a parking lot marked for the exclusive use of residents OR INVITED18
GUESTS.19
(c) In order for a towing carrier to conduct a nonconsensual tow,20
under subsection (3)(b)(I)(G) or (3)(b)(I)(H) of this section, the property21
owner must have posted signage visible and facing the driver at each22
entryway into a parking area indicating that parking spaces are designated23
for one or more specified residents and that a vehicle parked without24
authorization is subject to being towed. The sign must also contain the25
international towing symbol no smaller than four inches by four inches26
and be permanently mounted in a position that is no lower than five feet27
1051
-6- and no higher than eight feet THAT:1
(I) IS NOT LESS THAN TWO SQUARE FEET IN SIZE;2
(II) HAS LETTERING NOT LESS THAN ONE INCH IN HEIGHT ;3
(III) HAS LETTERING THAT CONTRASTS SHARPLY IN COLOR WITH4
THE BACKGROUND ON WHICH THE LETTERS ARE PLACED AND CONTRASTS5
SHARPLY WITH THE STRUCTURE THE SIGNS ARE PLACED ON ;6
(IV) CONTAINS THE FOLLOWING INFORMATION IN THE ORDER7
LISTED BELOW:8
(A) THE RESTRICTION OR PROHIBITION ON PARKING ;9
(B) THE TIMES OF THE DAY AND DAYS THAT THE RESTRICTION IS10
APPLICABLE; BUT, IF THE RESTRICTION APPLIES TWENTY-FOUR HOURS A11
DAY, SEVEN DAYS A WEEK, THE SIGN MUST SAY "AUTHORIZED PARKING12
ONLY"; AND13
(C) THE NAME AND TELEPHONE NUMBER OF THE TOWING CARRIER14
AUTHORIZED TO PERFORM TOWS FROM THE PRIVATE PROPERTY ;15
(V) IS PRINTED IN ENGLISH AND SPANISH;16
(VI) IS PERMANENTLY MOUNTED BOTH :17
(A) AT THE ENTRANCE TO THE PRIVATE PROPERTY SO THAT THE18
SIGN FACES OUTWARD TOWARD THE STREET AND IS VISIBLE BEFORE AND19
UPON ENTERING THE PRIVATE PROPERTY ; AND20
(B) INSIDE THE PRIVATE PROPERTY SO THAT THE SIGN FACES21
OUTWARD TOWARD THE PARKING AREA ;22
(VII) IS NOT OBSTRUCTED FROM VIEW OR PLACED IN A MANNER23
THAT PREVENTS DIRECT VISIBILITY; AND24
(VIII) IS NOT PLACED HIGHER THAN TEN FEET OR LOWER THAN25
THREE FEET FROM THE SURFACE CLOSEST TO THE SIGN 'S PLACEMENT.26
(d) (I) THE COMMISSION SHALL CREATE A FORM THAT IMPLEMENTS27
1051
-7- SUBSECTION (3)(a)(IV) OF THIS SECTION.1
(II) THE TOWING CARRIER MUST RETAIN FOR THREE YEARS THE2
SIGNED FORM REQUIRED BY SUBSECTION (3)(a)(IV) OF THIS SECTION AND,3
UPON REQUEST, PROVIDE THE SIGNED FORM TO THE VEHICLE OWNER .4
(e) A TOWING CARRIER SHALL NOT PATROL OR MONITOR PROPERTY5
TO ENFORCE PARKING RESTRICTIONS ON BEHALF OF THE PROPERTY6
OWNER.7
(4) Notice, disclosures, and towing carrier signs. (b) A towing8
carrier shall maintain a clearly visible sign at the entrance to the storage9
facility holding a nonconsensually towed vehicle. The sign must:10
(II) State: "If a vehicle is nonconsensually towed from private11
property, the owner AUTHORIZED OR INTERESTED PERSON may retrieve the12
contents of the vehicle even if the owner AUTHORIZED OR INTERESTED13
PERSON does not pay the towing carrier's fees. If the owner AUTHORIZED14
OR INTERESTED PERSON fills out the appropriate form, the owner15
AUTHORIZED OR INTERESTED PERSON may retrieve the vehicle after16
paying a reduced fee, but the owner AUTHORIZED OR INTERESTED PERSON17
still owes the towing carrier the balance of those fees."18
(f) (III) A towing carrier that enters into an agreement with a19
property owner to nonconsensually tow vehicles from the property shall20
post signs that:21
(A) Are no less than one square foot in size;22
(B) Have lettering not less than one inch in height;23
(C) Have lettering that contrasts with the background on which24
the letters are placed;25
(D) State: "Authorized Parking Only";26
(E) Include the name and telephone number of the towing carrier27
1051
-8- authorized to perform tows from the private property;1
(F) Are printed in English;2
(G) Are placed at the entrance to the private property, face3
outward toward the street, and are visible prior to entering and upon4
entering the private property;5
(H) Are placed inside the area used for parking, face toward the6
parking spaces, and, if the private property is not provided for residential7
parking and has more than ten freestanding lampposts on the property,8
are posted on each lamppost or posted upright near each lamppost;9
(I) Are not obstructed or placed in such a manner that prevents10
visibility; and11
(J) Are not placed higher than eight feet or lower than three feet12
from the ground surface closest to the sign's placement.13
(5) No mechanic's liens on contents. (b) If an authorized or14
interested person requests that a towing carrier return the contents of a15
vehicle that was towed without consent within thirty days after the16
postmarked date the notice was mailed in accordance with section17
42-4-2103 (4) or the date the operator received notice that no record18
exists for the motor vehicle, the towing carrier shall immediately retrieve19
or allow the authorized or interested person to retrieve the vehicle's20
contents. This subsection (5)(b) does not apply to the contents of a21
vehicle if the contents of the vehicle are subject to a hold order issued by22
a court, district attorney, law enforcement agency, or peace officer.23
(c) The towing carrier shall immediately retrieve a vehicle that24
has been nonconsensually towed or allow the owner AUTHORIZED OR25
INTERESTED PERSON to retrieve the vehicle if:26
(d) For an authorized or interested person to retrieve a vehicle27
1051
-9- without paying the towing carrier the total amount owed to the towing1
carrier, the authorized or interested person must sign a form affirming2
that the authorized or interested person owes the towing carrier payment3
for fees that comply with this article 10.1, part 21 of article 4 of title 42,4
or article 20 of title 38. Knowingly providing false information on the5
form is unlawful. Signing this form does not prohibit a vehicle owner6
from filing a complaint with the commission or pursuing other remedies.7
The towing carrier may use the form to take reasonable actions to collect8
the debt, including initiating a court action or using a collection agency.9
The department COMMISSION shall:10
(e) A TOWING CARRIER SHALL NOT REQUIRE A PERSON TO11
UNDERGO AN APPROVAL PROCESS OTHER THAN SIGNING THE FORM12
CREATED PURSUANT TO SUBSECTION (5)(d) OF THIS SECTION.13
(8) Towing carrier responsibility. For a nonconsensual tow, the14
towing carrier is responsible for the security and safety of the towed15
vehicle until it is released to an authorized or interested person.16
(9) Applicability. This section does not apply to:17
(b) A tow from a parking space that serves a business if:18
(I) The parking space is not in a common parking area; and19
SECTION 4. In Colorado Revised Statutes, 40-10.1-406, add20
(1)(c) as follows:21
40-10.1-406. Failure to comply. (1) No fees - return of vehicle.22
(c) WITHIN FORTY-EIGHT HOURS AFTER A TOW IS DETERMINED TO HAVE23
BEEN PERFORMED IN VIOLATION OF THIS ARTICLE 10.1 OR ANY RULES24
PROMULGATED UNDER THIS ARTICLE 10.1, THE TOWING CARRIER SHALL25
RETURN THE VEHICLE BACK TO THE LOCATION FROM WHERE IT WAS26
TOWED UNLESS:27
1051
-10- (I) THE AUTHORIZED OR INTERESTED PERSON NOTIFIES THE1
TOWING CARRIER THAT THE PERSON PREFERS TO RETRIEVE THE VEHICLE2
FROM THE TOWING CARRIER'S STORAGE FACILITY WITHOUT CHARGE ; OR3
(II) RETURNING THE VEHICLE TO THE LOCATION FROM WHERE THE4
VEHICLE WAS TOWED IS NOT PRACTICAL , AS DETERMINED BY THE5
COMMISSION.6
SECTION 5. In Colorado Revised Statutes, 40-10.1-409, amend7
(2) as follows:8
40-10.1-409. Violators subject to penalties. (2) A violation of9
this part 4 is a deceptive trade practice under section 6-1-105 (1)(ttt) AND10
(1)(eeee) and is subject to enforcement by the attorney general's office in11
addition to the OR A DISTRICT ATTORNEY OR enforcement AS described in12
this section.13
SECTION 6. In Colorado Revised Statutes, add 40-10.1-411 as14
follows:15
40-10.1-411. Towing carrier responsibility. THE TOWING16
CARRIER IS RESPONSIBLE FOR THE SECURITY AND SAFETY OF THE TOWED17
VEHICLE UNTIL THE VEHICLE IS RELEASED TO AN AUTHORIZED OR18
INTERESTED PERSON.19
SECTION 7. In Colorado Revised Statutes, 6-1-105, add20
(1)(eeee) as follows:21
6-1-105. Unfair or deceptive trade practices. (1) A person22
engages in a deceptive trade practice when, in the course of the person's23
business, vocation, or occupation, the person:24
(eeee) IS A TOWING CARRIER AND CONDUCTS A NONCONSENSUAL25
TOW IN VIOLATION OF SECTION 40-10.1-405.26
SECTION 8. In Colorado Revised Statutes, 40-10.1-404, amend27
1051
-11- (1) as follows:1
40-10.1-404. Repeal of part - subject to review. (1) This part2
4 is repealed, effective September 1, 2025 2030. Before the repeal, this3
part 4 is scheduled for review in accordance with section 24-34-104 and4
subsection (2) of this section.5
SECTION 9. In Colorado Revised Statutes, 24-34-104, repeal6
(26)(a)(XIII); and add (31)(a)(XI) as follows:7
24-34-104. General assembly review of regulatory agencies8
and functions for repeal, continuation, or reestablishment -9
legislative declaration - repeal. (26) (a) The following agencies,10
functions, or both, are scheduled for repeal on September 1, 2025:11
(XIII) The public utilities commission's regulation of towing12
carriers under part 4 of article 10.1 of title 40.13
(31) (a) The following agencies, functions, or both, are scheduled14
for repeal on September 1, 2030:15
(XI) THE REGULATION OF TOWING CARRIERS BY THE PUBLIC16
UTILITIES COMMISSION UNDER PART 4 OF ARTICLE 10.1 OF TITLE 40.17
SECTION 10. In Colorado Revised Statutes, 40-10.1-116,18
amend (3) as follows:19
40-10.1-116. Commission to notify local authorities -20
procedure. (3) (a) A person injured by the noncompliance of a motor21
carrier with this article ARTICLE 10.1 or any other provision of law or an22
order, decision, rule, direction, or requirement of the commission may23
apply to a court of competent jurisdiction for the enforcement thereof,24
and the court has jurisdiction to enforce obedience thereto by injunction25
or other proper process, mandatory or otherwise, and to restrain the motor26
carrier and its officers, agents, employees, or representatives from further27
1051
-12- disobedience thereof, or to enjoin upon them obedience to the same, and1
any person so injured has cause of action in damages and is privileged to2
pursue the usual and proper remedies as in any other case.3
(b) SUBSECTION (3)(a) OF THIS SECTION CREATES AN4
INDEPENDENT CAUSE OF ACTION, WHICH IS NOT SUBJECT TO5
ADMINISTRATIVE EXHAUSTION, AGAINST A TOWING CARRIER THAT6
VIOLATED THIS ARTICLE 10.1 OR ANY OTHER PROVISION OF LAW OR AN7
ORDER, DECISION, RULE, DIRECTION, OR REQUIREMENT OF THE8
COMMISSION.9
SECTION 11. Appropriation. (1) For the 2024-25 state fiscal10
year, $165,629 is appropriated to the department of regulatory agencies.11
This appropriation is from the public utilities commission motor carrier12
fund created in section 40-2-110.5 (6), C.R.S. To implement this act, the13
department may use this appropriation as follows:14
(a) $42,973 for use by the public utilities commission for personal15
services, which amount is based on an assumption that the commission16
will require an additional 0.6 FTE;17
(b) $7,438 for use by the public utilities commission for operating18
expenses; and19
(c) $115,218 for the purchase of legal services.20
(2) For the 2024-25 state fiscal year, $115,218 is appropriated to21
the department of law. This appropriation is from reappropriated funds22
received from the department of regulatory agencies under subsection23
(1)(c) of this section and is based on an assumption that the department24
of law will require an additional 0.5 FTE. To implement this act, the25
department of law may use this appropriation to provide legal services for26
the department of regulatory agencies.27
1051
-13- SECTION 12. Act subject to petition - effective date -1
applicability. (1) This act takes effect at 12:01 a.m. on the day following2
the expiration of the ninety-day period after final adjournment of the3
general assembly; except that, if a referendum petition is filed pursuant4
to section 1 (3) of article V of the state constitution against this act or an5
item, section, or part of this act within such period, then the act, item,6
section, or part will not take effect unless approved by the people at the7
general election to be held in November 2024 and, in such case, will take8
effect on the date of the official declaration of the vote thereon by the9
governor.10
(2) This act applies to acts committed on or after the applicable11
effective date of this act.12
1051
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