First Regular Session Seventy-fifth General Assembly STATE OF COLORADO INTRODUCED LLS NO. 25-0415.01 Jery Payne x2157 HOUSE BILL25-1117 House Committees Senate Committees Transportation, Housing & Local Government A BILL FOR AN ACT C ONCERNING THE REGULATION OF VEHICLE IMMOBILIZATION101 COMPANIES.102 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 .) The bill amends the statutes requiring a permit to boot a vehicle to broaden the permit requirement to include any application, without the appropriate consent, of a device intended to prevent the normal operation of a motor vehicle. Under current law, a permit holder may be denied a permit to boot a vehicle upon application when the permit holder or owner has been HOUSE SPONSORSHIP Joseph and Boesenecker, SENATE SPONSORSHIP Gonzales J. and Weissman, 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. convicted of a felony within the last 5 years. The bill allows the public utilities commission (commission) to suspend, revoke, or refuse to renew a permit to immobilize a vehicle for felonies and immobilization-related offenses. An applicant must disclose each person that is a principal owner in the vehicle immobilization company (company) in an application. The commission is authorized to deny an application for or suspend, revoke, or refuse to renew a permit of a company based on a determination that it is not in the public interest for the company to possess a permit. The determination is subject to appeal. Possession of a permit is rebuttably presumed to be not in the public interest if a company has willfully and repeatedly failed to comply with the relevant law. The bill adds the following new duties for companies: ! Before immobilizing a vehicle, the company must document the vehicle's condition and the reason for the immobilization. Standards are set for the documentation, including taking photographs. ! Upon demand by an authorized or interested person, the company must provide copies of the photographs, and if the company does not provide the photographs and a vehicle is damaged, it creates a rebuttable presumption that the company damaged the vehicle or did not have authority to immobilize the vehicle; ! When an immobilization device is being removed from a vehicle, a company must provide adequate lighting to inspect the vehicle for damage; ! A company shall display its name, the permit number, and a phone number of the company on each company vehicle used in immobilization. Standards are set for the display. ! The representative of a company must have business identification visibly worn at all times while immobilizing a vehicle or accepting payment; ! If a vehicle has been immobilized by a company, another company must not immobilize the vehicle; ! If a company applies more than one immobilization device to a vehicle, the company may not charge more than once for the removal of all the immobilization devices; ! A company must provide, upon request, evidence of the company's commercial liability insurance coverage; ! A company must immediately accept payment and release the vehicle if offered in cash or by valid major credit card; ! Upon request, a company must disclose accepted forms of payment; ! A company must provide an itemized bill showing each charge and the rate for each fee incurred as a result of an immobilization and any fee that caused the immobilization; HB25-1117 -2- and ! A company may not pay money or provide other valuable consideration for the privilege of immobilizing vehicles. A company is prohibited from immobilizing a vehicle on private property unless: ! The immobilization is ordered or authorized by a court order, an administrative order, or a peace officer or by operation of law; or ! The company has received permission for each individual immobilization, within the 24 hours immediately preceding the immobilization, from a specified person. The company must retain the permission for 3 years. A property owner with tenants must give each tenant adequate notice of parking regulations as outlined in the bill. A company may not immobilize a vehicle in a parking space or common parking area without the company or property owner giving 24 hours' written notice at least 24 hours before immobilizing the vehicle, unless the vehicle owner or operator has received 2 or more previous notices for parking inappropriately in the same manner. Standards are set for the notice. If a vehicle parks 3 or more times in the same inappropriate manner, the company or property owner need not give the notice, but the company must place a notice on the immobilized vehicle that contains the phone number of the company, the normal operating hours of the company, and the phone number to contact the company outside of normal operating hours. To immobilize a vehicle on private property normally used for parking, the following must be provided upon entering the private property: ! Notice of the parking regulations; and ! Notice that a violation of the regulations subjects the vehicle to immobilization at the vehicle owner's expense. Unless the immobilization is based on an order given by a peace officer, a company may not immobilize a vehicle on private property because the vehicle's registration has expired. For a company to immobilize a vehicle, the property owner must have posted signage that meets the size, visibility, and placement standards of the bill and contains the following information: ! The restriction or prohibition on parking; ! The times of the day and days that the restriction is applicable, but, if the restriction applies 24 hours per day, 7 days per week, the sign must say "Authorized Parking Only"; ! Notice that violating the regulation subjects the violating vehicle to be immobilized at the vehicle owner's expense; and HB25-1117 -3- ! The name and telephone number of the company authorized to perform immobilization on the private property. A company may not patrol or monitor property to enforce parking restrictions on behalf of a property owner. If a company has immobilized a vehicle on private property, the company must give a written notice of the person's ability to make a complaint to the commission in accordance with the standards of the bill. A company must release a motor vehicle either within 120 minutes after being contacted outside the company's normal business hours or within 90 minutes during the company's normal business hours. A company must immediately release a vehicle without charge to a towing carrier when evidence is presented that the towing carrier has authorization to conduct a nonconsensual tow or law-enforcement-directed tow. A company must immediately release an immobilized vehicle if the person retrieving the vehicle pays at least 15% of the fees, not to exceed $60, and the person signs a form affirming that the authorized or interested person owes the company payment for the appropriate fees. A company must charge a reduced release charge set by the commission and immediately release the vehicle if the vehicle is released after an employee of or agent of the company starts to immobilize the vehicle but before the agent or employee leaves the private property. A company must retain evidence of giving the notices and disclosures required in the bill for 3 years and provide the evidence to the commission or an enforcement official upon request. Generally, the bill does not apply to an immobilization ordered by a peace officer or technician directed by a peace officer, an immobilization in a parking space that serves a business if the parking space is on commercial real estate, or an immobilization ordered by a municipality, county, or city and county. A violation of the bill is generally a deceptive trade practice and is subject to enforcement by the attorney general's office or a district attorney. Be it enacted by the General Assembly of the State of Colorado:1 SECTION 1. Legislative declaration. (1) The general assembly2 finds that:3 (a) Fair and just enforcement of parking regulations is an essential4 component of maintaining the order and integrity of public spaces and5 HB25-1117-4- residential communities, fostering a sense of responsibility and respect1 among all community members;2 (b) Vehicle immobilization practices, when improperly applied or3 enforced, can create undue burdens on consumers, particularly those who4 may face financial or personal challenges; 5 (c) Improper immobilization can undermine public trust in the6 system and, at times, may result in the disproportionate penalization of7 individuals for minor or unintentional infractions;8 (d) Vehicle immobilization practices and related fees9 disproportionately affect low-income individuals and marginalized10 communities, exacerbating existing social and economic disparities, and11 in these instances, individuals often lack access to legal recourse, and the12 resulting financial strain may hinder their ability to secure basic13 necessities, such as housing, healthcare, or transportation;14 (e) Clear and transparent communication regarding parking15 regulations, including proper signs and timely notices, is crucial to16 ensuring that consumers are fully informed of their rights and17 responsibilities and are given reasonable opportunities to rectify minor18 violations without the threat of excessive penalties or hardship;19 (f) The state must ensure that vehicle immobilization practices are20 carried out in a manner that upholds the dignity of all individuals, protects21 consumers from unnecessary financial strain, and promotes fairness by22 providing avenues for dispute resolution and mitigation of penalties23 where appropriate;24 (g) Vehicle immobilization companies and property owners must25 be held accountable to the highest ethical standards, with a commitment26 to transparency, honesty, and fairness in the provision of services. This27 HB25-1117 -5- includes clear, itemized billing, proper safeguards to prevent abuse, and1 accountability for any damages or mistakes that may arise from the2 immobilization process.3 (h) A fair and just system for addressing vehicle immobilization4 disputes is integral to maintaining public confidence in the regulatory5 framework. Consumers must have access to effective mechanisms for6 challenging fees, seeking timely release of immobilized vehicles, and7 receiving a fair hearing for their cases.8 (i) Vehicle immobilization should not be a mechanism for unjustly9 enriching private companies or imposing financial hardship on vulnerable10 individuals. Kickbacks, improper financial incentives, or the pursuit of11 unfair profits at the expense of consumers undermine the integrity of the12 system and erode public trust.13 (j) This legislation is intended to create a fair, transparent, and14 equitable framework for vehicle immobilization that balances the need for15 effective enforcement with the protection of consumers' rights, ensuring16 that no person is unfairly penalized or unduly burdened by the system;17 and 18 (k) By establishing clear guidelines for vehicle immobilization,19 providing transparency, and offering opportunities for consumers to20 address minor infractions in a reasonable and timely manner, this21 legislation promotes the values of fairness and justice, strengthening the22 trust between the public and those entrusted with enforcement23 responsibilities.24 (2) Therefore, the general assembly declares that:25 (a) Ensuring the fair and just implementation of vehicle26 immobilization practices is a matter of paramount importance to the27 HB25-1117 -6- well-being of Colorado's communities, and enacts this legislation to1 promote equity, transparency, and accountability in the enforcement of2 parking regulations; and3 (b) Fairness, accountability, and ethical conduct must guide every4 aspect of the enforcement process.5 SECTION 2. In Colorado Revised Statutes, 40-10.1-101, amend6 (10), (11), (14), and (22); and add (8.5) as follows:7 40-10.1-101. Definitions. As used in this article 10.1, unless the8 context otherwise requires:9 (8.5) "I MMOBILIZE", "IMMOBILIZATION", OR "IMMOBILIZING"10 MEANS THE APPLICATION WITHOUT THE CONSENT OF AN AUTHORIZED OR11 INTERESTED PERSON OF A DEVICE INTENDED TO PREVENT THE NORMAL12 OPERATION OF A MOTOR VEHICLE .13 (10) (a) "Motor carrier" means:14 (I) any A person owning, controlling, operating, or managing a15 motor vehicle that provides transportation in intrastate commerce16 pursuant to this article ARTICLE 10.1; OR17 (II) A VEHICLE IMMOBILIZATION COMPANY .18 (b) except that the term "MOTOR CARRIER" does not include a19 transportation network company, as defined in section 40-10.1-602 (3),20 or a transportation network company driver, as defined in section21 40-10.1-602 (4).22 (11) "Motor vehicle" OR "VEHICLE" means any automobile, truck,23 tractor, motor bus, or other self-propelled vehicle or any A trailer24 DESIGNED TO BE drawn thereby BY A SELF-PROPELLED VEHICLE.25 (14) "Permit" means the permit issued to a contract carrier under26 part 2 of this article 10.1, or to a motor carrier under part 3, 4, 5, or 7 of27 HB25-1117 -7- this article 10.1, OR TO A VEHICLE IMMOBILIZATION COMPANY UNDER PART1 8 OF THIS ARTICLE 10.1.2 (22) (a) "Vehicle booting IMMOBILIZATION company" means a3 private corporation, partnership, or sole proprietor in the business of4 immobilizing a motor vehicle through use of a boot PERSON THAT5 IMMOBILIZES A MOTOR VEHICLE OF ANOTHER PERSON .6 (b) "V EHICLE IMMOBILIZATION COMPANY " DOES NOT INCLUDE A7 MUNICIPALITY, A COUNTY, A CITY AND COUNTY, OR OTHER POLITICAL8 SUBDIVISION OF THE STATE.9 SECTION 3. In Colorado Revised Statutes, amend part 8 of10 article 10.1 of title 40 as follows:11 40-10.1-801. Permit requirements - fund. (1) (a) Effective 12 January 1, 2020, A person shall not operate or offer to operate as a13 vehicle booting IMMOBILIZATION company in intrastate commerce without14 first having obtained a permit from the commission in accordance with15 this article 10.1.16 (b) A person may apply for a permit under this part 8 to the17 commission in the form and with the information as the commission18 requires. Permits are valid for one year after the date of issuance. 19 (2) (a) (I) The commission may deny an application FOR OR20 SUSPEND, REVOKE, OR REFUSE TO RENEW A PERMIT ISSUED under this part21 8 of a person who has, within the immediately preceding five years, been22 convicted of, or pled guilty TO, or PLED nolo contendere to a felony OR23 IMMOBILIZATION-RELATED OFFENSE. The commission may also deny an24 application under this part 8 FOR OR SUSPEND, REVOKE, or refuse to renew25 the A permit of a vehicle booting IMMOBILIZATION company based upon26 a determination that the vehicle booting IMMOBILIZATION company or any27 HB25-1117 -8- of its owners, principals, officers, members, partners, or directors has not1 satisfied a civil penalty arising out of any AN administrative or2 enforcement action brought by the commission.3 (II) A VEHICLE IMMOBILIZATION COMPANY THAT APPLIES FOR A4 PERMIT OR THAT APPLIES TO RENEW A PERMIT SHALL DISCLOSE TO THE5 COMMISSION EACH PERSON THAT IS AN OWNER OF , PRINCIPAL OF, OFFICER6 OF, MEMBER OF, PARTNER OF, OR DIRECTOR OF THE VEHICLE7 IMMOBILIZATION COMPANY IN ACCOR DANCE WITH RULES ADOPTED BY THE8 COMMISSION.9 (b) T HE COMMISSION MAY DENY AN APPLICATION FOR OR SUSPEND ,10 REVOKE, OR REFUSE TO RENEW A PERMIT OF A VEHICLE IMMOBILIZATION11 COMPANY BASED ON A DETERMINATION THAT IT IS NOT IN THE PUBLIC12 INTEREST FOR THE VEHICLE IMMOBILIZATION COMPANY TO POSSESS A13 PERMIT. THE DETERMINATION IS SUBJECT TO APPEAL IN ACCORDANCE14 WITH COMMISSION RULES . A VEHICLE IMMOBILIZATION COMPANY 'S15 POSSESSION OF A PERMIT IS REBUTTABLY PRESUMED TO BE NOT IN THE16 PUBLIC INTEREST IF THE VEHICLE IMMOBILIZATION COMPANY HAS17 WILLFULLY AND REPEATEDLY FAILED TO COMPLY WITH THIS ARTICLE 10.1.18 (3) (a) Except as otherwise provided in subsection (2) of this19 section and section 40-10.1-112 (4), the commission shall issue a permit20 to a vehicle booting IMMOBILIZATION company upon completion of the21 application and the filing of proof of workers' compensation insurance22 coverage in accordance with the "Workers' Compensation Act of23 Colorado", articles 40 to 47 of title 8, and with the financial responsibility24 requirements of this title 40 and may attach to the permit and to the25 exercise of the rights granted by the permit any restrictions, terms, and26 conditions, including altering the rates and charges of the applicant, as are27 HB25-1117 -9- reasonably deemed necessary for the protection of the property of the1 public.2 (b) If a vehicle booting IMMOBILIZATION company violates this3 article 10.1, any other applicable provision of law, or any A COMMISSION4 rule ADOPTED or COMMISSION order of the commission issued under this5 article 10.1 and as a result is ordered by a court or by the commission to6 pay a fine or civil penalty that the vehicle booting IMMOBILIZATION7 company subsequently fails to pay in full within the time prescribed for8 payment, and not before the decision imposing the fine or civil penalty9 becomes a final decision by the commission, then:10 (I) The vehicle booting IMMOBILIZATION company's permit is11 revoked; immediately; and12 (II) The vehicle booting IMMOBILIZATION company, its owners,13 principals, officers, members, partners, and directors, and any other entity14 owned or operated by one or more of those owners, principals, officers,15 members, partners, or directors, may be disqualified from obtaining or16 renewing any operating authority under this title 40 for a period of five17 years after the date on which the fine or civil penalty was due. The period18 of disqualification pursuant to DESCRIBED IN this subsection (3)(b)(II) is19 in addition to, and not in lieu of, and does not affect any other penalty or20 period of disqualification, including the period of disqualification21 specified in section 40-10.1-112 (4).22 (c) A vehicle booting IMMOBILIZATION company's facilities and23 vehicles are subject to inspection by the commission and by authorized24 personnel of the Colorado state patrol, which agency shall promptly25 report to the commission concerning any violations revealed by an26 inspection.27 HB25-1117 -10- (4) The commission may promulgate rules as necessary and1 reasonable to implement this part 8, including rules regarding signage and2 drop fees.3 (5) There is hereby created in the state treasury the vehicle booting4 cash fund, referred to in this section SUBSECTION (5) as the "fund",5 consisting of any fee revenue collected by the commission pursuant to6 this part 8 and transmitted to the state treasurer for credit CREDITED BY7 THE STATE TREASURER into the fund and any other money that the general8 assembly may appropriate or transfer to the fund. The money in the fund9 is continuously appropriated to the commission for its implementation of10 this part 8. The state treasurer shall credit all interest and income derived11 from the deposit and investment of money in the fund to the fund. 12 40-10.1-802. Vehicle immobilization company document13 vehicle's condition and reason for immobilization - adequate14 illumination. (1) B EFORE A VEHICLE IMMOBILIZATION COMPANY15 IMMOBILIZES A VEHICLE, THE COMPANY SHALL DOCUMENT THE VEHICLE 'S16 CONDITION AND THE REASON FOR THE IMMOBILIZATION BY :17 (a) T AKING AT LEAST FOUR PHOTOGRAPHS OF THE VEHICLE , WITH18 AT LEAST ONE PHOTOGRAPH TAKEN FROM THE FRONT , ONE PHOTOGRAPH19 TAKEN FROM THE REAR, ONE PHOTOGRAPH TAKEN FROM THE DRIVER 'S20 SIDE, AND ONE PHOTOGRAPH TAKEN FROM THE PASSENGER 'S SIDE. THESE21 PHOTOGRAPHS MUST:22 (I) S HOW THE ENTIRE VEHICLE FROM THE REQUIRED ANGLE ;23 (II) H AVE THE VEHICLE FILL AT LEAST THREE -FOURTHS OF THE24 PHOTOGRAPH, MEASURED FROM SIDE TO SIDE; AND25 (III) B E RENDERED IN A RESOLUTION OF AT LEAST TWO THOUSAND26 PIXELS BY AT LEAST TWO THOUSAND PIXELS ; AND27 HB25-1117 -11- (b) TAKING A PHOTOGRAPH THAT SHOWS THE REASON FOR THE1 VEHICLE BEING IMMOBILIZED. THE PHOTOGRAPH MUST:2 (I) S HOW THE POSITION OF THE VEHICLE IN RELATION TO THE3 REASON, INCLUDING ANY SIGN, THAT THE VEHICLE WAS IMMOBILIZED; AND4 (II) B E RENDERED IN A RESOLUTION OF AT LEAST TWO THOUSAND5 PIXELS BY AT LEAST TWO THOUSAND PIXELS .6 (2) (a) U PON DEMAND BY AN AUTHORIZED OR INTERESTED PERSON ,7 THE VEHICLE IMMOBILIZATION COMPANY SHALL PROVIDE COPIES OF THE8 PHOTOGRAPHS REQUIRED TO BE TAKEN BY SUBSECTION (1) OF THIS9 SECTION TO THE AUTHORIZED OR INTERESTED PERSON .10 (b) (I) A REBUTTABLE PRESUMPTION THAT A VEHICLE11 IMMOBILIZATION COMPANY DAMAGED A VEHICLE IS CREATED BY12 EVIDENCE THAT:13 (A) T HE VEHICLE IMMOBILIZATION COMPANY HAS FAILED TO14 PRODUCE PHOTOGRAPHS OF THE VEHICLE 'S CONDITION IN COMPLIANCE15 WITH SUBSECTION (2)(a) OF THIS SECTION; AND16 (B) T HE VEHICLE HAS SUFFERED DAMAGE .17 (II) A VEHICLE IMMOBILIZATION COMPANY 'S FAILURE TO PRODUCE18 A PHOTOGRAPH OF THE REASON FOR THE IMMOBILIZATION IN COMPLIANCE19 WITH SUBSECTION (2)(a) OF THIS SECTION CREATES A REBUTTABLE20 PRESUMPTION THAT THE VEHICLE IMMOBILIZATION COMPANY DID NOT21 HAVE AUTHORIZATION TO IMMOBILIZE A VEHICLE .22 (c) W HEN AN IMMOBILIZATION DEVICE IS BEING REMOVED FROM23 A VEHICLE, A VEHICLE IMMOBILIZATION COMPANY SHALL PROVIDE24 LIGHTING THAT IS ADEQUATE TO ALLOW A PERSON TO INSPECT THE25 VEHICLE FOR DAMAGE PRIOR TO THE IMMOBILIZATION DEVICE BEING26 REMOVED.27 HB25-1117 -12- 40-10.1-803. Vehicle immobilization company must display1 name. (1) (a) A VEHICLE IMMOBILIZATION COMPANY SHALL DISPLAY THE2 NAME OF THE COMPANY, THE PERMIT NUMBER, AND A PHONE NUMBER OF3 THE COMPANY ON EACH COMPANY VEHICLE USED IN IMMOBILIZATION .4 (b) T HE DISPLAY REQUIRED IN SUBSECTION (1)(a) OF THIS SECTION5 MUST BE DISPLAYED:6 (I) O N EACH SIDE OF THE COMPANY VEHICLE IN PLAIN VIEW ; AND7 (II) W HEN IMMOBILIZING A VEHICLE, DRIVING TO IMMOBILIZE A8 VEHICLE, OR DRIVING FROM IMMOBILIZING A VEHICLE , BUT THE DISPLAY9 NEED NOT BE PERMANENTLY AFFIXED TO THE COMPANY VEHICLE .10 (c) T HE LETTERING ON THE DISPLAY REQUIRED IN SUBSECTION11 (1)(a) OF THIS SECTION MUST BE:12 (I) L EGIBLE DURING DAYLIGHT HOURS FROM A MINIMUM DISTANCE13 OF FIFTY FEET; AND14 (II) A T LEAST THREE INCHES TALL.15 (2) T HE REPRESENTATIVE OF A VEHICLE IMMOBILIZATION16 COMPANY SHALL HAVE BUSINESS IDENTIFICATION VISIBLY WORN AT ALL17 TIMES WHILE IMMOBILIZING A VEHICLE OR ACCEPTING PAYMENT .18 40-10.1-804. Immobilization - multiple devices. I F A VEHICLE19 HAS BEEN IMMOBILIZED BY A VEHICLE IMMOBILIZATION COMPANY ,20 ANOTHER VEHICLE IMMOBILIZATION COMPANY SHALL NOT IMMOBILIZE21 THE VEHICLE UNTIL THE FIRST IMMOBILIZATION DEVICE HAS BEEN22 REMOVED. IF A VEHICLE IMMOBILIZATION COMPANY APPLIES MORE THAN23 ONE IMMOBILIZATION DEVICE TO A VEHICLE , THE COMPANY SHALL NOT24 CHARGE MORE THAN ONCE FOR THE REM OVAL OF ALL THE25 IMMOBILIZATION DEVICES.26 40-10.1-805. Immobilization requirements and limitations -27 HB25-1117 -13- notice to vehicle owner or operator required. (1) (a) A VEHICLE1 IMMOBILIZATION COMPANY SHALL NOT IMMOBILIZE A VEHICLE ON PRIVATE2 PROPERTY UNLESS:3 (I) T HE IMMOBILIZATION IS EXPRESSLY ORDERED OR AUTHORIZED4 BY A COURT ORDER, AN ADMINISTRATIVE ORDER, OR A PEACE OFFICER OR5 BY OPERATION OF LAW; OR6 (II) T HE VEHICLE IMMOBILIZATION COMPANY HAS RECEIVED7 DOCUMENTED PERMISSION , WHICH MUST NOT BE AUTOMATED OR8 PREAPPROVED, FOR EACH INDIVIDUAL IMMOBILIZATION , WITHIN THE9 TWENTY-FOUR HOURS IMMEDIATELY PRECEDING THE IMMOBILIZATION ,10 FROM THE FOLLOWING PERSON THAT MUST DOCUMENT THE PERMISSION BY11 SIGNING THE FORM CREATED IN ACCORDANCE WITH SUBSECTION (1)(b)(I)12 OF THIS SECTION:13 (A) T HE OWNER OF OR LEASEHOLDER OF THE PRIVATE PROPERTY ;14 EXCEPT THAT, IF THE OWNER OR LEASEHOLDER WOULD EARN INCOME15 FROM THE IMMOBILIZATION , THE VEHICLE IMMOBILIZATION COMPANY16 SHALL NOT PERFORM THE IMMOBILIZATION BUT MAY AUTHORIZE ANOTHER17 VEHICLE IMMOBILIZATION COMPANY TO PERFORM THE IMMOBILIZATION ;18 (B) A PERSON SUBJECT TO THE "COLORADO COMMON INTEREST19 O WNERSHIP ACT", ARTICLE 33.3 OF TITLE 38, IF THE PRIVATE PROPERTY20 IS LOCATED WITHIN THE BOUNDARIES OF THE PERSON 'S AREA OF21 OPERATION; OR22 (C) A N EMPLOYEE OF A PERSON DESCRIBED IN SUBSECTION23 (1)(a)(II)(A) OR (1)(a)(II)(B) OF THIS SECTION OR AN EMPLOYEE OF A24 PROPERTY MANAGEMENT COMPANY RETAINED TO COLLECT RENT AND25 PERFORM RESIDENTIAL SERVICES; EXCEPT THAT THE EMPLOYEE WHO HAS26 A FINANCIAL INTEREST IN OR RELATIONSHIP WITH THE VEHICLE27 HB25-1117 -14- IMMOBILIZATION COMPANY OR A PARKING LOT MANAGEMENT COMPANY1 THAT EARNS INCOME FROM MANAGING OR CONTROLLING PARKING OR2 PERMISSION TO PARK OR THAT EARNS INCOME FROM IMMOBILIZATIONS3 SHALL NOT GRANT PERMISSION TO AUTHORIZE THE IMMOBILIZATION .4 (b) (I) T HE COMMISSION SHALL CREATE A FORM THAT IMPLEMENTS5 SUBSECTION (1)(a)(II) OF THIS SECTION.6 (II) T HE VEHICLE IMMOBILIZATION COMPANY MUST RETAIN FOR7 THREE YEARS AFTER THE IMMOBILIZATION THE SIGNED FORM REQUIRED BY8 SUBSECTION (1)(a)(II) OF THIS SECTION AND, UPON REQUEST, PROVIDE THE9 SIGNED FORM TO THE AUTHORIZED OR INTERESTED PERSON .10 (2) A PROPERTY OWNER WITH TENANTS SHALL ISSUE EACH TENANT11 A WRITTEN DOCUMENT CONTAINING ANY APPLICABLE PARKING12 REGULATIONS BEFORE THE REGULATIONS ARE ADOPTED OR AMENDED OR13 BEFORE THE PERSON AGREES TO BE A TENANT .14 (3) (a) E XCEPT AS PROVIDED IN SUBSECTION (3)(d) OF THIS15 SECTION, A VEHICLE IMMOBILIZATION COMPANY SHALL NOT IMMOBILIZE16 A VEHICLE IN A PARKING SPACE OR COMMON PARKING AREA WITHOUT THE17 VEHICLE IMMOBILIZATION COMPANY OR PROPERTY OWNER GIVING THE18 VEHICLE OWNER OR OPERATOR TWENTY -FOUR HOURS' WRITTEN NOTICE,19 UNLESS THE VEHICLE OWNER OR OPERATOR HAS RECEIVED TWO PREVIOUS20 NOTICES FOR PARKING INAPPROPRIATELY IN THE SAME MANNER .21 (b) T HE VEHICLE IMMOBILIZATION COMPANY OR PROPERTY OWNER22 SHALL PROVIDE THE NOTICE REQUIRED IN SUBSECTION (3)(a) OF THIS23 SECTION BY PLACING A WRITTEN NOTICE ON THE WINDSHIELD OF THE24 VEHICLE AT LEAST TWENTY -FOUR HOURS BEFORE IMMOBILIZING THE25 VEHICLE.26 (c) T HE NOTICE REQUIRED IN SUBSECTION (3)(a) OF THIS SECTION27 HB25-1117 -15- MUST STATE CLEARLY:1 (I) T HAT THE VEHICLE WILL BE IMMOBILIZED IF THE VEHICLE2 REMAINS PARKED INAPPROPRIATELY ;3 (II) A DESCRIPTION OF THE INAPPROPRIATE PARKING THAT HAS4 CAUSED THE NOTICE TO BE GIVEN;5 (III) T HE DATE AND TIME THE VEHICLE WILL BE IMMOBILIZED IF IT6 IS NOT MOVED TO APPROPRIATE PARKING OR THE INAPPROPRIATE PARKING7 HAS NOT BEEN CORRECTED; AND8 (IV) T HAT CONTINUING TO PARK INAPPROPRIATELY IN THE SAME9 MANNER MAY LEAD TO THE VEHICLE BEING IMMOBILIZED WITHOUT10 NOTICE.11 (d) I F A VEHICLE IS PARKED A THIRD OR SUBSEQUENT TIME IN THE12 SAME INAPPROPRIATE MANNER THAT CAUSED IT TO RECEIVE PREVIOUS13 NOTICES, THE VEHICLE IMMOBILIZATION COMPANY OR PROPERTY OWNER14 NEED NOT GIVE THE NOTICE REQUIRED IN SUBSECTION (3)(a) OF THIS15 SECTION BEFORE IMMOBILIZING THE VEHICLE , BUT THE VEHICLE16 IMMOBILIZATION COMPANY MUST PLACE A NOTICE ON THE IMMOBILIZED17 VEHICLE THAT CONTAINS THE PHONE NUMBER OF THE COMPANY , THE18 NORMAL OPERATING HOURS OF THE COMPANY , AND THE PHONE NUMBER19 TO CONTACT THE COMPANY OUTSIDE OF NORMAL OPERATING HOURS .20 (e) F OR PURPOSES OF THIS SUBSECTION (3), A VEHICLE IS PARKED21 INAPPROPRIATELY WHEN IT IS PARKED IN A MANNER THAT :22 (I) V IOLATES THE PROCEDURES NECESSARY TO OBTAIN23 AUTHORIZATION TO PARK IN THE LOT OR SPACE ;24 (II) F AILS TO COMPLY WITH THE PROPERTY OWNER 'S SIGNS OR THE25 AGREEMENTS OF THE TENANTS ; OR26 (III) V IOLATES A STATUTE, RULE, ORDINANCE, OR RESOLUTION OF27 HB25-1117 -16- THE STATE OR A POLITICAL SUBDIVISION OF THE STATE .1 (4) (a) A VEHICLE IMMOBILIZATION COMPANY SHALL NOT2 IMMOBILIZE A VEHICLE ON PRIVATE PROPERTY NORMALLY USED FOR3 PARKING UNLESS:4 (I) N OTICE OF THE PARKING REGULATIONS WAS PROVIDED TO THE5 VEHICLE OPERATOR UPON ENTERING THE PRIVATE PROPERTY AND PARKING6 THE VEHICLE; AND7 (II) N OTICE THAT A VEHICLE PARKED IN VIOLATION OF THE8 REGULATIONS IS SUBJECT TO IMMOBILIZATION AT THE VEHICLE OWNER 'S9 EXPENSE WAS PROVIDED TO THE VEHICLE OPERATOR UPON ENTERING THE10 PRIVATE PROPERTY AND PARKING THE VEHICLE .11 (b) A PROPERTY OWNER WITH TENANTS SHALL PROVIDE THE12 NOTICE DESCRIBED IN THIS SUBSECTION (4) BY ISSUING EACH TENANT A13 WRITTEN DOCUMENT CONTAINING THE APPLICABLE PARKING REGULATIONS14 BEFORE THE REGULATIONS ARE ADOPTED OR AMENDED OR BEFORE THE15 PERSON AGREES TO BE A TENANT.16 (5) U NLESS THE IMMOBILIZATION IS BASED ON AN ORDER GIVEN BY17 A PEACE OFFICER, A VEHICLE IMMOBILIZATION COMPANY SHALL NOT18 IMMOBILIZE A VEHICLE ON PRIVATE PROPERTY BECAUSE THE REAR LICENSE19 PLATE OF THE VEHICLE OR THE RECORD OBTAINED USING THE SYSTEM20 DESCRIBED IN SECTION 42-4-2103 (3)(c)(III) INDICATES THAT THE21 VEHICLE'S REGISTRATION HAS EXPIRED.22 40-10.1-806. Signage required to immobilize a vehicle. (1) I N23 ORDER FOR A VEHICLE IMMOBILIZATION COMPANY TO IMMOBILIZE A24 VEHICLE, THE PROPERTY OWNER MUST HAVE POSTED SIGNAGE THAT :25 (a) I S NOT LESS THAN TWO SQUARE FEET IN SIZE;26 (b) H AS LETTERING NOT LESS THAN ONE INCH IN HEIGHT ;27 HB25-1117 -17- (c) HAS LETTERING THAT CONTRASTS SHARPLY IN COLOR WITH THE1 BACKGROUND ON WHICH THE L ETTERS ARE PLACED AND CONTRASTS2 SHARPLY WITH THE STRUCTURE THE SIGNS ARE PLACED ON ;3 (d) C ONTAINS THE FOLLOWING INFORMATION IN THE ORDER LISTED4 BELOW:5 (I) T HE RESTRICTION OR PROHIBITION ON PARKING ;6 (II) T HE TIMES OF THE DAY AND DAYS THAT THE RESTRICTION IS7 APPLICABLE, BUT, IF THE RESTRICTION APPLIES TWENTY-FOUR HOURS PER8 DAY, SEVEN DAYS PER WEEK, THE SIGN MUST SAY "AUTHORIZED PARKING9 O NLY";10 (III) N OTICE THAT VIOLATING THE REGULATION SUBJECTS THE11 VIOLATING VEHICLE TO BE IMMOBILIZED AT THE VEHICLE OWNER 'S12 EXPENSE; AND13 (IV) T HE NAME AND TELEPHONE NUMBER OF THE VEHICLE14 IMMOBILIZATION COMPANY AUTHORIZED TO PERFORM IMMOBILIZATIONS15 ON THE PRIVATE PROPERTY;16 (e) I S PRINTED IN ENGLISH AND SPANISH;17 (f) I S PERMANENTLY MOUNTED BOTH :18 (I) A T EACH ENTRANCE TO THE PRIVATE PROPERTY SO THAT THE19 SIGN FACES OUTWARD TOWARD THE STREET AND IS VISIBLE BEFORE AND20 UPON ENTERING THE PRIVATE PROPERTY ; AND21 (II) I NSIDE THE PRIVATE PROPERTY SO THAT THE SIGN FACES22 OUTWARD TOWARD THE PARKING AREA ;23 (g) I S NOT OBSTRUCTED FROM VIEW OR PLACED IN A MANNER THAT24 PREVENTS DIRECT VISIBILITY;25 (h) I S NOT PLACED HIGHER THAN TEN FEET OR LOWER THAN THREE26 FEET FROM THE SURFACE CLOSEST TO THE SIGN 'S PLACEMENT;27 HB25-1117 -18- (i) HAS THE SAME NUMBER OF SIGNS AS THE NUMBER OF1 LAMPPOSTS IF THE PARKING AREA HAS MORE THAN TEN FREESTANDING2 LAMPPOSTS ON THE PROPERTY , AND:3 (I) A SIGN IS POSTED ON EACH LAMPPOST; OR4 (II) A SIGN IS POSTED UPRIGHT IN CONSPICUOUS LOCATIONS5 EVENLY DISTRIBUTED ACROSS THE PARKING AREA .6 (2) T HE SIGNAGE REQUIRED BY THIS SECTION MAY BE COMBINED7 WITH THE SIGNAGE REQUIRED IN SECTION 40-10.1-405.8 40-10.1-807. Patrolling prohibited. A VEHICLE IMMOBILIZATION9 COMPANY SHALL NOT PATROL OR MONITOR PROPERTY TO ENFORCE10 PARKING RESTRICTIONS ON BEHALF OF A PROPERTY OWNER .11 40-10.1-808. Insurance must be provided. I N CONNECTION WITH12 AN IMMOBILIZATION, A VEHICLE IMMOBILIZATION COMPANY SHALL13 PROVIDE, UPON REQUEST, EVIDENCE OF THE VEHICLE IMMOBILIZATION14 COMPANY'S COMMERCIAL LIABILITY INSURANCE COVERAGE , INCLUDING15 MOTOR VEHICLE LIABILITY COVERAGE, TO AN AUTHORIZED OR INTERESTED16 PERSON.17 40-10.1-809. Payment requirements - itemized bills. (1) (a) A18 VEHICLE IMMOBILIZATION COMPANY SHALL IMMEDIATELY ACCEPT19 PAYMENT IF OFFERED IN CASH OR BY VALID MAJOR CREDIT CARD . UPON20 PAYMENT, THE VEHICLE IMMOBILIZATION COMPANY SHALL RELEASE THE21 VEHICLE TO AN AUTHORIZED OR INTERESTED PERSON .22 (b) U PON REQUEST, A VEHICLE IMMOBILIZATION COMPANY SHALL23 DISCLOSE ACCEPTED FORMS OF PAYMENT , INCLUDING THOSE FORMS24 REQUIRED TO BE ACCEPTED IN ACCORDANCE WITH SUBSECTION (1)(a) OF25 THIS SECTION.26 (2) A VEHICLE IMMOBILIZATION COMPANY SHALL PROVIDE TO AN27 HB25-1117 -19- AUTHORIZED OR INTERESTED PERSON AN ITEMIZED BILL SHOWING EACH1 CHARGE AND THE RATE FOR EACH FEE INCURRED AS A RESULT OF AN2 IMMOBILIZATION AND ANY FEE THAT CAUSED THE IMMOBILIZATION .3 40-10.1-810. Release requirements - notice - private property4 - release for nonconsensual tow. (1) I F A VEHICLE IMMOBILIZATION5 COMPANY HAS IMMOBILIZED A VEHICLE ON PRIVATE PROPERTY , THE6 VEHICLE IMMOBILIZATION COMPANY SHALL GIVE THE AUTHORIZED OR7 INTERESTED PERSON THAT IS HAVING THE VEHICLE RELEASED A WRITTEN8 NOTICE OF THE PERSON 'S ABILITY TO MAKE A COMPLAINT TO THE9 COMMISSION. THE NOTICE:10 (a) M UST BE WRITTEN IN A CONSPICUOUS TYPEFACE AND FONT ON11 THE INVOICE, RECEIPT, AND BILL FOR RELEASING THE VEHICLE; AND12 (b) M UST NOT BE IN A TYPEFACE OR FONT THAT IS SMALLER THAN13 THE OTHER NUMBERS OR WORDS ON THE INVOICE , RECEIPT, OR BILL, AS14 APPLICABLE.15 (2) A VEHICLE IMMOBILIZATION COMPANY SHALL RELEASE THE16 MOTOR VEHICLE TO AN AUTHORIZED OR INTERESTED PERSON EITHER :17 (a) W ITHIN ONE HUNDRED TWENTY MINUTES AFTER BEING18 CONTACTED BY THE AUTHORIZED OR INTERESTED PERSON OUTSIDE OF THE19 VEHICLE IMMOBILIZATION COMPANY 'S NORMAL BUSINESS HOURS; OR20 (b) W ITHIN NINETY MINUTES AFTER BEING CONTACTED BY THE21 AUTHORIZED OR INTERESTED PERSON DURING THE VEHICLE22 IMMOBILIZATION COMPANY 'S NORMAL BUSINESS HOURS.23 (3) A VEHICLE IMMOBILIZATION COMPANY SHALL IMMEDIATELY24 RELEASE A VEHICLE AND REMOVE THE IMMOBILIZATION DEVICE WITHOUT25 CHARGE TO A TOWING CARRIER WHEN EVIDENCE IS PRESENTED THAT THE26 TOWING CARRIER HAS AUTHORIZATION TO CONDUCT A NONCONSENSUAL27 HB25-1117 -20- TOW OR LAW-ENFORCEMENT-DIRECTED TOW.1 40-10.1-811. Partial-payment release - partial charge - form2 required. (1) (a) A VEHICLE IMMOBILIZATION COMPANY SHALL3 IMMEDIATELY RELEASE AN IMMOBILIZED VEHICLE IF :4 (I) T HE AUTHORIZED OR INTERESTED PERSON PAYS AT LEAST5 FIFTEEN PERCENT OF THE FEES, NOT TO EXCEED SIXTY DOLLARS, OWED THE6 VEHICLE IMMOBILIZATION COMPANY FOR THE IMMOBILIZATION ;7 (II) T HE AUTHORIZED OR INTERESTED PERSON IS NOT A8 LIENHOLDER OR INSURANCE COMPANY ; AND9 (III) T HE AUTHORIZED OR INTERESTED PERSON COMPLIES WITH10 SUBSECTION (1)(b) OF THIS SECTION.11 (b) (I) F OR AN AUTHORIZED OR INTERESTED PERSON TO RETRIEVE12 A VEHICLE WITHOUT PAYING THE VEHICLE IMMOBILIZATION COMPANY THE13 TOTAL AMOUNT OWED TO THE COMPANY , THE AUTHORIZED OR14 INTERESTED PERSON MUST SIGN A FORM AFFIRMING THAT THE15 AUTHORIZED OR INTERESTED PERSON OWES THE COMPANY PAYMENT FOR16 FEES THAT COMPLY WITH THIS ARTICLE 10.1 OR ARTICLE 20 OF TITLE 38.17 K NOWINGLY PROVIDING FALSE INFORMATION ON THE FORM IS UNLAWFUL .18 S IGNING THE FORM DOES NOT PROHIBIT AN AUTHORIZED OR INTERESTED19 PERSON FROM FILING A COMPLAINT WITH THE COMMISSION OR PURSUING20 OTHER REMEDIES. THE VEHICLE IMMOBILIZATION COMPANY MAY USE THE21 FORM TO TAKE REASONABLE ACTIONS TO COLLECT THE DEBT .22 R EASONABLE ACTIONS INCLUDE INITIATING A COURT ACTION OR USING A23 COLLECTION AGENCY.24 (II) T HE COMMISSION SHALL:25 (A) C REATE THE FORM;26 (B) T ITLE THE FORM: "IMMOBILIZED VEHICLE RELEASE NOTICE27 HB25-1117 -21- WITH PAYMENT OWED"; AND1 (C) P ROVIDE THE FORM ON THE COMMISSION 'S WEBSITE FOR2 VEHICLE IMMOBILIZATION COMPANIES TO RETRIEVE AND USE .3 (c) T O RELEASE A VEHICLE IN ACCORDANCE WITH SUBSECTION4 (1)(a) OF THIS SECTION, A VEHICLE IMMOBILIZATION COMPANY SHALL NOT5 REQUIRE A PERSON TO UNDERGO AN APPROVAL PROCESS , OTHER THAN6 SIGNING THE FORM CREATED PURSUANT TO SUBSECTION (1)(b) OF THIS7 SECTION.8 (2) (a) A VEHICLE IMMOBILIZATION COMPANY SHALL CHARGE A9 REDUCED RELEASE CHARGE IN AN AMOUNT SET BY THE COMMISSION TO10 RELEASE A VEHICLE IF THE VEHICLE IS RELEASED AFTER AN EMPLOYEE OF11 OR AGENT OF THE VEHICLE IMMOBILIZATION COMPANY STARTS TO12 IMMOBILIZE THE VEHICLE BUT BEFORE THE AGENT OR EMPLOYEE LEAVES13 THE PRIVATE PROPERTY.14 (b) I F APPROACHED BY AN AUTHORIZED OR INTERESTED PERSON15 BEFORE THE VEHICLE IS IMMOBILIZED ON PRIVATE PROPERTY , THE VEHICLE16 IMMOBILIZATION COMPANY SHALL NOTIFY THE AUTHORIZED OR17 INTERESTED PERSON THAT THE COMPANY IS REQUIRED TO RELEASE THE18 VEHICLE UPON REQUEST OF THE AUTHORIZED OR INTERESTED PERSON AND19 PAYMENT OF THE CHARGE DESCRIBED IN SUBSECTION (2)(a) OF THIS20 SECTION.21 (c) U PON REQUEST BY THE AUTHORIZED OR INTERESTED PERSON22 AND PAYMENT OF THE CHARGE DESCRIBED IN SUBSECTION (2)(a) OF THIS23 SECTION, THE VEHICLE IMMOBILIZATION COMPANY SHALL IMMEDIATELY24 STOP AN IMMOBILIZATION IN PROGRESS ON PRIVATE PROPERTY .25 40-10.1-812. Records. A VEHICLE IMMOBILIZATION COMPANY26 SHALL RETAIN EVIDENCE, INCLUDING PHOTOGRAPHS OF THE RELEVANT27 HB25-1117 -22- SIGNS AND OF THE VEHICLE, OF GIVING THE NOTICES AND DISCLOSURES1 REQUIRED IN SECTIONS 40-10.1-802, 40-10.1-805, AND 40-10.1-806 FOR2 THREE YEARS AFTER THE DATE OF COMPLETION OF AN IMMOBILIZATION3 AND PROVIDE THE EVIDENCE TO THE COMMISSION OR AN ENFORCEMENT4 OFFICIAL UPON REQUEST.5 40-10.1-813. Applicability - exceptions. (1) S ECTIONS6 40-10.1-802 TO 40-10.1-812 DO NOT APPLY TO:7 (a) A N IMMOBILIZATION ORDERED BY A PEACE OFFICER OR8 TECHNICIAN DIRECTED BY A PEACE OFFICER IN THE COURSE AND SCOPE OF9 THE OFFICER'S OR TECHNICIAN'S DUTIES;10 (b) A N IMMOBILIZATION IN A PARKING SPACE THAT SERVES A11 BUSINESS IF THE PARKING SPACE IS ON COMMERCIAL REAL ESTATE , AS12 DEFINED IN SECTION 38-22.5-102 (2); OR13 (c) A N IMMOBILIZATION ORDERED BY A MUNICIPALITY , A COUNTY,14 OR A CITY AND COUNTY OR PERFORMED BY AN AGENT OF OR EMPLOYEE OF15 A MUNICIPALITY, A COUNTY, OR A CITY AND COUNTY.16 40-10.1-814. Kickbacks prohibited. A VEHICLE IMMOBILIZATION17 COMPANY SHALL NOT PAY MONEY OR PROVIDE OTHER VALUABLE18 CONSIDERATION FOR THE PRIVILEGE OF IMMOBILIZING VEHICLES .19 40-10.1-815. Rules. T HE COMMISSION MAY ADOPT RULES AS20 NECESSARY AND REASONABLE TO IMPLEMENT THIS PART 8.21 40-10.1-816. Violators subject to penalties. A N IMMOBILIZATION22 IN VIOLATION OF SECTIONS 40-10.1-802 TO 40-10.1-812 OR SECTION23 40-10.1-814 BY A VEHICLE IMMOBILIZATION COMPANY IS A DECEPTIVE24 TRADE PRACTICE UNDER SECTION 6-1-105 (1)(iiii) AND IS SUBJECT TO25 ENFORCEMENT BY THE ATTORNEY GENERAL 'S OFFICE OR A DISTRICT26 ATTORNEY OR ENFORCEMENT .27 HB25-1117 -23- SECTION 4. In Colorado Revised Statutes, 6-1-105, add (1)(iiii)1 as follows:2 6-1-105. Unfair or deceptive trade practices - definitions.3 (1) A person engages in a deceptive trade practice when, in the course of4 the person's business, vocation, or occupation, the person:5 (iiii) I S A VEHICLE IMMOBILIZATION COMPANY AND IMMOBILIZES6 A VEHICLE IN VIOLATION OF SECTIONS 40-10.1-802 TO 40-10.1-812 OR7 SECTION 40-10.1-814.8 SECTION 5. Applicability. This act applies to violations9 committed on or after the effective date of this act.10 SECTION 6. Safety clause. The general assembly finds,11 determines, and declares that this act is necessary for the immediate12 preservation of the public peace, health, or safety or for appropriations for13 the support and maintenance of the departments of the state and state14 institutions.15 HB25-1117 -24-