SLS 21RS-230 ENGROSSED 2021 Regular Session SENATE BILL NO. 112 BY SENATOR HENRY Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana. MOTOR CARRIERS. Requires certain parties be notified when a vehicle is stored pursuant to the Louisiana Towing and Storage Act. (gov sig) 1 AN ACT 2 To amend and reenact R.S. 32:1720(A) and (B)(4) and (8), 1728(A) and (D)(3), 1728.2(G), 3 1728.3(A), (B), and (C), the introductory paragraph of (D)(1), (D)(2), the 4 introductory paragraph of (F)(1), (F)(1)(f) and (g), and (G), relative to the Louisiana 5 Towing and Storage Act; to require certain notices be sent by certified mail, return 6 receipt requested; to require the retention of certain records by the owner of a 7 towing, storage, or parking facility; to provide certain terms and procedures; and to 8 provide for related matters. 9 Be it enacted by the Legislature of Louisiana: 10 Section 1. R.S. 32:1720(A) and (B)(4) and (8), 1728(A) and (D)(3), 1728.2(G), 11 1728.3(A), (B), and (C), the introductory paragraph of (D)(1), (D)(2), the introductory 12 paragraph of (F)(1), (F)(1)(f) and (g), and (G) are hereby amended and reenacted to read as 13 follows: 14 §1720. Owner notification of a stored vehicle; right to request administrative 15 hearing 16 A. Within ten business days from the date the department or its authorized 17 agent sends the owner information of the stored vehicle, which includes information Page 1 of 7 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 112 SLS 21RS-230 ENGROSSED 1 regarding the holder of any lien on the vehicle, to the owner of the towing, storage, 2 or parking facility, to the owner of the towing, storage, or parking facility shall send 3 notice by certificate of mailing certified mail, return receipt requested, to the 4 owner of the vehicle at the owner's last known address and to the holder of any lien 5 on the vehicle. This notice applies to any vehicle that was a nonconsensual tow 6 or nonconsensual storage as defined in R.S. 32:1713. Notice relative to a 7 consensual tow or consensual storage shall be sent by certificate of mailing. If 8 the department or its authorized agent sends the owner information electronically, 9 the owner of the towing, storage, or parking facility shall send notice within five 10 business days. 11 B. The notice required in Subsection A of this Section shall include the 12 following information: 13 * * * 14 (4) The name of the person or agency which that had the vehicle towed or 15 placed in storage. 16 * * * 17 (8) Notice of the right of the owner and holder of any lien on the vehicle to 18 an administrative hearing as required in R.S. 32:1727. The notice shall contain the 19 deadline for requesting an administrative hearing and shall also contain information 20 regarding the date by which the request for an administrative hearing must shall be 21 mailed by certified letter, return receipt requested. 22 * * * 23 §1728. Disposal of a stored motor vehicle 24 A. After forty-five days from the original date of storage or adjusted storage 25 date, if applicable, the storage or parking facility owner shall send a final notice by 26 certified mail, return receipt requested, which shall comply with the notice 27 requirements of R.S. 32:1720(B)(1) through (7) to the stored vehicle's owner. This 28 notice applies to any vehicle that was a nonconsensual tow or nonconsensual 29 storage as defined in R.S. 32:1713. A notice relative to a consensual tow or Page 2 of 7 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 112 SLS 21RS-230 ENGROSSED 1 consensual storage shall be sent by certificate of mailing. The final notice shall 2 inform the stored vehicle's owner that unless he pays all outstanding charges and 3 claims the vehicle or makes arrangements with the storage or parking facility owner 4 for the continued storage of the vehicle, the storage or parking facility owner may 5 apply for a permit to sell or permit to dismantle from the department after fifteen 6 days from the date the final notice is mailed to the stored vehicle's owner. The notice 7 shall also inform the stored vehicle's owner of the provisions in R.S. 32:1730 and 8 that they may be turned over to collections for failure to pay outstanding charges and 9 claims. The towing, storage, or parking facility shall not charge for storage past the 10 ninetieth day from the original date of storage, or the adjusted storage date, if 11 applicable. The storage or parking facility owner may continue to charge storage up 12 to the ninetieth day, or until the permit to sell has been issued, if the application for 13 the permit to sell was submitted prior to the ninetieth day from the original date of 14 storage or the adjusted storage date, if applicable. 15 * * * 16 D. Prior to issuance of the permit to sell or permit to dismantle, the storage 17 or parking facility owner shall provide the department with the following evidence: 18 * * * 19 (3) The original certificate of mailing or return receipt for both the first and 20 final notices sent to the stored vehicle's owner and the returned unopened envelope, 21 if applicable, for the first or final notices with postal markings indicating the post 22 office's attempt to deliver such the notice. If these items cannot be furnished, other 23 documented proof that the storage or parking facility owner sent notice to the stored 24 vehicle's owner shall be submitted to the department. 25 * * * 26 §1728.2. Procedure for disposal of junk vehicles 27 * * * 28 G.(1) The owner-operator shall maintain copies of the following records on 29 all vehicles crushed or dismantled under pursuant to the provisions of this Section: Page 3 of 7 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 112 SLS 21RS-230 ENGROSSED 1 (1)(a) Completed physical inspection form as prepared by a Peace Officer 2 Standards and Training (P.O.S.T.) certified law enforcement officer who has been 3 trained and certified by the Department of Public Safety and Corrections, office of 4 state police, to inspect vehicles to be crushed or dismantled. 5 (2)(b) One appraisal showing the vehicle has a fair market value of five 6 hundred dollars or less. The appraisal shall be based on the rough trade-in value of 7 the vehicle as determined by the most recent National Automobile Dealers 8 Association Guide. An original appraisal prepared by an independent appraiser, 9 which shall contain the year, make, model, and vehicle identification number, shall 10 be acceptable for vehicles not valued by the National Automobile Dealers 11 Association Guide. 12 (3)(c) A photograph of all four sides of the vehicle prior to crushing or 13 dismantling. 14 (4)(d) A copy of the original report of a stored vehicle as required in R.S. 15 32:1719. 16 (5)(e) A copy of the notice required by R.S. 32:1720 which was sent to the 17 registered owner of the vehicle, the holder of any lien on the vehicle, and any other 18 person with an ownership interest in the vehicle. 19 (6)(f) The original certificate of mailing or return receipt for the notice sent 20 to the stored vehicle's owner and the returned unopened envelope, if applicable, with 21 the postal marking indicating attempt to deliver the letter notice required by this 22 Section R.S. 32:1720. If these items could not be furnished, other documented proof 23 that the storage or parking facility owner sent notice to the stored vehicle owner shall 24 be retained by the owner-operator. 25 (2) These records shall be open to inspection by any peace officer any time 26 the business is open. All records required by this Section shall be maintained for a 27 period of at least three years. 28 * * * 29 §1728.3. Procedure for disposal of certain vehicles deemed abandoned by Page 4 of 7 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 112 SLS 21RS-230 ENGROSSED 1 municipality or parish 2 A. This Section provides a procedure for disposing of certain vehicles. The 3 procedure provided for in this Section shall be an alternative to the procedures set 4 forth in R.S. 32:1728, 1728.2, and 1728.4. When a vehicle is eligible for disposal 5 under pursuant to the provisions of this Section, the provisions of R.S. 32:1728, 6 1728.2, and 1728.4 shall not apply to the disposal of that vehicle. 7 B. As used in this Section, "owner-operator" means a person or legal entity 8 who owns or operates a business engaged in the towing or storage of vehicles, and 9 has a vehicle licensed as a towing vehicle under pursuant to R.S. 32:1716. 10 C. In order to utilize the provisions of this Section, the owner-operator must 11 shall have taken take possession of the vehicle at the request of a municipality or 12 parish acting under pursuant to R.S. 32:473.1 and the vehicle shall have an 13 appraisal with a fair market value of five hundred dollars or less. The appraisal shall 14 be based on the rough trade-in value of the vehicle as determined by the most recent 15 National Automobile Dealers Association Guide. 16 D.(1) Each owner-operator who possesses a vehicle which that meets the 17 criteria set forth in Subsection C of this Section may crush or dismantle the vehicle 18 provided the owner-operator satisfies each of the following requirements: 19 * * * 20 (2) At the expiration of thirty days after mailing the notice, by certificate of 21 mailing, or certified mail, return receipt requested, required by R.S. 32:1720, the 22 owner-operator may crush or dismantle the vehicle. 23 * * * 24 F.(1) The owner-operator shall maintain the following records on all vehicles 25 crushed or dismantled under pursuant to the provisions of this Section: 26 * * * 27 (f) A copy of the notice required by R.S. 32:1720 which that was sent to the 28 registered owner of the vehicle, the holder of any lien on the vehicle, and any other 29 person with an ownership interest in the vehicle. Page 5 of 7 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 112 SLS 21RS-230 ENGROSSED 1 (g) The original signed post office receipt of delivery if the letter notice 2 required to be sent by this Section has been delivered; or return receipt, and the 3 returned unopened envelope, if applicable, with the postal marking indicating 4 attempt to deliver the letter notice required by this Section R.S. 32:1720. If either 5 of these items could not be furnished, other documented proof that the storage or 6 parking facility owner sent notice to the stored vehicle owner shall be retained by the 7 owner-operator. 8 * * * 9 G. The municipality or parish shall not incur any liability as a result of the 10 disposal of a vehicle under pursuant to these provisions. 11 Section 2. This Act shall become effective upon signature by the governor 12 or, if not signed by the governor, upon expiration of the time for bills to become law 13 without signature by the governor, as provided by Article III, Section 18 of the 14 Constitution of Louisiana. If vetoed by the governor and subsequently approved by 15 the legislature, this Act shall become effective on the day following such approval. The original instrument was prepared by Beth O'Quin. The following digest, which does not constitute a part of the legislative instrument, was prepared by Xavier Alexander. DIGEST SB 112 Engrossed 2021 Regular Session Henry Present law provides relative to the Louisiana Towing and Storage Act. Present law requires certain persons to be notified when a vehicle is stored pursuant to the Louisiana Towing and Storage Act. Present law provides that when a vehicle is stored by the owner of a towing, storage, or parking facility, the owner of the facility shall send notice by certificate of mailing to the owner of the vehicle at the owner's last known address and to the holder of any lien on the vehicle. Proposed law changes the mailing requirement from certificate of mailing to certified mail, return receipt requested, and further provides that the mailing requirement for consensual tow or consensual storage shall be sent by certificate of mailing. Present law requires a final notice be sent to inform the stored vehicle owner that unless all outstanding charges are paid and the vehicle is claimed or arrangements are made for continued storage, the owner of the storage or parking facility may apply for a permit to sell or a permit to dismantle the vehicle from the Department of Public Safety and Corrections (department). Present law requires the storage or parking facility owner to submit certain evidence, including the original certificate of mailing for the first and final notices, to the Page 6 of 7 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 112 SLS 21RS-230 ENGROSSED department prior to the issuance of a permit to sell or a permit to dismantle. Proposed law requires the final notice be sent by certified mail, return receipt requested, and requires the storage or parking facility owner to submit the return receipts for the first and final notices to the department prior to the issuance of a permit to sell or a permit to dismantle. Present law provides for the procedure for the disposal of junk vehicles and certain vehicles considered abandoned by a parish or municipality. Present law requires certain criteria be met, including notice sent to the vehicle owner prior to the disposal of junk vehicles and vehicles considered abandoned by a parish or municipality. Present law requires the owner-operator to maintain certain records, including proof of mailing required notice. Proposed law requires notice be mailed by certified mail, return receipt requested, and that the returned receipt be maintained by the owner-operator as provided by present law. Effective upon signature of the governor or lapse of time for gubernatorial action. (Amends R.S. 32:1720(A) and (B)(4) and (8), 1728(A) and (D)(3), 1728.2(G), 1728.3(A), (B), (C), (D)(1) (intro para), (D)(2), (F)(1)(intro para), (F)(1)(f) and (g), and (G)) Summary of Amendments Adopted by Senate Committee Amendments Proposed by Senate Committee on Transportation, Highways, and Public Works to the original bill 1. Clarifies that notice for consensual tow and storage shall be by certificate of mail. Page 7 of 7 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions.