A new bill aimed at regulating Colorado’s towing industry has passed both houses of the state legislature and awaits the governor’s signature. The state Senate approved House Bill 24-1051 in May, which will prohibit towing companies from patrolling private lots and grant the Public Utilities Commission (PUC) the authority to revoke licenses of repeat offenders. Currently, the PUC can only deny license renewals and issue fines.
Zach Neumann, co-founder and CEO of the Community Economic Defense Project, praised the bill, stating it will significantly benefit Colorado residents. The bill requires landlords or property owners to submit a form for each tow request. An earlier version, which would have made property owners pay for tows, was removed. Neumann highlighted that the new requirement for landlords to call for a tow will reduce the number and frequency of tows.
Denver7 Investigates previously reported issues with the state’s towing industry, including companies with a “vertical integration” model that controlled all aspects of a tow. The bill received bipartisan support in the Senate, and Neumann expressed satisfaction with the broad backing for the law.
