REFERENCE TITLE: towing; motor vehicles |
State of Arizona Senate Fifty-second Legislature First Regular Session 2015
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SB 1111 |
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Introduced by Senator Ableser
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AN ACT
amending sections 28‑1108 and 28-4802, Arizona Revised Statutes; amending title 28, chapter 11, Arizona Revised Statutes, by adding article 4; repealing title 28, chapter 11, article 4, Arizona Revised Statutes; relating to vehicle towing.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Section 28-1108, Arizona Revised Statutes, is amended to read:
28-1108. Vehicle towing; rules; contractual agreement for towing services; weight exemption
A. If a vehicle is towing another vehicle, the drawbar or other connection shall be of sufficient strength to pull all weight towed by the vehicle and the drawbar or other connection shall not exceed fifteen feet from one vehicle to the other, except the connection between any two vehicles transporting poles, pipe, machinery or other objects of a structural nature that cannot readily be dismembered. For the purposes of this subsection, "drawbar" means a rigid structure that connects a trailer and a towing vehicle and that articulates at the point of connection with the trailer and articulates at the point of connection with the towing vehicle.
B. If a vehicle is towing another vehicle and the connection consists of a chain, rope or cable, a white flag or cloth at least twelve inches square shall be displayed on the connection.
C. The director of the department of public safety shall adopt and enforce rules that are not inconsistent with this chapter to govern the design and operation of all tow trucks.
D. A person towing company or sole proprietor, or an individual who is employed by or contracts with the towing company or sole proprietor, may not operate a tow truck for the purpose of towing vehicles without first registering unless the towing company or sole proprietor does all of the following:
1. Registers with the director of the department of public safety, obtaining.
2. Obtains a surety bond and obtaining in an amount of one hundred thousand dollars.
3. Obtains a permit pursuant to the rules that govern tow trucks and that are adopted by the department of public safety.
E. The director of the department of public safety or a county, city or town may enter into a contractual agreement with a towing firm or firms for towing or storage services, or both. At the time of application for a contractual agreement, a towing firm must disclose in writing the owners of the towing firm and, if the owners own other towing firms that are also applying for the same contractual agreement, the names of those towing firms. The contractual agreement shall comply with this section and all rules adopted under this section. Contracts shall be awarded on the basis of competitive bidding. The director of the department of public safety or a county, city or town shall reserve the right to reject all bids. If only one bid is received, the director of the department of public safety or a county, city or town may reject the bid and negotiate a contract without bidding if the negotiated contract is at a price lower than the bid price under the terms and conditions specified in the call for bids.
F. Except as provided in subsection G of this section, a towing firm may only have one contractual agreement per geographic towing area with the department of public safety or a county, city or town for towing or storage services, or both. If an owner of a towing firm has a common ownership interest in another towing firm or the assets of another towing firm, the owner may not participate in any other application for a contractual agreement within the same geographic towing area.
G. If a towing firm that has a contractual agreement pursuant to this section acquires another towing firm that has a contractual agreement pursuant to this section, both contractual agreements remain valid for one year after the date of the acquisition.
H. Notwithstanding subsection F of this section, an agency may allow a towing firm to use resources from another towing firm if an agency deems the use of those resources is necessary for traffic incident management.
I. The total weight of a tow truck and the towed vehicle is exempt from the maximum total gross weight load allowed under section 28‑1100 if a damaged, disabled or abandoned vehicle or vehicle combination is towed.
Sec. 2. Section 28-4802, Arizona Revised Statutes, is amended to read:
28-4802. Fees
A. Except as provided in subsection B of this section, the owner of record of a vehicle at the time of abandonment of the vehicle is liable to the department for the transfer of ownership or disposal in an amount prescribed by the director by rule if the vehicle was:
1. Abandoned and junked pursuant to article 3 of this chapter on private property or public land or on or within the right‑of‑way of a street or highway.
2. Abandoned on private property or public land or on or within the right‑of‑way of a street or highway and the department issues a transfer of ownership pursuant to the procedures prescribed by this chapter.
3. Abandoned and junked pursuant to article 3 of this chapter and towed with the written permission of the state land commissioner from state trust land located within the boundaries of an incorporated city or town.
B. The owner of record of a vehicle at the time of abandonment is liable to the department for the transfer of ownership or disposal in an amount prescribed by the director by rule if the vehicle was:
1. Abandoned and junked pursuant to article 3 of this chapter and towed with the written permission of the governing authority off of national forest, state park, bureau of land management or state trust land located outside the boundaries of an incorporated city or town.
2. Abandoned and towed with the written permission of the governing authority off of national forest, state park, bureau of land management or state trust land located outside the boundaries of an incorporated city or town and the department issues a transfer of ownership pursuant to the procedures prescribed by this chapter.
3. Abandoned outside the right‑of‑way of a street or highway located outside the boundaries of an incorporated city or town.
C. In addition to the registration fee or driver license fee prescribed by sections 28‑2003 and 28‑3002, the department shall collect the fee prescribed in subsections A and B of this section as an additional registration fee at the time the owner of the vehicle subsequently registers another vehicle in this state or as an additional driver license fee at the time the owner of the vehicle subsequently applies for or renews a driver license issued by this state. The department shall deposit, pursuant to sections 35‑146 and 35‑147, the additional fee collected for the transfer of ownership or disposal in the abandoned vehicle administration fund established by section 28‑4804, except that ninety per cent percent of the fees collected pursuant to subsection A of this section and sixty per cent percent of the fees collected pursuant to subsection B of this section shall be deposited in the state highway fund.
D. The department:
1. Shall notify the owner of an abandoned vehicle for which ownership has been transferred or of a junk vehicle that has been disposed of about the additional fee at the time of a subsequent vehicle registration or driver license application or renewal.
2. Shall provide a complete description of the abandoned or junked vehicle, the vehicle identification number of the vehicle and the date on which the vehicle was disposed of or ownership was transferred by the department.
3. May waive the additional fee if the person provides proof satisfactory to the director that the vehicle had been transferred or assigned to another person before the day of abandonment.
4. May prescribe by rule
a fee of not more than ten dollars for
processing an abandoned vehicle report. The monies received
pursuant to this paragraph shall be used for the purposes of implementing and
administering article 4 of this chapter.
Sec. 3. Heading change
The chapter heading of title 28, chapter 11, Arizona Revised Statutes, is changed from "ABANDONED, SEIZED AND JUNK VEHICLES" to "ABANDONED, SEIZED, JUNK AND TOWED VEHICLES".
Sec. 4. Title 28, chapter 11, Arizona Revised Statutes, is amended by adding article 4, to read:
ARTICLE 4. PRIVATE PROPERTY TRESPASS TOWERS
28-4901. Definitions
In this article, unless the context otherwise requires:
1. "Business hours" means 8:00 a.m. to 5:00 p.m. Monday through Friday, excluding holidays prescribed in section 1-301, or by appointment.
2. "Private property trespass tower" means a person who does both of the following:
(a) Commercially offers services to tow, transport or impound motor vehicles from private property without the permission of the owner or operator of the vehicle.
(b) Uses a vehicle designed for or adapted to perform the services prescribed by subdivision (a) of this paragraph.
28-4902. Department duties
A. The department shall:
1. Adopt rules necessary to administer this article.
2. Beginning July 1, 2016, set maximum rates for:
(a) The commercial towing or removal of trespassing vehicles from private property.
(b) The storage of vehicles in connection with towing or removal.
(c) Other services provided by a private property trespass tower.
3. Review the rates set pursuant to paragraph 2 of this subsection every three years.
B. The department may establish and adjust fees with respect to this article.
C. Subsection A, paragraph 2 of this section does not apply to a county or a city or town that regulates the maximum rates and charges for towing, transporting or impounding a motor vehicle from private property without the permission of the owner or operator of the vehicle by any private property trespass tower or private towing carrier pursuant to section 9‑499.05 or 11-251.04.
28-4903. Towing performed pursuant to police action
This article does not regulate or otherwise affect towing performed by any private property trespass tower or private towing carrier pursuant to an order or request of a law enforcement official or agency pursuant to section 28‑872, 28-3511 or 28‑4834.
28-4904. Record requirements
A. Each private property trespass tower who tows vehicles pursuant to this article shall keep and maintain at the private property trespass tower's principal place of business a permanent record, and at each place of business of the tower that is not its principal place of business an electronic copy of the permanent record, for each vehicle removed by the private property trespass tower that records and describes the following:
1. The make, model and description of the vehicle.
2. The name of the owner of the vehicle or owner's agent requesting release of the vehicle.
3. The vehicle's license plate number.
4. The place from which and to which the vehicle was towed or transported.
5. If, after removal, the vehicle's title is obtained pursuant to section 28-4838, how the vehicle was disposed of.
B. The private property trespass tower shall maintain the record at the tower's principal place of business for a period of at least three years after the date of removing each vehicle recorded.
C. Authorized representatives of the department or any law enforcement agency may inspect the records kept by the private property trespass tower at any time during business hours.
D. During business hours and after reasonable demand, each private property trespass tower shall allow any person described in subsection C of this section to physically compare the records required to be maintained with the vehicles that are located at the tower's place of business.
28-4905. Enforcement powers
In the enforcement of any law pertaining to private property trespass towers, the director may conduct hearings, take testimony and conduct investigations as the director deems necessary.
28-4906. Appeal
Final decisions of the director pursuant to this article are subject to judicial review pursuant to title 12, chapter 7, article 6.
28-4907. Hearings
A. The director may conduct a hearing if the director alleges that a private property trespass tower refuses or fails to comply with this article or a rule adopted by the director pursuant to this article relating to private property trespass towers.
B. The director shall hold the hearing at least fifteen but not more than thirty days after service of a written notice. The director shall send the notice by personal delivery or certified mail to the address provided to the department in the report alleging the noncompliance.
C. A finding that a private property trespass tower is in violation of this article or a rule adopted by the director pursuant to this article requires both of the following determinations:
1. The person refuses or fails to comply with the requirements of this article or a rule adopted by the director pursuant to this article.
2. The person ordered to appear at the hearing is responsible for the violation.
D. The scope of the hearing is limited to the determinations prescribed in subsection C of this section.
E. After consideration of the evidence presented at the hearing, the director shall serve notice of the director's finding and order within five days after the hearing.
28-4908. Penalties; civil and criminal liability
A. After a hearing conducted pursuant to section 28-4907, if the director finds that a person is in violation of this article or a rule adopted by the director pursuant to this article, the director may impose a civil penalty of up to five thousand dollars.
B. The person shall pay the civil penalty imposed pursuant to this section to the department no later than thirty days after the order is final. If the person fails to pay the civil penalty within thirty days after the order is final, the director shall file an action in the superior court in the county in which the hearing is held to collect the civil penalty.
C. This article does not limit or alter the vehicle owner's civil or criminal liability for trespass. This article does not limit or alter the civil or criminal liability of any person for any act or omission. All penalties accruing under this article are cumulative.
D. The director shall deposit, pursuant to sections 35-146 and 35-147, penalties and fees collected pursuant to this article in the state general fund.
28-4909. Required practices; unlawful practices
A. A private property trespass tower shall:
1. Within twenty minutes after towing the vehicle, notify law enforcement authorities in the jurisdiction in which the trespassing vehicle was towed, transported or impounded. Notification shall include a complete description of the vehicle, the license plate number, the vehicle identification number, if possible, the locations from which and to which the vehicle was removed, the time of removal and any other information required by department rule. The notification required by this paragraph may be made by electronic means.
2. In the office or location at which towed vehicles are routinely returned to their owners, prominently post the name, address and telephone number of the nearest office of the department where inquiries or complaints may be sent and make available in written form the relevant statutes and rules governing private property trespass towers.
3. Maintain all stored vehicles in a secured lot with a perimeter fence that is at least six feet high and that has functioning locks at all entrances and exits.
4. Maintain insurance coverage that satisfies the following requirements and provide proof of the coverage to the director:
(a) Business automobile liability insurance that provides coverage for claims arising from bodily injury, death or property damage arising out of the ownership, maintenance or use of any vehicle with a combined single limit for each occurrence of at least one million dollars and an on-hook endorsement.
(b) Garage keepers legal liability insurance that provides coverage for all loss or damage to the vehicle owner's property while in the private property trespass tower's care and for which the tower is legally responsible with limits of at least fifty thousand dollars per vehicle.
(c) Workers' compensation insurance with an employer liability limit of at least one hundred thousand dollars for each accident, an employee or disease limit of at least one hundred thousand dollars and a total policy limit of at least five hundred thousand dollars. This subdivision does not apply if the private property trespass tower is a sole proprietor with no employees.
(d) Insurance coverage that provides that:
(i) The insurance may not be canceled without providing written notice at least thirty days before the cancellation.
(ii) The maximum deductible for the insurance required pursuant to subdivision (c) of this paragraph is two thousand five hundred dollars per event.
5. Post a sign in a conspicuous place that is visible from the right‑of‑way that contains the private property trespass tower's name, telephone number, address and business hours, including all holidays, in letters at least three inches in height. The information on the sign shall be in the form and manner that the department prescribes by rule.
6. Photograph the location and condition of the vehicle before the vehicle's removal. On the request of a law enforcement officer or the private property owner, the private property trespass tower shall provide a copy of the photographs of the vehicle.
7. Inform the vehicle owner or operator who is present or who arrives at the vehicle location at any time before the private property trespass tower has transported the vehicle but after completion of the vehicle hookup, attachment of all safety equipment and notification to the law enforcement agency that an on-site release fee does not apply if proof of identity and ownership documentation is provided pursuant to section 28-4911.
B. A private property trespass tower may not:
1. Tow, transport or impound any vehicle from private property without having first obtained the written authorization of the property owner or other person in lawful possession or control of the property or the authorized agent of that person. The authorization may be on a contractual basis covering a period of time or limited to the removal of a specific vehicle.
2. Charge to or accept or otherwise collect from the private property owner or authorized agent who requested that an unauthorized vehicle be towed, transported or impounded from the owner's property any fees for removing the vehicle contrary to any terms that may be part of the contract between the property owner and the private property trespass tower.
3. Tow, transport or impound a vehicle if the owner or operator of the vehicle is present or arrives at the vehicle location at any time before the completion of hookup, attachment of all safety equipment and notification to the law enforcement agency and is willing and able to remove the vehicle immediately. In such case, a fee may not be charged to the vehicle owner or operator.
4. Tow, transport or impound any vehicle from property on which signs are required and on which signs are not posted as prescribed by section 9‑499.05 or 11‑251.04.
5. Impose any charge for service or storage other than the rates set by this state or the county, city or town, except that a private property trespass tower may not charge a storage fee for a day that the storage lot is closed.
6. Transport any vehicle to a location that is more than twenty miles away from the location where the private property trespass tower first removed the vehicle.
7. Covertly observe or employ any type of observer within one thousand feet of private property for the purpose of monitoring or ordering the towing, transporting or impounding of a vehicle from that private property unless the private property trespass tower does either of the following:
(a) Provides a verbal warning to the vehicle owner or operator of the possible towing, transporting or impounding of the vehicle.
(b) Clearly posts signs warning that the private property has on-site monitoring and the hours of the monitoring.
8. Park a vehicle on private property for the sole purpose of inducing unauthorized parking on that private property.
9. Use drivers or other personnel who are not employees or contractors of the private property trespass tower.
10. Provide to the property owner or the property owner's authorized agent any compensation or any other type of benefit, other than signage, towing, transporting or impounding the vehicle from the property.
11. Make any false statement of material fact, misrepresent information in any document or omit disclosure of a material fact in the performance of an activity regulated by this article.
12. Violate this article or rules adopted pursuant to this article.
28-4910. Posting of rates; payment forms
A. Each private property trespass tower shall print and keep open to the public all authorized rates and charges for towing, otherwise moving and storing vehicles in connection with the removal of unauthorized vehicles from private property. The rates and charges shall be clearly stated in dollar amounts and shall be posted in the form and manner and shall contain the information that the department prescribes by rule.
B. Each private property trespass tower shall accept multiple forms of payment for towing and storage costs at the location where the vehicle is stored or retrieved, including payment by any valid credit card or debit card. The private property trespass tower shall issue to the vehicle owner or operator an itemized receipt of all of the charges.
28-4911. Release of relocated vehicle to owner; proof of identity and ownership; definition
A. Before release of a vehicle that is towed, transported or impounded by a private property trespass tower pursuant to this article, the owner of the vehicle or the owner's agent shall pay or make satisfactory arrangements to pay for any towing and storage costs that comply with the rates set pursuant to section 9‑499.05 or 11-251.04 or this article, except that a private property trespass tower may not refuse to release to the owner a vehicle that the private property trespass tower tows pursuant to this article if the owner refuses to pay the towing and storage costs. An owner who refuses to pay the towing and storage costs shall provide proof of identity and ownership of the vehicle and shall sign a receipt acknowledging that the vehicle has been reclaimed and whether or not the owner disputes any unpaid balance due before the vehicle is released. Possessing the keys to a vehicle is not proof of ownership of the vehicle.
B. A private property trespass tower shall allow, during business hours, the owner or the owner's agent one-time access to the vehicle at no cost for the purpose of retrieving the vehicle's current registration or property located in the vehicle, except that a tool may not be used for the removal of property from the vehicle.
C. This section does not apply to a vehicle that is abandoned pursuant to this chapter.
D. For the purposes of this section, "proof of identity and ownership of the vehicle" means providing government issued identification and the vehicle's current title or registration.
28-4912. Dispute resolution; definitions
A. If the owner of a vehicle that is towed pursuant to this article or the owner's agent disputes the towing and storage costs or any other action of the private property trespass tower, operator or dispatcher, the owner or the owner's agent may submit a written request for a hearing to the director.
B. For the purposes of this section:
1. "Dispatcher" means any person who, as an employee or agent of a private property trespass tower, dispatches vehicles to or from locations where operators perform removal activities.
2. "Operator":
(a) Means any person who does both of the following:
(i) As an employee of a private property trespass tower, tows, transports or impounds motor vehicles from private property without the permission of the owner or operator of the vehicle.
(ii) Uses a vehicle designed for or adapted to perform the services prescribed by item (i) of this subdivision.
(b) Includes the driver of any vehicle used in towing, transporting or impounding a trespassing vehicle from private property and any person other than the driver who assists in the towing, transporting or impounding of a trespassing vehicle from private property.
28-4913. Violation; classification
A person who violates this article is guilty of a class 3 misdemeanor.
28-4914. Local ordinances or rules
This article does not prohibit a county or a city or town from enacting an ordinance or rule that either:
1. Is more restrictive than this article or any rule adopted pursuant to this article.
2. Places any requirements that are greater than those prescribed in this article or any rule adopted pursuant to this article on towing, transporting or impounding a motor vehicle from private property without the permission of the owner or operator of the vehicle by any private property trespass tower or private towing carrier.
Sec. 5. Delayed repeal
Title 28, chapter 11, article 4, Arizona Revised Statutes, is repealed from and after June 30, 2025.