Bill H.268, introduced by Representative Rachelson of Burlington, aims to enhance consumer protections in Vermont regarding the towing and storage of vehicles by establishing the Vermont Consumer Protection Towing Act. This new chapter outlines minimum standards for towing services, promotes fair practices, and grants regulatory authority to the Department of Motor Vehicles. Key provisions include the creation of a complaint mechanism for consumers and insurers, as well as specific requirements for emergency, private property, and seizure towing. Towing companies are mandated to provide written estimates when vehicle owners are present, maintain records of towing activities for three years, and notify law enforcement within two hours of a tow from private property.
The bill also introduces regulations concerning record retention, notice requirements, licensing, insurance, and maximum charges for towing and storage. Towing companies must notify vehicle owners within 24 hours of towing and provide detailed incident information within five business days. Additionally, the legislation prohibits deceptive practices, such as falsely representing affiliations with emergency services and charging excessive fees. The Department of Motor Vehicles is empowered to inspect towing operations and investigate complaints, with rules required to be adopted by June 1, 2026, and the bill set to take effect on July 1, 2025.