The bill establishes a new program to compensate registered tow truck operators for releasing vehicles to indigent citizens, setting specific eligibility criteria for applicants, such as being the legal owner and demonstrating financial need. It excludes vehicles impounded due to the owner's arrest and allows tow truck operators to seek payment for law enforcement-ordered impounds by completing a designated self-certification form. The bill also requires the creation of a waitlist if applications exceed available funds and mandates annual reporting on the program's outcomes. Additionally, it amends existing laws to clarify that operators releasing vehicles under this program will not have a lien or deficiency claim on those vehicles and includes provisions for notifying vehicle owners and establishing reimbursement rates for towing and storage services.

Furthermore, the bill modifies the jurisdictional framework for vehicle impoundments, assigning district courts authority over state-authorized impoundments and municipal courts over those authorized by municipal agents. It stipulates that a written request for a hearing must be submitted within 10 days, with a filing fee required; failure to do so waives the right to a hearing. The bill outlines the court's role in assessing the validity of impoundments and associated fees, stating that if an impoundment is deemed proper, fees will be charged to the requester, while improper impoundments will not incur fees for registered owners. It also introduces provisions for the sale of abandoned vehicles at public auction if not redeemed within 15 days of notice, with the act set to take effect on February 1, 2026.

Statutes affected:
Original Bill: 46.55.115, 46.55.120
Substitute Bill: 46.55.115, 46.55.120