NEWS...
IMPORTANT
New Law In effect as of January 1, 2014; new subdivision that will be added to VC section 34620:
We have taken the liberty to review the State of California Vehicle Code 2014. Here is something that WILL impact your ability to pick up vehicles from other Tow companies.
Chapter 2. Motor Carrier Permits
MCP Permits Required
34620. (a) Except as provided in subdivision (b) and Section 34622, a motor carrier of property shall not operate a commercial motor vehicle on any public highway in this state, unless it has complied with Section 34507.5 and has registered with the department its carrier identification number authorized or assigned thereunder, and holds a valid motor carrier permit issued to that motor carrier by the department. The department shall issue a motor carrier permit upon the carrier’s written request, compliance with Sections 34507.5, 34630, and 34640, and subdivisions (e) and (h) of Section
34501.12 for motor carriers listed in that section, and the payment of the fee required by this chapter.
(b) A person shall not contract with, or otherwise engage the services of, a motor carrier of property, unless that motor carrier holds a valid motor carrier of property permit issued by the department. A motor carrier of property or broker of construction trucking services, as defined in Section 3322 of the Civil Code, shall not contract or subcontract with, or otherwise engage the services of, a motor carrier of property, until the contracted motor carrier of property provides certification in the manner prescribed by this section, of compliance with subdivision (a). This certification shall be completed by the contracted motor carrier of property and shall include a provision requiring the contracted motorcarrier of property to immediately notify the person to whom they are contracted if the contracted motor carrier of property’s permit is suspended or revoked. A copy of the contracted motorcarrier of property’s permit shall accompany the required certificate. The Department of the California Highway Patrol shall, by regulation, prescribe the format for the certificate and may make available an optional specific form for that purpose. The certificate, or a copy thereof, shall be maintained by each involved party for the duration of the contract or period of service plus two years, and shall be presented for inspection at the location designated by each carrier under Section 34501.10, immediately upon the request of an authorized employee of the Department of the California Highway Patrol.
(c) (1) A motor carrier of property shall not retrieve a vehicle through the use of a tow truck, as defined in subdivision (a) of Section 615, from the premises of another motor carrier of property until the retrieving motor carrier provides a copy of its motor carrier permit to the releasing motor carrier.
(2) A motor carrier of property shall not release a vehicle to another motor carrier of property utilizing a tow truck, as defined in subdivision (a) of Section 615, until the releasing motor carrier obtains a copy of the motor carrier permit from the retrieving motor carrier. The motor carrier releasing the vehicle shall maintain a copy of the motor carrier permit for a period of two years after the transaction, and, upon the request of an authorized employee of the Department of the California Highway Patrol, shall immediately present the permit for inspection at the location designated by the releasing motor carrier under Section 34501.10.
(3)This subdivision does not apply to a person licensed pursuant to the Collateral Recovery Act (Chapter 11 (commencing with Section 7500) of Division 3 of the Business and Professions Code).
Amended Sec. 356,
Amended Sec. 2,
Amended Sec. 1,
SUBJECT: AB 529 Bill
Motor Carriers: Inspection and Fees
DESCRIPTION:
The AB 529 BIT EPANSION Program BILL, beginning in 2016, changes the way the CURRENT BIT Program works. The current BIT Program (prior to January 1 2014) was designed for safety reasons to prevent commercial operators from driving across country for countless hours without sleep or breaks creating unsafe conditions or potential hazards; but to now implement the BIT Program down to trucks that are operated only eight hours a day, 5 days a week there is no significant safety issue implied, merely a FEE increase to smaller operators of business vehicles. Proper enforcement of the CA Number would make this new law obselete!
This Bill was Sponsored by CTTA; does this help or hurt your business?
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Did You Know about? AB 2774 expands the definition of “serious violation” set forth in California Labor Code section 6432.The bill also establishes a rebuttable presumption that a serious violation has occurred in certain circumstances, and enables Cal/OSHA to rely on the testimony of its inspectors to prove the existence of serious violations. AB 2774 took effect on January 1, 2011.
California is one of 27 states with a state plan approved by The United States Department of Labor's Occupational Safety and Health Administration (OSHA). This means that Cal/OSHA is vested with the authority to issue citations to employers for work injuries/fatalities resulting from violations of its established standards.
These citations range in order of increasing severity from regulatory to general to serious. Typically, serious violations can cost an employer a fine of several thousand dollars.
Did You Know about? Reporting Requirements to the National Motor Vehicle Title Information System (NMVTIS) Under the Anti Car Theft Acts: January, 2011
The Anti Car Theft Act was originally enacted in 1992, with the Anti-Car Theft Improvement Act being enacted in 1996 (“collectively “the Anti Car Theft Acts.”) The National Motor Vehicle Title Information System (NMVTIS) implementing regulations were published in January 2009. On January 27, 2011, the U.S. Department of Justice issued a policy clarifying the reporting requirements for tow operator and tow companies under these rules.
Policy clarification Regarding Tow Operators/Towing Companies Reporting Requirements to the NMVTIS Under the Anti Car Theft Acts..
USTC members should note the following pertinent statements in the policy:
The NMVTIS reporting obligation for a towing company occurs when the towing company sells, rebuilds, restores, or crushes five or more junk or salvage automobiles per year.
Failure to report to NMVTIS as required is punishable by a civil penalty of $1,000 per violation.
The monthly reporting to NMVTIS must contain:
The name, address, and contact information for the reporting entity.
Vehicle Identification Number (VIN) for each junk and salvage automobile.
The date the automobile was obtained by the reporting entity.
The name of the individual or entity from whom the automobile was obtained.
A statement of whether the automobile was crushed or disposed of, for sale or other purposes, to whom it was provided or transferred, and if the vehicle is intended for export out of the United States.
Currently, there are four reporting services available, offering individual VIN and batch reporting options. Three service providers offer a no-cost per-transaction program. More detailed information on these reporting options may be found at: www.vehiclehistory.gov/nmvtis_auto.html.
The Department of Justice recognizes that there are circumstances in which it is not immediately apparent whether the owner of an automobile will re-claim a towed automobile. Therefore, when considering the junk or salvage automobiles that were obtained in a particular month and when reporting the date “the automobile was obtained,” the towing company should report the date, under the law of the applicable jurisdiction, that the towing company obtained the right to determine the disposition (i.e., sell (for parts or in whole), rebuild, restore, or crush) of the automobile (e.g., the date the towing company obtained a salvage certificate or certificate of destruction under the law of the applicable jurisdiction; the date the towing company purchased the vehicle from a private party either for a monetary amount or in lieu of towing and storage costs and the towing company seeks to sell, rebuild, restore, or crush the automobile).A “junk automobile” is defined as: “an automobile that— 1) Is incapable of operating on public streets, roads, and highways; and 2) Has no value except as a source of parts or scrap.” 28 C.F.R. 25.52.
A “salvage automobile” is defined as: “an automobile that is damaged by collision, fire, flood, accident, trespass, or other event, to the extent that its fair salvage value plus the cost of repairing the automobile for legal operation on public streets, roads, and highways would be more than the fair market value of the automobile immediately before the event that caused the damage. Salvage automobiles include automobiles determined to be a total loss under the law of the applicable jurisdiction or designated as a total loss by an insurer under the terms of its policies, regardless of whether or not the ownership of the vehicle is transferred to the insurance carrier.” 28 C.F.R. 25.52 .
For more information on this clarification or NMVTIS, please visit: www.vehiclehistory.gov.
Did You Know about? New CA Towing Fees and Access Notice
(Effective January 1, 2011)
The new law (Vehicle Code Section 22651.07) essentially requires a person that charges for towing and/or related storage to do the following:
1) Post in office area of storage facility, in plain view of the Public the Towing Fees and Access Notice.
2) Have copies of the Towing Fees and Access Notice (See below) readily available to the public and to provide, upon request, to any owner or operator of a towed or stored vehicle
3) Provide an itemized invoice for any towing and storage charges as specified under the law.
Must all Towing Companies comply with the new law?
Yes. This new law is intended for all towing companies that provide and charge for towing services and/or related storage costs. Auto repair shops should check with towing companies to make sure they are aware of the law and comply.
Does the law apply to an auto repair shop, that does not provide towing services, but charges a customer for a sublet tow?
YES. The law applies to auto repair shops that charge customers for towing and/or related storage costs incurred by the auto repair shop. However, an automotive repair dealer registered with the BAR that does not provide towing services is exempt from requirements to post the Towing Fees and Access Notice in the office area.
Can an auto repair shop charge a markup fee for costs/expenses associated with the sublet tow charges.
YES. Nothing in the new law prohibits the auto repair shop from charging a markup fee for handling and paying the towing cost for customer’s vehicle as long as the requirements of the law are satisfied.
Must an auto repair shop have copies of the Towing Fees and Access Notice available for customers?
YES. If the auto repair shop charges the customer for towing and related storage (i.e. sublet), the repair shop must have available and provide, upon request, a copy to the customer. What must be included the Towing Fees and Access Notice?
The Towing Fees and Access Notice is specified under the law and must be a standardized document plainly
printed in no less than 10-point type.The repair shop may distribute the form using its own letterhead, but the
language of the Towing Fees and Access Notice shall read as follows:
Towing Fees and Access Notice
Note: The following information is intended to serve as a general summary of some of the laws that
provide vehicle owners certain rights when their vehicle is towed. It is not intended to summarize all of the
laws that may be applicable nor is it intended to fully and completely state the entire law in any area listed.
Please review the applicable
situation.
How much can a towing company charge?
Rates for public tows and storage are generally established by an agreement between the law enforcement
agency requesting the tow and the towing company (to confirm the approved rates, you may contact the law
enforcement agency that initiated the tow; additionally, these rates are required to be posted at the storage
facility).
Rates for private property tows and storage cannot exceed the approved rates for the law enforcement
agency that has primary jurisdiction for the property from which the vehicle was removed or the towing
company's approved CHP rate. Rates for owner's request tows and storage are generally established by
mutual agreement between the requestor and the towing company, but may be dictated by agreements
established between the requestor's motor club and motor club service provider.
Where can you complain about a towing company?
For public tows: Contact the law enforcement agency initiating the tow.
Your rights if your vehicle is towed:
Generally, prior to paying any towing and storage-related fees you have the right to: Receive an itemized
invoice of actual charges. Receive your personal property, at no charge, during normal business hours.
Retrieve your vehicle during the first 72 hours of storage and not pay a lien fee. Request a copy of the
Towing Fees and Access Notice.
Pay by cash or valid bank credit card. Inspect your vehicle or have your insurance carrier inspect your
vehicle at the storage facility, at no charge, during normal business hours. You have the right to have the
vehicle released to you upon (1) payment of all towing and storage-related fees, (2) presentation of a valid
photo identification, (3) presentation of reliable documentation showing that you are the owner of the
vehicle or that the owner has authorized you to take possession of the vehicle, and (4), if applicable,
presentation of any required police or law enforcement release documents. Prior to your vehicle being
repaired: You have the right to choose the repair facility and to have no repairs made to your vehicle unless
you authorize them in writing. Any authorization you sign for towing and any authorization you sign for
repair must be on separate forms.
What if I do not pay the towing and storage-related fees or abandon my vehicle at the
towing company?
Pursuant to Sections 3068.1 to 3074, inclusive, of the Civil Code, a towing company may sell
your vehicle and any moneys received will be applied to towing and storage-related fees that have
accumulated against your vehicle. You are responsible for paying the towing company any outstanding
balance due on any of these fees once the sale is complete.
Who is liable if my vehicle was damaged during towing or storage?
Generally the owner of a vehicle may recover for any damage to the vehicle resulting from any intentional
or negligent act of a person causing the removal of, or removing, the vehicle.
What happens if a towing company violates the law?
If a tow company does not satisfactorily meet certain requirements detailed in this notice, you may bring a lawsuit in court, generally in small claims court. The tower may be civilly liable for damages up to two times the amount charged, not to exceed $500, and possibly more for certain violations.
What must be included in the Itemized invoice to customer?
Under the law, itemized invoice," means a written document that contains the following information:
(1) The name, address, telephone number, and carrier identification number of the person that is charging for towing and storage.
(2) If ascertainable, the registered owner or operator's name, address, and telephone number.
(3) The date service was initiated.
(4) The location of the vehicle at the time service was initiated including either the address or nearest intersecting roadways.
(5) A vehicle description that includes, if ascertainable, the vehicle year, make, model, odometer reading, license plate number, or if a license plate number is unavailable, the vehicle identification number (VIN).
(6) The service dispatch time, the service arrival time of the tow truck, and the service completion time.
(7) A clear, itemized, and detailed explanation of any additional services that caused the total towing-related service time to exceed one hour between service dispatch time and service completion time.
(8) The hourly rate or per item rate used to calculate the total towing and recovery-related fees. These fees shall be listed as separate line items.
(9) If subject to storage fees, the daily storage rate and the total number of days stored. The storage fees shall be listed as a separate line item.
(10) If subject to a gate fee, the date and time the vehicle was either accessed, for the purposes of returning personal property, or was released after normal business hours. Normal business hours are Monday through Friday from 8:00 a.m. to 5:00 p.m., inclusive, except state holidays. A gate fee shall be listed as a separate line item.
(11) A description of the method of towing.
(12) If the tow was not requested by the vehicle's owner or driver, the identity of the person or governmental agency that directed the tow. This paragraph shall not apply to information otherwise required to be redacted under vehicle code section 22658.
(13) A clear, itemized, and detailed explanation of any additional services or fees.
To comply with the law, the auto repair shop must provide the above information customer. Most, if not all, of the information will be on the Towing operator’s itemized invoice that the auto repair shop received when it agreed to pay for sublet towing. This information can be transferred to the auto repair shop invoice.
Can an auto repair shop comply with the itemization requirements of the law by simply passing along the information received from tower?
Yes. If an automotive repair dealer did not provide the tow, and passes along, from the tower to the consumer, any of the information required on the itemized invoice, the automotive repair dealer shall not be responsible for the accuracy of those items of information that remain unaltered. However, the auto repair shop must make sure that the invoice itemization received from the tower includes all the specified requirements. The auto repair shop must still document and line item the towing sublet on the final repair invoice.
What is the penalty for failing to comply with the new law?
A person who violates this section is civilly liable to a registered or legal owner of the vehicle, or a registered owner's insurer, for up to two times the amount charged. For any action brought under this section, liability shall not exceed five hundred dollars ($500) per vehicle.
