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Colorado to close loophole in state regulation of parking boots

On the afternoon of Jan. 31, Prisila Peña parked briefly in front of her Aurora mobile home to unload goods from the store.

Minutes later, however, she watched an individual from a parking management company place a boot on one of her car’s wheels, immobilizing the vehicle.

It took her an hour and cost $160 to get the wheel clamp removed — all for parking in front of her own home without a permit.

“It’s frustrating but makes me feel I don’t have the freedom to do what I need to do,” Peña said.

Advocates say the use of parking boots, which were invented in Denver, has become more popular since Colorado lawmakers enacted the state’s Towing Bill of Rights in 2022 to better regulate the industry. Booting is easier and cheaper than towing, they say, and comes with fewer regulations.

But regulators are running into a problem: The state’s booting statute, as it’s currently written, has a major loophole that excludes certain types of vehicle-immobilizing devices.

Current law defines booting as a “wheel immobilization device (placed) upon a motor vehicle for the purpose of prohibiting the operation of the motor vehicle.” Booting often occurs when someone racks up unpaid parking tickets, but can also be used in lieu of towing for permitting violations and other parking infractions.

Private towing and booting companies, though, have been able to skirt around this narrow definition by using devices that immobilize a vehicle’s axles or drivetrains, as opposed to the wheels.

As a result, the Colorado Public Utilities Commission — which regulates towing and booting in the state — acknowledges it has no jurisdiction over companies using those devices.

“The definition is too specific, so people are able to somewhat work around it, depending on the device used to immobilize,” said Katie O’Donnell, a PUC spokesperson.

It’s not clear how many companies are using these alternative boots.

A PUC spokesperson in 2021 told Denver7 that Park It Right, a Denver towing and booting firm, administers a boot that falls in a “legal loophole” since it doesn’t immobilize the wheel.That means it’s not covered by the state booting statute, Terry Bote, the spokesperson, told the TV station.

The company has an F rating on the Better Business Bureau.

“People complain more about our company because we embarrass them by booting their car in place,” the company wrote repeatedly in response to vehicle owner complaints on the BBB site.

Joel Perri, Park It Right’s owner, said in an interview that he doesn’t believe the PUC should govern booting companies at all.

A group of towing companies in 2019, during public rulemaking hearings, made the state aware of the gaps in language. The firms proposed expanding the definition of booting to encompass “all vehicle-immobilization devices.”

“If the… PUC is unable to address this issue as a result of an overly narrow legislative definition, it would create a tremendous loophole and undermine the effectiveness of the entire proposed rule,” the companies argued. “In short, businesses engaged in immobilizing motor vehicles could simply change the method in which they immobilize a vehicle and subvert the proposed rule.”

An administrative law judge denied the proposal, arguing legislators were clear when they wrote the booting law.

The PUC received 31 complaints about booting between July 2022 and June 2023, according to department figures. Six of those — or 19% — were deemed unregulated complaints that could not be adjudicated.

Rules codified in 2019 mandate booting companies in Colorado must obtain a permit from the Public Utilities Commission. They must also adhere to maximum charges of $160 per boot removal and be available to unlock the device within two hours.

It’s not clear whether companies that use these unregulated boots must adhere to these laws. In any event, the PUC wouldn’t be able to hear complaints on the matter, since they would fall outside the commission’s jurisdiction.

PUC officials know about this loophole and plan to close it this summer by expanding the booting definition, O’Donnell said. That process, which includes public comments and stakeholder engagement, takes roughly six months.

Closing the loophole is “overregulating for three or four companies,” Perri said. His company charges $235 to remove a boot — far more than the statutory maximum rate.

“We charge what we believe to be normal business practices,” he said.

Booting regulation has lagged as lawmakers, advocates and the Colorado attorney general have focused on what they called a predatory towing problem.

Lawmakers in recent legislative sessions have passed laws designed to increase notice before tows and make it easier for individuals to retrieve their cars after a tow. New laws have also sought to eliminate towing companies authorizing their own tows.

Attorney General Phil Weiser, meanwhile, has stepped up enforcement of towing laws. A yearlong investigation into Colorado’s largest operator, Wyatts Towing, found the conglomerate engaged in deceptive and unfair business practices.

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