Is finding a parking space in your community challenging? Condominium and townhome-style communities often have open parking lots which may include individually assigned parking spaces and/or parking spaces which are available on a first-come, first-served basis.
Such communities commonly adopt parking rules that aim to increase safety, improve the flow of traffic, and maximize convenience for residents. These rules may limit the number of vehicles a resident may park within the community, restrict parking locations, establish permissible time frames when vehicles may be parked, and limit the size/type of vehicles that may be parked within community parking lots.
However, what happens when individuals fail to comply with the parking rules? Complaints from frustrated residents to the HOA may leave the Board of Directors looking for enforcement options, including the possibility of towing improperly parked vehicles. In 2022, an updated towing law went into effect in Colorado as a result of the passage of House Bill 22-1314. Not to be outdone, laws related to towing were revised yet again in 2024 as a result of the passage of House Bill 24-1051. This article outlines various requirements of the recent laws as they relate to HOAs that are considering towing as an enforcement option.
Governing Documents
Before considering towing, the Board should review the association’s governing documents to confirm that the HOA has proper authority to tow. Ideally, the HOA’s declaration of covenants will contain express authority as to the HOA’s ability to use towing as an option to enforce parking covenants, rules, and regulations.
The HOA’s governing documents may contain procedural requirements that must be followed prior to towing. Such community-specific requirements may be different and more burdensome than those required by the new laws which are discussed below. For example, some covenants require notices to be posted on vehicles at least 48 hours prior to towing (as opposed to the 24 hours mentioned below). Therefore, it is imperative for the HOA’s Board of Directors to understand both the association’s specific governing documents as well as the applicable statutory requirements.
Conditions for Towing
A towing company may not tow a vehicle from private property without the vehicle owner’s consent unless:
- The vehicle is being repossessed by a creditor;
- The removal is ordered or authorized by a court order, peace officer, or operation of law;
- The vehicle blocks access to a driveway or roadway; or
- The towing company has received documented permission, which must not be automated or preapproved, to tow the vehicle within the preceding 24 hours from the owner of the property or the Association (as to HOA property). Approval must be given by an individual signing a form created by the Public Utilities Commission authorizing each specific tow. The person signing the form may not earn income from the tow or have a financial interest in the tow carrier.
Note that under the new laws, vehicles may not be towed for the sole reason that the vehicle’s registration and license plates have expired.
Notice Requirements
So what specific notice must the owner of the vehicle receive prior to their vehicle being towed? With the exception of vehicles that may be towed without further notice (which is discussed below), the tow company or property owner must post a written notice on the windshield of the vehicle at least 24 hours before the vehicle is towed. The tow company may provide a sample notice that can be used by the association. That written notice must state:
- That the vehicle will be towed if the vehicle remains parked inappropriately;
- A description of the reason the vehicle is parked inappropriately;
- The time the vehicle will be towed if it is not moved or the inappropriate parking is not corrected; and
- That continuing to park inappropriately in the same manner may lead to the vehicle being towed in the future without notice.
For purposes of the new laws, a vehicle is parked “inappropriately” when it is parked in a manner that:
- Violates the procedures necessary to obtain authorization to park (such as the lack of a required parking permit);
- Fails to comply with the property owner’s signs (this issue is further discussed below); or
- Violates a statute, rule, or ordinance of the State.
Finally, when may a vehicle be towed without providing the 24 hours’ advanced notice on the windshield of the vehicle? The answer is, under any of the following circumstances:
- The vehicle owner or operator has received two previous notices for parking inappropriately in the same manner;
- The vehicle is being repossessed;
- The removal is authorized by a court order, peace officer, or operation of law;
- The vehicle blocks a driveway or roadway;
- The vehicle is parked in a disability parking space without an appropriate placard/plate;
- The vehicle is parked in a fire zone;
- The vehicle is parked in another resident’s designated parking space without permission; or
- The vehicle is parked without authorization in a parking lot marked for the exclusive use of residents or invited guests (such as without a required parking permit).
As you can see from the above, the notice requirements are technical and aimed at providing robust notice to vehicle owners prior to towing.
Signage
In addition to the individual notices that must be posted on the windshield of the individual vehicle to be towed as discussed above, HB 24-1051 also requires technical and extensive notices be provided in the form of posted signage. Specifically, the HOA must have posted signage that:
- Is not less than two square feet in size.
- Has lettering not less than one inch in height.
- Has lettering that contrasts sharply in color with the background on which the letters are placed and contrasts sharply with the structure the signs are placed on.
- Contains the following information in the order listed below:
- The restriction or prohibition on parking;
- The times of the day and days that the restriction is applicable, but, if the restriction applies twenty-four hours a day, seven days a week, the sign must say “Authorized Parking Only”; and
- The name and telephone number of the towing carrier authorized to perform tows from the property.
- Is printed in English and Spanish.
- Is permanently mounted both:
- At the entrance to the private property so that the sign faces outward toward the street and is visible before and upon entering the private property; and
- Inside the private property so that the sign faces outward toward the parking area.
- Is not obstructed from view or placed in a manner that prevents direct visibility.
- Is not placed higher than ten feet or lower than three feet from the surface closest to the sign’s placement.
If the HOA owns units within the community (such as the result of foreclosure or otherwise), and the HOA leases those units, the HOA must also provide its tenants with a written document containing the parking rules/regulations before the person agrees to be a tenant.
But Wait…THERE’S MORE!
Additional requirements provide that a towing company may not tow a vehicle from private property unless:
- Notice of the parking rules/regulations was provided to drivers when they entered the property; and
- Notice that vehicles parked in violation of the rules/regulations are subject to tow at the vehicle owner’s expense.
Given these requirements there will clearly be no shortage of work for sign manufacturers.
Policy
As you can see, the statutory requirements are extensive and somewhat technical. These requirements must also be considered in conjunction with any specific procedures contained within the HOA’s governing documents. For these reasons, we recommend that associations considering towing as an enforcement option, first adopt a written tow policy. The policy will provide notice to homeowners and serve to mitigate risk to the HOA by establishing procedures to be followed to ensure compliance with both the governing documents as well as current towing laws. We also recommend the Board of Directors meet with a representative from its tow company partner at the community to discuss the new laws and signage requirements and placement in order to make sure both parties are on the same page as to how tow requests will be reported and conducted.
If you have questions concerning your community’s ability to tow or would like to discuss the preparation of a towing policy, please contact one of our attorneys at 303.432.9999 or [email protected].