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 parking 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 the 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. This article outlines the requirements of House Bill 22-1314 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 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 governing documents may also contain requirements that must be followed prior to the HOA towing. Those requirements may be different and more burdensome than those included in HB 22-1314 which are discussed below. For example, some covenants require notices be posted on vehicles at least 48 hours prior to towing (as opposed to the 24 hours required by HB 22-1314). Therefore, it is important that the HOA’s Board of Directors understands both the association’s specific governing documents as well as the applicable statutory compliance requirements.
Conditions for Towing
Pursuant to HB 22-1314, a towing company may tow a vehicle from private property without the vehicle owner’s consent upon any of the following:
- The vehicle is being repossessed by a creditor;
- The removal is ordered or authorized by a court order or peace officer;
- The vehicle blocks access to a driveway or roadway; or
- The towing company has received permission to tow the vehicle within the preceding 24 hours from the owner of the property or the Association (as to HOA property).
Note that under the new law, 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 HB 22-1314, 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 or peace officer;
- 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 displaying valid authorization (such as a permit) in a parking lot marked for the exclusive use of residents.
As you can see from the above, the notice requirements are technical and aimed at providing robust notice to vehicle owners prior towing.
SIGNAGE
In addition to the individual notices that must be posted on the windshield of the vehicle as discussed above, HB 22-1314 also requires technical and extensive notices be provided in the form of posted signage. Some of this signage is required to be provided by the HOA and other signage requirements are applicable to the tow company.
Specifically, the HOA must:
- Post signage visible and facing the driver at each entry way into the parking area;
- The signage must indicate that the parking spaces are designated for one or more specified residents and that a vehicle parked without authorization is subject to tow; and
- The signage must contain the international tow symbol no smaller than four inches by four inches and be mounted in a position that is no lower than five feet and no higher than eight feet.
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.
Although the method of providing the two notices referenced above is not outlined in the law, presumably these notices will be provided to vehicle owners via signage containing the actual rules/regulations. And finally, if the tow company has entered into an agreement with the HOA to tow vehicles from the community, the tow company must post signs that:
- Are no less than one square foot in size;
- Have letters not less than one inch in height;
- Have lettering that contrasts with the background;
- State “Authorized Parking Only”;
- Include the name and telephone number of the tow company;
- Are printed in English;
- Are placed at the entrance to the property and visible prior to, and upon, entering the property;
- Are placed in the parking area facing the parking spaces;
- Are not obstructed; and
- Are not placed higher than eight feet or lower than three feet.
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 any community 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 governing documents as well as the new law. We also recommend the Board of Directors meet with a representative from its tow company partner onsite at the community to discuss the new law and signage requirements in order to make sure both parties are on the same page as to how future tows will be reported and handled.
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].