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Legislative Update 7-1-2024

Towing/Booting Overhaul Takes Effect July 1, 2024

 

Beginning July 1, a new slate of laws will go into effect in Tennessee. Below is legislation that holds significant importance within the industry, Public Chapter 1017 (SB1692/HB1731).

 

The Modernization of Towing, Immobilization, and Oversight Normalization (MOTION) Act, sponsored by Senate Majority Leader Jack Johnson (R-Franklin) and Representative Jake McCalmon (R-Franklin), will go into effect Monday, July 1. TTA worked with Senator Johnson and Representative McCalmon for months drafting legislation to address predatory booting activity and excessive towing and storage fees. As a reminder, this legislation will prohibit unlicensed individuals from booting vehicles in Tennessee and limits booting to commercial lots only. Of particular importance to the trucking and transportation industry, this legislation makes it illegal to boot or use any device to immobilize trucks and trailers anywhere in Tennessee that is clearly identified as a commercial vehicle with a USDOT number or with a commercial license plate issued for all classes of trucks and trailers registered pursuant to state law.

 

To boot a vehicle in a commercial parking lot, a licensed parking attendant must be present, easily identifiable as an employee of the commercial lot, and available to remove the boot within 45 minutes from point of contact. The bill caps the fee to remove a boot at $75. Notice provisions have also been added to ensure drivers are aware that parking in a lot without pay could result in the vehicle being booted or towed. Additionally, the bill provides that if the towing process has begun, but the vehicle has not yet left the parking area, the towing company is required to release the vehicle to the owner for a fee of no more than $100.

 

The legislation also ensures that vehicle owners are properly notified if their vehicle is towed, sold, or demolished by a towing company and directs the Department of Revenue to create a motor vehicle portal. The portal may be accessible by law enforcement, towing companies, vehicle owners, and lien holders. The portal will be used for all public notifications of the sale of unclaimed vehicles.

 

This legislation takes effect July 1, 2024; the portal will be implemented and in effect July 1, 2025. The overall modernization of the past towing statutes is a huge step for the trucking and transportation.

 

Campaign and Fundraising Season

 

Legislative fundraising is in full swing, and the campaign season is very busy with some active races. This year all the House members and half of the Senate members are up for re-election. In the Senate, eight of the sixteen members that are up for re-election have well-funded primary opponents. The following Senate members fall under this category: Becky Massey (R-Knoxville), Jon Lundberg (R-Bristol), Frank Niceley (R-Strawberry Plains), Todd Gardenhire (R-Chattanooga), Ken Yager (R-Kingston), Ferrell Haile (R-Gallatin), John Stevens (R-Huntingdon), and Sara Kyle (D-Memphis). Along those lines, Senator Art Swann (R-Maryville) has retired this year, leaving his seat open. Bryan Richey (R-Maryville), a former House member, is running for the open seat as well as Tom Hatcher who is a former Blount County Sheriff’s Deputy.

 

In fundraising news, the TRUCK PAC has given $50,500 since the end of session in late April. This would not be possible without the support of the Tennessee Trucking Association members. Please continue to support the TRUCK PAC with your contributions.

 

Please contact us if you have any questions.

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