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HB 25-1117

Vehicle Immobilization Company Regulation

2025 Regular Session Introduced by Jennifer Bacon and 22 co-sponsors

HB 25-1117 creates a state regulatory framework for vehicle immobilizers, requiring annual PUC permits, transparency, fair practices, and penalties to protect vehicle owners.

Governor Signed
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Bill Summary · HB 25-1117

HB 25-1117 — Vehicle Immobilization Company Regulation

Status: Governor signed (effective June 3, 2025)
Introduced: January 27, 2025 | Prime Sponsors: Rep. Junie Joseph, Rep. Andrew Boesenecker; Sen. Julie Gonzales, Sen. Mike Weissman

Purpose / Intent

The act creates a comprehensive regulatory framework for private companies that immobilize ("boot") vehicles. It is intended to protect vehicle owners (especially low-income and vulnerable persons) by increasing transparency, limiting abusive practices, and providing enforcement tools for regulators and consumers.

Key provisions

  • Scope and definitions

    • Broadens permit requirement to cover any application, without appropriate consent, of a device intended to prevent the normal operation of a motor vehicle.
    • Defines “vehicle immobilization company” and excludes political subdivisions (cities/counties).

  • Permit authority and eligibility

    • Public Utilities Commission (PUC, in DORA) issues annual permits and may deny, suspend, revoke, or refuse renewal.
    • Applicants must disclose owners/principals per PUC rules.
    • The PUC may act if possession of a permit is “not in the public interest”; a rebuttable presumption arises where a company has willfully and repeatedly failed to comply.

  • Operational requirements for companies

    • Must document vehicle condition and reason for immobilization before applying device (photographs and standards required).
    • Must provide copies of photographs upon demand; failure to provide them when a vehicle is damaged creates a rebuttable presumption the company caused damage or lacked authority.
    • Representatives must visibly wear business identification; company vehicles must display company name, permit number, and phone number.
    • Must provide evidence of commercial liability insurance upon request and retain required documentation (including permissions) for 3 years.
    • Itemized billing required; disclose accepted forms of payment; must accept cash or valid major credit cards.
    • Cannot immobilize a vehicle already immobilized by another company; if multiple devices applied, cannot charge more than once for removal.
    • May not patrol/monitor property to enforce parking restrictions or pay money/consideration for privilege to immobilize vehicles.

  • Private property & notice/signage rules

    • Generally prohibits immobilization on private property unless authorized by court/order/peace officer/operation of law or the company has permission from specified person obtained within 24 hours prior (retain permission 3 years).
    • Requires property owners to provide adequate tenant notice of parking rules.
    • Requires adequate signage meeting size/placement/visibility standards and containing restriction times, notice that violations may result in immobilization, and the authorized company’s name & phone number.
    • A 24‑hour written notice on the vehicle’s windshield is required before immobilization in parking spaces/common areas, except in certain repeat-violation situations.

  • Release and timing rules

    • Companies must release a vehicle within specified timeframes after contact (statutory time windows apply).
    • Must immediately release a vehicle if an authorized/interested person pays at least a partial amount (fiscal note references $60 threshold and other conditions) — and must accept payment and release if offered in cash or by major credit card.
    • Reduced “drop”/release fees and rulemaking authority for PUC regarding drop fees and financial responsibility filings.

Enforcement & penalties

  • Violations by companies are made a deceptive trade practice under the Colorado Consumer Protection Act.
  • Enforcement may be pursued by the Attorney General or district attorneys.
  • Civil penalties up to $20,000 per violation (with potential additional penalties for contempt/subsequent violations).
  • PUC rulemaking authority to implement standards (signage, drop fees, financial responsibility proof).

Who is affected

  • Primary: Private vehicle immobilization companies and their owners/operators.
  • Secondary: Property owners and managers (signage & tenant-notice obligations), vehicle owners/drivers (improved protections), PUC/DORA (permit oversight), Attorney General and district attorneys (enforcement), and the judicial system (possible civil filings).

Fiscal and administrative impact

  • Final fiscal note (enacted version) projects minimal ongoing state workload increases (PUC investigations, Department of Law review, possible Judicial Department filings). No appropriation required.
  • Potential but indeterminate state/local revenue from civil penalties and any increased court filing fees; fiscal note could not quantify penalties given uncertainty.

Procedural / timeline notes

  • Introduced Jan 27, 2025; passed both chambers with amendments; sent to Governor May 15, 2025; signed into law June 3, 2025 (effective date).
  • Permits are annual; companies must retain certain records for 3 years.
  • PUC authorized to adopt implementing rules.

Compiled from official sources — confirm details with the bill’s official record.

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