Many complaints stem from tows carried out by Wyatt’s Towing, a Denver metro company. The PUC has logged more than 1,000 complaints from consumers about the company over the past 3 years. 

Colorado’s Attorney General Phil Weiser announced earlier this week he was investigating Wyatt’s for potential fraud and violations of the state’s consumer protection laws. The announcement came after Sen. Gonzales, one of the towing bill’s main sponsors, tweeted about an alleged illegal tow of her car last week. 

During Thursday’s hearing, lawmakers also scrutinized ambiguity in PUC rules around tow warnings on private properties. The state’s new laws require tow companies to label parking spots as “Authorized Parking Only” in order to tow someone from a particular spot. 

The proposed amendments allowed flexibility to use that or “similar” language, which isn’t what the law intended, said Rep. Naquetta Ricks. 

“This is not the spirit or intent of our legislation,” she said. 

Lawmakers also noted that the PUC included a provision that bans tow companies from issuing loans to vehicle owners, mirroring a similar statement in July from the Attorney General’s office. They said that issue was settled in the original legislation. 

“There’s no questioning that our law does not allow tow companies to issue loans,” Gonzales said. “If we have to spell that out in future legislation, so be it.” 

A PUC judge will make a final determination on the state’s new towing rules in late September.