ArkansasHB20012025 Regular SessionHouseWALLET

TO CREATE THE ARKANSAS TOWING AND RECOVERY REFORM AND EFFICIENCY ACT OF 2025; TO AMEND THE LAW CONCERNING THE ARKANSAS TOWING AND RECOVERY BOARD; AND TO DECLARE AN EMERGENCY.

Sponsored By: Kim Hammer (Republican), Stetson Painter (Republican)

Enacted

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Bill Overview

Analyzed Economic Effects

4 provisions identified: 3 benefits, 0 costs, 1 mixed.

Owners can reclaim property before full payment

Owners or authorized representatives can recover cargo for a release fee capped at 20% of the towing-and-storage bill. For eligible personal-vehicle contents, the cap is 5%; this does not release the vehicle itself. The fee counts toward the bill, and the owner or representative must assure future payment of the full bill. Whoever retrieves the property must be insured and liable for damage caused at the towing company's location. The company can still collect the balance or take steps to secure its lien. The contents rule does not cover items already excluded under Arkansas Code § 27-50-1208(a)(2)(B).

Clear release rights after police-ordered towing

After a police-initiated tow, the company must immediately release the vehicle and cargo when fees are undisputed and the invoice is paid. During a genuine dispute over whether fees are reasonable, it must immediately release cargo after receiving the required papers. Cargo owners other than the transportation company must provide proof of ownership. For its own cargo, the transportation company can provide an insurer's letter listing coverage, claim number, policy number, and policy limits. If insurance cannot cover cleanup, it can instead provide a signed company guarantee; the towing company can still lawfully collect the balance.

Towing bills must explain complaint rights

Beginning July 1, 2025, towing and storage companies must prominently print a bold complaint notice at every towing invoice's bottom. It must explain that people who suffer damage or overcharges can complain to the Arkansas Towing and Recovery Board. The notice must use the board's provided or modified form and include 501-682-3801 and www.artowing.arkansas.gov. This requirement does not lower charges or guarantee compensation.

Towing rules cover more work and cargo

Cargo includes goods and materials carried by motor carriers, plus pallets, containers, load-securing systems, and other packing. The definition uses the federal motor-carrier rule in 49 C.F.R. § 390.5 as it existed January 1, 2025. Towing services cover towing, recovery, transport, repossession, storage, and seeking customers for towing services. They also cover necessary labor, services, and equipment for on-road or off-road recovery and cleanup actually performed by the towing business.

Sponsors & Cosponsors

Sponsors

  • Kim Hammer

    Republican • Senate

  • Stetson Painter

    Republican • House

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 107 • No: 12

Senate vote • 4/16/2025

Senate Vote - Wednesday, April 16, 2025 11:52:14 AM

Yes: 29 • No: 3 • Other: 3

House vote • 4/10/2025

House Vote - Thursday, April 10, 2025 4:20:34 PM

Yes: 78 • No: 9 • Other: 6

Actions Timeline

  1. Notification that HB2001 is now Act 932

    4/21/2025House
  2. Correctly enrolled and ordered transmitted to the Governor's Office.

    4/16/2025House
  3. TO BE ENROLLED

    4/16/2025House
  4. Returned from the Senate as passed.

    4/16/2025House
  5. Returned to the House as passed.

    4/16/2025Senate
  6. EMERGENCY CLAUSE ADOPTED

    4/16/2025Senate
  7. Read the third time and passed.

    4/16/2025Senate
  8. Returned by the Committee, with the recommendation that it Do Pass

    4/14/2025Senate
  9. Read first time, rules suspended, read second time, referred to TRANSPORTATION, TECHNOLOGY & LEGISLATIVE AFFAIRS - SENATE

    4/10/2025Senate
  10. Received from the House.

    4/10/2025Senate
  11. EMERGENCY CLAUSE ADOPTED

    4/10/2025House
  12. Read the third time and passed and ordered transmitted to the Senate.

    4/10/2025House
  13. Returned by the Committee Do Pass

    4/9/2025House
  14. Read the first time, rules suspended, read the second time and referred to the Committee on PUBLIC TRANSPORTATION- HOUSE

    4/7/2025House
  15. Filed

    4/7/2025House

Bill Text

  • HB2001 - Introduced

    4/7/2025

  • Act Version

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