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TennesseeSB 1068114th General Assembly (2025-2026)SenateWALLET

AN ACT to amend Tennessee Code Annotated, Title 4; Title 5; Title 6; Title 7; Title 39; Title 47; Title 48; Title 55; Title 56; Title 62; Title 66 and Title 67, relative to motor vehicles.

Sponsored By: Jack Johnson (Republican)

Became Law

Motor Vehicles

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Bill Overview

Analyzed Economic Effects

9 provisions identified: 5 benefits, 1 costs, 3 mixed.

Licenses and $250K bond for booters

Cities and counties may license booting operators and parking enforcement vendors. Licenses are yearly and must include ID rules, complaint handling, and a public registry. Vendors must file a surety bond of at least $250,000 with the county. People harmed by a licensee’s unlawful or negligent actions can claim money against the bond.

Towing limits and storage fee caps

You generally cannot be towed or stored without written permission, except for posted lots, hazards, law enforcement, or vehicles left at least 12 hours per posted rules. Lot signs must name the towing company and list a phone number at each entrance. If the tow has started but the car is still there, it must be released when you pay the release fee. Release fees cannot be more than $100. Storage past 21 days needs your or the lender’s consent, and you cannot be charged for days the car was not available unless police held it. Before the portal starts, extra storage past 21 days needs three‑day delivery notice at least 10 days ahead; 90 days after the portal is live, notice must be through the portal. Towing companies and property owners cannot pay or accept referral or kickback fees for towing. When the owner is not present, towers must report the tow within one hour to police (before the portal) or enter it in the portal (after it has been live for 90 days).

Stronger rules on booting and parking

The law sets strict rules for parking boots and penalties. Cars with a USDOT number or certain plates cannot be booted. Signs must be posted and boots must be self‑releasing. The removal cost cannot be more than unpaid parking fees plus $75, and you owe no removal fee if you paid and were booted by mistake. Penalties for unpaid parking are capped at $50 if paid within 30 days and $75 after 30 days. Lots must wait at least seven business days after a QR or card machine failure and must take cash or check or let you leave. Lots that use license plate readers must post signs that say “LICENSE PLATE READER IN USE” at each entrance and on each level. If you intentionally damage or do not return a boot, an extra fee up to $100 may be charged.

Clearer auction rules and owner rights

Abandoned or immobile cars that are not claimed are sold at public auction. The buyer gets a sales receipt, and the Department of Revenue issues a clear title. Sale money first pays auction, towing, storage, notice, and posting costs. Any leftover is held for the owner or lender for 60 days, then goes to a special fund. A law enforcement chief may give the right to sell a vehicle to the garage that lawfully holds it. If the garage did repairs, it may enforce a repair lien. All sales must be commercially reasonable, and harmed owners can sue for an injunction, damages, and attorney fees.

Easier disposal to auto demolishers

If a car is abandoned, immobile, or has a bad title, the holder can ask police for a certificate to dispose of it to a demolisher. Demolishers do not need a title to wreck a car. They must notify the national title system and surrender any title or auction receipt after demolition. Demolishers must keep purchase and receipt records for at least one year. Vehicles over 10 years old with no engine or that are totally inoperable can go to a demolisher without a title and without the normal notice steps.

State portal for tows and sales

The state creates an online motor vehicle portal. Procurement starts no later than July 1, 2025, and the portal is running no later than October 1, 2026. The portal lets the public search for towed or stored cars, shows fees and pickup info, compares to registration records, and sends mailed notices to the last known owner and lienholders. Towing companies can upload reports, and the portal offers APIs and stores records. Starting 90 days after the portal is live, public sale notices are posted on the portal instead of newspapers and must list the year, make, model, plate, VIN (if any), and sale date and time. The law also updates definitions and uses a three‑day delivery standard for required mail.

Stronger enforcement on towing abuses

Most violations of these towing and parking rules are treated as unfair or deceptive acts under the Tennessee Consumer Protection Act. The Attorney General can investigate and enforce. Injured people can sue, seek an injunction, and recover actual, compensatory, and punitive damages, plus attorney fees. The law lists specific towing and sale rules covered. Breaking certain listed towing and storage rules is also a crime: a first offense is a Class B misdemeanor, and a second or later offense is a Class A misdemeanor.

User fees for the state portal

Starting 90 days after the portal is live, the Department of Revenue may charge users a fee to run and maintain it. Law enforcement does not pay the fee. Public searches on the portal stay free. All fee money goes to a special account used only for the portal. The law does not set the fee amounts.

Deletes a prior code section

The law deletes Tennessee Code Annotated §47-50-120. The effect depends on what that section used to do and any cross‑references in other laws.

Sponsors & Cosponsors

Sponsor

  • Jack Johnson

    Republican • Senate

Cosponsors

  • Ed Jackson

    Republican • Senate

  • Bill Powers

    Republican • Senate

  • Shane Reeves

    Republican • Senate

Roll Call Votes

All Roll Calls

Yes: 228 • No: 10

Senate vote • 4/22/2025

FLOOR VOTE: Motion to Concur House Amendment # 5 4/22/2025

Yes: 31 • No: 1

Senate vote • 4/22/2025

FLOOR VOTE: Motion to Concur House Amendment # 3 4/22/2025

Yes: 29 • No: 1

House vote • 4/22/2025

FLOOR VOTE: REGULAR CALENDAR 2 AS AMENDED PASSAGE ON THIRD CONSIDERATION 4/22/2025

Yes: 88 • No: 7

Senate vote • 4/22/2025

FLOOR VOTE: Motion to Concur House Amendment # 4 4/22/2025

Yes: 30 • No: 1

Senate vote • 3/24/2025

FLOOR VOTE: as Amended Third Consideration 3/24/2025

Yes: 31 • No: 0

Senate vote • 3/11/2025

SENATE FINANCE, WAYS AND MEANS COMMITTEE

Yes: 11 • No: 0

Senate vote • 2/25/2025

SENATE COMMERCE AND LABOR COMMITTEE

Yes: 8 • No: 0

Actions Timeline

  1. Pub. Ch. 457

    5/15/2025

  2. Effective date(s) 05/09/2025

    5/15/2025

  3. Signed by Governor.

    5/9/2025Senate

  4. Transmitted to Governor for action.

    5/1/2025Senate

  5. Signed by H. Speaker

    4/30/2025House

  6. Enrolled and ready for signatures

    4/29/2025Senate

  7. Signed by Senate Speaker

    4/29/2025Senate

  8. Sponsor(s) Added.

    4/23/2025Senate

  9. Subst. for comp. HB.

    4/22/2025House

  10. Am. withdrawn. (Amendment 1 - HA0132)

    4/22/2025House

  11. Am. withdrawn. (Amendment 2 - HA0133)

    4/22/2025House

  12. H. adopted am. (Amendment 3 - HA0530)

    4/22/2025House

  13. H. adopted am. (Amendment 4 - HA0531)

    4/22/2025House

  14. H. adopted am. (Amendment 5 - HA0532)

    4/22/2025House

  15. Passed H., as am., Ayes 88, Nays 7, PNV 2

    4/22/2025House

  16. Placed on Senate Message Calendar 3 for 4/22/2025

    4/22/2025Senate

  17. Concurred, Ayes 29, Nays 1 (Amendment 3 - HA0530)

    4/22/2025Senate

  18. Concurred, Ayes 30, Nays 1 (Amendment 4 - HA0531)

    4/22/2025Senate

  19. Concurred, Ayes 31, Nays 1 (Amendment 5 - HA0532)

    4/22/2025Senate

  20. Rcvd. from S., held on H. desk.

    3/27/2025House

  21. Senate adopted Amendment (Amendment 1 - SA0030)

    3/24/2025Senate

  22. Senate adopted Amendment (Amendment 2 - SA0082)

    3/24/2025Senate

  23. Passed Senate as amended, Ayes 31, Nays 0

    3/24/2025Senate

  24. Engrossed; ready for transmission to House

    3/24/2025Senate

  25. Sponsor(s) Added.

    3/24/2025Senate

Bill Text

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