Tow industry tells committee unpaid tows, title delays and rotation problems threaten local service

Representatives of Montana’s tow and recovery community and Montana Highway Patrol officials told the Transportation Interim Committee the industry is under financial pressure from unpaid tows, expensive title‑and‑liability processes and inconsistent rotation practices by local agencies. Panelists said as many as 30–50% of towed vehicles become unreimbursed liabilities for local towers, who must pay certified‑mail notices, title filings and storage costs while awaiting owner or lienholder responses.

Operators described a fragmented process for obtaining registered‑owner and lienholder information: vendors charge per‑VIN lookup (and sometimes return incomplete records), while state returns may be redacted. Several tow operators proposed a secure state portal that would provide towers limited access to the minimal owner and lien data required for certified notice, which they said would reduce fees and processing time; operators also said the current process often requires unnecessary third‑party searches and causes lengthy yard occupancy.

On rotation and dispatch, panelists and troopers said local favoritism (local law enforcement calling preferred providers) undermines fair, equitable rotation lists and increases conflict at crash scenes; some counties have separate quick‑clearance rotations for non‑crash removals. Industry representatives supported increased transparency in rotation lists, better enforcement of rotation protocols and more user‑friendly dispute resolution mechanisms.

Panelists flagged emerging issues: handling of electric vehicles (battery fire/disposal risk) and hazardous‑material response for commercial haulers (which can be costly and require interagency coordination). The committee asked agencies and industry groups to explore statutory and administrative changes (including liability/recovery clarifications) and directed staff to continue drafting possible bill language.