SB 1175

relating to the biennial adjustment of certain towing fees and
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1.  Section 2308.0575, Occupations Code, is amended
Sec. 2308.0575.  BIENNIAL ADJUSTMENT OF CERTAIN [RULES ON]
FEES AND MAXIMUM CHARGES[; CONTRACT FOR STUDY; CONFIDENTIAL
INFORMATION].  (a)  In this section, "consumer price index" means
the Consumer Price Index for All Urban Consumers (CPI-U) published
by the Bureau of Labor Statistics of the United States Department of
(b)  To protect the public health and safety and subject to
Subsection (c), in each odd-numbered year the commission, not later
than November 1, by rule may adjust [shall establish]:
(1)  the fees that may be charged in connection with a
(2)  the maximum amount that may be charged for fees,
other than tow fees, that may be assessed by a towing company in
connection with a private property tow; and
(3)  a maximum amount that may be charged for the
following private property tows:
(A)  standard light-duty tows of motor vehicles
with a gross weight rating of 10,000 pounds or less;
(B)  medium-duty tows of motor vehicles with a
gross weight rating of more than 10,000 pounds, but less than 25,000
(C)  heavy-duty tows of motor vehicles with a
gross weight rating that exceeds 25,000 pounds.
(c)  The commission may adjust fees and maximum charge
amounts under Subsection (b) by an amount equal to the amount of the
applicable fee or charge amount in effect on December 31 of the
preceding year multiplied by the percentage increase or decrease in
the consumer price index during the most immediate preceding state
(d)  If a fee or maximum charge amount is adjusted under this
section, the commission shall publish the adjusted fee or amount on
the department's Internet website.
(e)  A fee or maximum charge amount adjusted under this
section is effective beginning the January 1 following the adoption
(f)  If a fee or maximum charge amount is decreased under
this section, the operator of a vehicle towing company, as defined
by Section 2308.002, shall begin charging the adjusted fee or
amount on the effective date of the decrease.  If a fee or maximum
charge amount is increased under this section, the operator may
begin charging the adjusted fee or amount at any time on or after
the effective date of the increase.
[(b)  In adopting rules under Subsection (a), the commission
shall contract for a study that:
[(1)  examines towing fee studies conducted by
municipalities in this state; and
[(2)  analyzes the cost of towing services by company,
the consumer price index, the geographic area, and individual cost
[(c)  The commission may structure the maximum amounts that
may be charged for private property tows based on hourly or flat
fees or by geographic location.
[(d)  The commission shall maintain the confidentiality of
information contained in a study conducted under this section that
is claimed to be confidential for competitive purposes and may not
release information that identifies a person or company.  The
confidential information is exempt from disclosure under Chapter
[(e)  To protect the confidentiality of the information, the
commission shall aggregate the information to the maximum extent
possible considering the purpose of the study.
[(f)  The department shall contract to conduct a study on
private property towing fees under this section at least once every
SECTION 2.  This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution.  If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2025.