HOUSE BILL REPORT

EHB 1630

BYRepresentatives Walk, Schmidt and Gallagher; by request of Department of Licensing

Requiring insurance for continued registration of tow truck operators.

House Committe on Transportation

Majority Report:  Do pass with amendments.  (23)

      Signed by Representatives Walk, Chair; Baugher, Vice Chair; Betrozoff, Cooper, Day, Doty, Fox, Gallagher, Hankins, Haugen, Heavey, Jacobsen, Jones, Patrick, Schmidt, D. Sommers, Sutherland, Todd, Vekich, J. Williams, K. Wilson, S. Wilson and Zellinsky.

House Staff:Terry Michalson (786-7315)

AS PASSED HOUSE FEBRUARY 16, 1988

BACKGROUND:

Tow truck operators within the state are required to register with the Department of Licensing.  The operator must meet statutory requirements before being issued a license.

In the application the operator must provide the name(s) and addresses of the owner(s) of the business and anyone having an interest in the business, the names and addresses of all employees, proof of minimum insurance amounting to $100,000 for bodily injury or property damage and $50,000 of liability insurance for vehicle damage.

In addition to the liability insurance, the tow truck operator must file a surety bond in the amount of $5,000 running to the state.  If this surety bond is not maintained, the operator's state registration is automatically cancelled.

Also, the operator must provide a certificate of approval from the local chief of police or, in the case of rural areas, a member of the Washington State Patrol.  This certificate certifies the place of business has an office area accessible to the public and the operator has adequate and secure storage facilities.

SUMMARY:

A tow truck operator's state registration is automatically cancelled if the operator's liability and property damage insurance is cancelled.  Technical changes to Chapter 46.55 RCW eliminate obsolete section references.  Section 46.61.567 RCW, authorizing the State Patrol to remove vehicles, is moved to Chapter 46.55 RCW.

EFFECT OF SENATE AMENDMENT(S) The current regulation by the Department of Licensing and the Washington State Patrol of registered tow truck operators who impound unauthorized vehicles is extended to anyone who operates a tow truck.  However, only those regulations with respect to equipment safety, insurance, and bonding are extended to this new classification on non-impounding operator.

All tow truck operators will be charged registration fees based on the cost of administering the registration program; and each operator shall be assessed based on the type of towing activities for which the operator is licensed.

Fiscal Note:      Not Requested.

House Committee ‑ Testified For:    Dave Kirk, Department of Licensing; Rolf Johnson, Washington Tow Truck Association.

House Committee - Testified Against:      None Presented.

House Committee - Testimony For:    Automatic cancellation of a tow truck operator's state registration when liability insurance coverage has been cancelled is necessary to protect the public against uninsured operators.

House Committee - Testimony Against:      None Presented.

VOTE ON FINAL PASSAGE:

      Yeas 97; Excused 1

Excused:    Representative Smith C