Colorado Parking Lot Towing Rules: Signs, Notice and Owner Steps

A Colorado parking lot owner can authorize towing, but only after the right signs are up and, on residential lots, usually after a 24-hour windshield notice. The rules sit in C.R.S. 40-10.1-405 and the Colorado Public Utilities Commission (PUC) towing rules. Get the signs wrong and a tow can be challenged, refunded, or reported to the PUC.

This guide covers what the statute requires, the difference between residential and commercial lots, and a checklist to run before you sign a towing contract. It is general information, not legal advice. City codes can add rules, so check your city too.

Who can authorize a tow from your lot

Under C.R.S. 40-10.1-405(3)(a), a towing carrier may not tow a vehicle from private property without the owner's consent unless one of a short list of conditions applies. The main ones:

1. A creditor is repossessing the vehicle.
2. A court, an administrative order, or a peace officer directs the tow.
3. The vehicle blocks a driveway or roadway.
4. The property owner, lessee, or a qualifying association or agent gives permission within 24 hours before the tow.

Point 4 matters most for lot owners. Permission is tied to a specific tow, and the statute says a towing carrier cannot act as the agent that grants it on residential property. The PUC towing poster sums it up: on residential property the towing company may not authorize tows on the owner's behalf; on commercial property it may.

Decision: if you run a commercial lot and want the tow company to patrol, put that authority in writing. If you run apartments, a condo complex, or an HOA lot, plan for a person on your side to approve each tow.

Signs every private lot needs

The PUC poster's first rule for all private property is simple: post visible signs at every entrance.

The statute gives the detail. Under 40-10.1-405(4)(f)(III), a towing carrier under contract with a property owner must post signs that:

• Are at least 1 square foot in size.
• Use lettering at least 1 inch tall that contrasts with the background.
• Say "Authorized Parking Only."
• Show the name and phone number of the towing carrier.
• Are printed in English.
• Stand at the entrance, face the street, and are visible before a driver enters.
• Also stand inside the parking area, facing the spaces.
• Are not blocked from view.
• Sit between 3 and 8 feet above the ground.

Large lots need more. The statute calls for signs on or near each lamppost in lots with more than 10 freestanding lampposts. Carriers must keep proof of signs and notices for 3 years after a tow.

Decision: walk the lot with a tape measure. Count entrances. Count lampposts. Order signs to match. A sign that is 7 inches wide or mounted at 9 feet does not meet the rule.

Extra rules for residential lots

Apartment, condo, and HOA lots carry more steps.

24-hour notice. Under 40-10.1-405(3)(b), a vehicle generally gets a written notice on the windshield at least 24 hours before a tow. The notice must say the car will be towed if it stays parked improperly, describe the violation, give the tow time, and warn that repeat violations can lead to towing without notice.

When notice is not required. The statute lists exceptions, including:

• The driver already got two notices for the same violation.
• The vehicle blocks a driveway or roadway.
• The vehicle is in a marked fire zone.
• The vehicle is in a disability space without the required placard or plate.
• The vehicle sits in a resident's assigned, rented, or purchased space.
• The vehicle lacks valid authorization in a lot marked for residents only.

Signs for resident-only tows. For the last two exceptions, 40-10.1-405(3)(c) requires a sign at each entryway, facing the driver, with the international towing symbol at least 4 by 4 inches, mounted 5 to 8 feet high.

Tenants must be told. Residents must get the parking rules in writing before rules are adopted or changed, or before they sign a lease.

No tows for expired tags. Under 40-10.1-405(7), a carrier may not tow from private property for expired registration unless a peace officer orders it. The PUC poster flags this as a residential rule.

What changes on commercial lots

The PUC poster lists the commercial differences for retail, restaurant, hotel, and other business lots:

• No 24-hour notice is required.
• The towing company may authorize tows for the owner.
• The poster lists pre-tow photos as a residential rule. The statute's photo rule in (2)(a) reads broadly, so expect your carrier to take photos anyway.
• A drop fee may be charged on commercial property, but the statute bars a drop charge once a car is hooked up and before it is removed.

The sign rules above still apply. Entrances still need visible signs.

Decision: commercial owners trade notice steps for a stronger contract. Spell out which hours, which violations, and who signs off.

What a towing carrier must do

Owners do not run the tow, but the carrier's mistakes can land on your lot's reputation. Under 40-10.1-405(2), before hooking up, the carrier must take at least 4 photos (front, rear, both sides) at 2,000 by 2,000 pixels or more, plus one photo showing the reason for the tow, including any sign. Missing photos create a presumption against the carrier.

Other carrier duties in the statute:

1. Return personal property on request within 30 days after notice is mailed.
2. Release the car to an owner who pays 15% of fees, capped at $60, when the statute's conditions are met.
3. Stop the tow if asked before the car leaves the lot.
4. Print PUC complaint information on the invoice.

The PUC poster adds that for-hire towing companies should hold a permit and proper insurance. Ask for both before you sign.

A pre-contract checklist

Run this list before any tow is authorized:

1. Confirm the carrier's PUC permit and insurance.
2. Classify the lot: residential, commercial, or mixed.
3. Count entrances and lampposts. Order signs at 1 sq ft or larger, 1-inch letters, carrier name and phone.
4. Mount signs 3–8 feet high (5–8 feet for resident-only tow signs).
5. For residential lots, give tenants written rules and set a 24-hour notice process.
6. Write down who can authorize a tow and how, within the 24-hour window.
7. Photograph your own signs each quarter and keep the photos.
8. Check your city code. Denver, Boulder, and other cities may add rules.

How Park Graph fits in

Towing is a last resort. Most owners want drivers to pay, not leave angry. Park Graph is paid parking without the gate. You set your rate, print a QR sign, and drivers scan with a phone camera to pay. No app or account is needed. Drivers can pay with Apple Pay, Google Pay, or a card, per the how it works page.

Payments split through Stripe Connect to your Stripe Express account. The pricing page lists a free Starter plan with a 10% transaction fee (min $0.75), a Pro plan at $413/mo with a 5% fee, and Enterprise at $2,079/mo with a 3.3% fee.

A clear pay sign next to your "Authorized Parking Only" sign gives drivers an easy way to comply. Read about QR code safety and QR payments, or model income with the parking lot revenue calculator.

Start free at https://parkgraph.com