SB2010 SD1

SECTION 1. The legislature finds that too many motor vehicle drivers are threats to public safety and create risks of injury or death. The legislature believes that impounding vehicles when drivers commit certain traffic violations will greatly contribute to safer roads.

Accordingly, the purpose of this Act is to:

(1) Authorize the impoundment of a motor vehicle when the driver is arrested or cited, if the arresting or citing officer has a valid public safety concern;

(2) Provide that if a law enforcement officer lawfully stops a motor vehicle and the operator is cited for driving without a valid license, the officer shall not permit the operator to resume the use of the motor vehicle;

(3) Require the motor vehicle to be moved by a licensed driver or towed at the owner's expense;

(4) Provide that the cited operator is responsible for arranging the operator's transportation away from the scene of the stop.

(5) Authorize the impoundment of a motor vehicle when the driver is convicted of, or judgment is found in favor of the State for, certain traffic violations or repeated traffic violations.

SECTION 2. Chapter 286, Hawaii Revised Statutes, is amended by adding two new sections to be appropriately designated and to read as follows:

"§286- Impoundment of motor vehicles involved in certain traffic violations; exceptions. (a) Except as otherwise provided in this section, in any court case in which a person is convicted of, or which judgment is found for the State regarding, any alleged traffic violation listed in section 291C- (a), the court may order the impoundment of the motor vehicle for not more than thirty days at the registered owner's expense.

(b) If the person is convicted of violating:

(1) Section 291E-61, by operating a vehicle under the influence of an intoxicant;

(2) Section 291E-61.5, by habitually operating a vehicle under the influence of an intoxicant;

(3) Section 291E-62, by operating a vehicle after license and privilege has been suspended or revoked for operating a vehicle under the influence of an intoxicant; or

(4) Section 291E-64, by operating a vehicle after consuming a measurable amount of alcohol as a person under the under the age of twenty-one,

and the person has two or more prior convictions in the previous five years for one or more of the traffic violations listed in this subsection, the court may order the impoundment of the motor vehicle for not more than ninety days at the registered owner's expense.

(1) Public safety as the top priority;

(2) If a motor vehicle was impounded pursuant to section 291C- , whether further impoundment is necessary;

(3) If a third party is the registered owner of the vehicle, whether:

(A) The person who committed the traffic violation operated the vehicle without the third party's permission; and

(B) The person who committed the traffic violation would likely continue to have access to the vehicle; and

(4) Whether the interests of justice would be better served by not impounding the vehicle.

(d) Notwithstanding subsections (a) through (c), if the person has had multiple convictions for driving without a valid motor vehicle insurance policy within a five-year period from any prior offense, section 431:10C-117(a)(6) shall apply.

§286- Unauthorized operators; use of motor vehicle prohibited. (a) If a law enforcement officer lawfully stops a motor vehicle and cites the person operating the motor vehicle for allegedly violating section 286-102, 286-122, 286‑130, 286‑131, 286-132, 286-133, or 286-134, the officer shall not permit the operator to resume the use of the motor vehicle.

(b) The motor vehicle may be removed from the scene of the stop by:

(1) The registered owner of the motor vehicle, if the registered owner possesses a valid driver's license; or

(2) Any other individual who possesses a valid driver's license, if the individual has the explicit permission of the registered owner of the motor vehicle;

provided that the individual taking possession of the motor vehicle is able to legally park or store the motor vehicle.

(c) If an individual described in subsection (b) cannot remove the motor vehicle within a reasonable time, the law enforcement officer shall arrange for the motor vehicle to be towed, at the expense of the motor vehicle's registered owner, to:

(1) The address of the motor vehicle's registered owner; or

(2) Any location designated by the county in which the stop occurred.

(d) The cited operator shall be responsible for arranging the cited operator's transportation from the scene of the stop, which may include the use of public transportation, rideshare or taxi services, or riding as a passenger in a motor vehicle operated by a person possessing a valid driver's license. Any transportation expenses incurred shall be the responsibility of the cited operator. The cited operator shall inform the law enforcement officer of the cited operator's transportation arrangements."

SECTION 3. Chapter 291C, Hawaii Revised Statutes, is amended by adding a new section to part XV to be appropriately designated and to read as follows:

"§291C- Motor vehicle towing and storage; violations. (a) Except as provided in this section, a police officer who cites or arrests the operator of a motor vehicle for a traffic violation may have the motor vehicle towed to a private tow yard and impounded at the registered owner's expense pursuant to section 291C-165.5(a) if the officer has a valid public safety concern under subsection (b) and the operator is alleged to have violated:

(1) Section 286-102, by driving without a license;

(2) Section 286-132, by driving while the person's license is suspended or revoked;

(3) Section 291-2, by recklessly driving a vehicle;

(4) Section 291C-12, by being involved in and failing to stop at, or return to the scene of, a collision involving death or serious bodily injury;

(5) Section 291C-12.5, by being involved in and failing to stop at, or return to a scene of, a collision involving substantial bodily injury;

(6) Section 291C-12.6, by being involved in and failing to stop at, or return to a scene of, a collision involving bodily injury;

(7) Section 291C-13, by being involved in and failing to stop at, or return to a scene of, a collision involving damage to vehicle or property;

(8) Section 291C-105, by excessively speeding; provided that the operator was previously convicted of excessive speeding within years of the current alleged violation;

(9) Section 291E-61, by operating a vehicle under the influence of an intoxicant;

(10) Section 291E-61.5, by habitually operating a vehicle under the influence of an intoxicant;

(11) Section 291E-62, by operating a vehicle after the person's license and privilege to operate a vehicle has been suspended or revoked for operating a vehicle under the influence of an intoxicant;

(12) Section 291E-64, by operating a vehicle after consuming a measurable amount of alcohol as a person under the under the age of twenty-one;

(13) Section 431:10C-104, by operating a motor vehicle without a valid motor vehicle insurance policy; or

(14) Any jailable traffic violation not listed in this subsection; provided that the operator was previously convicted of not fewer than jailable traffic violations within years of the current alleged violation.

(b) A police officer has a valid public safety concern for the purposes of subsection (a) if the officer has reason to believe that, after the operator is cited or released from custody, the operator is likely to attempt to operate the motor vehicle:

(1) Under the influence of an intoxicant; or

(2) In a manner that places others at significant risk of injury or death.

(c) Notwithstanding subsections (a) and (b), a motor vehicle shall not be towed or impounded pursuant to this section if:

(1) The registered owner or a passenger present in the vehicle when the operator is arrested, or when a summons or citation is issued:

(A) Has a valid driver's license;

(B) Is willing legally able to operate the motor vehicle; and

(2) The motor vehicle is legally parked at a time and place where the likelihood of the vehicle being subject to theft or vandalism is remote and traffic or public safety is not impeded.

(d) No county police department or police officer shall be responsible for protecting a motor vehicle left on any public way after the motor vehicle's operator has been arrested for a violation listed in subsection (a).

(e) For the purposes of this section, "jailable traffic violation" means any traffic crime or violation under this title or other applicable law that is punishable by incarceration."

SECTION 4. Section 291C-165.5, Hawaii Revised Statutes, is amended to read as follows:

"§291C-165.5 Motor vehicle towing and storage; settlement; disabled vehicles. (a) Notwithstanding any other provision of this chapter, any vehicle identified for removal pursuant to any state law or county ordinance ordering or authorizing the removal of motor vehicles by any county police department for traffic violations, or any vehicle involved in a motor vehicle accident that cannot be moved under its own power or is otherwise disabled, including a vehicle [~~which~~] that constitutes an obstruction or hazard to traffic, may be towed away at the expense of the registered owner of the vehicle, as provided by this section.

(b) The towing company shall determine the name of the lien holder and the last registered owner of the vehicle from the department of transportation or the county department of finance. The lien holder and the registered owner shall be notified by the towing company in writing at the address on record with the department of transportation or with the county department of finance by registered or certified mail of the location of the vehicle, together with a description of the vehicle, within a reasonable period not to exceed twenty days following the tow. The notice shall state:

(1) The maximum towing charges and fees allowed by law;

(2) The telephone number of the county finance department that arranged for or authorized the tow; [~~and~~]

(3) That unless a longer term of impoundment is required by court order, if the vehicle is not recovered within thirty days after the mailing of the notice, the vehicle shall be deemed abandoned and will be sold or disposed of as junk[.]; and

(4) That the lien holder or registered owner may:

(A) Recover possession of the vehicle by paying the towing and other fees allowed by law and file a lawsuit for damages with any court of competent jurisdiction as allowed by law; and

(B) Demand an administrative hearing, before or after the person has recovered possession of the vehicle pursuant to subparagraph (A), to determine whether there was a sufficient factual and legal basis for removing the vehicle.

Any towing company engaged in towing pursuant to this section shall comply with the requirements of section 291C-135. When the vehicle is recovered after the tow by the last registered owner or lien holder, the party recovering the vehicle shall pay the tow and storage charges which shall not exceed the charges as provided by section 290-11(b) or the rates agreed upon with the respective counties, whichever is lower, except that tow operators may charge additional reasonable amounts for excavating vehicles from off-road locations and any additional amount allowed by section 290-11(b) for overturned vehicles; provided that if the notice required by this section was not sent within twenty days after the tow, neither the last registered owner nor the lien holder shall be required to pay the tow and storage charges. No notice shall be sent to a legal or last registered owner or any person with any unrecorded interest in the vehicle whose name or address cannot be determined.

(1) Engaged in an unfair or deceptive act or practice in the conduct of any trade or commerce within the meaning of section 480-2 and subject to the penalties and remedies of chapter 480; and

(2) Furnished services without a license within the meaning of section 487-13 and subject to penalties and remedies under chapter 487.

(d) The lien holder and the registered owner shall have ten days after receipt of the notice provided pursuant to subsection (b) to request in writing, from the county police department that caused the vehicle to be removed, an administrative hearing pursuant to chapter 91. The administrative hearing shall be conducted for the sole purpose of allowing the lien holder or registered owner of an impounded vehicle to contest the basis given for the impoundment of the vehicle. The hearing shall be held within five working days of the county police department's receipt of the written request.

[~~(c)~~] (e) When a vehicle is recovered by the owner or lien holder before written notice is sent by registered or certified mail, the towing company shall provide the owner or lien holder with a receipt stating the maximum towing charges and fees allowed by law and the telephone number of the county finance department that arranged for or authorized the tow.

[~~(d) When~~] (f) Unless a longer term of impoundment is required by court order, if a vehicle is not recovered within thirty days after the mailing of the notice, it shall be deemed abandoned and the owner of the towing company, or the owner of the towing company's authorized representative, after one statewide public notice as required in section 1-28.5, may negotiate a sale of the vehicle or dispose of it as junk.

[~~(e)~~] (g) The authorized seller of the vehicle shall be entitled to the proceeds of the sale to the extent that compensation is due to the authorized seller for services rendered in respect to the vehicle, including reasonable and customary charges for towing, handling, storage, and the cost of the notices and advertising required by this part. Any remaining balance shall be forwarded to the registered owner or lien holder of the vehicle if the registered owner or lien holder is found. If the registered owner or lien holder cannot be found, the balance shall be deposited with the director of finance of the State and shall be paid out to the registered owner or lien holder of the vehicle if a proper claim is filed therefor within one year from the execution of the sales agreement. The lien holder shall have first priority to the funds to the extent of the lien holder's claim. If no claim is made within the year allowed, the money shall escheat to the State.

[~~(f)~~] (h) The transfer of title and interest by sale under this section is a transfer by operation of law; provided that if the certificate of ownership or registration is unavailable, a bill of sale executed by an authorized seller is satisfactory evidence authorizing the transfer of the title or interest.

[~~(g)~~] (i) In the event that a motor vehicle is involved in an accident and cannot be moved under its own power or is otherwise disabled and constitutes an obstruction or hazard to traffic, and the vehicle has not been ordered to be towed by the applicable county police department, the towing of [~~such~~] the vehicle and the towing and storage expenses shall be subject to the provisions of section 290-11(b).

[~~(h)~~] (j) This section shall not apply to a county that has adopted ordinances regulating towing operations. This section shall not apply to automobile clubs or towing companies operating under a contract with an automobile club, insurer, or motor vehicle manufacturer. For the purposes of this subsection, "automobile club" means a legal entity that, in consideration of dues, assessments, or periodic payments of money, promises to assist its members or subscribers in matters relating to motor travel or the operation, use, or maintenance of a motor vehicle by supplying services that may include but are not limited to towing services and emergency road service."

SECTION 5. This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun before its effective date.

SECTION 6. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 7. This Act shall take effect upon its approval.

THE SENATE	S.B. NO.	2010
THIRTY-THIRD LEGISLATURE, 2026		S.D. 1
STATE OF HAWAII