News: NSW Fair Trading has released the Tow truck operator self-audit checklist, use the checklist to check your tow truck business meets its obligations under the law.
Security requirements of holding yards
When applying for an accident towing licence, you must nominate a safe and secure holding yard for the temporary storage of towed motor vehicles as set out in the Tow Truck Industry Act 1998 and Tow Truck Industry Regulation 2020.
The holding yard must:
- be a location that is not more than 10 kilometres from your place of business
- not be a public thoroughfare
- have a security fence that is at least 2 metres high with lockable gate. The security fence must be maintained and if it is damaged, must be repaired within 21 days.
- have flood lighting installed
- have a closed-circuit television system or monitored security alarm system installed.
If you need an exemption for any of the above, it must be sought in writing from The Secretary, Department of Customer Service.
Operational conduct of the holding yard owner
As the tow truck holding yard owner, you are responsible to ensure that the holding yard has:
- council approval to operate as a holding yard or shared holding yard to securely store towed motor vehicles that will not be exposed to damage or unauthorised access
- 24 hours a day, 7 days a week access for all operators with vehicles listed on your licence, emergency services and authorised officers. Motor vehicle owners can be charged for after-hours access, if they are notified of the access fees first
- weekday business hours of at least 9:00am to 5:00pm for access to the public and to motor vehicle owners or their representatives to collect personal items, at no charge
- enough space to store a minimum of four cars per truck that you operate
- systems in place to allow the motor vehicle owner or the owner’s nominated agent reasonable access to their motor vehicle. During business hours and at no charge to the owner, to collect items or remove the motor vehicle (once the owner owner’s agent has paid the fees)
- policies in place that state that a motor vehicle cannot be removed to obtain a repair quote unless authorised by the motor vehicle owner or the owner’s agent.
Shared holding yards
When two or more licensees apply to use the same holding yard we will consider:
- if the premises complies with the holding yard requirements
- what type of business or activities will be carried out and whether the premises will be used for unrelated business
- whether each licensee will have separate secured areas.
When a holding yard is shared, the licensee who towed the motor vehicle to the yard is responsible for the prevention of damage to any motor vehicle stored in the shared holding yard.
If you who have gained approval for a second holding yard, must not charge a fee for moving vehicle between their approved holding yards.
Holding yard registers
You must keep a holding yard register for each holding yard listed on your licence. If the register is electronic, it must be printed weekly and stored at your business premises.
The register must be updated and completed within 24 hours of each motor vehicle that is towed in and out of the holding yard.
Motor vehicles moved between approved holding yards must be added to the register.
Vehicles towed to a holding yard with a towing authorisation must show the full holding yard address such as the street number, street name, suburb and postcode.
Exemptions
Holding yards not required to be maintained
Some tow truck operators are not required to maintain a holding yard. Operators who only operate tow trucks that:
- have a gross combination mass of 20 tonnes or more
- are used for towing motor vehicles for the purposes of metal recycling, vehicle demolishing or dismantling by a vehicle-wrecker
- are used for purposes other than attending motor vehicle accidents.
Some heavy tow truck operators are exempt from having a holding yard on their licence. If they want to charge storage fees for a vehicle stored in their holding yard, it must be approved and on their licence.
Applications for holding yards that exceed 10 kilometres (from your place of business)
The application form and application fee must be emailed for assessment of the:
- distance from the place of business
- population density and distance from other population centres
- need for additional services in the proposed area to locate the additional holding yard
- need to consider any other matters.
Any reasonable costs associated with the investigation of the application are to be met by the applicant.
The applicant will receive notice of the outcome in writing. If not approved, the application will be provided with reasons why.
If approved, the licences must:
- not charge for fees for excess kilometres or moving the motor vehicle from one holding yard to another
- ensure that any motor vehicle is always towed to the nearest holding yard.