Parking woes targeted for audit in Wilmington as federal suit goes to trial

Legislation moved out of a Wilmington City Council committee is looking to audit the city’s parking, towing and booting practices, an effort that the administration has resisted in the past.

It’s those practices that have landed Delaware’s largest city in federal court.

A lawsuit, filed in September 2021, claims Wilmington allows private companies to tow legally parked cars that have unpaid parking tickets totaling over $200, scrap the vehicles when outstanding debt is not paid within 30 days and keep the proceeds.

Council members have continued to hear from constituents about issues with parking enforcement, booting and towing in the years since the lawsuit’s filing, and committees and task forces have met to discuss the issue at length.

Councilperson Shane Darby, who is sponsoring the resolution calling for the audit, said Wilmington’s practices seem “very unfair, confusing and very predatory.” She said the audit would look at both the costs as well as the practices of the city's parking, booting and towing.

“The system is just not working,” she said during the council’s Finance and Economic Development Committee meeting March 4. People “try to go down to get their car. It’s supposed to be open 24/7, and it’s not. Who is holding the towing companies accountable?”

During the same meeting, Councilperson Letisha Bracy said she also has legislation proposed that would raise the unpaid ticket threshold for getting a boot from $200 to $500.

RELATED: How Wilmington is working to address its parking woes, complaints

Mayor Mike Purzycki's deputy chief of staff John Rago denied there being a need for an audit.

"There will be no audit because there is no need for an audit. The city’s parking enforcement, booting and towing systems undergo financial audits every year and we issue a red-light camera safety program annual report," Rago said. "It is not clear at all what the sponsor of the council resolution is trying to accomplish.”

The resolution is expected to be on the City Council’s agenda April 4.

Towing suit goes to trial

Institute for Justice attorney Will Aronin, who represents the Wilmington residents who filed the federal suit against the city, said the case is going to trial in July.

U.S. District Chief Judge Colm Connolly in November 2022 ordered the case forward, setting the stage for a trial to evaluate whether Wilmington’s parking enforcement policies violated residents’ constitutional rights.

While some of the allegations against the city’s policies and practices were dismissed by Connolly, the federal judge agreed with plaintiffs Ameera Shaheed and Earl Dickerson that they have viable excessive fines and takings claims – constitutional protections under the 8th and 5th Amendments, respectively.

The trial in Wilmington federal court begins July 15, Aronin said.

City Towing seeks payment in latest bid

City Towing, Wilmington’s current towing contractor and a party to the federal lawsuit, this year submitted a bid that seeks payment for towing and storing cars.

In previous responses to the city’s request for proposals, the New Castle-based tow company would bid $0 but charge drivers for its services anyway.

BACKGROUND: Wilmington contracts with same tow company despite past problems with practices

For this year’s bid, City Towing says it would charge $110 for a tow and $40 per day for storing the vehicle.

First Choice Auto & Truck Repair also submitted a bid, proposing to charge $145 for a tow and $25 per day for storage, according to the city’s public bid results.

City officials have said they select contractors based on the lowest bidder, and point to reforms with towing and other components of Wilmington’s parking enforcement as resolutions to the problems constituents and council members have brought up.

State House bill reigns in tow companies, protects car owners

House Bill 351, sponsored by Rep. Ed Osienski, a Newark Democrat, codifies requirements for towing and storage of vehicles “without the consent of the owner or operator” and makes violations under the newly created chapter an “unlawful practice” that the state Department of Justice’s Consumer Protection unit can enforce.

WATCHDOG REPORTING: Tow company bid $0 storage fee, but charged Wilmington drivers thousands anyway

The legislation would add a new chapter to Title 21 in the State Code regarding towing, requiring:

• Photographic evidence to document the “unauthorized parking of a vehicle” before the car is towed.

• Publicly displaying rates and ensuring rates are reasonable.

• Limiting the total amount collected for towing and storage to $500.

• Cars cannot be towed if the vehicle owner returns before it’s removed, and tow companies cannot charge more than 50% of the tow fee.

• Towing companies are not allowed to “patrol for illegally parked cars,” nor can entities “pay or give other benefits to obtain information about cars parked without authorization.”

The bill also outlines standard hours of operation for storage facilities, and requires towing companies to “make reasonable accommodations to redeem vehicles after-hours.” People must also be allowed to retrieve personal belongings within their vehicles at no charge, according to the bill.

“It does a lot of things that I think will help protect car owners that are having non consensual towing take place,” Osienski said. “It gives them a little bit of rights, because right now it’s kind of the wild, wild west within the towing industry.”

The bill even requires towing companies and storage facilities to accept credit cards, the representative said because some only take cash.

Got a tip? Contact Amanda Fries at afries@delawareonline.com, or call or text 302-598-5507. Follow her on X at @mandy_fries.

This article originally appeared on Delaware News Journal: Wilmington eyes parking audit as federal towing suit heads to trial