American Towman Magazine - June 2022 - Corrected

Page 104

be on the agency board any more by the time the court overrules them.


So those are the problems. Here are the solutions. The tow and recovery industry definitely needs regulation. All of the honest players agree on that. But the devil is in the details. The regulatory structure must be extremely limited and comprehensible. Tow and recovery operators cannot be micromanaged by the governor’s chosen appointees. They must know and understand what the rules are. Much of the regulation should address what is not being regulated. This will prevent control by industry oligarchs and foster innovation. For example, no regulation should set specific monetary rates for tow and recovery work. This approach would be arbitrary and inflexible. It would invite wasteful complaints from competitors. Further, tow and recovery rates should be considered proprietary information. Rather, the regulation should require something like consistency with “industry standards” and include room for adjustment when justifiable. A formula may be promulgated to help towers know what goes into

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