Compton, CA Business Licensing & Operations: Towing Companies (2026)
Key Facts
- Permit needed
- Towing permit + business license
- Application fee
- $12 nonrefundable
- Storage enclosure
- 6-ft fence minimum
- Liability coverage
- $300,000 bodily / $100,000 property
- City referral fee
- 5% of receipts over $5,000/quarter
- First-hour tow rate
- $69.50 standard vehicle
Summary
Compton requires a towing service permit and business license before any tow operator can work in the City, plus a City Council public hearing before approval. Permittees must carry $300,000 bodily-injury and $100,000 property-damage liability coverage, store impounded vehicles behind a six-foot fence, and charge no more than the Council's fixed towing and storage rates.
All vehicles taken into custody by the Police Department must be stored in areas that are enclosed by a substantial wire fence or wall, and that have facilities for locking all gates or doors. Such fence or wall enclosures shall not be less than six feet in height, and shall be provided with not less than one gate or door of adequate width and height. The bottom edge of the enclosure structure shall not be more than two inches above the finished parking surface of the enclosed area. All fence or wall enclosure structures shall be maintained in first class order throughout the term of this contract. Any damage to fence or wall structures shall be repaired within 24 hours to ensure proper protection for the stored vehicles. The facilities shall have a capacity to store 200 vehicles outside and a capacity to store 10 vehicles under sheltering cover giving protection from the elements.
Full Breakdown
5). 6). 14). 7). 9). 25 for large trucks, with the first hour of storage waived if the vehicle is released promptly. 24).
Violations & Fines
Violating any Tow Truck Code provision is a misdemeanor under § 9-22.23, punishable by the general penalty in § 1-6. The City Council may also grant, deny, suspend, revoke or cancel a towing permit at its discretion under § 9-22.22 if the permittee is not fit to operate in the City, and repeated failure to clear accident-scene debris is separate grounds for suspension under § 9-22.17.
Frequently Asked Questions
Does Compton require a special permit to run a tow truck business?
What are Compton's maximum towing rates?
What insurance must a Compton tow permittee carry?
Can the City revoke a Compton towing permit?
Sources & Official References
Other rules in Compton
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