Portland, ME Business Licensing & Operations: Towing Companies (2026)

Portland Code of Ordinances Article IV of Chapter 28 licenses tow operators. Sec. 28-120 states the purpose plainly: licensing protects public safety on city streets, keeps streets open and free of hazard, supports enforcement of traffic, parking and snow-removal ordinances, and lets the city set towing rates, regulate storage/disposition of towed vehicles, and set fees and penalties. Sec. 28-136 makes the license mandatory, no towing or wrecking service may tow any vehicle within the city without the owner's express knowledge or consent unless currently licensed, and all licenses are granted, denied, suspended or revoked by the Department of Permitting and Inspections.

Sec. 28-137 sets the vetting process: within 30 days of an application, the department, working with the chief of police, must investigate the truth and adequacy of the application, the applicant's ability to furnish service and abide by regulations, its past performance record, and the adequacy of its equipment and storage facilities. Applicants must first submit their storage lot's location, size and security features; the release facility location; a list of towing equipment with size/capacity; a description of two-way mobile communications equipment; and a statement of willingness to release vehicles 24 hours a day, every day.

Sec. 28-138 conditions the license on proof of insurance: a garagekeeper's legal liability policy of at least $25,000, and a commercial liability policy of at least $300,000 combined single limit for bodily injury and property damage (or a higher amount if Maine law requires more), with road-service liability for lifting, hoisting and towing folded into the garagekeeper policy. A lapse or cancellation of required coverage triggers immediate license termination with no further city action needed under Sec. 28-138(c).