Ombudsman calls for amended Portland towing contract after complaints of overcharging
The Office of the Ombudsman launched the investigation after receiving a complaint in February that claimed Elite Towing & Recovery tried to charge a resident $1,657 to recover their vehicle from a tow yard. While the individual negotiated a fee of $920, the revealed the lower cost still represented about 40% of their monthly earnings — and they would have been charged an estimated $535 under the city's current contract with tow companies.
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The Portland Bureau of Transportation manages the city's tow contract, and generally advises officers to call for hazard tows in the event that a vehicle is blocking traffic. However, the ombudsman noted that Portland police sometimes opt for private request tows to help drivers following a collision.
'The police said they want to avoid a punitive citation when the motorist did nothing wrong,' the investigation reads. 'The paperwork requirements to retrieve a car after a hazard tow can also be a barrier for economically vulnerable vehicle owners who cannot readily provide a copy of the title with their name on it and proof of insurance. Many people living on the street cannot meet the paperwork requirements and lose their vehicles.'
Although PBOT told the ombudsman that law enforcement is 'using a work-around that was never intended,' the watchdog maintains that the police directive doesn't prohibit officers from utilizing private requests. The ombudsman also maintained that Elite Towing is entitled to charge higher fees, as private requests are not covered by the city's contract.
But investigators also noted that most other companies voluntarily keep their prices around the same cost that the city charges. Elite's median towing fee of $1,893 was almost five times higher than that of their counterparts throughout the first quarter of 2025, the report claimed.
According to the ombudsman, Elite's owner defended the prices by saying the city's towing rates don't cover the actual cost of services. The owner added that other agencies, like Oregon State Police and the Clackamas County Sheriff's, charged up to three times as much as Portland officials.
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Investigators later asked Elite to comply with local contract rates and offer partial refunds to complainants, but claimed the company neglected to respond. KOIN 6 has reached out to Elite for comment as well.
The ombudsman has advised PBOT to amend the towing contract to also cover private requests.
Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
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