A bill introduced to the Colorado legislature in January that will modernize the state’s self-storage lien law is one step closer to approval after passing in the House last week. Now, the bill will go back to the Senate for approval on some small amendments.
Senate Bill 11-039, “A Bill for an Act Concerning the Consequences of Default in Payments Due for Storage of Personal Property in a Self-Storage Facility,” provides self-storage operators with more options for lien-sale notifications and eliminates the newspaper lien-advertising requirement. It also includes an improved vehicle lien law. The bill was introduced to the Colorado legislature by the Colorado Self Storage Association (CoSSA), with financial support from the national Self Storage Association (SSA).
The first Senate hearing on the bill was Jan. 31 in Denver. Both the CoSSA and the SSA testified. The amendments are primarily for the language of the bill, not its intent.
Under SB 11-039, self-storage operators in the state could use e-mail and verified mail for lien notification in lieu of the more expensive Certified Mail standard. The bill also allows lien sales to be advertised in a “commercially reasonable” manner as opposed to in the newspaper. The bill is sponsored by Senator Lois Tochtrop and House Representative Tom Massey.
CoSSA hired lobbyist firm Colorado Communiqué Inc. to help shepherd the new bill and get it passed. The current self-storage lien law in Colorado, Section 38-21.5, was enacted in the 1980s.