(a) An arresting law enforcement officer may impound the motor vehicle of a person arrested if:
(1) The motor vehicle was used in the commission of an offense under § 5-70-101 et seq. by the person arrested;
(2) The person arrested is the owner of the motor vehicle or the motor vehicle is being rented and the person arrested is the lessee; and
(3) Either:
(A) The person arrested has previously been convicted of an offense under § 5-70-101 et seq.; or
(B) An ordinance under subsection (b) of this section is in effect and the offense was committed within an area designated under subsection (b) of this section.
(b)
(1) A local government may designate by ordinance an area within which a motor vehicle is subject to impoundment if a person using a motor vehicle is arrested for an offense under § 5-70-101 et seq.
(2) The designation must be based on evidence indicating that the area has a disproportionately higher number of arrests for an offense under § 5-70-101 et seq. as compared to other areas within the same jurisdiction.
(3) The local government shall post signs at the boundaries of the area to indicate that the area has been designated under this subsection.
(c)
(1) An impoundment of a motor vehicle under this section shall be in accordance with state law, and the impoundment shall be indicated as a “prostitution hold”.
(2)
(A) Before redeeming the impounded motor vehicle, and in addition to all applicable impoundment, towing, and storage fees paid to the towing company as provided by law, an owner of an impounded motor vehicle shall pay an impoundment fee of five hundred dollars ($500) to the impounding law enforcement agency.
(B)
(i) Upon receipt of the impoundment fee paid under subdivision (c)(2)(A) of this section, the impounding law enforcement agency shall issue a written receipt to the owner of the impounded motor vehicle, which the owner shall provide to the towing company.
(ii) The written receipt issued under subdivision (c)(2)(B)(i) of this section authorizes the towing company to release the impounded motor vehicle upon payment of all impoundment, towing, and storage fees.
(iii) A towing company that relies on a forged receipt to release a motor vehicle impounded under this section is not liable to the impounding law enforcement agency for any unpaid impoundment fee under this subsection.
(d) An impoundment fee assessed under this section shall be collected by the impounding law enforcement agency and remitted to the Human Trafficking Victim Support Fund on the first business day of each month.
(e)
(1) In a legal proceeding to contest the validity of an impoundment under this section in which the person substantially prevails, in which the person is found not guilty at trial for the offense or offenses for which the motor vehicle was impounded, or in which the charges for which the motor vehicle was impounded are dismissed, the person is entitled to a full refund of the impoundment, towing, and storage fees paid and the impounding fee paid under subsection (c) of this section.
(2) A refund made under this subsection shall be paid by the impounding law enforcement agency.
(3) Before receiving a refund under this subsection, the person must provide proof of payment of the fee for which he or she is claiming a refund.