Just because a type of tender is legal to pay bills and debts doesn't mean private businesses have to accept large quantities of them. Otherwise, there would be no "cheque only" or "credit only" types of deals -- they would be absolutely, positively required to take coin and paper money as well. It's a matter of what the business is equipped to take on-site as opposed to what the debtee thinks they should be able to pay the bill in.
The guy might have been put out by an $88 fee to get his car out of impound, but I guarantee you, he's not telling the whole story. He wasn't as innocently parked as he made it out to be. He was blocking a fire lane, or blatantly in a no-parking zone, or had outstanding tickets/citations on his vehicle. Something. They don't just haul away a vehicle because they feel like it.