I don't think the phrase, "can do so before a race takes place or any charges are laid" means the police are going to go around checking every car to see if it is modified for racing.
What I think the phrase is in there for is so that if the cops show up on some kind of Fast & the Furious style get together where it's pretty obvious that some racing is going on they can destroy all the cars there even the ones that haven't had their turn to race yet. Make it so that even going to some obscure road where street racing is happening can be punished.
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