Copper Bill Summary from the
"Special Joint Committee To Study Theft of Precious Metal"
Following 11/26/2007 Meeting
For full text of Senate Bill 2400 click here.
SB2400 by Sen.(s) Kyle, Southerland, Harper, Stanley, Tate, Burchett, Beavers, Burks, Williams, Marrero B, and Bunch.
HB2433 by Rep.(s) McDonald, Maddox, DeBerry J, Lundberg, Shepard, Tidwell, Favors, Vaughn, Pruitt, Naifeh, Towns, Jones U, Gilmore, Briley, Sontany, and Coleman.
◊ "Scrap Metal Dealer" includes employees of dealer who have the authority to buy metal on behalf of dealer.
◊ By October 1, 2008, all persons who engage in the scrap metal business must register with the department of commerce and insurance.
◊ A dealer can't purchase scrap metal from a seller unless the seller has a state or federally issued photo identification card and provides a thumbprint. If no photo identification card, seller must take photo of buyer and buyer must produce some form of state or federally issued identification or no sale.
◊ The dealer must keep a transaction record that includes a detailed description of the metal purchased using the uniform terminology developed by the department (when available).
◊ If the metal being purchased is in whole or in part copper or a catalytic converter, payment may only be made by check. If seller is employee of business, check is made out to business and is sent to business address. However, companies may annually preregister authorized employees who can be paid cash at the time of transaction.
◊ If the person selling copper or a catalytic converter is not an employee of a business, seller has option of payment by check to physical address on driver license or voucher for amount redeemable in 5 days. All unredeemed vouchers expire after 6 months and dealer has 1 year from expiration to send money to department to be used to administer act.
◊ Can't buy scrap metal from person under 18.
◊ Transaction records must be maintained for 3 years on the site where the transaction occurred and records as well as purchased scrap metal in possession of dealer are open for inspection by law enforcement during normal business hours without a warrant or subpoena.
◊ Creates Class A misdemeanor offense of selling or buying scrap metal marked with name of governmental entity, utility, electric or telephone cooperative, cable company or other public entity like road signs, manhole covers, guard rails, etc. or privately-owned scrap metal with the name of the company, business or owner attached thereto. If metal is privately-owned, it must be marked or painted in accordance with a uniform scrap metal marking system. Marking system to be devised by department in conjunction with 5-7 person committee composed of law enforcement, scrap metal dealers, home builders, and member of public.
◊ Provides that a scrap dealer who buys an air conditioner evaporator coil or condenser cannot make cash payment at the time of the transaction to the seller but must make payment by check to a licensed contractor with an CMC, MC, CMC-C or MC-C classification, a company meeting all local HVAC requirements to obtain permit as HVAC installer in a building code exempt jurisdiction, a business tax license with a Class 4 classification, or sales tax ID number indicating HVAC installer or repairer, in non-exempt jurisdiction or exempt jurisdiction where no local HVAC installer permit is required. Violation of this provision is a Class A misdemeanor punishable by fine only.
◊ Prohibits a scrap metal dealer from purchasing or possessing a metal beer keg on any premises the dealer uses to buy or sell scrap metal. Violation of this provision is a Class A misdemeanor punishable by fine only.
◊ Creates Class A misdemeanor for 1st and 2nd offense and Class E felony for 3rd offense of:
(1) Engaging in scrap metal business without registering with department (after October 1, 2008);
(2) Scrap dealer buying stolen metal or buying in violation of chapter;
(3) Makes vehicles and tools used in offenses of theft, burglary or vandalism involving scrap metal subject to seizure and forfeiture using the same procedure used to forfeit vehicles transporting drugs.
◊ Creates separate offense of selling or attempt to sell scrap metal knowing that it is stolen. Punished according to value of the metal sold.
◊ Clarifies that nothing in the part prohibits a governmental entity, regulated landfill or solid waste processing facility from selling any scrap metal donated to it or obtained by it without compensation. Payment for metal made by check mailed to address of entity or owner. Permits these entities to register as scrap metal dealer.
◊ Regulations of part pertaining to buying and selling of scrap metal do not apply to transactions between registered dealers. The terms of a transaction of lawfully acquired scrap metal between two dealers is to be determined by the parties.
◊ Creates new enhancement factor that the offense involved the theft of property and the manner in which the offense was committed resulted in significant property damage to the victim's property or property the victim was responsible for.
◊ Elevates criminal trespass on a construction site, on public or private utility property, or electric or telephone utility property with intent to steal or destroy equipment to Class A misdemeanor of aggravated criminal trespass. Requires that the construction, utility or cooperative property be posted at gates and entrances for aggravated version of offense to apply.
◊ Directs department, in conjunction with 5-7 person committee composed of law enforcement, scrap metal dealers, home builders, and member of public to devise terminology to describe stolen scrap metal in a police report and purchased scrap metal in the transaction entry in a uniform manner.
◊ Directs department to study cost and feasibility of creating and maintaining a "No Buy List" of convicted scrap metal thieves for placement on the department's website.
◊ For the purpose of the department promulgating rules, the act takes effect immediately. Scrap metal dealers must register by October 1, 2008. All other sections take effect on July 1, 2008.