A Legislative Patchwork
While federal anti-metals-theft legislation was introduced to the U.S. Congress earlier this year, it does not appear that the proposed law will gain traction any time soon. Governmental concerns regarding health care reform and economic recovery, coupled with the worldwide decline in commodity prices and increased efforts on the part of scrap recyclers to deter metals theft, have caused lawmakers’ attention toward implementing a federal anti-metals-theft law to fade. As a result, scrap metal dealers are still facing a patchwork of state and local regulations that dictate how they must operate their businesses.
The following pages contain a state-by-state regulatory compliance guide to aid scrap dealers in complying with the various requirements contained in state anti-metals-theft legislation as well as a quick-reference chart illustrating the various requirements. Forty-five states have enacted some form of anti-metals-theft legislation that affects the record-keeping requirements or overall operations of scrap dealers’ businesses. In our research, we found no state anti-metals-theft legislation for Alaska, Iowa, Massachusetts, North Dakota or Wyoming.
With the new reporting requirements adopted by the U.S. Department of Justice, automobile recyclers, dismantlers and shredders in all 50 states must electronically report the intake and disposition of salvaged vehicles to the National Motor Vehicle Title Information System (NMVTIS) starting Jan. 1, 2010, as reflected in the quick-reference state-by-state chart.
In compiling the information for this guide, the Recycling Today staff consulted officials at the Institute of Scrap Recycling Industries Inc. (ISRI) and the National Conference of State Legislatures online database in addition to surveying scrap metal dealers around the country. With state anti-metals-theft laws being enacted or revised on a constant basis, and with this being the first time we have published such a regulatory compliance guide, it is possible that theRecycling Today staff may have overlooked a regulation affecting scrap recyclers in the state in which you operate. If you see something we missed, please e-mail Recycling Today Assistant Editor Zack Lloyd at zlloyd@gie.net to let us know.
For a pdf of the Compliance Chart, click here.
State-by-State Scrap Theft Legislation Compliance Guide:
A number of states have passed legislation intended to combat scrap theft. Below, Recycling Today has compiled a summary of the current laws that affect scrap yards operating within the states that have passed legislation. Some scrap recyclers also may be affected by local or county regulations. Recycling Today suggests checking with local legislative bodies and law enforcement to determine if there are additional regulations with which to comply. Additionally, visit www.RecyclingToday.com/Scrap-Theft-Compliance.aspx.
Guide for updated information pertaining to state laws concerning materials theft.
Scrap dealers must maintain records of transactions for two years. They are prohibited from paying cash for sales of copper exceeding $100 and for sales of all other material exceeding $1,000. Checks must be made payable to the name and address of the seller and mailed to his or her recorded address or picked up by the seller. There is a 15-day tag-and-hold policy when notified by law enforcement.
Scrap dealers cannot pay in cash at the time of transaction for purchases exceeding $300. Checks must be mailed to the physical address on the seller’s photo ID. If industrial accounts preregister employees annually, these restrictions do not apply. Scrap dealers must obtain a photocopy of the seller’s driver’s license, a photo of the metal (excluding aluminum cans), a video or photo of the seller, the seller’s right index fingerprint and a description of the seller’s vehicle and its license plate number. For copper and aluminum, there is a seven-day tag-and-hold policy. Recyclers must contact the Department of Public Safety within 24 hours of a sale and upload information electronically to the Rocky Mountain Information Network.
Scrap dealers are required to maintain a record of all purchases exceeding 100 pounds or $50 for three years. There is a five-day tag-and-hold policy, but metal recyclers who use a digital photo or video to identify and record the material are exempt from the regulation. Scrap metal recyclers are required to obtain fingerprints of sellers. Additionally, they are required to pay by check to sellers who have plead guilty or have been found guilty of burglary or vandalism when the offense involved scrap metal.
Scrap dealers must maintain records of transactions for two years, which must be submitted to law enforcement in the city or county in which the transaction occurred. Scrap metal dealers are prohibited from providing payment by cash or check for purchases of more than $20 unless the check is mailed or the cash or check is provided no earlier than three days after the sale date. The payment delay is excused if a customer has been to the same yard at least five times per month for three months in a row. Additionally, the recycler must obtain a photograph or video of the seller, the seller’s thumbprint, a copy of the seller’s driver’s license, a description of the seller’s vehicle and the license plate number of the seller’s vehicle. There is a 90-day tag-and-hold policy when notified by law enforcement.
Scrap metal recyclers are required to keep a record of all transactions involving commodity metals. Additionally, there is a five-day tag-and-hold policy, which scrap dealers are exempt from if a digital photo or video of both the metal purchased and the seller is maintained.
Scrap dealers must maintain records of all transactions for two years that must include photographs of the seller’s vehicle, including license plate, the material purchased, a description of the material and a statement as to the location the material came from. There is a five-day tag-and-hold policy for purchases of telecommunications wire, unless it is purchased from a registered person engaged in the demolition business or a person who has already segregated scrap metal.
Scrap dealers must maintain a record of all transactions that must include a copy of the seller’s driver’s license and the seller’s vehicle’s license plate number for transactions of more than $250. Dealers must report transactions to law enforcement. There is a seven-day tag-and-hold policy.
Scrap dealers must maintain a record of all purchases for five years that must include a copy of the seller’s driver’s license and fingerprints as well as notes on distinguishing features of the seller and his or her signature under a sworn statement of ownership. If the purchase involves a beer keg, the seller must provide written documentation from the manufacturer that the seller is the owner of the keg or an employee or agent of the manufacturer. Payment for sales exceeding $1,000 must be made by check.
Scrap dealers are required to keep records for purchases of nonferrous metals, excluding aluminum cans, for two years. Within the records, scrap dealers are required to include a physical description of the commodity purchased, a signed statement by the seller indicating ownership and/or authority to sell the metal, a copy of the seller’s driver’s license, the driver’s vehicle’s license plate number and a description of the seller’s vehicle. Additionally, scrap recyclers are forbidden from issuing cash payments within 24 hours of making a purchase, but checks may be issued at the time of the transaction. There is a 15-day tag-and-hold policy when notified by law enforcement.
When purchasing scrap metal, dealers must obtain a written statement by the seller certifying that the seller has the lawful right to sell and dispose of the scrap. When purchasing copper scrap or beer kegs, metal recyclers must issue payment by check and must either mail it to the address listed on the seller’s driver’s license or the seller may pick it up.
Scrap dealers are required to maintain records for all purchases exceeding $10 that must include the seller’s driver’s license number or the seller’s vehicle’s license plate number. Scrap metal recyclers must pay by check for commercial accounts and are subject to a 10-day tag-and-hold policy when notified by law enforcement.
Scrap dealers are required to keep records of all purchases of scrap metal of more than $100 for three years and records of purchase for beer kegs for one year. Metal recyclers are required to obtain a copy of the seller’s driver’s license and a photograph of the seller at the time of purchase.
Scrap dealers must keep a record of all transactions for two years that must include a copy of the seller’s driver’s license, a photo of the seller and a photo of the material purchased. Scrap recyclers may not accept a metal beer keg if it is clearly marked as the property of a brewery. There is a five-day tag-and-hold policy when notified by law enforcement.
Scrap dealers must maintain a record of all transactions for two years that includes a copy of the seller’s driver’s license and a copy of the seller’s fingerprints.
Scrap dealers must keep a record of transactions for two years that must include a copy of the seller’s driver’s license and video surveillance at the intake scale. Scrap metal recyclers must notify law enforcement of all purchases within 24 hours of the purchase. There is a three-day tag-and-hold policy in effect.
Scrap dealers are required to keep a record of all transactions for two years, including a copy of the seller’s driver’s license. There is a 10-day tag-and-hold policy.
Scrap dealers are required to keep a record of all transactions of more than $50 or greater than 100 pounds. Scrap recyclers may only provide payment by check for transactions of more than $50 or greater than 100 pounds.
Scrap dealers are required to keep a record of transactions that must include a copy of the seller’s driver’s license, the driver’s vehicle’s license plate number, a description of the vehicle and a description of the material purchased. Dealers must report their transactions electronically by 10 a.m. the next morning or by mail at the end of the day to law enforcement. Scrap recyclers must pay by check for transactions of more than $500.
Scrap dealers are required to maintain records of transactions, including a copy of the seller’s driver’s license, a copy of the seller’s fingerprint, the license plate number of the seller’s vehicle and a signed statement by the seller indicating that he or she is authorized to sell the material. There is a seven-day tag-and-hold policy for most purchases of nonferrous metals.
Scrap dealers must maintain a record of transactions for three years that must include video surveillance or photographs of the seller and the seller’s vehicle (including license plate) and a copy of the seller’s driver’s license. Dealers must also install video security cameras in the scale house. Scrap recyclers may only make payment by check or electronic transfer. There is a 90-day tag-and-hold policy when notified by law enforcement.
Scrap dealers must maintain records of transactions for two years. Scrap metal recyclers must pay for purchases by electronic transfer or by check. If paying by check, it must be made payable to the name and address recorded for the seller and may not be mailed out sooner than three days after the transaction. Scrap dealers also must capture the IDs of all people with the seller at the time of the sale. There is a three-day tag-and-hold policy.
Scrap dealers must keep records of purchases for two years that include a copy of the seller’s driver’s license and video surveillance at the intake scales. Scrap metal recyclers cannot make payment by cash on purchases of $500 or more.
Scrap dealers must maintain records of nonferrous purchases exceeding $25 for two years.
Scrap recyclers must maintain records of transactions for one year that must include a copy of the seller’s fingerprint for purchases of copper or catalytic converters. Scrap dealers may not pay cash for transactions exceeding $25. All payment for copper and catalytic converters may be made only by check.
Scrap dealers must maintain a record of transactions, including photos of the seller; a copy of the seller’s driver’s license; a description of the seller’s vehicle, including license plate number; video surveillance at the intake scales; and a copy of the seller’s fingerprint. There is a seven-day tag-and-hold policy in effect when notified by law enforcement.
Scrap dealers must maintain records of transactions for an unspecified period of time.
Scrap dealers must maintain records of transactions of more than $50 or 100 pounds for five years that must include a copy of the seller’s driver’s license and a description of the material purchased.
Scrap dealers must maintain a record of transactions for three years. There is a five-day tag-and-hold policy for this state.
Scrap dealers must maintain records of transactions for two years that must include a copy of the seller’s driver’s license.
Scrap metal recyclers must maintain a record of transactions that must include a copy of the seller’s driver’s license when purchasing copper, brass or aluminum other than beverage cans. Additionally, they must obtain a copy of the seller’s fingerprint when purchasing catalytic converters, air conditioner coils and condensers. Scrap recyclers may not make payment by cash.
Scrap dealers must maintain a record of all transactions that must include a copy of the seller’s driver’s license and the license plate number of the seller’s vehicle. Scrap recyclers must make payment by check for the purchase of special items, such as street light poles, manhole covers and street signs. They also must obtain a photo of the special purchase item for their records and there is a two-day tag-and-hold policy for these items.
Scrap recyclers must maintain a record of transactions that must include a copy of the seller’s driver’s license and a description of the seller’s vehicle, including license plate number. Scrap recyclers may not make payment by cash for purchases exceeding $25. They must also report transactions to law enforcement within 48 hours of the sale and are subject to a 10-day tag-and-hold policy for materials weighing more than 35 pounds.
Scrap dealers are required to maintain a record of transactions. They also are required to use video surveillance at the intake scales. Scrap recyclers must make payment by check mailed to the seller’s address no earlier than three days after the date of the transaction. There is a 10-day tag-and-hold policy when notified by law enforcement.
Scrap dealers must maintain a record of transactions that must include a copy of the seller’s driver’s license and the seller’s vehicle’s license plate number for transactions of more than $100. There is a 48-hour tag-and-hold policy with an additional 24-hour period when notified by law enforcement.
Scrap dealers must maintain a record of all transactions, including a description of the material purchased. There is a 14-day tag-and-hold policy for purchases of gold, precious stones, precious metals and catalytic converters.
Scrap dealers must maintain a record of transactions for five years that must include a copy of the seller’s driver’s license. There is a 15-day tag-and-hold policy when notified by law enforcement.
Scrap dealers must maintain records of transactions for one year. There is a 10-day tag-and-hold policy in effect when notified by law enforcement.
Scrap dealers must maintain records of transactions for three years that must include a copy of the seller’s fingerprint, a copy of the seller’s driver’s license and the license plate number of the seller’s vehicle. Also, the dealer must obtain a photo of the seller in cases where a driver’s license is unavailable. When purchasing from a business, payment must be made by check, mailed to the business’s address unless the business is preregistered with the dealer, in which case payment can be made by any method. When purchasing from a non-business customer, scrap recyclers must make payment by check mailed to the seller’s address or may make payment by voucher which cannot be redeemed sooner than five days after the transaction.
Scrap dealers must maintain a record of transactions for three years that must include a photograph of the seller, photograph of the material, photograph of the seller’s vehicle, copy of the seller’s driver’s license and copy of the seller’s fingerprint. Additionally, there is a tag-and-hold policy in effect when notified by law enforcement. In some instances dealers may also only make payment by check. Scrap recyclers are required to report information on their transactions electronically to the state.
Scrap dealers must maintain a record of transactions for one year that must include a description of the material purchased, the seller’s vehicle’s license plate number and a copy of the seller’s driver’s license or a video or photo of the seller. Certain record-keeping requirements are waived if the scrap recycler makes payment by check. There is a 60-day tag-and-hold policy when notified by law enforcement and a 15-day tag-and-hold policy for the purchase of all precious metals.
Scrap dealers must maintain a record of transactions for five years. There is a 15-day tag-and-hold policy for this state.
Scrap dealers must maintain a record of transactions that must include a description of the material purchased and the seller’s vehicle’s license plate number. There is a 15-day tag-and-hold policy if material purchased is marked.
Scrap dealers must maintain a record of transactions, including the seller’s driver’s license number and a description of the seller’s vehicle, including the license plate number. Scrap dealers are prohibited from making payment in cash for purchases exceeding $30 or for sellers who do not provide a street address. For purchases greater than $30, payment must be made by check mailed to the seller’s address no earlier than 10 days after the sale. There is a 10-day tag-and-hold policy when notified by law enforcement.
Scrap dealers must maintain a record of transactions for three years. They must also report all transactions to law enforcement within 72 hours of the purchase.
Scrap dealers must maintain a record of transactions for two years that must include photo or video images of the seller’s vehicle and license plate, a signed declaration that the seller is the owner of the material being sold and a description of the material sold.
Explore the October 2009 Issue
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