|BILL AS INTRODUCED||2007-2008|
Introduced by Senator Carris of Rutland District
Subject: Commerce and trade; scrap metal processors; scrap metal purchasing act
Statement of purpose: This bill proposes to establish requirements for scrap metal processors who purchase certain kinds of scrap metal from persons who are not authorized scrap metal sellers. Scrap metal processors would be required to ask for and record an unauthorized seller’s identification information, the time and date of a transaction, and a description of the items purchased, and to keep the information in a permanent ledger. The ledger would be available for inspection by law enforcement. The bill also proposes to require scrap metal processors to report all sales information to law enforcement upon a request by the chief of police or other law enforcement officer of the locality in which the scrap metal processor does business. A violation is subject to a $1,000.00 civil penalty, and a willful violation is punishable as a misdemeanor.
AN ACT RELATING TO SCRAP METAL PROCESSORS
It is hereby enacted by the General Assembly of the State of Vermont:
Sec. 1. SHORT TITLE
This act shall be known as the Responsible Scrap Metal Purchasing and Procurement Act.
Sec. 2. LEGISLATIVE INTENT
The purpose of this act is to establish requirements regarding the purchases of scrap metal by scrap metal processors. Scrap metal processors shall not purchase nonferrous scrap, metal articles, and proprietary articles directly from a person who is not an authorized scrap seller or its agent without recording the seller’s identification information and the time and date of the transaction, the license number of the seller’s vehicle, and a description of the items received from the seller in a permanent ledger. The ledger shall be available for review by law enforcement officials or conservators of the peace. Violations are subject to a civil penalty not to exceed $1,000.00, and willful violations are a misdemeanor.
Sec. 3. 4 V.S.A. § 1102 is amended to read:
§ 1102. JUDICIAL BUREAU; JURISDICTION
(a) A judicial bureau is created within the judicial branch under the supervision of the supreme court.
(b) The judicial bureau shall have jurisdiction of the following matters:
* * *
(14) Violations of 9 V.S.A. §§ 3023 and 3024, relating to the purchase of scrap metal.
Sec. 4. 9 V.S.A. chapter 82 is added to read:
CHAPTER 82. SCRAP METAL PROCESSORS
§ 3021. DEFINITIONS
(1) “Authorized scrap seller” means licensed plumbers; electricians; HVAC contractors; building and construction contractors; demolition contractors; construction and demolition debris contractors; public utilities; transportation companies; licensed peddlers and brokers; industrial and manufacturing companies; marine, automobile, and aircraft salvage and wrecking companies; and government entities.
(2) “Ferrous scrap” means any scrap metal consisting primarily of iron, steel, or both, including large manufactured articles such as automobile bodies that may contain other substances to be removed and sorted during normal operations of scrap metal processors.
(3) “Metal article” means any manufactured item consisting of metal that is usable for its originally intended purpose without processing, repairs, or alteration and that is not likewise excluded by the definitions in this section. Examples include, without limitation, railings; copper or aluminum wire; copper pipe and tubing; bronze cemetery plaques, urns, and markers; plumbing fixtures; and cast-iron radiators.
(4) “Nonferrous scrap” means any scrap metal consisting primarily of metal other than iron or steel but does not include aluminum beverage cans; post-consumer household items such as pots, pans, barbeque grills, and lawn chairs; used items such as wire flashing, gutters, and downspouts removed during building renovation or demolition; or small quantities of nonferrous metals contained in large manufactured articles, such as automobile bodies and appliances.
(5) “Proprietary article” means:
(A) any metal article stamped, engraved, stenciled, or otherwise marked so as to identify it as being or having been the property of a governmental entity or public utility, transportation, shipbuilding, ship repair, mining or manufacturing company;
(B) any hard drawn copper electrical conductor, cable, or wire greater than three-eighths of one inch in diameter, stranded or solid;
(C) any aluminum conductor, cable, or wire greater than three quarters of one inch in diameter, stranded or solid;
(D) metal beer kegs;
(E) manhole covers.
(6) “Scrap metal” means any manufactured item or article consisting of or containing metal; any metal removed from or obtained by cutting, demolishing, or disassembling any building, structure, manufactured item, or article; and any other metal that is no longer used for its original purpose and that can be processed for reuse in mills, foundries, and other manufacturing facilities.
(7) “Scrap metal processor” means a business entity in good standing authorized to conduct business in the state that regularly utilizes machinery and equipment at one or more established locations in the normal course of business for processing and manufacturing scrap metal into prepared grades for sale as raw material to mills, foundries, and other manufacturing facilities.
§ 3022. PURCHASE OF FERROUS SCRAP
Scrap metal processors may purchase ferrous scrap directly from any person.
§ 3023. PURCHASES OF NONFERROUS SCRAP, METAL ARTICLES,
AND PROPRIETARY ARTICLES
(a) Scrap metal processors may purchase nonferrous scrap, metal articles, and proprietary articles from any person who is not an authorized scrap seller or who is not the authorized agent or employee of an authorized scrap seller only in accordance with the following requirements and procedures:
(1) At the time of sale, the seller of nonferrous scrap, metal article, or proprietary article shall provide a driver’s license or other government-issued current photographic identification, including the seller’s full name, current address, date of birth, and Social Security or other recognized identification number; and
(2) The scrap metal processor shall record the seller’s identification information, as well as the time and date of the transaction, the license number of the seller’s vehicle, and a description of the items received from the seller in a permanent ledger maintained at the scrap metal processor’s place of business. The ledger shall be made available upon request to any law-enforcement official or authorized security agent of a governmental entity providing his or her credentials at the scrap metal processor’s normal business location during regular business hours. Records required by this subdivision shall be maintained by the scrap metal dealer at its normal place of business or at another readily accessible and secure location for at least five years.
(b) Upon compliance with the other requirements of this section, a scrap metal processor may purchase proprietary articles from a person who is not an authorized scrap seller or who is not the authorized agent or employee of an authorized scrap seller if the scrap metal processor complies with one of the following:
(1) The scrap metal processor receives from the person seeking to sell the proprietary articles documentation, such as a bill of sale, receipt, letter of authorization, or similar evidence, establishing that the person lawfully possesses the proprietary articles to be sold; or
(2) The scrap metal processor conducts and documents a diligent inquiry into whether the person selling or delivering the same has a legal right to do so, and, after purchasing a proprietary article from a person without obtaining the documentation described in subdivision (1) of this subsection, shall submit a report to the local police or sheriff’s department by the close of the following business day, describing the proprietary article and including a copy of the seller’s identifying information, and hold the proprietary article for not less than 15 days following purchase.
(c) Scrap metal processors may purchase nonferrous scrap, metal articles, and proprietary articles directly from an authorized scrap seller and from the authorized agent or employee of an authorized scrap seller without complying with the requirements of subsection (a) or (b) of this section.
§ 3024. REPORTS OF PURCHASES BY SCRAP METAL PROCESSORS
If requested by the chief of police or other law enforcement officer of the locality in which the scrap metal processor conducts business, every scrap metal processor conducting business in the locality shall furnish to the chief of police or other law enforcement officer a report of all of the scrap metal processor’s purchases of nonferrous scrap, metal articles, and proprietary articles, excluding aluminum cans and interior household items. Each report shall:
(1) be submitted on the next business day following the date of a purchase;
(2) include the seller’s name, date of birth, identification number, address, height, weight, and license number of any motor vehicle in which the goods or things were delivered; and
(3) be submitted in an electronic format if required by the locality in which the scrap metal processor conducts business, provided that if the locality requires that reports be submitted in electronic format, scrap metal processors shall be given a period of not more than one year following the locality’s adoption of such a requirement to comply with the requirement.
§ 3025. PENALTIES
(a) Any scrap metal processor who fails to comply with any provision of this chapter may be assessed a civil penalty not to exceed $1,000.00 for each transaction which violates the provisions of this chapter.
(b) Any scrap metal processor who violates any provision of this chapter with the intent to avoid complying with it shall be guilty of a misdemeanor.
Sec. 5. EFFECTIVE DATE
This act shall take effect 60 days after passage.
The Vermont General Assembly
115 State Street