SENATE AMENDED
PRIOR PRINTER'S NOS. 2321, 3008, 3091 PRINTER'S NO. 3903
No. 1742 Session of 2007
INTRODUCED BY PASHINSKI, BOYD, BRENNAN, CURRY, DENLINGER,
GOODMAN, HENNESSEY, HERSHEY, JAMES, KORTZ, KULA, MARSHALL,
McCALL, MURT, PETRONE, READSHAW, SHIMKUS, K. SMITH, THOMAS,
HARHAI, FRANKEL, MCGEEHAN, GINGRICH AND WAGNER, JULY 13, 2007
SENATOR M. WHITE, ENVIRONMENTAL RESOURCES AND ENERGY, AS
AMENDED, JUNE 10, 2008
AN ACT
1 Requiring scrap processors and recycling facility operators to
2 collect certain information relating to the purchase of scrap
3 material; requiring commercial accounts; and restricting
4 scrap processors and recycling facility operators from
5 purchasing certain materials.
6 The General Assembly finds that:
7 (1) Copper, aluminum, steel and other metal commodity
8 prices THEFTS rise as the theft PRICE of metal property <--
9 increases.
10 (2) Scrap processors and recycling facility operators
11 may serve as unknowing conduits for the disposition of stolen
12 metal property and may also be victims of theft.
13 (3) Individuals have found it to be more financially
14 advantageous to sell used beer kegs to a scrap processor or
15 recycling facility operator as opposed to returning the kegs
16 to the distributor from where they were rented. <--
17 (4) This act is needed to ensure appropriate
1 documentation of transactions to assist law enforcement
2 agencies to identify, recover and return stolen property to
3 its owner and to ensure, as reasonably as possible, that
4 scrap processors and recycling facility operators are less
5 likely to be used as unknowing conduits for the liquidation <--
6 and disposal of stolen metal property.
7 The General Assembly of the Commonwealth of Pennsylvania
8 hereby enacts as follows:
9 Section 1. Short title.
10 This act shall be known and may be cited as the Scrap
11 Material Theft Prevention Act.
12 Section 2. Definitions.
13 The following words and phrases when used in this act shall
14 have the meanings given to them in this section unless the
15 context clearly indicates otherwise:
16 "Beer keg." A vessel designed to contain at least 128 fluid
17 ounces of malt or brewed beverage.
18 "Catalytic converter." An air pollution abatement device
19 that removes pollutants from motor vehicle exhaust, either by
20 oxidizing them into carbon dioxide and water or reducing them to
21 nitrogen.
22 "Commercial account." A relationship between a scrap metal <--
23 business PROCESSOR and a commercial enterprise that is ongoing <--
24 and properly documented.
25 "Commercial enterprise." A corporation, partnership, limited
26 liability company, SINGLE PROPRIETORSHIP, association, State <--
27 agency, political subdivision of the Commonwealth, public
28 corporation or any other legal or commercial entity.
29 "Commercial metal property." Utility access covers, street
30 light poles and fixtures, road and bridge guardrails, highway or
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1 street signs, water meter covers, traffic directional and
2 control signs, traffic light signals, any metal property CLEARLY <--
3 marked with the name of the commercial enterprise, including,
4 but not limited to, a telephone, cable, electric, water, natural
5 gas or other utility or railroad, unused or undamaged building
6 construction materials consisting of copper pipe, tubing or
7 wiring, aluminum wire, siding, downspouts or gutters, aluminum
8 or stainless steel fence panels, aluminum decking, bleachers or
9 risers, historical markers, statue plaques, grave markers,
10 funeral vases, agricultural irrigation wheels, sprinkler heads, <--
11 pipes and other materials that might not be new but are clearly
12 suspect.
13 "Ferrous metals." Any metals containing significant
14 quantities of iron or steel.
15 "Nonferrous metals." Metals not containing significant
16 quantities of iron or steel, including, but not limited to,
17 copper, brass, aluminum, bronze, lead, zinc and nickel and
18 alloys thereof. The term does not include precious metals. AND <--
19 PIPES.
20 "FERROUS METALS." ITEMS THAT ARE PREDOMINANTLY MADE FROM
21 IRON OR STEEL THAT HAVE NO FURTHER USE IN THEIR ORIGINAL
22 MANUFACTURED FORM BUT WHICH CAN BE MELTED FOR THEIR METAL
23 CONTENT AND UTILIZED IN THE MANUFACTURE OF NEW PRODUCTS.
24 "LAW ENFORCEMENT OFFICER." ANY PENNSYLVANIA STATE POLICE
25 OFFICER OR A LOCAL LAW ENFORCEMENT OFFICER OF A POLITICAL
26 SUBDIVISION OF THIS COMMONWEALTH IN WHICH THE SCRAP PROCESSOR IS
27 LOCATED.
28 "NONFERROUS METALS." ITEMS THAT ARE PREDOMINANTLY MADE FROM
29 METALS OTHER THAN IRON AND STEEL, SUCH AS COPPER, BRASS,
30 ALUMINUM, BRONZE, LEAD, ZINC, NICKEL AND ALLOYS THAT HAVE NO
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1 FURTHER USE IN THEIR ORIGINAL MANUFACTURED FORM BUT WHICH CAN BE
2 MELTED FOR THEIR METAL CONTENT AND UTILIZED IN THE MANUFACTURE
3 OF NEW PRODUCTS.
4 "Processing." Receiving, storing or reselling scrap
5 materials for payment or other financial consideration.
6 "Recycling facility operator." A person who operates a
7 facility employing a technology that is a process to separate or
8 classify municipal waste and who creates or recovers reusable
9 materials that can be sold to or reused by a manufacturer as a
10 substitute for or a supplement to virgin raw materials. The term
11 does not include a person who operates a transfer station or
12 landfill for solid waste, composting facility or resource
13 recovery facility.
14 "Scrap processor." A person who, from a fixed location,
15 utilizes machinery and equipment for processing and
16 manufacturing ferrous or nonferrous metallic scrap, paper scrap,
17 plastic scrap, rubber scrap or glass scrap into prepared grades
18 and whose principal product is sold as a raw material in the
19 manufacture of new products.
20 "Seller." A person ANY PERSON, OTHER THAN A COMMERCIAL <--
21 ENTERPRISE, who sells scrap materials to a scrap processor or
22 recycling facility operator.
23 Section 3. Identification requirements for sale of scrap
24 materials to scrap processors and recycling
25 facility operators.
26 (a) General rule.--A scrap processor and recycling facility
27 operator shall collect the following information for all
28 transactions by a seller of restricted material under section 5,
29 from all other sellers when the purchase of scrap material
30 exceeds $100: and for all transactions involving a catalytic <--
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1 converter:
2 (1) Recording the THE name, telephone number and address <--
3 of the seller.
4 (2) Recording the THE number of a driver's license or <--
5 other form of government identification or photocopying or
6 scanning the license or other identification.
7 (3) Recording the THE make, year, type and license plate <--
8 number of the motor vehicle the seller operates at the time
9 of the transaction.
10 (4) Creating and recording a unique identification <--
11 number for the seller and using it for every transaction with
12 that seller which shall be documented on all receipts.
13 (4) THE UNIQUE IDENTIFICATION NUMBER OF THE SELLER. The <--
14 number shall be assigned based on an initial collection of
15 seller information, USED FOR EVERY TRANSACTION WITH THAT <--
16 SELLER, AND SHALL BE DOCUMENTED ON ALL RECEIPTS.
17 (5) Obtaining the THE seller's signature for each <--
18 transaction.
19 (6) Obtaining written WRITTEN permission of the seller's <--
20 parent or legal guardian, if the seller is under 18 years of
21 age.
22 (b) Supplemental information.--In addition to the <--
23 information required under subsection (a), a scrap processor and
24 recycling facility operator shall also collect the following
25 information from a seller:
26 (1) (7) The date and time of the transaction. <--
27 (2) (8) A description of the scrap material included in <--
28 the transaction, INCLUDING THE WEIGHT OF THE SCRAP MATERIAL <--
29 AND THE AMOUNT PAID TO THE SELLER.
30 (c) (B) Tracking the transaction.--A scrap processor and <--
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1 recycling facility operator shall, when payment is made in cash,
2 develop methods of tracking a transaction that obtains the
3 seller's signature on a receipt for the transaction. The receipt
4 shall include a certification that the seller is the owner or
5 authorized seller of the scrap material.
6 (d) (C) Holding period.-- <--
7 (1) Following notification, either verbally or in
8 writing, from a law enforcement officer of this Commonwealth <--
9 or any of its political subdivisions that certain scrap
10 materials have been reported as stolen, a scrap processor or
11 recycling facility operator that is in possession of the
12 scrap material in question shall hold that scrap material
13 intact and safe from alteration, damage or commingling, and
14 shall place an identifying tag or other suitable
15 identification upon the scrap material. The scrap operator or
16 recycling facility shall hold the scrap material for a period
17 of time as directed by the applicable law enforcement agency,
18 up to a maximum of three business days 36 HOURS FOLLOWING <--
19 NOTIFICATION, unless extended pursuant to paragraph (3).
20 (2) A law enforcement official OFFICER of this <--
21 Commonwealth or any of its political subdivisions shall not
22 place a hold on any scrap material unless that law
23 enforcement official OFFICER reasonably suspects that the <--
24 scrap material is lost or stolen. Any hold that is placed on
25 scrap material shall not exceed three business days 36 HOURS <--
26 and the scrap material must be returned to the owner or
27 released when the hold has been released or has expired.
28 (3) A holding period may be extended beyond three days <--
29 36 HOURS only upon the order of a magisterial district judge <--
30 after the magisterial district judge has determined that
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1 probable cause exists that the scrap material is lost or
2 stolen.
3 (e) Maintenance of records.--The information required by
4 this section shall be maintained by the scrap processor or
5 recycling facility operator for a minimum of two years from the
6 date of the transaction.
7 Section 4. Commercial accounts.
8 (a) Duty to create and maintain.--Every scrap processor and
9 recycling facility operator must create and maintain a permanent
10 record with a commercial enterprise, including another scrap
11 metal business, in order to establish a commercial account. The
12 record shall, at a minimum, include the following information:
13 (1) The full name of the commercial enterprise or
14 commercial account.
15 (2) The business address and telephone number of the
16 commercial enterprise or commercial account.
17 (3) The full name of the person employed by the
18 commercial enterprise or commercial account who is authorized
19 to deliver the ferrous or nonferrous metal or commercial
20 metal property to the scrap processor or recycling facility.
21 (4) A letter from the commercial enterprise designating
22 the seller as representative of that enterprise who is
23 authorized to sell the ferrous or nonferrous metal or
24 commercial metal property on behalf of the commercial
25 enterprise.
26 (b) Additional information.--The record for each commercial
27 enterprise maintained by the scrap processor or recycling
28 facility operator shall document every purchase and receipt of
29 ferrous or nonferrous metal and commercial metal property. That
30 documentation shall include, at a minimum:
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1 (1) The date, time and value of the property being
2 purchased or received.
3 (2) A description of the predominant types of property
4 being purchased or received.
5 Section 5. Restricted materials.
6 A scrap processor and recycling facility operator may
7 purchase the following scrap material only if the purchase
8 occurs with a commercial enterprise in conjunction with a
9 contract or letter of authorization from the commercial
10 enterprise:
11 (1) New production scrap or new materials that are a
12 part of a manufacturing process that are being sold by an
13 individual, not a company.
14 (2) Full sized, new materials, such as those used in
15 construction, or equipment and tools used by contractors.
16 (3) Commercial metal property.
17 (4) Metallic wire that has been burned in whole or in
18 part to remove insulation.
19 (5) Beer kegs.
20 (6) CATALYTIC CONVERTERS. <--
21 Section 6. Law enforcement.
22 A scrap processor and recycling facility operator shall
23 disclose seller registration information required by this act
24 during normal business hours to any investigative or law
25 enforcement officer or any person acting at the direction or
26 request of an investigative or law enforcement officer to
27 investigate suspected criminal activities.
28 Section 7. Penalties.
29 A scrap processor and recycling facility operator who
30 violates this act commits a summary offense and shall, upon
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1 conviction, be sentenced to pay a fine of up to $2,500. A second
2 or subsequent violation COMMITTED WITHIN 180 DAYS shall be <--
3 classified as a misdemeanor of the third degree.
4 SECTION 8. PREEMPTION. <--
5 THIS ACT SHALL PREEMPT AND SUPERSEDE ANY LOCAL ORDINANCE OR
6 RULE ADOPTED AFTER THE EFFECTIVE DATE OF THIS ACT WHICH SEEKS TO
7 REGULATE THE PROCESSING OF SCRAP MATERIALS.
8 Section 8 9. Effective date. <--
9 This act shall take effect in 60 days.
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