Bill Text: FL S1528 | 2011 | Regular Session | Comm Sub
Bill Title: Secondary Metals Recyclers
Spectrum: Slight Partisan Bill (? 2-1)
Status: (Introduced - Dead) 2011-05-07 - Indefinitely postponed and withdrawn from consideration [S1528 Detail]
Download: Florida-2011-S1528-Comm_Sub.html
Florida Senate - 2011 CS for CS for SB 1528 By the Committees on Community Affairs; and Commerce and Tourism; and Senator Altman 578-04257-11 20111528c2 1 A bill to be entitled 2 An act relating to secondary metals recyclers; 3 amending s. 319.30, F.S.; conforming a cross 4 reference; amending s. 538.03, F.S.; defining the term 5 “appropriate law enforcement official”; amending s. 6 538.04, F.S.; clarifying a provision requiring that a 7 secondhand dealer deliver a transaction form to the 8 appropriate law enforcement official; amending s. 9 538.18, F.S.; revising and providing definitions; 10 amending s. 538.19, F.S.; requiring that a secondary 11 metals recycler complete a transaction form and 12 transmit it to the appropriate law enforcement 13 official within 24 hours after the acquisition of 14 regulated metals; authorizing such recyclers to use an 15 electronic database and transmit transaction forms 16 electronically under certain circumstances; 17 authorizing appropriate law enforcement officials to 18 provide software and computer equipment to recyclers; 19 requiring that a recycler produce an original form in 20 certain situations; revising the period required for 21 secondary metals recyclers to maintain certain 22 information regarding purchase transactions involving 23 regulated metals property; revising requirements for 24 the types of information that secondary metals 25 recyclers must obtain and maintain regarding purchase 26 transactions; limiting the liability of secondary 27 metals recyclers for the conversion of motor vehicles 28 to scrap metal under certain circumstances; amending 29 s. 538.235, F.S.; revising requirements for payments 30 made by secondary metals recyclers to sellers of 31 regulated metals property, to which penalties apply; 32 providing methods of payment for restricted regulated 33 metals property; requiring that purchases of certain 34 property be made by check or by electronic payment; 35 amending s. 538.26, F.S.; prohibiting secondary metals 36 recyclers from purchasing regulated metals property 37 without maintaining certain records; deleting 38 provisions prohibiting the purchase of regulated 39 metals property from certain persons or at certain 40 locations; prohibiting the purchase of specified 41 restricted regulated metals property without obtaining 42 certain proof of the seller’s ownership or 43 authorization to sell the property; creating s. 44 538.27, F.S.; establishing an inference that secondary 45 metals recyclers do not commit theft or deal in stolen 46 property under certain circumstances; creating s. 47 538.28, F.S.; preempting to the state the regulation 48 of secondary metals recyclers and purchase 49 transactions involving regulated metals property; 50 exempting certain ordinances and regulations from 51 preemption; amending s. 812.022, F.S.; establishing an 52 inference that secondary metals recyclers do not 53 commit theft or deal in stolen property under certain 54 circumstances; providing an effective date. 55 56 Be It Enacted by the Legislature of the State of Florida: 57 58 Section 1. Paragraph (u) of subsection (1) of section 59 319.30, Florida Statutes, is amended to read: 60 319.30 Definitions; dismantling, destruction, change of 61 identity of motor vehicle or mobile home; salvage.— 62 (1) As used in this section, the term: 63 (u) “Secondary metals recycler” means secondary metals 64 recycler as defined in s. 538.18(11)s.538.18(8). 65 Section 2. Paragraph (j) is added to subsection (1) of 66 section 538.03, Florida Statutes, to read: 67 538.03 Definitions; applicability.— 68 (1) As used in this part, the term: 69 (j) “Appropriate law enforcement official” means the 70 sheriff of the county in which a secondhand dealer is located 71 or, in the case of a secondhand dealer located within a 72 municipality, the police chief of the municipality in which the 73 secondhand dealer is located; however, any sheriff or police 74 chief may designate as the appropriate law enforcement official 75 for the county or municipality, as applicable, any law 76 enforcement officer working within the county or municipality 77 headed by that sheriff or police chief. This paragraph does not 78 limit the power and responsibilities of the sheriff. 79 Section 3. Subsection (1) of section 538.04, Florida 80 Statutes, is amended to read: 81 538.04 Recordkeeping requirements; penalties.— 82 (1) Secondhand dealers shall complete a secondhand dealers 83 transaction form at the time of the actual transaction. A 84 secondhand dealer shall maintain a copy of a completed 85 transaction form on the registered premises for at least 1 year 86 after the date of the transaction. However, the secondhand 87 dealer shall maintain a copy of the transaction form for not 88 less than 3 years. Unless other arrangements have been agreed 89 upon by the secondhand dealer and the appropriate law 90 enforcement agency, the secondhand dealer shall, within 24 hours 91 after the acquisition of any secondhand goods, deliver to the 92 appropriate law enforcement officialpolice department of the93municipality where the goods were acquired or, if the goods were94acquired outside of a municipality, to the sheriff’s department95of the county where the goods were acquired,a record of the 96 transaction on a form approved by the Department of Law 97 Enforcement. Such record shall contain: 98 (a) The time, date, and place of the transaction. 99 (b) A complete and accurate description of the goods 100 acquired, including the following information, if applicable: 101 1. Brand name. 102 2. Model number. 103 3. Manufacturer’s serial number. 104 4. Size. 105 5. Color, as apparent to the untrained eye. 106 6. Precious metal type, weight, and content if known. 107 7. Gemstone description, including the number of stones, if 108 applicable. 109 8. In the case of firearms, the type of action, caliber or 110 gauge, number of barrels, barrel length, and finish. 111 9. Any other unique identifying marks, numbers, or letters. 112 (c) A description of the person from whom the goods were 113 acquired, including: 114 1. Full name, current residential address, workplace, and 115 home and work phone numbers. 116 2. Height, weight, date of birth, race, gender, hair color, 117 eye color, and any other identifying marks. 118 3. The right thumbprint, free of smudges and smears, of the 119 person from whom the goods were acquired. 120 (d) Any other information required by the form approved by 121 the Department of Law Enforcement. 122 Section 4. Section 538.18, Florida Statutes, is amended to 123 read: 124 538.18 Definitions.—As used in this part, the term: 125 (1) “Appropriate law enforcement official” means the 126 sheriff of the county in which a secondary metals recycler is 127 located or, in the case of a secondary metals recycler located 128 within a municipality, the police chief of the municipality in 129 which the secondary metals recycler is located; however, any 130 sheriff or police chief may designate as the appropriate law 131 enforcement official for the county or municipality, as 132 applicable, any law enforcement officer working within the 133 county or municipality headed by that sheriff or police chief. 134 This subsection does not limit the power and responsibilities of 135 the sheriff. 136 (2) “Department” means the Department of Revenue. 137 (3)(1)“Ferrous metals” means any metals containing 138 significant quantities of iron or steel. 139 (4)(2)“Fixed location” means any site occupied by a 140 secondary metals recycler as owner of the site or as lessee of 141 the site under a lease or other rental agreement providing for 142 occupation of the site by the secondary metals recycler for a 143 total duration of not less than 364 days. 144 (5)(3)“Money” means a medium of exchange authorized or 145 adopted by a domestic or foreign government as part of its 146 currency. 147 (6)(4)“Nonferrous metals” means metals not containing 148 significant quantities of iron or steel, including, without 149 limitation, copper, brass, aluminum, bronze, lead, zinc, nickel, 150 and alloys thereof, excluding precious metals subject to 151 regulation under part I. 152 (7)(5)“Personal identification card” means any government 153 issued photographic identification card. 154 (8)(6)“Purchase transaction” means a transaction in which 155 a secondary metals recycler gives consideration for regulated 156 metals property. 157 (9)(7)“Regulated metals property” means any item composed 158 primarily of any nonferrous metals. The term does, but shallnot 159 include aluminum beverage containers, used beverage containers, 160 or similar beverage containers; however,.the term includes 161shall includestainless steel beer kegs. 162 (10) “Restricted regulated metals property” means any 163 regulated metals property listed in s. 538.26(6)(b), the sale of 164 which is restricted as provided in s. 538.26(6)(a). 165 (11)(8)“Secondary metals recycler” means any person who: 166 (a) Is engaged, from a fixed locationor otherwise, in the 167 business of gathering or obtaining ferrous or nonferrous metals 168 that have served their original economic purpose or is in the 169 business of performing the manufacturing process by which 170 ferrous metals or nonferrous metals are converted into raw 171 material products consisting of prepared grades and having an 172 existing or potential economic value; or 173 (b) Has facilities for performing the manufacturing process 174 by which ferrous metals or nonferrous metals are converted into 175 raw material products consisting of prepared grades and having 176 an existing or potential economic value, other than by the 177 exclusive use of hand tools, by methods including, without 178 limitation, processing, sorting, cutting, classifying, cleaning, 179 baling, wrapping, shredding, shearing, or changing the physical 180 form or chemical content thereof. 181(9) “Department” means the Department of Revenue.182 (12) “Utility” means a person, firm, corporation, 183 association, or political subdivision, whether private, 184 municipal, county, or cooperative, which is engaged in the sale, 185 generation, provision, or delivery of gas, electricity, heat, 186 water, oil, sewer service, or telephone, telegraph, radio, 187 communications, or telecommunications service. 188 Section 5. Section 538.19, Florida Statutes, is amended to 189 read: 190 538.19 Records required; limitation of liability.— 191 (1) A secondary metals recycler shall complete a 192 transaction form at the time of the actual transaction. Unless 193 other arrangements have been agreed upon, the secondary metals 194 recycler shall, within 24 hours after acquiring the regulated 195 metals, deliver to the appropriate law enforcement official a 196 record of the transaction on a form approved by the Department 197 of Law Enforcement. The recycler shall also maintain a legible 198 record of all purchase transactions to which thesuchsecondary 199 metals recycler is a party. 200 (2) The following information must be maintained on thea201 form approved by the Department of Law Enforcement for each 202 purchase transaction: 203 (a) The name and address of the secondary metals recycler. 204 (b) The name, initials, or other identification of the 205 individual entering the information on the ticket. 206 (c) The date and time of the transaction. 207 (d) The weight, quantity, or volume, and a description of 208 the type of regulated metals property purchased in a purchase 209 transaction. 210 (e) The amount of consideration given in a purchase 211 transaction for the regulated metals property. 212 (f) A signed statement from the person delivering the 213 regulated metals property stating that she or he is the rightful 214 owner of, or is entitled to sell, the regulated metals property 215 being sold. If the purchase involves a stainless steel beer keg, 216 the seller must provide written documentation from the 217 manufacturer that the seller is the owner of the stainless steel 218 beer keg or is an employee or agent of the manufacturer. 219 (g) The distinctive number from the personal identification 220 card of the person delivering the regulated metals property to 221 the secondary metals recycler. 222 (h) A description of the person from whom the goods were 223 acquired, including: 224 1. Full name, current residential address, workplace, and 225 home and work phone numbers. 226 2. Height, weight, date of birth, race, gender, hair color, 227 eye color, and any other identifying marks. 228 3. The right thumbprint, free of smudges and smears. 229 4. Vehicle description to include the make, model, and tag 230 number of the vehicle and trailer of the person selling the 231 regulated metals property. 232 5. Any other information required by the form approved by 233 the Department of Law Enforcement. 234 (i) A photograph, videotape, or digital image of the 235 regulated metals being sold. 236 (j) A photograph, videotape, or similar likeness of the 237 person receiving consideration in which such person’s facial 238 features are clearly visible. 239 (3) Any secondary metals recycler may, with the approval of 240 the appropriate law enforcement official, usethat maintainsan 241 electronic database containing the information required in 242 subsection (2)paragraph (2)(h), along with an oath of ownership243with a signature of the seller of the secondary metals being244purchased by the secondary metals recycler and a right245thumbprint that has no smudges and smears on the oath of246ownership for each purchase transaction, shall be exempt from247the records requirement of paragraph (2)(h). A secondary metals 248 recycler complies with the requirements of this section if it 249 maintains an electronic database containing the information 250 required by subsection (2)paragraph (2)(h)as long as the 251 electronic information required by subsection (2)paragraph252(2)(h), along with an electronic oath of ownership with an 253 electronic signature of the seller of the secondary metals being 254 purchased by the secondary metals recyclers and an electronic 255 image of the seller’s right thumbprint that has no smudges and 256 smears, can be downloaded onto a paper form in the image of the 257 form approved by the Department of Law Enforcement as provided 258 in subsection (2). 259 (4) If an appropriate law enforcement official supplies the 260 software and the secondary metals recycler has the computer 261 ability, the recycler shall electronically transmit regulated 262 metals transaction records required by this section. If a 263 recycler does not have such ability, the appropriate law 264 enforcement official may provide the recycler with a computer 265 and necessary equipment to electronically transmit such records. 266 The appropriate law enforcement official shall retain ownership 267 of the computer, unless otherwise agreed upon, and the recycler 268 shall maintain the computer in good working order, ordinary wear 269 and tear excepted. A recycler who transmits such records 270 electronically is not required to also provide the original or 271 paper copies of the forms to the appropriate law enforcement 272 official. However, such official may, for purposes of a criminal 273 investigation, require the recycler to provide the original of a 274 transaction form that has been electronically transferred within 275 24 hours after receipt of the request. 276 (5)(4)A secondary metals recycler shall maintain or cause 277 to be maintained the information required by this section for 278 not less than 25years from the date of the purchase 279 transaction. 280 (6)(5)If a purchase transaction involves the transfer of281regulated metals property fromA secondary metals recycler 282 registered with the department who purchases a motor vehicle 283 from a licensed salvage motor vehicle dealer as defined in s. 284 320.27 or fromtoanother secondary metals recycler registered 285 with the department and who uses a mechanical crusher to convert 286 the vehicle to scrap metal must obtain a signed statement from 287 the seller stating that the seller has surrendered the vehicle’s 288 certificate of title to the Department of Highway Safety and 289 Motor Vehicles as provided in s. 319.30 or has otherwise 290 complied with the titling requirements provided by law for 291 conversion of the vehicle to scrap metal. A, thesecondary 292 metals recycler is not liable for the seller’s failure to comply 293 with the titling requirements provided by law for conversion of 294 a motor vehicle to scrap metal if the secondary metals recycler 295 obtains and maintains the seller’s signed statementreceiving296the regulated metals property shall record the name and address297of the secondary metals recycler from which it received the298regulated metals property in lieu of the requirements of299paragraph (2)(h). 300 Section 6. Section 538.235, Florida Statutes, is amended to 301 read: 302 538.235 Method of payment.— 303 (1) A secondary metals recycler mayshallnot enter into 304 any cash transaction: 305 (a) In excess of $1,000in paymentfor the purchase of 306 regulated metals property; or 307 (b) In any amount for the purchase of restricted regulated 308 metals property. 309 (2) Payment in excess of $1,000 for the purchase of 310 regulated metals property or payment in any amount for the 311 purchase of restricted regulated metals property mustshallbe 312 made by check issued and payable to the seller or by electronic 313 payment to the seller’s bank account or the bank account of the 314 seller’s employermetal and payable to the seller. 315 Section 7. Subsection (5) of section 538.26, Florida 316 Statutes, is amended, and subsection (6) is added to that 317 section, to read: 318 538.26 Certain acts and practices prohibited.—It is 319 unlawful for a secondary metals recycler to do or allow any of 320 the following acts: 321 (5) Purchase regulated metals propertyin return for money322 from a trailer, a vehicle, or any location other than a fixed 323 location or from any person who is required to prove ownership 324 under s. 538.19pursuant to subsection (4). However, regulated325metals may be purchased from a nonfixed location, or from such326person, with any negotiable or nonnegotiable instrument,327including a check or draft or any other type of instrument328purchased with money and sold for the purpose of making payments329or transfers to others. 330 (6)(a) Purchase any restricted regulated metals property 331 listed in paragraph (b) unless the secondary metals recycler 332 obtains reasonable proof that the seller: 333 1. Owns such property. Reasonable proof of ownership may 334 include, but is not limited to, a receipt or bill of sale; or 335 2. Is an employee, agent, or contractor of the property’s 336 owner and is authorized to sell the property on behalf of the 337 owner. Reasonable proof of authorization to sell the property 338 includes, but is not limited to, a signed letter on the owner’s 339 letterhead, dated no later than 90 days before the sale, 340 authorizing the seller to sell the property. 341 (b) The purchase of any of the following regulated metals 342 property is subject to the restrictions provided in paragraph 343 (a): 344 1. A manhole cover. 345 2. An electric light pole or other utility structure and 346 its fixtures, wires, and hardware that are readily identifiable 347 as connected to the utility structure. 348 3. A guard rail. 349 4. A street sign, traffic sign, or traffic signal and its 350 fixtures and hardware. 351 5. Communication, transmission, distribution, and service 352 wire from a utility, including copper or aluminum bus bars, 353 connectors, grounding plates, or grounding wire. 354 6. A funeral marker or funeral vase. 355 7. A historical marker. 356 8. Railroad equipment, including, but not limited to, a tie 357 plate, signal house, control box, switch plate, E clip, or rail 358 tie junction. 359 9. A metal item that is observably marked, upon reasonable 360 inspection, with any form of the name, initials, or logo of a 361 governmental entity, utility company, cemetery, or railroad. 362 10. A copper, aluminum, or aluminum-copper condensing or 363 evaporator coil, including its tubing or rods, from an air 364 conditioning or heating unit, excluding coils from window air 365 conditioning or heating units and motor vehicle air-conditioning 366 or heating units. 367 11. An aluminum or stainless steel container or bottle 368 designed to hold propane for fueling forklifts. 369 12. A stainless steel beer keg. 370 13. A catalytic converter or any nonferrous part of a 371 catalytic converter unless purchased as part of a motor vehicle. 372 14. Metallic wire that has been burned in whole or in part 373 to remove insulation. 374 15. A brass or bronze commercial valve or fitting, referred 375 to as a “fire department connection and control valve” or an 376 “FDC valve,” which is commonly used on structures for access to 377 water for the purpose of extinguishing fires. 378 16. A brass or bronze commercial potable water backflow 379 preventer valve that is commonly used to prevent backflow of 380 potable water from commercial structures into municipal domestic 381 water service systems. 382 17. A shopping cart. 383 Section 8. Section 538.27, Florida Statutes, is created to 384 read: 385 538.27 Secondary metals recyclers; limitation of liability; 386 inference.—As provided in s. 812.022(7), proof that a purchase 387 transaction for regulated metals property by a secondary metals 388 recycler complied with this part gives rise to an inference that 389 the secondary metals recycler did not know or have reason to 390 believe that the property was stolen and that the recycler did 391 not have intent to commit theft or deal in stolen property. 392 Section 9. Section 538.28, Florida Statutes, is created to 393 read: 394 538.28 Local government regulation; preemption.— 395 (1) The regulation of purchase transactions involving 396 regulated metals property is preempted to the state. Except as 397 provided in subsection (2), an ordinance or regulation adopted 398 by a county or municipality relating to the purchase or sale of 399 regulated metals property or the registration or licensure of 400 secondary metals recyclers is void. 401 (2) This part does not preempt an ordinance or regulation 402 originally enacted by a county or municipality before March 1, 403 2011, or any subsequent amendment to such ordinance or 404 regulation. 405 Section 10. Subsection (7) is added to section 812.022, 406 Florida Statutes, to read: 407 812.022 Evidence of theft or dealing in stolen property.— 408 (7) Proof that a purchase transaction for regulated metals 409 property by a secondary metals recycler complied with part II of 410 chapter 538 gives rise to an inference that the secondary metals 411 recycler did not know or have reason to believe that the 412 property was stolen and that the recycler did not have intent to 413 commit theft or deal in stolen property. 414 Section 11. This act shall take effect July 1, 2011.