Bill Text: OR HB4108 | 2012 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Relating to precious material secondhand dealing.

Spectrum: Strong Partisan Bill (Democrat 10-1)

Status: (Passed) 2012-04-11 - Chapter 99, (2012 Laws): Effective date January 1, 2013. [HB4108 Detail]

Download: Oregon-2012-HB4108-Introduced.html

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     76th OREGON LEGISLATIVE ASSEMBLY--2012 Regular Session

NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .

LC 47

                         House Bill 4108

Sponsored by Representative NATHANSON (Presession filed.)

                             SUMMARY

The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.

  Establishes precious material secondhand dealer record keeping
requirements regarding transactions involving items of precious
material. Requires seven-day holding period for items of precious
material acquired by precious material secondhand dealers.
Provides that Act does not apply in cities and counties with more
stringent regulation of precious material secondhand dealers.
  Establishes penalties for failure to comply with record keeping
and holding period requirements.

                        A BILL FOR AN ACT
Relating to precious material secondhand dealing.
Be It Enacted by the People of the State of Oregon:
  SECTION 1.  { + As used in sections 1 to 3 of this 2012 Act:
  (1) 'Item of precious material' means an item that consists of
or incorporates gold in eight karat or greater purity, silver,
platinum or palladium. 'Item of precious material' does not
include dental gold, unrefined metal ore, bullion or gold or
silver currency.
  (2) 'Precious material secondhand dealer':
  (a) Means a person engaged in precious material secondhand
dealing; and
  (b) Does not include:
  (A) A pawnbroker licensed under ORS chapter 726 who engages
exclusively in pledge loans, as defined in ORS 726.010;
  (B) A manufacturer of items of precious material; or
  (C) A person primarily engaged in purchasing for resale newly
manufactured items of precious material. For purposes of this
subparagraph, a person is primarily engaged in purchasing newly
manufactured items if 90 percent or more of all inventory
acquisitions are of newly manufactured items.
  (3) 'Precious material secondhand dealing' means soliciting,
receiving, purchasing, trading or accepting delivery of items of
precious material from individuals in return for money or other
consideration.
  (4) 'Seller' means the other party to a transaction with a
precious material secondhand dealer.
  (5) 'Temporary precious material secondhand dealer' means a
precious material secondhand dealer who conducts operations at
one or more locations in this state for no more than five
consecutive days at any one location.
  (6) 'Transaction':
  (a) Means a purchase, consignment, bailment, barter or trade of
one or more items of precious material by a precious material
secondhand dealer from an individual who is not engaged in the
business of selling newly manufactured items of precious
material.
  (b) Does not include:
  (A) Gifts or other transfers of property unsupported by
consideration; or
  (B) Business-to-business purchases or other transfers. + }
  SECTION 2.  { + (1) A precious material secondhand dealer in
this state shall maintain the following records with respect to
each transaction conducted by the dealer:
  (a) The full name, current telephone number and current address
of the seller;
  (b) The type and identification number of a currently valid
government-issued photo identification that has been issued to
the seller;
  (c) A physical description of the seller; and
  (d) An identifying description and digital photograph of each
item of precious material that is the subject of the transaction.
  (2) A precious material secondhand dealer in this state shall:
  (a) Maintain the records described in subsection (1) of this
section for a period of at least one year after the date of the
transaction; and
  (b)(A) Maintain the records described in subsection (1) of this
section at the location at which the dealer is engaged in
precious material secondhand dealing and allow inspection of the
records by law enforcement officers upon request made during
regular business hours; or
  (B) If the dealer is a temporary precious material secondhand
dealer, maintain the records, or electronic copies of the
records, at the current location where the dealer is engaged in
precious material secondhand dealing and allow inspection of the
records or electronic copies by law enforcement officers upon
request made during regular business hours.
  (3) A precious material secondhand dealer in this state shall
retain any item of precious material acquired in a transaction
for a period of seven days after the date of the transaction
before the dealer may dispose of the item. The dealer shall keep
items of precious material subject to retention under this
subsection segregated from other items, but at the location where
the transaction occurred.
  (4) Notwithstanding subsection (3) of this section, a temporary
precious material secondhand dealer may retain items subject to
retention under subsection (3) of this section at a location of
the dealer's choosing, but must provide an item of precious
material to a requesting law enforcement officer within 24 hours
of the officer's request for the item. Any cost incurred in
providing a law enforcement officer with a requested item under
this subsection shall be borne by the dealer. + }
  SECTION 3.  { + (1) Sections 1 to 3 of this 2012 Act do not
apply within the jurisdiction of any city or county that the
Department of Consumer and Business Services has identified as
having in effect an ordinance that imposes on precious material
secondhand dealers:
  (a) More stringent record keeping requirements for
transactions; and
  (b) Longer holding periods for items of precious material that
are acquired by precious material secondhand dealers through
transactions.
  (2) The department shall maintain on its website a list of
cities and counties in which sections 1 to 3 of this 2012 Act do
not apply. + }
  SECTION 4.  { + (1) A person that violates the provisions of
section 2 of this 2012 Act commits a Class C violation.

  (2) Notwithstanding subsection (1) of this section, a person
that violates the provisions of section 2 of this 2012 Act three
or more times commits a Class A violation for each subsequent
violation.
  (3) Notwithstanding subsections (1) and (2) of this section, a
person that violates the provisions of section 2 of this 2012 Act
six or more times is subject to a fine of not less than $5,000
for each subsequent violation. + }
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