General Bill

							                                   South Carolina General Assembly
                                       119th Session, 2011-2012

S. 732

STATUS INFORMATION

General Bill
Sponsors: Senators Pinckney, Knotts, Scott, Peeler, Fair, Cleary, Ford, Nicholson, Williams, Hutto,
Elliott, Alexander, Matthews, Land, Setzler, Campbell, Hayes, McConnell, Davis, Thomas, Rose and
Lourie
Document Path: l:\council\bills\swb\6108cm11.docx
Companion/Similar bill(s): 3660, 4129

Introduced in the Senate on March 24, 2011
Currently residing in the Senate

Summary: Obtaining nonferrous metals


HISTORY OF LEGISLATIVE ACTIONS

    Date     Body   Action Description with journal page number
 3/24/2011   Senate Introduced and read first time (Senate Journal-page 4)
 3/24/2011   Senate Referred to Committee on Judiciary (Senate Journal-page 4)
  4/7/2011   Senate Referred to Subcommittee: Rankin (ch), Campsen, Coleman, Davis, Nicholson
  5/4/2011   Senate Polled out of committee Judiciary (Senate Journal-page 6)
  5/4/2011   Senate Committee report: Favorable Judiciary (Senate Journal-page 6)
  5/5/2011          Scrivener's error corrected
 1/10/2012   Senate Recommitted to Committee on Judiciary (Senate Journal-page 53)
 1/12/2012   Senate Referred to Subcommittee: Hutto (ch), Rose, Shoopman
 2/22/2012   Senate Committee report: Favorable with amendment Judiciary (Senate Journal-page 11)
 2/23/2012          Scrivener's error corrected

View the latest legislative information at the LPITS web site


VERSIONS OF THIS BILL

3/24/2011
5/4/2011
5/5/2011
2/22/2012
2/23/2012
 1   Indicates Matter Stricken
 2   Indicates New Matter
 3
 4   COMMITTEE REPORT
 5   February 22, 2012
 6
 7                                                            S. 732
 8
 9   Introduced by Senators Pinckney, Knotts, Scott, Peeler, Fair,
10   Cleary, Ford, Nicholson, Williams, Hutto, Elliott, Alexander,
11   Matthews, Land, Setzler, Campbell, Hayes, McConnell, Davis,
12   Thomas, Rose and Lourie
13
14   S. Printed 2/22/12--S.                     [SEC 2/23/12 2:40 PM]
15   Read the first time March 24, 2011.
16
17
18                 THE COMMITTEE ON JUDICIARY
19      To whom was referred a Bill (S. 732) to amend Section
20   16-11-523, as amended, Code of Laws of South Carolina, 1976,
21   relating to obtaining nonferrous metals unlawfully, so as to revise
22   the penalties, etc., respectfully
23                                 REPORT:
24      That they have duly and carefully considered the same and
25   recommend that the same do pass with amendment:
26
27     Amend the bill, as and if amended, by striking all after the
28   enacting words and inserting:
29     / SECTION 1. Section 16-11-523 of the 1976 Code is
30   amended to read:
31     “Section 16-11-523. (A) For purposes of this section,
32   ‘nonferrous metals’ means metals not containing significant
33   quantities of iron or steel, including, but not limited to, copper
34   wire, copper clad steel wire, copper pipe, copper bars, copper
35   sheeting, aluminum other than aluminum cans, a product that is a
36   mixture of aluminum and copper, catalytic converters, lead-acid
37   batteries, and stainless steel beer kegs or containers.
38     (B) It is unlawful for a person to wilfully and maliciously cut,
39   mutilate, deface, or otherwise injure any personal or real property,
40   including any fixtures or improvements, for the purpose of
41   obtaining nonferrous metals in any amount.


     [732-1]
 1      (C) A person who violates a provision of this section is guilty
 2   of a:
 3         (1) misdemeanor, and, upon conviction, must be fined in the
 4   discretion of the court or imprisoned not more than three years, or
 5   both, if the direct injury to the property, the amount of loss in value
 6   to the property, the amount of repairs necessary to return the
 7   property to its condition before the act, or the property loss,
 8   including fixtures or improvements, is less than five thousand
 9   dollars; or
10         (2) felony and, upon conviction, must be fined in the
11   discretion of the court or imprisoned not more than ten years, or
12   both, if the direct injury to the property, the amount of loss in value
13   to the property, the amount of repairs necessary to return the
14   property to its condition before the act, or the property loss,
15   including fixtures or improvements, is five thousand dollars or
16   more.
17      (D)(1) A person who violates the provisions of this section and
18   the violation results in great bodily injury to another person is
19   guilty of a felony and, upon conviction, must be imprisoned not
20   more than fifteen years. For purposes of this subsection, ‘great
21   bodily injury’ means bodily injury which creates a substantial risk
22   of death or which causes serious, permanent disfigurement, or
23   protracted loss or impairment of the function of any bodily
24   member or organ.
25         (2) A person who violates the provisions of this section and
26   the violation results in the death of another person is guilty of a
27   felony and, upon conviction, must be imprisoned not more than
28   thirty years.
29      (E) A person who violates the provisions of this section and the
30   violation results in disruption of communication or electrical
31   service to critical infrastructure or more than ten customers of the
32   communication or electrical service is guilty of a misdemeanor,
33   and, upon conviction, must be fined in the discretion of the court
34   or imprisoned not more than three years, or both.
35      (F) If a person is convicted of violating the provisions of this
36   section and the person has been issued a permit pursuant to Section
37   16-17-680, the permit must be revoked.
38      (F)(1)(G)(1) A public or private owner of personal or real
39   property is not civilly liable to a person who is injured during the
40   theft or attempted theft, by the person or a third party, of
41   nonferrous metals in any amount.
42         (2) A public or private owner of personal or real property is
43   not civilly liable for a person’s injuries caused by a dangerous

     [732-2]
 1   condition created as a result of the theft or attempted theft of
 2   nonferrous metals in any amount, of the owner when the owner of
 3   personal or real property did not know and could not have
 4   reasonably known of the dangerous condition.
 5         (3) This subsection does not create or impose a duty of care
 6   upon a owner of personal or real property that would not otherwise
 7   exist under common law.”
 8      SECTION 2. Section 16-17-680 of the 1976 Code is amended
 9   to read:
10      “Section 16-17-680. (A) For purposes of this section:
11         (1) ‘Fixed site’ means any a site occupied by a secondary
12   metals recycler as the owner of the site or as a lessee of the site
13   under a lease or other rental agreement providing for occupation of
14   the site by a secondary metals recycler for a total duration of not
15   less than three hundred sixty-four days.
16         (2) ‘Nonferrous metals’ means metals not containing
17   significant quantities of iron or steel, including, but not limited to,
18   copper wire, cooper clad steel wire, copper pipe, copper bars,
19   copper sheeting, aluminum other than aluminum cans, a product
20   that is a mixture of aluminum and copper, catalytic converters,
21   lead-acid batteries, and stainless steel beer kegs or containers.
22         (3) ‘Secondary metals recycler’ means any a person or entity
23   who is engaged, from a fixed site or otherwise, in the business of
24   paying compensation for nonferrous metals that have served their
25   original economic purpose, whether or not the person is engaged in
26   the business of performing the manufacturing process by which
27   nonferrous metals are converted into raw material products
28   consisting of prepared grades and having an existing or potential
29   economic value.
30         (4) ‘Vehicle used in the ordinary course of business for the
31   purpose of transporting nonferrous metals’ includes, but is not
32   limited to, vehicles used by gas, electric, communications, water,
33   plumbing, electrical, and climate conditioning service providers,
34   and their employees, agents, and contractors, in the course of
35   providing these services.
36      (B)(1) A secondary metals recycler shall obtain a permit to
37   purchase nonferrous metals. A secondary metals recycler’s
38   employee is not required to obtain a separate permit to purchase
39   nonferrous metals provided that the employee is acting within the
40   scope and duties of their employment with the secondary metals
41   recycler. A secondary metals recycler’s employee who intends to
42   purchase nonferrous metals on behalf of the secondary metals
43   recycler at a location other than a fixed site shall have a copy of

     [732-3]
 1   the secondary metals recycler’s permit readily available for
 2   inspection.
 3      (2) If a secondary metals recycler intends to purchase
 4   nonferrous metals at a fixed site or fixed sites, the secondary
 5   metals recycler shall obtain a permit from the sheriff of the county
 6   in which each of the secondary metals recycler’s fixed sites are
 7   located. The sheriff shall may issue the permit to the secondary
 8   metals recycler, if the secondary metals recycler:
 9           (1)(a) has a fixed site or fixed sites located in the sheriff’s
10   county; and
11           (b) has not been convicted of a violation of Section 16-11-
12   523 or this section; and
13           (2)(c) declares on a form an application provided by the
14   sheriff that the secondary metals recycler is informed of and will
15   comply with the provisions of this section.
16        (3) If a secondary metals recycler intends to purchase
17   nonferrous metals at a location other than a fixed site, the
18   secondary metals recycler shall obtain a permit from the sheriff of
19   each county in which the secondary metals recycler intends to
20   purchase nonferrous metals. The sheriff may issue the permit to
21   the secondary metals recycler if the secondary metals recycler:
22           (a) can sufficiently demonstrate to the sheriff the
23   secondary metals recycler’s ability to comply with the provisions
24   of this section;
25           (b) has not been convicted of a violation of Section 16-11-
26   523 or this section; and
27           (c) declares on an application provided by the sheriff that
28   the secondary metals recycler is informed of and will comply with
29   the provisions of this section.
30        (4) The South Carolina Law Enforcement Division shall
31   develop the application and permit in consultation with the state’s
32   sheriffs and representatives from the secondary metals recyclers’
33   industry.
34        (5) A sheriff may investigate a secondary metals recycler’s
35   background prior to issuing a permit for purposes of determining if
36   the secondary metals recycler qualifies to be issued a permit.
37        (6) The A sheriff may charge and retain a two hundred
38   dollar fee for the each permit.
39        (7) The A sheriff shall keep a record of all permits issued
40   pursuant to this subsection containing, at a minimum, the date of
41   issuance, and the name and address of the permit holder secondary
42   metals recycler.
43        (8) The A permit is valid for twenty-four months.

     [732-4]
 1         (9) A permit may be denied, suspended, or revoked at any
 2   time if a sheriff discovers that the information on an application is
 3   inaccurate, a secondary metals recycler does not comply with the
 4   requirements of this section, or a secondary metals recycler is
 5   convicted of a violation of Section 16-11-523 or this section.
 6      (C)(1) A person or entity other than a holder of a retail license,
 7   an authorized wholesaler, a contractor licensed pursuant to Article
 8   1, Chapter 11, Title 40, or a gas, electric, communications, water,
 9   plumbing, electrical, or climate conditioning service provider, who
10   wants to transport or sell nonferrous metals to a secondary metals
11   recycler shall obtain a permit to transport and sell the nonferrous
12   metals. An entity’s employee is not required to obtain a separate
13   permit to transport or sell nonferrous metals provided that the
14   employee is acting within the scope and duties of their
15   employment with the entity. An entity’s employee who intends to
16   transport and sell nonferrous metals on behalf of an entity shall
17   have a copy of the entity’s permit readily available for inspection.
18         (2) If a person is a resident of South Carolina or an entity is
19   located in South Carolina, the person or entity shall obtain a permit
20   from the sheriff of the county in which the person resides or has a
21   secondary residence or in which the entity is located or has a
22   secondary business. The sheriff shall may issue the permit to the
23   person or entity if the:
24            (a) person resides or has a secondary residence or the
25   entity is located or has a secondary business in the sheriff’s county,
26   or, if the person is not a resident of or the entity is not located in
27   South Carolina, secondary metals recycler purchasing the
28   nonferrous metals is located in the sheriff’s county; and
29            (b) person or entity has not been convicted of a violation
30   of Section 16-11-523 or this section; and
31            (b)(c) person or entity declares on a form an application
32   provided by the sheriff that the person or entity is informed of and
33   will comply with the provisions of this section.
34         (3) If the a person is not a resident of South Carolina or the
35   an entity is not located in South Carolina, the person or entity shall
36   obtain a permit to transport and sell nonferrous metals from the
37   any sheriff of the any county in which the secondary metals
38   recycler purchasing the nonferrous metals is located. The sheriff
39   may issue the permit to the person or entity if the:
40            (a) person is not a resident of South Carolina or the entity
41   is not located in South Carolina;
42            (b) person or entity has not been convicted of a violation
43   of Section 16-11-523 or this section; and

     [732-5]
 1           (c) person or entity declares on an application provided by
 2   the sheriff that the person or entity is informed of and will comply
 3   with the provisions of this section.
 4         (4) The South Carolina Law Enforcement Division shall
 5   develop the application and permit in consultation with the state’s
 6   sheriffs and representatives of the secondary metals recyclers’
 7   industry.
 8         (5) A sheriff may investigate a person or entity’s
 9   background prior to issuing a permit for purposes of determining if
10   the person or entity qualifies to be issued a permit.
11         (6) The A sheriff may not charge a fee for the a permit. A
12   sheriff may charge a ten dollar fee to replace a permit that has been
13   lost or destroyed. If the original permit is later found by the person
14   or entity, the person or entity must turn the original permit into the
15   sheriff or destroy the original permit.
16         (7) TheA sheriff shall keep a record of all permits issued
17   pursuant to this subsection containing, at a minimum, the date of
18   issuance, the name and address of the permit holder person or
19   entity, a photocopy of the permit holder’s person’s identification or
20   of the employee’s identification, the license plate number of the
21   permit holder’s person’s motor vehicle or the entity’s motor
22   vehicle, and the permit holder’s person’s photograph or the entity’s
23   employee’s photograph.
24         (8) TheA permit is valid for twelve months statewide and
25   expires on the person’s birth date on the second calendar year after
26   the calendar year in which the permit is issued, or, if the permittee
27   is an entity, the permit expires on the date of issuance on the
28   second calendar year after the calendar year in which the permit is
29   issued. If a person or entity only wants to sell or transport
30   nonferrous metals a maximum of two times in a twelve month
31   period, the person or entity can obtain a forty-eight hour permit
32   from the applicable sheriff’s office pursuant to this subsection,
33   except that the person only needs to call the sheriff’s office,
34   provide the required information, and obtain a permit number. A
35   person or entity only may request such a permit two times in a
36   twelve month period.
37         (9) A permit may be denied, suspended, or revoked at any
38   time if a sheriff discovers that the information on an application is
39   inaccurate, a person or entity does not comply with the
40   requirements of this section, or a person or entity is convicted of a
41   violation of Section 16-11-523 or this section.



     [732-6]
 1        (2)(a)(10)(a) It is unlawful for a person or entity to obtain a
 2   permit to transport and sell nonferrous metals for the purpose of
 3   transporting or selling stolen nonferrous metals.
 4           (b) A person who violates a provision of this subitem is
 5   guilty of a felony, and, upon conviction, must be fined in the
 6   discretion of the court or imprisoned not more than ten years, or
 7   both. The person or entity’s permit must be revoked.
 8      (D)(1) It is unlawful to purchase nonferrous metals in any
 9   amount for the purpose of recycling the nonferrous metals from a
10   seller who is not a holder of a retail license, an authorized
11   wholesaler, a contractor licensed pursuant to Article 1, Chapter 11,
12   Title 40, or a gas, electric, communications, water, plumbing,
13   electrical, or climate conditioning service provider, unless the
14   purchaser is a secondary metals recycler who has a valid permit to
15   purchase nonferrous metals issued pursuant to subsection (B) and
16   the seller has a valid permit to transport and sell nonferrous metals
17   issued pursuant to subsection (C). A secondary metals recycler
18   may hold a seller’s nonferrous metals while the seller obtains a
19   permit to transport and sell nonferrous metals pursuant to
20   subsection (C).
21        (2) A secondary metals recycler shall maintain a record
22   containing, at a minimum, the date of purchase, the name and
23   address of the seller, a photocopy of the seller’s identification, a
24   photocopy of the seller’s permit to transport and sell nonferrous
25   metals, if applicable, the license plate number of the seller’s motor
26   vehicle, if available, the seller’s photograph, the weight or length,
27   and size or other description of the nonferrous metals purchased,
28   the amount paid for it the nonferrous metals, and a signed
29   statement from the seller stating that the seller is the rightful owner
30   or is entitled to sell the nonferrous metals being sold. If the
31   secondary metals recycler has the seller’s photograph on file, the
32   secondary metals recycler may reference the photograph on file
33   without making a photograph for each transaction; however, the
34   secondary metals recycler shall update the seller’s photograph on
35   an annual basis. A secondary metals recycler may use a video of
36   the seller in lieu of a photograph provided the secondary metals
37   recycler maintains the video for at least one hundred and twenty
38   days. A secondary metals recycler may maintain a record in an
39   electronic database provided that the information is legible and can
40   be accessed by law enforcement upon request.
41        (3) All nonferrous metals that are purchased by and are in
42   the possession of a secondary metals recycler and all records
43   required to be kept by this section must be maintained and kept

     [732-7]
 1   open for inspection by law enforcement officials or local and state
 2   governmental agencies during regular business hours. The records
 3   must be maintained for two years one year from the date of
 4   purchase.
 5         (2)(4) A secondary metals recycler shall purchase copper,
 6   catalytic converters, and beer kegs by check alone A secondary
 7   metals recycler shall not enter into a cash transaction in excess of
 8   fifty dollars in payment for the purchase of copper, catalytic
 9   converters, and beer kegs. Payment in excess of fifty dollars for
10   the purchase of copper, catalytic converters, and beer kegs must be
11   made by check alone issued and made payable to the seller. A
12   secondary metals recycler shall neither cash a check issued
13   pursuant to this item nor use an automated teller machine (ATM)
14   or other cash card system in lieu of a check.
15         (3)(5) A secondary metals recycler shall prominently display
16   a twenty-inch by thirty-inch sign in the secondary metals recycler’s
17   fixed site that states: ‘NO NONFERROUS METALS,
18   INCLUDING COPPER, MAY BE PURCHASED BY A
19   SECONDARY METALS RECYCLER FROM A SELLER
20   UNLESS THE SELLER IS A HOLDER OF A RETAIL
21   LICENSE,        AN      AUTHORIZED           WHOLESALER,           A
22   CONTRACTOR LICENSED PURSUANT TO ARTICLE 1,
23   CHAPTER 11, TITLE 40, CODE OF LAWS OF SOUTH
24   CAROLINA, 1976, A GAS, ELECTRIC, COMMUNICATIONS,
25   WATER, PLUMBING, ELECTRICAL, OR CLIMATE
26   CONDITIONING SERVICE PROVIDER, OR THE SELLER
27   PRESENTS THE SELLER’S VALID PERMIT TO TRANSPORT
28   AND SELL NONFERROUS METALS ISSUED PURSUANT TO
29   SECTION 16-17-680, CODE OF LAWS OF SOUTH
30   CAROLINA, 1976.’
31         (4)(6) A purchaser who violates a provision of this
32   subsection:
33           (a) for a first offense, is guilty of a misdemeanor, and,
34   upon conviction, must be fined not less than two hundred dollars
35   nor more than three hundred dollars or imprisoned not more than
36   thirty days;
37           (b) for a second offense, is guilty of a misdemeanor, and,
38   upon conviction, must be fined not less than four hundred dollars
39   nor more than five hundred dollars or imprisoned not more than
40   one year, or both; and
41           (c) for a third offense or subsequent offense, is guilty of a
42   misdemeanor, and, upon conviction, must be fined not more than
43   one thousand dollars or imprisoned not more than three years, or

     [732-8]
 1   both. For an offense to be considered a third or subsequent
 2   offense, only those offenses that occurred within a period of ten
 3   years, including and immediately preceding the date of the last
 4   offense, shall constitute a prior offense within the meaning of this
 5   subsection.
 6      If the purchaser obtained a permit to purchase nonferrous metals
 7   pursuant to subsection (B), the permit must be revoked.
 8      (E)(1)(a) It is unlawful to sell nonferrous metals in any amount
 9   to a secondary metals recycler unless the secondary metals recycler
10   has a valid permit to purchase nonferrous metals issued pursuant to
11   subsection (B) and the seller is a holder of a retail license, an
12   authorized wholesaler, a contractor licensed pursuant to Article 1,
13   Chapter 11, Title 40, or a gas, electric, communications, water,
14   plumbing, electrical, or climate conditioning service provider, or
15   the seller has a valid permit to transport and sell nonferrous metals
16   issued pursuant to subsection (C).
17            (b) A seller who violates a provision of this subitem:
18              (i) for a first offense, is guilty of a misdemeanor, and,
19   upon conviction, must be fined in the discretion of the court or
20   imprisoned not more than one year, or both;
21              (ii) for a second offense, is guilty of a misdemeanor,
22   and, upon conviction, must be fined not less than five hundred
23   dollars or imprisoned not more than three years, or both; and
24              (iii) for a third or subsequent offense, is guilty of a
25   felony, and, upon conviction, must be fined not less than one
26   thousand dollars or imprisoned not more than five years, or both.
27      If the seller obtained a permit to transport and sell nonferrous
28   metals pursuant to subsection (C), the permit must be revoked.
29         (2)(a) It is unlawful to purchase or otherwise acquire
30   nonferrous metals in any amount from a seller who does not have a
31   valid permit to transport and sell nonferrous metals issued pursuant
32   to subsection (C) with the intent to resell the nonferrous metals in
33   any amount to a secondary metals recycler using the purchaser’s
34   valid permit to transport and sell nonferrous metals issued pursuant
35   to subsection (C).
36            (b) A purchaser who violates a provision of this subitem is
37   guilty of a felony, and, upon conviction, must be fined in the
38   discretion of the court or imprisoned not more than ten years, or
39   both. The purchaser’s permit must be revoked.
40      (F)(1) When a law enforcement officer has reasonable cause to
41   believe that any item of nonferrous metal in the possession of a
42   secondary metals recycler has been stolen, the law enforcement
43   officer may issue a hold notice to the secondary metals recycler.

     [732-9]
 1   The hold notice must be in writing, be delivered to the secondary
 2   metals recycler, specifically identify those items of nonferrous
 3   metal that are believed to have been stolen and that are subject to
 4   the notice, and inform the secondary metals recycler of the
 5   information contained in this subsection. Upon receipt of the
 6   notice, the secondary metals recycler must not process or remove
 7   the items of nonferrous metal identified in the notice, or any
 8   portion thereof, from the secondary metal recycler’s fixed site for
 9   fifteen calendar days after receipt of the notice unless released
10   prior to the fifteen-day period by the law enforcement officer.
11         (2) No later than the expiration of the fifteen-day period, a
12   law enforcement officer may issue a second hold notice to the
13   secondary metals recycler, which shall be an extended hold notice.
14   The extended hold notice must be in writing, be delivered to the
15   secondary metals recycler, specifically identify those items of
16   nonferrous metal that are believed to have been stolen and that are
17   subject to the extended hold notice, and inform the secondary
18   metals recycler of the information contained in this subsection.
19   Upon receipt of the extended hold notice, the secondary metals
20   recycler must not process or remove the items of nonferrous metal
21   identified in the notice, or any portion thereof, from the secondary
22   metals recycler’s fixed site for thirty calendar days after receipt of
23   the extended hold notice unless released prior to the thirty-day
24   period by the law enforcement officer.
25         (3) At the expiration of the hold period or, if extended, at the
26   expiration of the extended hold period, the hold is automatically
27   released and the secondary metals recycler may dispose of the
28   nonferrous metals unless other disposition has been ordered by a
29   court of competent jurisdiction.
30         (4) A secondary metals recycler who violates a provision of
31   this subsection:
32           (a) for a first offense, is guilty of a misdemeanor, and,
33   upon conviction, must be fined not less than two hundred dollars
34   nor more than three hundred dollars or imprisoned not more than
35   thirty days;
36           (b) for a second offense, is guilty of a misdemeanor, and,
37   upon conviction, must be fined not less than four hundred dollars
38   nor more than five hundred dollars or imprisoned not more than
39   one year, or both; and
40           (c) for a third or subsequent offense, is guilty of a
41   misdemeanor, and, upon conviction, must be fined not more than
42   one thousand dollars or imprisoned not more than three years, or
43   both. For an offense to be considered a third or subsequent

     [732-10]
 1   offense, only those offenses that occurred within a period of ten
 2   years, including and immediately preceding the date of the last
 3   offense shall constitute a prior offense within the meaning of this
 4   subsection.
 5      The secondary metals recycler’s permit to purchase nonferrous
 6   metals issued pursuant to subsection (B) must be revoked.
 7      (G)(1) It is unlawful to transport nonferrous metals in a vehicle
 8   or have nonferrous metals in a person’s possession in a vehicle on
 9   the highways of this State nonferrous metals of an aggregate
10   weight of more than ten pounds.
11         (2) Subsection (G)(1) does not apply if:
12           (a) the vehicle is a vehicle used in the ordinary course of
13   business for the purpose of transporting nonferrous metals;
14           (b) the person can present a valid permit to transport and
15   sell nonferrous metals issued pursuant to subsection (C); or
16           (c)(b) the person can present a valid bill of sale for the
17   nonferrous metals.
18         (3) If a law enforcement officer determines that one or more
19   of the exceptions listed in item (G)(2) applies, or the law
20   enforcement officer determines that the nonferrous metals are not
21   stolen goods and are in the rightful possession of the person, the
22   law enforcement officer shall not issue a citation for a violation of
23   this subsection.
24         (4) A person who violates a provision of item (G)(1):
25           (a) for a first offense, is guilty of a misdemeanor, and,
26   upon conviction, must be fined not more than two hundred dollars
27   or imprisoned not more than thirty days;
28           (b) for a second offense, is guilty of a misdemeanor, and,
29   upon conviction, must be fined not more than five hundred dollars
30   or imprisoned not more than one year, or both; and
31           (c) for a third or subsequent offense, is guilty of a
32   misdemeanor, and, upon conviction, must be fined not more than
33   one thousand dollars or imprisoned not more than three years, or
34   both. For an offense to be considered a third or subsequent
35   offense, only those offenses that occurred within a period of ten
36   years, including and immediately preceding the date of the last
37   offense, shall constitute a prior offense within the meaning of this
38   subsection.
39         (5) If a person transports nonferrous metals that the person
40   knows are stolen in a vehicle or has in the person’s possession in a
41   vehicle on the highways of this State nonferrous metals that the
42   person knows are stolen, is operating a vehicle used in the ordinary
43   course of business to transport nonferrous metals that the person

     [732-11]
 1   knows are stolen, presents a valid or falsified permit to transport
 2   and sell nonferrous metals that the person knows are stolen, or
 3   presents a valid or falsified bill of sale for nonferrous metals that
 4   the person knows to be stolen, the person is guilty of a felony, and,
 5   upon conviction, must be must be fined in the discretion of the
 6   court or imprisoned not more than ten years, or both. If the person
 7   obtained a permit to transport and sell nonferrous metals pursuant
 8   to subsection (C), the permit must be revoked.
 9      (H) For purposes of this section, the only acceptable
10   identification acceptable is a valid:
11         (1) valid South Carolina driver’s license issued by the
12   Department of Motor Vehicles;
13         (2) valid South Carolina identification card issued by the
14   Department of Motor Vehicles;
15         (3) valid driver’s license from another state that contains the
16   licensee’s picture on the face of the license; or
17         (4) valid military identification card.
18      (I) A secondary metals recycler must not purchase or
19   otherwise acquire an iron or steel:
20         (1) manhole cover; or
21         (2) drainage grate.
22      (I)(J)(1) Except as provided in item (2), The the provisions of
23   this section do not apply to:
24            (a) the purchase or sale of aluminum cans;
25            (b) a transaction between a secondary metals recycler and
26   another secondary metals recycler;
27            (c) a governmental entity;
28            (d) a manufacturing or industrial vendor that generates or
29   sells regulated metals in the ordinary course of its business;
30            (e) a holder of a retail license, an authorized wholesaler,
31   an automobile demolisher as defined in Section 56-5-5810(d), a
32   contractor licensed pursuant to Chapter 11, Title 40, a residential
33   home builder licensed pursuant to Chapter 59, Title 40, a
34   demolition contractor, a provider of gas service, electric service,
35   communications service, water service, plumbing service,
36   electrical service, climate conditioning service, core recycling
37   service, appliance repair service, automotive repair service, or
38   electronics repair service; or
39            (f) organizations, corporations, or associations registered
40   with the State as charitable organizations or any nonprofit
41   corporation.
42         (2) An exempted entity listed in item (1) is subject to the
43   provisions of subsection (C)(10) and subsection (G)(5).

     [732-12]
 1      A secondary metals recycler shall maintain a record of
 2   transactions involving exempted entities listed in item (1) pursuant
 3   to subsection (D) and is subject to the penalty provisions of
 4   subsection (D)(6). Any item of nonferrous metals acquired from
 5   an exempted entity listed in item (1) is subject to a hold notice
 6   pursuant to subsection (F).
 7      (J)(K) This section preempts local ordinances and regulations
 8   governing the purchase, sale, or transportation of nonferrous
 9   metals in any amount, except to the extent that such ordinances
10   pertain to zoning or business license fees. Political subdivisions of
11   the State may not enact ordinances or regulations more restrictive
12   than those contained in this section.”
13      SECTION 3. The repeal or amendment by this act of any law,
14   whether temporary or permanent or civil or criminal, does not
15   affect pending actions, rights, duties, or liabilities founded thereon,
16   or alter, discharge, release or extinguish any penalty, forfeiture, or
17   liability incurred under the repealed or amended law, unless the
18   repealed or amended provision shall so expressly provide. After
19   the effective date of this act, all laws repealed or amended by this
20   act must be taken and treated as remaining in full force and effect
21   for the purpose of sustaining any pending or vested right, civil
22   action, special proceeding, criminal prosecution, or appeal existing
23   as of the effective date of this act, and for the enforcement of
24   rights, duties, penalties, forfeitures, and liabilities as they stood
25   under the repealed or amended laws.
26      SECTION 4. This act takes effect ninety days after approval by
27   the Governor. /
28      Renumber sections to conform.
29      Amend title to conform.
30
31   C. BRADLEY HUTTO for Committee.
32




     [732-13]
 1
 2
 3
 4
 5
 6
 7
 8
 9                             A BILL
10
11   TO AMEND SECTION 16-11-523, AS AMENDED, CODE OF
12   LAWS OF SOUTH CAROLINA, 1976, RELATING TO
13   OBTAINING NONFERROUS METALS UNLAWFULLY, SO
14   AS TO REVISE THE PENALTIES FOR VIOLATIONS OF THIS
15   PROVISION; TO AMEND SECTION 16-17-680, AS
16   AMENDED, RELATING TO THE PURCHASE OF
17   NONFERROUS       METALS,     PROCEDURES      AND
18   REQUIREMENTS FOR PURCHASE OF NONFERROUS
19   METALS, AND EXCEPTIONS, SO AS TO PROVIDE
20   ADDITIONAL RESTRICTIONS RELATED TO THE SALE OF
21   COPPER; TO AMEND SECTION 16-17-685, RELATING TO
22   THE UNLAWFUL TRANSPORTATION OF NONFERROUS
23   METALS, SO AS TO INCREASE THE PENALTIES FOR
24   CERTAIN VIOLATIONS OF THIS PROVISION; AND BY
25   ADDING CHAPTER 40 TO TITLE 40 SO AS TO REQUIRE
26   SECONDARY METALS RECYCLERS TO REGISTER WITH
27   THE DEPARTMENT OF LABOR, LICENSING AND
28   REGULATION, AND TO PROVIDE REGISTRATION AND
29   RENEWAL REQUIREMENTS.
30
31   Be it enacted by the General Assembly of the State of South
32   Carolina:
33
34   SECTION 1. Section 16-11-523(C) of the 1976 Code, as last
35   amended by Act 273 of 2010, is further amended to read:
36
37     “(C) A person who violates the provisions of this section is
38   guilty of a:
39        (1) misdemeanor under the jurisdiction of magistrates or
40   municipal court, notwithstanding the provisions of Sections
41   22-3-540, 22-3-545, 22-3-550, and 14-25-65, and, upon
42   conviction, must be fined not more than one thousand dollars or

     [732]                          1
 1   imprisoned not more than thirty days, or both, if the direct injury to
 2   the property, the amount of loss in value to the property, the
 3   amount of repairs necessary to return the property to its condition
 4   before the act, or the property loss, including fixtures or
 5   improvements, is two thousand dollars or less;
 6        (2) felony and, upon conviction, must be fined in the
 7   discretion of the court or imprisoned not more than five years, or
 8   both, if the direct injury to the property, the amount of loss in value
 9   to the property, the amount of repairs necessary to return the
10   property to its condition before the act, or the property loss,
11   including fixtures or improvements, is more less than two five
12   thousand dollars but less than ten thousand dollars; or
13        (3)(2) felony and, upon conviction, must be fined in the
14   discretion of the court or imprisoned not more than ten years, or
15   both, if the direct injury to the property, the amount of loss in value
16   to the property, the amount of repairs necessary to return the
17   property to its condition before the act, or the property loss,
18   including fixtures or improvements, is ten five thousand dollars or
19   more.”
20
21   SECTION 2. Section 16-17-680 of the 1976 Code, as last
22   amended by Act 26 of 2009, is further amended to read:
23
24      “Section 16-17-680. (A)(1) It is unlawful to purchase
25   nonferrous metals in any amount from a person who is not a holder
26   of a retail license or an authorized wholesaler unless the purchaser
27   is a secondary metals recycler and obtains and can verify the name
28   and address, and permit to sell of the seller. A secondary metals
29   recycler shall maintain a record containing the date of purchase,
30   name and address of the seller, a photocopy of the seller’s
31   identification, the license plate number of the seller’s motor
32   vehicle, the seller’s photograph, weight or length, and size or other
33   description of the nonferrous metals purchased, amount paid for it,
34   and a signed statement from the seller stating that he is the rightful
35   owner or is entitled to sell the nonferrous metals being sold. All
36   nonferrous metals that are purchased by and are in the possession
37   of a secondary metals recycler and all records required to be kept
38   by this section must be maintained and kept open for inspection by
39   law enforcement officials or local and state governmental agencies
40   during regular business hours. The records must be maintained for
41   two years from the date of purchase.
42         (2) A person may not sell copper to another person or entity
43   without first receiving a permit issued by the sheriff of the county

     [732]                              2
 1   in which the seller resides pursuant to Section 16-17-685. A
 2   permit is valid for the calendar year in which it was issued. The
 3   sheriff shall keep a record of all permits issued containing the date
 4   of issue, name and address of the permit holder, a photocopy of the
 5   permit holder’s identification, the license plate number of the
 6   permit holder’s motor vehicle, and the permit holder’s photograph.
 7      (B) A secondary metals recycler may only not purchase
 8   nonferrous metals copper for cash consideration from a fixed
 9   location and only may purchase copper by check or other similar
10   written instrument, a record of which must be maintained by the
11   secondary metals recycler for the same period of time as other
12   identifying information is required to be maintained by the
13   provisions of subsection (A)(1).
14      (C) A secondary metals recycler must display in a prominent
15   location in his place of business, a sign, twenty inches by thirty
16   inches that states ‘NO COPPER MAY BE PURCHASED BY
17   THIS OR ANY OTHER SECONDARY METAL RECYCLER
18   FROM ANY PERSON UNLESS THE PERSON PRESENTS
19   THE PERMIT TO SELL NONFERROUS METALS PURSUANT
20   TO SECTION 16-17-680 OF THE SOUTH CAROLINA CODE
21   OF LAWS.’
22      (D)(1) Whenever When a law enforcement officer has
23   reasonable cause to believe that any item of nonferrous metal in
24   the possession of a secondary metals recycler has been stolen, the
25   law enforcement officer may issue a hold notice to the secondary
26   metals recycler. The hold notice must be in writing, be delivered
27   to the secondary metals recycler, specifically identify those items
28   of nonferrous metal that are believed to have been stolen and that
29   are subject to the notice, and inform the secondary metals recycler
30   of the information contained in this subsection. Upon receipt of
31   the notice, the secondary metals recycler must not process or
32   remove the items of nonferrous metal identified in the notice, or
33   any portion thereof, from the secondary metal recycler’s place of
34   business for fifteen calendar days after receipt of the notice unless
35   released prior to the fifteen-day period by the law enforcement
36   officer.
37         (2) No later than the expiration of the fifteen-day period, a
38   law enforcement officer may issue a second hold notice to the
39   secondary metals recycler, which shall be an extended hold notice.
40   The extended hold notice must be in writing, be delivered to the
41   secondary metals recycler, specifically identify those items of
42   nonferrous metal that are believed to have been stolen and that are
43   subject to the extended hold notice, and inform the secondary

     [732]                             3
 1   metals recycler of the information contained in this subsection.
 2   Upon receipt of the extended hold notice, the secondary metals
 3   recycler must not process or remove the items of nonferrous metal
 4   identified in the notice, or any portion thereof, from the secondary
 5   metals recycler’s place of business for thirty calendar days after
 6   receipt of the extended hold notice unless released prior to the
 7   thirty-day period by the law enforcement officer.
 8         (3) At the expiration of the hold period or, if extended, at the
 9   expiration of the extended hold period, the hold is automatically
10   released and the secondary metals recycler may dispose of the
11   nonferrous metals unless other disposition has been ordered by a
12   court of competent jurisdiction.
13      (D)(E) A person who violates the provisions of this section is
14   guilty of a:
15         (1) misdemeanor and, upon conviction, for a first offense
16   must be fined not more less than two hundred dollars nor more
17   than three hundred dollars or imprisoned not more than thirty days
18   for a first offense. This offense is triable in magistrates court; and
19         (2) misdemeanor and, upon conviction, for a second or
20   subsequent offense must be fined not less than four hundred
21   dollars nor more than five hundred dollars or imprisoned not more
22   than one year thirty days, or both, for a second offense; .
23         (3) misdemeanor and, upon conviction, must be fined not
24   more than one thousand dollars or imprisoned not more than three
25   years, or both, for a third or subsequent offense. For an offense to
26   be considered a third or subsequent offense, only those offenses
27   which occurred within a period of ten years, including and
28   immediately preceding the date of the last offense shall constitute a
29   prior offense within the meaning of this section.
30      (E)(F) For purposes of this section, the only identification
31   acceptable is a:
32         (1) valid South Carolina driver’s license;
33         (2) South Carolina identification card issued by the
34   Department of Motor Vehicles;
35         (3) valid driver’s license from another state that contains the
36   licensee’s picture on the face of the license; or
37         (4) valid military identification card.
38      (F)(G) For purposes of this section:
39         (1) ‘Nonferrous metals’ means metals not containing
40   significant quantities of iron or steel, including copper wire, cooper
41   clad steel wire, copper pipe, copper bars, copper sheeting,
42   aluminum, a product that is a mixture of aluminum and copper,
43   catalytic converters, and stainless steel beer kegs or containers.

     [732]                             4
 1         (2) ‘Secondary metals recycler’ means any person who is
 2   engaged in the business of paying compensation for nonferrous
 3   metals that have served their original economic purpose, whether
 4   or not the person is engaged in the business of performing the
 5   manufacturing process by which nonferrous metals are converted
 6   into raw material products consisting of prepared grades and
 7   having an existing or potential economic value.
 8         (3) ‘Fixed location’ means any site occupied by a secondary
 9   metals recycler as the owner of the site or as a lessee of the site
10   under a lease or other rental agreement providing for occupation of
11   the site by a secondary metals recycler for a total duration of not
12   less than three hundred and sixty-four days.
13      (G)(H) The provisions of this section do not apply to the
14   purchase or sale of aluminum cans.
15      (H)(I) This section preempts local ordinances and regulations
16   governing the purchase or sale of nonferrous metals in any amount,
17   except to the extent that such ordinances pertain to zoning or
18   business license fees. This section shall not preempt the ability of
19   a political subdivision of the State to enact ordinances or
20   regulations pertaining to zoning or business license fees. Political
21   subdivisions of the State may not enact ordinances or regulations
22   more restrictive than those contained in this section.”
23
24   SECTION 3. Section 16-17-685(B) of the 1976 Code, as added
25   by Act 26 of 2009, is amended to read:
26
27      “(B) It is unlawful for a person to transport or have in the
28   person’s possession on the highways of this State nonferrous
29   metals of an aggregate weight of more than twenty-five ten pounds
30   in a vehicle other than a vehicle used in the ordinary course of
31   business for the purpose of transporting nonferrous metals, unless
32   the person:
33        (1) has in the person’s possession a bill of sale signed by:
34           (a) a holder of a retail license for a business engaged in
35   the sale of nonferrous metals or a mixture of nonferrous metals;
36           (b) an authorized wholesaler engaged in the sale of
37   nonferrous metals or a mixture of nonferrous metals; or
38           (c) a registered dealer of scrap metals; or
39        (2) can present, either orally or in writing, a valid
40   transportation permit number provided by the sheriff of the county
41   in which the person resides.”
42
43   SECTION 4. Title 40 of the 1976 Code is amended by adding:

     [732]                            5
 1
 2                             “CHAPTER 40
 3
 4                       Secondary Metals Recyclers
 5
 6     Section 40-40-10. A person who is a secondary metals recycler
 7   shall register with the Department of Labor, Licensing and
 8   Regulation in accordance with this chapter.
 9
10      Section 40-40-20. For purposes of this chapter:
11      (1) ‘Department’ means the Department of Labor, Licensing
12   and Regulation.
13      (2) ‘Nonferrous metals’ means metals not containing
14   significant quantities of iron or steel, including copper wire, cooper
15   clad steel wire, copper pipe, copper bars, copper sheeting,
16   aluminum, a product that is a mixture of aluminum and copper,
17   catalytic converters, and stainless steel beer kegs or containers.
18      (3) ‘Secondary metals recycler’ means a person who is
19   engaged in the business of paying compensation for nonferrous
20   metals that have served their original economic purpose, whether
21   or not the person is engaged in the business of performing the
22   manufacturing process by which nonferrous metals are converted
23   into raw material products consisting of prepared grades and
24   having an existing or potential economic value.
25
26      Section 40-40-30. (A) A secondary metals recycler shall
27   register with the department in the manner as may be prescribed by
28   the department in regulations and shall renew the registration every
29   two years. The biennial registration cost is two hundred dollars.
30      (B) To be eligible to register and renew registration under this
31   section, a secondary metals recycler:
32        (1) must have an address of a fixed site which must be
33   occupied by the secondary metals recycler as the owner of the site
34   or as a lessee of the site under a lease or other rental agreement
35   providing for occupation of the site by the secondary metals
36   recycler for a total duration of not less than three hundred and
37   sixty-four days, and this site must be the only site at which the
38   secondary metals recycler purchases nonferrous metals; and
39        (2) shall declare, on a form provided by the department, that
40   as an applicant for registration, he is informed of and will comply
41   with the purchase, recordkeeping, and hold notice requirements of
42   Section 16-17-680.
43

     [732]                             6
 1      Section 40-40-40. The department shall promulgate such
 2   regulations as are necessary to carry out its responsibilities under
 3   this chapter.”
 4
 5   SECTION 5. The repeal or amendment by this act of any law,
 6   whether temporary or permanent or civil or criminal, does not
 7   affect pending actions, rights, duties, or liabilities founded thereon,
 8   or alter, discharge, release or extinguish any penalty, forfeiture, or
 9   liability incurred under the repealed or amended law, unless the
10   repealed or amended provision shall so expressly provide. After
11   the effective date of this act, all laws repealed or amended by this
12   act must be taken and treated as remaining in full force and effect
13   for the purpose of sustaining any pending or vested right, civil
14   action, special proceeding, criminal prosecution, or appeal existing
15   as of the effective date of this act, and for the enforcement of
16   rights, duties, penalties, forfeitures, and liabilities as they stood
17   under the repealed or amended laws.
18
19   SECTION 6. This act takes effect one hundred twenty days after
20   its approval by the Governor.
21                               ----XX----
22




     [732]                              7