TN Lawmakers Introduce Scrap Theft Bill

A special committee that was put together by the Tennessee General Assembly to addresses the problem with scrap metal theft has put together a Senate and House bill that aims to curtail the problem.

The Senate bill, SB 2400, is being sponsored by Sen. Jim Kyle, D-Memphis; the House bill, HB 2433, will be sponsored by Rep. Mike McDonald, D-Portland.

Both bills approach the problem with a number of standard requirements, including requiring proper identification from sellers, maintaining records of the transactions for an extended period of time, as well as requiring a thumbprint of the seller.

Several other points noted in the bill include requiring the buyer of the scrap material to "conduct a reasonably diligent inquiry, based upon the seller, type and quantity of metal offered for sale and other circumstances surrounding the transaction . . ."

Other issues mentioned in the bill include stipulating that if the seller does not have a significant buyer/seller history with the company payment must be made by check money order or voucher, and the check would need to be mailed to the seller at the seller’s address.

The bill also stipulates that law enforcement agencies will have the right to inspect, without a warrant or subpoena, either the purchased scrap in the possession of the dealer; and any records required to be maintained by the dealer.

Under the legislation, all persons engaged in the scrap metal business would be required to register with the Tennessee Department of Commerce and Insurance.

Committee members Sen. Steve Southerland, R-Morristown, Rep. John DeBerry, D-Memphis, and Rep. Jon Lundberg, R-Bristol, have joined Kyle and McDonald as co-sponsors of the bill.