Bill
S 1150
Requires permits for buying nonferrous metals, strict recordkeeping, cash transaction limits, and enhanced penalties for theft-related deals.
Purpose and intent
- This bill amends Section 16-17-680 of the South Carolina Code to tighten regulation of secondary metals recyclers that purchase nonferrous metals.
- Key aims include: verifying the recycler’s background, expanding violations for unlawful conduct related to stolen metals, and establishing stricter permit and recordkeeping requirements.
- The act is effective upon the Governor’s approval.
Main provisions and changes
1) Permitting for purchase of nonferrous metals
- A secondary metals recycler must obtain a permit to purchase nonferrous metals.
- Employee purchases: employees acting within their job duties do not need separate permits; they must have the recycler’s permit available when purchasing off-site.
- Fixed-site purchases:
- Recyclers with fixed sites must obtain a permit from the county sheriff.
- Eligibility conditions for a sheriff-issued permit include: location of fixed site(s) in the sheriff’s county, no prior conviction for violations of 16-11-523 or this section, and an affirmative compliance declaration on the sheriff-provided application.
- Mobile/off-site purchases:
- For non-fixed locations, the recycler must obtain permits from the sheriff of each county where purchases occur.
- The sheriff may issue permits if the recycler demonstrates the ability to comply, has no relevant prior conviction, and signs an affirmative compliance declaration.
- Application and permitting process:
- The South Carolina Law Enforcement Division (SLED) will develop the application and permit in consultation with sheriffs and industry representatives.
- Sheriffs may conduct background investigations and must affirmatively determine conviction status before issuing a permit.
- Permit fee: the sheriff may charge and retain a $200 permit fee.
- Permits are valid for 24 months.
- Permits may be denied, suspended, or revoked for misrepresentation, noncompliance, or new convictions.
2) Restrictions on purchase and seller requirements
- It is unlawful to purchase nonferrous metals for recycling unless the buyer is properly permitted and the seller holds a valid permit to transport and sell nonferrous metals.
- Recordkeeping: at minimum, the recycler must maintain records of purchase date, seller identity, seller ID copies, seller permit, vehicle details, seller photo, metal description, weight, price paid, and a signed ownership statement.
- Records may be kept electronically but must be legible and accessible to law enforcement; photos may be updated annually or via a video kept for 120 days.
3) Cash handling and display requirements
- Cash transactions for copper, catalytic converters, or beer kegs totaling $25 or more are prohibited; payment must be by check payable to the seller.
- No cashing of purchaser checks or use of ATM/payments in lieu of checks.
- No more than one cash transaction per day per seller for those items.
- Large fixed-site signage: a 20" x 30" sign must be prominently displayed listing eligible seller types and the requirement to present a valid permit.
4) Penalties and added offenses
- Offenses related to misrecordkeeping, obstruction of inspections, and handling of suspected stolen metals carry varying penalties, including fines and possible imprisonment.
- Specific new or enhanced offenses include:
- Possessing or purchasing known or reasonably suspected stolen nonferrous metals can be a felony with up to five years’ imprisonment.
- If reasonable suspicion exists, holding items for 15 days and notifying authorities is required.
- Violations involving avoidance of detection, structuring cash transactions, or failure to report convictions can trigger higher penalties, including potential felonies.
Who is affected
- Primary: Secondary metals recyclers that purchase nonferrous metals (copper, catalytic converters, etc.) and their employees.
- Sheriff’s offices and local law enforcement, which oversee permit issuance and background checks.
- Sellers of nonferrous metals, who must possess permits to transport/sell and provide identifying documentation.
Key timeline/procedural notes
- Permits last 24 months and can be denied, suspended, or revoked for noncompliance or criminal convictions.
- Background checks and affirmative determinations are required prior to permit issuance.
- Violations and penalties apply on a rolling basis, with specified thresholds for first, second, and subsequent offenses.
Sponsor and status
- Co-sponsor: Jason Elliott
- Introduced and referred to Judiciary Committee (as of the latest action).
Compiled from official sources — confirm details with the bill’s official record.
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