[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6831 Introduced in House (IH)]







110th CONGRESS
  2d Session
                                H. R. 6831

      To require certain metal recyclers to keep records of their 
 transactions in order to deter individuals and enterprises engaged in 
 theft and interstate fencing of stolen copper, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             August 1, 2008

Mr. Stupak (for himself and Mr. Ramstad) introduced the following bill; 
       which was referred to the Committee on Energy and Commerce

_______________________________________________________________________

                                 A BILL


 
      To require certain metal recyclers to keep records of their 
 transactions in order to deter individuals and enterprises engaged in 
 theft and interstate fencing of stolen copper, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Copper Theft Prevention Act of 
2008''.

SEC. 2. FINDINGS; PURPOSES.

    (a) Findings.--The Congress finds as follows:
            (1) Since 2006, metal theft, particularly copper, has been 
        on the rise, largely due to a surge in the global demand for 
        scrap metal.
            (2) The price of copper has risen from $2 per pound in mid-
        2006 to more than $4 per pound in early 2008.
            (3) Theft of copper is jeopardizing this Nation's critical 
        infrastructure, through theft of copper in transportation, 
        electrical, and telecommunications networks.
            (4) From January 2006 through March 2007, 270 copper thefts 
        from electric utilities in 42 States were reported.
            (5) Many arrests of copper thieves show a growing 
        connection between the thefts and illegal drug activity, 
        particularly methamphetamines.
            (6) The National Drug Intelligence Center's 2008 Threat 
        Assessment shows a growing threat of methamphetamine use, 
        especially in the western United States where increased 
        incidents of copper theft are occurring.
            (7) Law enforcement officials have testified that 
        legislation will help combat methamphetamine problems, as metal 
        theft has become a favored method of raising money to satisfy 
        methamphetamine addiction.
            (8) Thefts are on the rise due primarily because of the 
        lack of pressure on the scrap and salvage yards that pay for 
        copper and other precious metal without asking questions about 
        where the material came from.
            (9) Combating the problem will take better communications 
        between metal businesses and law enforcement agencies.
    (b) Purposes.--The purposes of this Act are as follows:
            (1) To protect consumers, businesses, the Nation's critical 
        infrastructure, and State and local governments from the 
        problem of copper theft as well as the related adverse health 
        and safety risks it creates.
            (2) To allow legitimate transactions to continue to take 
        place by establishing a system of documenting the transactions 
        between the seller and the buyer while addressing the growing 
        problem of copper theft that facilitates illegal drug use and 
        other crimes.

SEC. 3. REQUIREMENTS ON COPPER RECYCLERS.

    (a) Records.--
            (1) In general.--A secondary copper recycler shall maintain 
        a legible record of all copper property purchase transactions 
        to which the secondary copper recycler is a party. The record 
        shall include all of the following information:
                    (A) The name and address of the secondary copper 
                recycler.
                    (B) The date of the transaction.
                    (C) The weight, quantity, or volume of copper 
                property purchased; the consideration paid by the 
                secondary copper recycler; and a description of the 
                type of copper property purchased in a purchase 
                transaction, including a general physical description 
                (such as by describing the copper property as wire, 
                tubing, extrusions, or casting).
                    (D) The name and address of the person delivering 
                the copper property to the secondary copper recycler.
                    (E) The distinctive number from a Federal or State 
                government-issued identification with a photograph of 
                the person delivering the copper property to the 
                secondary copper recycler, and the type of such 
                identification.
                    (F) The license tag number, State of issue, make, 
                and model, if available, of the vehicle used to deliver 
                the copper property to the secondary copper recycler.
            (2) Repeat sellers.--In the case of a person who sells 
        copper property to the same secondary copper recycler more than 
        once, such secondary copper recycler may comply with this 
        subsection by maintaining a record relating to such seller and 
        including in such record for subsequent transactions only the 
        information relating to such seller that has changed.
    (b) Prohibition Against Certain Cash Transactions.--A secondary 
copper recycler shall not enter into any cash transaction in excess of 
$500 in payment for the purchase of copper property. For any such 
purchase--
            (1) a secondary copper recycler shall make payment by check 
        issued to the seller of the copper; and
            (2) the check shall be payable to the name and address of 
        the seller or picked up in person by the seller.
    (c) Minimum Period.--A secondary copper recycler shall maintain or 
cause to be maintained the records required by subsection (a) for not 
less than 2 years from the date of the purchase transaction.
    (d) Penalty.--
            (1) Civil penalty.--A secondary copper recycler who 
        violates subsections (a), (b), or (c) shall be liable to the 
        United States for a civil penalty not to exceed $10,000.
            (2) No criminal liability.--A violation of subsection (a), 
        (b), or (c) does not constitute a crime, and a judgment for the 
        United States and imposition of a civil penalty pursuant to 
        paragraph (1) shall not give rise to any disability or legal 
        disadvantage based on conviction for a criminal offense.
    (e) Definition.--As used in this Act, the term ``secondary copper 
recycler'' means any person who is engaged, from a fixed location or 
otherwise, in the business of paying compensation for copper that has 
served its original economic purpose, whether or not engaged in the 
business of performing the manufacturing process by which copper is 
converted into raw material products consisting of prepared grades and 
having an existing or potential economic value.

SEC. 4. RULE OF CONSTRUCTION REGARDING STATE AND LOCAL GOVERNMENT 
              REQUIREMENTS.

    Nothing in this Act or the amendments made by this Act shall be 
construed to prohibit a State or local government from adopting 
requirements in addition to those set forth in this Act and the 
amendments made by this Act to govern the purchase of copper property 
by a secondary copper recycler.

SEC. 5. PROTECTION OF PERSONAL INFORMATION.

    A secondary copper recycler or the agent, employee, or 
representative of a secondary copper recycler shall not disclose 
personal information concerning a customer without the customer's 
consent unless the disclosure is made in response to a request from a 
law enforcement agency. A secondary copper recycler shall implement 
reasonable safeguards to protect the security of the personal 
information required under section 3(a)(1) and prevent unauthorized 
access to or disclosure of such information.
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