§ 6-40-13. Daily report of purchases.

A.

Every junk and scrap metal dealer shall keep a book or other records of purchase containing a consecutively numbered record of each and every purchase which shall correspond in all essential particulars to the detachable transaction ticket attached thereto.

B.

Any person selling, exchanging or trading scrap metal to or with a junk or scrap metal dealer shall present a valid driver's license and/or any other acceptable form of picture identification from a state or federal issuing agency (i.e., state-issued identification or passport) to the junk or scrap metal dealer.

C.

The junk or scrap metal dealer shall, at the time of making the purchase, enter in the book or other records of purchase as well as on the transaction ticket, which shall be typed or written in ink and in the English language:

1.

The name, race, sex, date of birth, and residential address of the seller.

2.

The date of the scrap metal purchase.

3.

The driver's license number or other acceptable identification card from a state or federal issuing agency (i.e., state-issued ID or passport) capable of identifying the seller.

4.

The amount paid therefor.

5.

The kind of metals purchased or received.

6.

The number of pounds of each kind.

D.

The seller shall sign the transaction ticket and shall receive a detached copy. The junk or scrap metal dealer shall also sign the transaction ticket. On the junk or scrap metal dealer's copy of the record of the transaction, the seller shall reproduce his or her right thumbprint. In the event the right thumb is amputated, then such other fingerprint as required by the junk or scrap metal dealer shall be taken and such fingerprint fully described on such record. This thumbprint shall be reproduced and taken in the usually approved manner and shall not be blurred or obliterated. The book or other records of purchase shall at all times be open to the inspection of any city, county, state or federal law enforcement officer and any person who has filed a police report of metal theft in the previous month, if such person is accompanied by such law enforcement officer during normal business hours without warrant or subpoena and shall be kept in good faith and preserved on site by such dealer for convenient inspection for a period of three years from the date of the scrap metal sale.

E.

The junk or scrap metal dealer shall inquire as to where the scrap metal was obtained for the purpose of determining if purchasing scrap metal from that person is a lawful transaction. If the seller presents a bill of sale, receipt or other document indicating that the person is in lawful possession of the scrap metal, or was otherwise lawfully acquired, the dealer shall photocopy such document and maintain it with the transaction information otherwise required by this section.

F.

Air conditioner evaporator coils.

1.

It is an offense for a scrap metal dealer to knowingly accept any portion of an air conditioner evaporator coil or condenser unless it is accompanied by a statement and appropriate documentation from a licensed HVAC contractor evidencing that the coil or condenser has been decommissioned and removed from an appliance in compliance with the Federal Clean Air Act and its regulations. This provision shall not apply to an air conditioner evaporator coil or condenser still contained within a window unit air conditioner.

2.

It is an offense for a scrap metal dealer to ever pay cash to a person who presents an air conditioner evaporator coil or condenser or any portion of an air conditioner coil or condenser for sale as scrap, nor may such dealer make payment at the time of the transaction. This provision shall not apply to an air conditioner evaporator coil or condenser still contained within a window unit air conditioner. An air conditioner evaporator coil or condenser still contained within a window unit air conditioner is subject to the tag-and-hold and voucher provisions of this section.

3.

Payment for scrap metal described in subsection F.1 of this section shall be:

a.

Made by check or money order to a licensed HVAC contractor named by the seller;

b.

After a period of five business days from the date of the scrap transaction such check or money order shall be mailed to the business address of the licensed HVAC contractor; and

c.

The payee on the check shall be the name of such licensed HVAC contractor.

4.

a.

A violation of this section shall be punishable by a fine not to exceed $50.00 for each coil or portion of a coil offered or accepted.

b.

Nothing in this section shall be construed to preclude a person violating this section from also being prosecuted for any applicable criminal offense.

G.

Sale of certain scrap metals prohibited.

1.

Except as provided in subsection G.2 of this section, it is an offense to knowingly sell or attempt to sell to a scrap metal dealer or for a scrap metal dealer to knowingly purchase or attempt to purchase the following types of scrap metal:

a.

Scrap metal marked with the initials of an electrical, a telephone, a cable, or other public utility;

b.

Utility access covers;

c.

Street light poles and fixtures;

d.

Road and bridge guardrails;

e.

Highway or street signs;

f.

Water meter covers;

g.

Traffic directional and control signs;

h.

Traffic light signals;

i.

Any scrap metal visibly marked or painted with the name of a governmental entity, business, company or the name of the owner of such metal;

j.

Property owned by a telephone, a cable, an electric, a water, or other utility or by a railroad and marked or otherwise identified as such; and

k.

Unused and undamaged historical markers, or grave markers and vases.

2.

It is an exception to application of this section that the person attempting to sell the scrap metal provides reasonable, written documentation that the seller is the owner of the scrap metal or is an employee, agent, or other person authorized to sell the scrap metal on behalf of the owner. The dealer shall make a photocopy of any documentation provided pursuant to this subsection and retain the copy as part of the transaction record, and maintain such photocopy for a period of three years following the transaction. All photocopies shall be made available for inspection upon request by law enforcement officials.

3.

a.

A violation of this subsection G shall be punishable by a fine not to exceed $50.00 for each transaction offered or accepted.

b.

Nothing in this section shall be construed to preclude a person violating this section from also being prosecuted for any applicable criminal offense.

H.

The junk or scrap metal dealer shall keep on hand and in separate packages, and not allow to be mixed or confused with other purchases, in order that identification may be readily made, all scrap metal as defined herein, in any form, of:

1.

Telephone wire or cable such as is used for telecommunications purposes, waveguide, copper bus bar, catalytic converters, back flow preventers, new copper tubing over 20 feet long still in roll form (as it comes from manufacturer), bare copper grounding wire still on spools;

2.

Copper tubing or copper wire that bears sufficient ID or unique descriptive markings which may likely prove chain of custody that the copper is a victim's property;

3.

Air conditioner evaporator coils, radiators, and condensers in whole or part, including air conditioner evaporator coils and condensers still contained within a window unit air conditioner; and

4.

Any metal that accurately fits a description containing distinguishing characteristics provided either by voice or in writing to a scrap metal dealer by either a victim or by representatives/agents of the City of Memphis or Shelby County law enforcement that such metal so described has been stolen;

that is bought or obtained from any person, the same to be kept on site, separate and subject to easy and convenient inspection during normal business hours without warrant or subpoena by any city, county, state or federal law enforcement officer and any person who has filed a police report of metal theft in the previous month, if such person is accompanied by such law enforcement officer, for a period of not less than the longer of ten days after purchase or in any way acquired, or ten days after the scrap metal dealer delivers notice to either the victim or appropriate law enforcement official with respect to items that have been reported stolen.

I.

If it appears from the inquiry required by subsection E of this section, from the nature of the scrap metal being offered, or from any other circumstances, that the seller may not be in lawful possession of the scrap metal, the scrap metal dealer shall immediately contact the city police department and report such circumstances. If it appears from the requirements of this section and all other circumstances that the seller is in lawful possession of the scrap metal and buying or otherwise receiving the scrap metal from the seller would not violate this chapter, the scrap metal dealer may buy or otherwise receive the scrap metal and pay the seller. If, however, the scrap metal in whole or in part consists of:

1.

Copper;

2.

An unattached catalytic converter or portion thereof;

3.

Aluminum house gutters or house siding or portions thereof;

4.

A beer keg or portion thereof;

5.

A chain link fence or portion thereof;

6.

Stainless steel sinks or portions thereof;

7.

Railroad spikes;

8.

Any item subject to the ten-day hold period pursuant to subsection H of this section; or

9.

Any item subject to the purchase restrictions of subsection G of this section;

then the transaction, if otherwise permitted and in addition to other applicable restrictions of this chapter, must occur in accordance with this section.

If the person selling scrap metal specified in this subsection is selling as an agent or employee of a business, payment for the scrap metal shall be made only by check or money order, mailed to the business address of the business for whom the employee or agent is employed, and the payee on the check shall be the name of the business. Notwithstanding the preceding sentence, a business that sells the type of scrap metal specified in this subsection on a regular or frequent basis may annually preregister with a scrap metal dealer a list of employees who are authorized to sell on behalf of the business. A scrap metal dealer may pay an authorized, preregistered employee by any method, on site, and at the time of the transaction.

If the person selling scrap metal specified in this subsection is not selling as an employee or agent of a business, payment for the scrap metal shall be by check, money order or voucher, at the option of the scrap metal dealer except to the extent state law gives such option to the seller. If the scrap metal dealer pays by check or money order, it shall be mailed to the physical address provided on the driver license the seller used for identification. If the scrap metal dealer pays by voucher, the scrap metal dealer shall give the seller a voucher for the amount of metal purchased. The voucher shall include the same information required under subsection C of this section and the date on which the voucher can be redeemed. The voucher may only be redeemed by the person whose name appears on the voucher as the seller, or by the person's heirs or legal representative. No voucher may be redeemed by the voucher holder, or the holder's heirs or legal representative, sooner than five days from the date of the scrap metal transaction. If a voucher is not redeemed by an authorized person within six months of the date of the transaction, the voucher expires and the scrap metal dealer shall remit the value of the expired voucher to the city.

Payment for air conditioner evaporator coils or condensers or any portion of an air conditioner evaporator coil or condenser shall be made as provided in subsection F of this section.

(Code 1967, § 26-51; Code 1985, § 24-60; Ord. No. 5217, §§ 3, 6, 2007; Ord. No. 5332, §§ 3—9, 12-1-2009)