HF4292

Purpose

The bill adds a licensing system for selling scrap metal copper and adjusts how the state regulates these transactions. It also changes the fees the state charges for license applications and renewals, and sets enforcement rules for the new requirements.

Key Provisions

• Beginning January 1, 2025, a person may not sell scrap metal copper unless they have a license issued by the commissioner.
• On the first Friday of April and October each year, from 8:00 a.m. to 5:00 p.m., a scrap metal dealer may buy up to 25 of scrap metal copper from people who do not have a license. Other rules still apply and must be documented.
• Sellers must apply to the commissioner using a form that includes at least name, permanent address, telephone number, date of birth, and an acknowledgment that the copper was obtained legally.
• Each license is valid for one year. Renewal requires a renewal form and a renewal fee.
• Fees: application fee is 250 (nonrefundable); renewal fee is 250; late renewal fee is 500 if renewed after the deadline.
• The commissioner may request additional information to verify an applicant and must issue a license within 90 days after a completed application, possibly with restrictions.
• A license can be considered valid if the applicant already holds certain credentials, such as:
  • A license to perform work under chapter 326B or section 103I.501, or
  • A municipal document certifying competency to perform a trade and authorize selling scrap copper, or
  • EPA Section 608 Technician Certification.
• The commissioner can deny a license renewal for violations of state or federal law or failure to submit renewal information on time. Instead of denial, the commissioner may require a corrective action plan.
• The commissioner may suspend, revoke, or place a license on probation for fraud, consumer complaints, failure to pay fees, or failure to comply with rules.
• The licensing requirements do not apply to auction transfers by an auctioneer acting in an official role under chapter 330 to facilitate a scrap metal auction.
• The commissioner will enforce these provisions under chapter 45.

Licensing and Eligibility Details

• Licenses may be issued with restrictions or limitations as needed.
• If the applicant is not qualified, the commissioner must notify them and explain the reasons for denial.

Processing Timelines

• The commissioner has 30 days to request additional information after receiving an application.
• The commissioner has 90 days after a completed application to review and issue a license if qualified.

Exemptions and Special Cases

• The auction-related exemption applies when an auctioneer is acting in their official capacity to facilitate a scrap metal auction (under chapter 330).

Effective Date

• The license requirement goes into effect January 1, 2025.

Enforcement

• The new requirements are to be enforced under Chapter 45.

Relevant Terms scrap metal copper, license, licensee, commissioner, license application, renewal, fees, nonrefundable, late fee, 250, 500, first Friday, April, October, 8:00 a.m., 5:00 p.m., 30 days, 90 days, chapter 326B, section 103I.501, municipal certificate, certificate of competency, building trades, Section 608 Technician Certification, fraudulent activity, consumer complaints, suspension, revocation, probation, enforcement, chapter 45, auctions, chapter 330, 2025.