The Vermont Statutes Online

Title 9: Commerce and Trade

Chapter 082: Scrap Metal Processors

• § 3021. Definitions

  As used in this chapter:

  (1) [Repealed.]

  (2) “Ferrous scrap” means any scrap metal consisting primarily of iron, steel, or both, including large manufactured articles such as automobile bodies that may contain other substances to be removed and sorted during normal processing operations of scrap metal.

  (3) “Metal article” means any manufactured item consisting of metal that is usable for its originally intended purpose without processing, repair, or alteration, including railings, copper or aluminum wire, copper pipe and tubing, bronze cemetery plaques, urns, markers, plumbing fixtures, and cast-iron radiators.

  (4) “Nonferrous scrap” means any scrap metal consisting primarily of metal other than iron or steel, and does not include aluminum beverage cans, post-consumer household items, items removed during building renovations or demolitions, or large manufactured items containing small quantities of nonferrous metals such as automobile bodies and appliances.

  (5) “Proprietary article” means any of the following:

  (A) Any metal article stamped, engraved, stenciled, or marked as being or having been the property of a governmental entity, public utility, or a transportation, shipbuilding, ship repair, mining, or manufacturing company.

  (B) Any hard-drawn copper electrical conductor, cable, or wire greater than 0.375 inches in diameter, stranded or solid.

  (C) Any aluminum conductor, cable, or wire greater than 0.75 inches in diameter, stranded or solid.

  (D) Metal beer kegs.

  (E) Manhole covers.

  (F) Catalytic converters.

  (6) “Scrap metal” means any manufactured item or article that contains metal.

  (7) “Scrap metal processor” means:

  (A) a salvage yard, as defined in 24 V.S.A. § 2241(7); or

  (B) a person engaged in the business of purchasing ferrous scrap, nonferrous scrap, metal articles, or proprietary articles, whether for resale or for processing into raw material products consisting of prepared grades.

  (C) “Scrap metal processor” does not include:

  (i) a salvage yard described in 24 V.S.A. § 2248(e); or

  (ii) a salvage yard or salvage dealer that only accepts or dismantles motor vehicles and flattens or crushes the motor vehicles for transportation to a scrap metal processor.

  (8) “Railroad scrap” means any scrap metal consisting primarily of the steel components used in rolling stock and railroad tracks, including rails, joint bars, tie plates, anchors, turnouts, frogs, and spikes. “Railroad scrap” also includes railroad signals and signal components. (Added 2007, No. 195 (Adj. Sess.), § 10; amended 2011, No. 167 (Adj. Sess.), § 1, eff. May 18, 2012; 2013, No. 167 (Adj. Sess.), § 27.)

• § 3022. Purchase of nonferrous scrap, metal articles, proprietary articles, and railroad scrap

  (a) Catalytic converters.

  (1) A scrap metal processor shall not purchase more than one used and detached catalytic converter per day from any person, other than a motor vehicle recycler or motor vehicle repair shop.

  (2) A person, other than a motor vehicle recycler or motor vehicle repair shop, shall not transport simultaneously two or more used and detached catalytic converters unless:

  (A) each catalytic converter is engraved or otherwise permanently marked with the vehicle identification number of the vehicle from which it was removed; and

  (B) the person transporting the catalytic converter has in the person’s possession documentation demonstrating proof of lawful ownership as specified in subdivision (b)(1) of this section.

  (b) Documentation required for sale. A scrap metal processor may purchase nonferrous scrap, metal articles, proprietary articles, and railroad scrap only if the scrap metal processor complies with all the following procedures:

  (1) At the time of sale, the processor:

  (A) requires the seller to provide a current government-issued photographic identification that indicates the seller’s full name, current address, and date of birth, and records in a permanent ledger the identification information of the seller, the time and date of the transaction, the license number of the seller’s vehicle, and a description of the items received from the seller; and

  (B) requests and, collects:

  (i) third-party documentation that establishes that the seller lawfully owns the items to be sold, such as a bill of sale, itemized receipt, or letter of authorization signed by the person from whom the seller purchased the item; or

  (ii) a written affidavit of ownership that states that the seller lawfully owns the items to be sold.

  (2) After purchasing an item from a person who does not provide a bill of sale, itemized receipt, or letter of authorization signed by the person from whom the seller purchased the item pursuant to subdivision (1)(B)(i) of this subsection, the processor:

  (A) submits to the Department of Public Safety not later than the close of the following business day a report that describes the item and the seller’s identifying information required in subdivision (1)(A) of this subsection; and

  (B) holds the item for at least 10 days following purchase.

  (c) Retention of records. The information collected by a scrap metal processor pursuant to this section shall be retained for at least five years at the processor’s normal place of business or other readily accessible and secure location. On request, this information shall be made available to any law enforcement official or authorized security agent of a governmental entity who provides official credentials at the scrap metal processor’s business location during regular business hours. (Added 2007, No. 195 (Adj. Sess.), § 10; amended 2011, No. 167 (Adj. Sess.), § 1, eff. May 18, 2012; 2013, No. 167 (Adj. Sess.), § 28; 2023, No. 31, § 1, eff. July 1, 2023.)

• § 3023. Penalties

  (a) A person who violates any provision of this chapter for the first time may be assessed a civil penalty not to exceed $1,000.00 for each transaction.

  (b) A person who violates any provision of this chapter for a second or subsequent time shall be fined not more than $25,000.00 for each transaction. (Added 2007, No. 195 (Adj. Sess.), § 10; amended 2023, No. 31, § 1, eff. July 1, 2023.)