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A07799 Summary:

BILL NOA07799
 
SAME ASSAME AS S00882-A
 
SPONSORBraunstein
 
COSPNSR
 
MLTSPNSR
 
Add §62-a, Gen Bus L
 
Places limitations on transactions involving the sale of catalytic converters to junk dealers, junk yard owners or operators, or scrap metal processors or scrap metal processing facilities; relates to record keeping relating to transactions involving the sale of catalytic converters.
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A07799 Actions:

BILL NOA07799
 
06/15/2023referred to consumer affairs and protection
01/03/2024referred to consumer affairs and protection
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A07799 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A7799
 
SPONSOR: Braunstein
  TITLE OF BILL: An act to amend the general business law, in relation to the receipt of catalytic converters by junk dealers and scrap dealers   SUMMARY OF SPECIFIC PROVISIONS: Section 1 amends general business law to include a new section 62-a which would require recyclers to only accept catalytic converters that are attached to motor vehicles unless recyclers are provided proof of the seller's legitimate ownership of the catalytic converter and affirms the seller owns the converter. Sellers are also limited to selling one catalytic converter per day unless the converter is attached to a car and can only be paid by a check sent to the seller's home address or held at the place of business 3 business days after the transaction. Recyclers must also submit information about the seller and receiver of all catalytic converters to the state police on a monthly basis. Section 2 provides the effective date.   JUSTIFICATION: Catalytic converter thefts have been an ongoing national issue due to an increase in demand for valuable metals including platinum, palladium, and rhodium. Current measures in NY State only assist in tracking down converter thieves but have not restricted the profitability of stealing these vehicle components. According to the NYPD, catalytic converters can be sold from 100 dollars. to 150 dollars to recyclers, while costing victims up to 3,000 dollars or more to replace them. This bill would ensure that converters can only be sold if sellers can prove they are the legitimate owner of the converter and establishes a waiting period before sellers can receive payment so that recyclers can ensure that the converter had not been stolen. This would hinder the ability of thieves to profit from selling catalytic converters.   PRIOR LEGISLATIVE HISTORY: 08/17/22 REFERRED TO RULES   EFFECTIVE DATE: This act shall take effect on the first of January next succeeding the date upon which it shall have become a law.
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A07799 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          7799
 
                               2023-2024 Regular Sessions
 
                   IN ASSEMBLY
 
                                      June 15, 2023
                                       ___________
 
        Introduced  by  M.  of  A.  BRAUNSTEIN  -- read once and referred to the
          Committee on Consumer Affairs and Protection
 
        AN ACT to amend the general business law, in relation to the receipt  of
          catalytic converters by junk dealers and scrap dealers
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. The general business law is amended by adding a new section
     2  62-a to read as follows:
     3    § 62-a. Catalytic converters. 1. Except as  provided  in  subdivisions
     4  two and three of this section, no junk dealer, junk yard owner or opera-
     5  tor,  or  scrap  metal  processor  or scrap metal processing facility as
     6  described in article six-C of  this  chapter  may  receive  a  catalytic
     7  converter  of a motor vehicle that is not attached to such motor vehicle
     8  unless such processor, dealer, owner, operator processor or facility, at
     9  the time of receipt:
    10    a. records the place and date of the transaction, a description of the
    11  catalytic converter, including item type and identification  number,  if
    12  any, and the amount paid for the catalytic converter;
    13    b.  records  a  description of the seller and the seller's name, resi-
    14  dence address and motor vehicle  operator's  license  or  identity  card
    15  number  or, if the seller is a business, the name, address and telephone
    16  number of the business;
    17    c. records the number plate of the motor vehicle used to transport the
    18  catalytic converter to the licensee;
    19    d. obtains from the seller a statement (i)  that  the  seller  is  the
    20  owner  of  such catalytic converter, or (ii) identifying the name of the
    21  person from whom the seller obtained the catalytic converter,  as  shown
    22  on a signed transfer document; and
    23    e.  takes a clear photograph or video of the seller, the motor vehicle
    24  operator's license or identity card of  the  seller  and  the  catalytic
    25  converter.
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD02950-03-3

        A. 7799                             2
 
     1    2. No junk dealer, junk yard owner or operator, or scrap metal proces-
     2  sor  or scrap metal processing facility as described in article six-C of
     3  this chapter may receive a catalytic converter of a motor  vehicle  that
     4  is  not  attached  to  such  motor vehicle from a motor vehicle recycler
     5  unless:
     6    a.  such  catalytic converter has a stock number affixed to or written
     7  on such converter by such recycler; and
     8    b. at the time of receipt, such processor, dealer, owner  or  operator
     9  (i)  receives  a  written  statement  on such recycler's letterhead that
    10  includes the stock number of the catalytic  converter  and  the  vehicle
    11  identification  number  of  the  motor vehicle from which such catalytic
    12  converter was detached, provided a single written statement may be  used
    13  for  a transaction involving more than one catalytic converter, and (ii)
    14  takes a clear photograph or video of the employee of such  recycler  who
    15  is  transferring the catalytic converter and such employee's motor vehi-
    16  cle operator's license or identity card.
    17    3. No junk dealer, junk yard owner or operator, or scrap metal proces-
    18  sor or scrap metal processing facility as described in article six-C  of
    19  this  chapter  may receive a catalytic converter of a motor vehicle that
    20  is not attached to such motor vehicle from a motor vehicle  repair  shop
    21  unless:
    22    a.  such catalytic converter was removed from a motor vehicle that was
    23  serviced by such shop;
    24    b. such catalytic converter has a stock number affixed to  or  written
    25  on such converter by such shop; and
    26    c.  at  the time of receipt, such processor, dealer, owner or operator
    27  (i) receives a written statement on such shop's letterhead that includes
    28  the stock number affixed to or written on such converter, information on
    29  the motor vehicle from which  such  catalytic  converter  was  detached,
    30  including  the vehicle identification number and registration number, if
    31  applicable, of  the  motor  vehicle  and  a  receipt  for  the  services
    32  performed on such motor vehicle, provided a single written statement may
    33  be  used  for a transaction involving more than one catalytic converter,
    34  and (ii) takes a clear photograph or video of the employee of such  shop
    35  who  is  transferring  the catalytic converter and such employee's motor
    36  vehicle operator's license or identity card.
    37    4. A person selling a catalytic converter pursuant to subdivision  one
    38  of  this section may sell only one catalytic converter to a junk dealer,
    39  junk yard owner or operator, or scrap metal  processor  or  scrap  metal
    40  processing  facility  as  described in article six-C of this chapter per
    41  day.
    42    5. A junk dealer, junk yard owner or operator, or scrap metal process-
    43  or or scrap metal processing facility as described in article  six-C  of
    44  this chapter may only pay a seller of a catalytic converter by check. If
    45  the  seller  is  a  motor vehicle recycler or motor vehicle repair shop,
    46  such check shall be payable to the motor vehicle recycler or motor vehi-
    47  cle repair shop. If the seller is not a motor vehicle recycler or  motor
    48  vehicle  repair  shop,  such  processor, dealer, owner or operator shall
    49  either:
    50    a. send the check to the address provided by the  seller  pursuant  to
    51  paragraph b of subdivision one of this section; or
    52    b. hold the check at such processor's, dealer's, owner's or operator's
    53  place  of  business or facility for collection by the seller not earlier
    54  than the third business day after the date of the purchase of such cata-
    55  lytic converter by such processor, dealer, owner or operator.

        A. 7799                             3
 
     1    6. A junk dealer, junk yard owner or operator, or scrap metal process-
     2  or or scrap metal processing facility as described in article  six-C  of
     3  this  chapter  may  only sell a catalytic converter that such processor,
     4  dealer, owner or operator received in compliance with the provisions  of
     5  subdivision  one of this section, and may sell such catalytic converters
     6  without any limitation on the number that may be sold per day.
     7    7. Each junk dealer, junk yard  owner  or  operator,  or  scrap  metal
     8  processor  or  scrap  metal  processing facility as described in article
     9  six-C of this chapter shall submit to the division of state police, on a
    10  monthly basis or more frequently as determined by the superintendent  of
    11  state  police  upon  consideration of the volume and nature of the busi-
    12  ness, a sworn statement of such processor's, dealer's,  owner's,  opera-
    13  tor's or facility's catalytic converter transactions, (i) describing the
    14  property received, (ii) setting forth the nature and terms of each tran-
    15  saction, and (iii) identifying the name and address of the motor vehicle
    16  recycler  or  motor  vehicle  repair  shop  from  which the property was
    17  received, or identifying the name and residence address and providing  a
    18  description  of  the  person  from  whom the property was received. Such
    19  statement shall be in an electronic format prescribed by the superinten-
    20  dent of state police.  The superintendent of state police may  grant  an
    21  exemption from the requirement of submitting such statement in electron-
    22  ic format for good cause shown. The superintendent of state police shall
    23  include  information  submitted pursuant to this section in any database
    24  that stores information relating to transactions by junk  dealers,  junk
    25  yard owners or operators, or scrap metal processors or scrap metal proc-
    26  essing facilities.
    27    8. The commissioner of motor vehicles shall adopt regulations concern-
    28  ing  the  creation and retention of documents and other records required
    29  by subdivision one of this section. Such documents and records shall  be
    30  open  for  inspection  by  law enforcement officials upon request during
    31  normal business hours.
    32    § 2. This act shall take effect on the first of January next  succeed-
    33  ing the date upon which it shall have become a law.
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