HB992

SECTION 1. Chapter 445, Hawaii Revised Statutes, is amended by adding a new section to part X to be appropriately designated and to read as follows:

"§445- Prohibitions for copper transactions; penalties. (a) No person shall buy scrap copper from:

(1) A minor; or

(2) Any person who does not at the time of sale, present a driver's license, state identification, or other identification issued by a governmental agency that includes a photograph of the holder of the identification.

(b) In addition to any penalties provided by section 445-235, any person who:

(1) Violates subsection (a);

(2) Fails to comply with the record requirements of section 445-233(b); or

(3) Buys scrap copper without a license issued under this part,

shall be subject to an administrative fine of $2,000. Each day's violation of subsection (b)(3) shall be considered a separate offense. Any action taken to impose or collect a fine under this section shall be a civil action.

(c) The treasurer shall for one year, suspend or refuse to renew the license of any scrap dealer who violates the requirements of subsection (a)(2).

SECTION 2. Section 445-233, Hawaii Revised Statutes, is amended to read as follows:

"§445-233 Statement required[.]; additional requirements for scrap copper transactions. (a) Every scrap dealer, when the dealer purchases scrap within the [~~State,~~] state, shall obtain a written statement signed by the seller or the seller's agent certifying that the seller or the seller's agent has the lawful right to sell and dispose of the scrap. This statement shall also contain the seller's name; the seller's business or residence address; the seller's occupation; a description, including serial numbers and other identifying marks, when practical, of every scrap; the amount received by the seller; the date, time and place of the sale; and the license number of any vehicle used to deliver the [~~property~~] scrap to the place of purchase.

The scrap dealer shall require the seller to verify the seller's identity by presenting proper identification. The scrap dealer shall keep at the dealer's place of business the signed written statement from the seller for a period of two years after the date of purchase and the statement may be examined at any time by the treasurer or the chief of police.

(b) Where a transaction involves scrap copper, a scrap dealer in addition to the information required under subsection (a), shall obtain:

(1) Both the seller's business and residence address;

(2) The seller's phone number;

(3) The seller's driver's license number, or the number of another identification tendered by the seller to satisfy the requirements of section 445- ;

(4) A photostatic copy of the seller's driver's license or other identification meeting the requirements of section 445- ;

(5) In the absence of the license number of the vehicle used to deliver the copper to the place of purchase, a description of the method by which the seller delivered the copper; and

(6) A notarized statement from the seller's employer that:

(A) Includes the employer's name, phone number, and business address;

(B) Describes the source of the copper; and

(C) States that the sale of copper wire is work-related; or if the sale of copper is not work-related, a signed, written statement describing how and where the seller obtained the copper.

A scrap metal dealer shall keep at the dealer's place of business, records of all statements and information required under this section for transactions involving copper, for four years after the date of purchase. A scrap metal dealer shall have the duty to take reasonable precautions to protect the privacy of those records. The records shall be made available to and may be examined at any time by the treasurer or the chief of police."

SECTION 2. This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun, before its effective date.

SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 4. This Act shall take effect upon its approval.

INTRODUCED BY:	_____________________________

HOUSE OF REPRESENTATIVES	H.B. NO.	992
TWENTY-FOURTH LEGISLATURE, 2007
STATE OF HAWAII