44-1641.05. Items required to be maintained at place of business; city or county ability to recover costs; violation; civil penalty

A. A registered scrap metal dealer must keep the following at each place of business:

1. Proof of registration that is issued by the department.

2. A statement indicating that the scrap metal dealer has registered on a free theft notification website that allows law enforcement to send detailed descriptions of stolen items to recycling operations and other law enforcement within at least a one hundred mile radius of a theft. The website must allow scrap metal dealers to alert law enforcement when the dealers are offered suspicious materials.

3. An affidavit signed by the scrap metal dealer that states that the person is in compliance with this article.

4. A questionnaire that the scrap metal dealer must prepare every two years to show compliance with this article. 

B. The scrap metal dealer must maintain and make available the items prescribed by subsection A of this section for inspection by law enforcement. If after inspection law enforcement determines that the scrap metal dealer is in violation of this section, law enforcement must submit a notice of violation to the scrap metal dealer. Except as otherwise provided in this section, law enforcement shall reinspect the scrap metal dealer's place of business not earlier than seven days after the scrap metal dealer receives the notice of violation. After reinspection, if law enforcement determines that the scrap metal dealer is in violation of this section, law enforcement may conduct a subsequent reinspection without a minimum waiting period.

C. If a person violates this section, the person is subject to the following:

1. For a first violation, a civil penalty of $500.

2. For a second violation, a civil penalty of $2,000 and a licensing jurisdiction shall suspend or revoke the person's business license or, if a business license is not required to operate a business, the jurisdiction shall order the suspension or permanent cessation of the person's business operations.

3. For a third or subsequent violation, a civil penalty that is $2,000 more than the previous civil penalty imposed on the person for violating this section.

4. Any costs associated with the enforcement of this article as determined by a city or county.

D. Failure to comply with this section may result in the immediate suspension of all scrap metal transactions unless one of the following applies to the business:

1. The business has been previously registered as a scrap metal recycler.

2. The business has a local business license.