BILL ANALYSIS Ó
AB 1019
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Date of Hearing: April 7, 2015
Counsel: Gabriel Caswell
ASSEMBLY COMMITTEE ON PUBLIC SAFETY
Bill Quirk, Chair
AB
1019 (Eduardo Garcia) - As Introduced February 26, 2015
SUMMARY: Creates the Metal Theft Task Force (MTTF) Program to
provide funding for local law enforcement agencies, as
specified, to combat metal theft and related recycling crimes.
Specifically, this bill:
1)Requires the Department of Justice (DOJ) to establish a Metal
Theft Task Force Program designed to enhance the capacity of
the department to serve as the lead law enforcement agency in
the investigation and prosecution of illegal recycling
operations, and metal theft and related recycling crimes, and
would authorize the department to enter into partnerships, as
defined, with local law enforcement agencies, regional task
forces, and district attorneys for the purpose of achieving
the goals of the program.
2)Authorizes the DOJ to enter into an agreement with any state
agency for the purpose of administering the program.
3)Establishes the Metal Theft Task Force Fund, to be
administered by the DOJ, and would continuously appropriate
all moneys in that fund to the department for the purposes of
the program, thereby making an appropriation.
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4)Requires the DOJ to submit a comprehensive report to the
Legislature, no later than December 31, 2018, on the status
and progress, since the year 2016, of the program in
deterring, investigating, and prosecuting illegal recycling
operations, and metal theft and related recycling crimes.
5)Specifies that the program would not be implemented until the
DOJ determines that sufficient moneys have been deposited in
the fund to implement the program.
6)Extends the operation of the provision requiring a weighmaster
to pay a specified additional fee of $500 until January 1,
2020, and would additionally require a weighmaster who is a
junk dealer or recycler, as defined, to pay a specified
additional license fee to be deposited into the Metal Theft
Task Force Fund and to be expended by the Department of
Justice for the purpose of administering the Metal Theft Task
Force Program. The additional fee is specified as follows:
a) One thousand dollars ($1,000) if the weighmaster is
operating at a fixed location; and
b) One thousand five hundred dollars ($1,500) if the
weighmaster is operating at other than a fixed location;
7)Prohibits the proceeds of this fee from exceeding an aggregate
total of $2,000,000 per year.
8)Defines the following terms as follows for the purposes of
this bill:
a) "Agency" means a regional task force, a local law
enforcement agency, or a district attorney;
b) "Department" means the Department of Justice;
c) "Fund" means the Metal Theft Task Force Fund;
d) "Junk" has the same meaning as set forth in Section
21600 of the Business and Professions Code;
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e) "Junk dealer" has the same meaning as set forth in
Section 21601 of the Business and Professions Code;
f) "Program" means the Metal Theft Task Force Program; and
g) "Recycler" has the same meaning as set forth in Section
21605 of the Business and Professions Code.
9)Provides that the Metal Theft Task Force Fund is hereby
established within the State Treasury. Notwithstanding
Section 13340 of the Government Code, the fund is hereby
continuously appropriated to the department for the purposes
set forth in this title. Transfers to the Metal Theft Task
Force Fund shall be deposited in the State Treasury, or in a
state depository bank approved by the Treasurer.
a) Provides that the fund shall consist of moneys deposited
into it received from, or recovered by, the federal
government, industry, and private sources, moneys
appropriated by the Legislature, and from fees collected as
specified. General Fund moneys shall not be deposited into
the fund nor used to start up, implement, or support the
continuing administration of the provisions of this title.
The fund shall be administered by the DOJ.
b) Moneys distributed from the fund pursuant to the program
are intended to ensure that the department is equipped with
the necessary personnel and tools to successfully combat
metal theft and related recycling crimes, with a primary
focus of shutting down illegal recycling operations, which
include, but are not limited to, all of the following
offenses:
i) Illegal recycling operations, in which a junk dealer
or recycler does not possess any of the following:
(1) A current business license;
(2) A stormwater permit, application for a
stormwater permit, or a statement indicating that the
applicant has either filed an application for a
stormwater permit or is not required to obtain a
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stormwater permit; or
(3) A weighmaster's license issued as specified.
ii) The theft of metals, including, but not limited to,
nonferrous metals;
iii) The purchase and recycling of stolen metals by
recyclers;
iv) The transportation of stolen metals from junk
dealers and recyclers in this state to another state; and
v) The transportation of stolen metals from another
state to this state.
10)Provides that after deduction of the DOJ's actual and
necessary administrative costs, moneys in the fund shall be
expended for the exclusive purpose of enhancing the capacity
of the department to serve as the lead law enforcement agency
in deterring, investigating, and prosecuting illegal recycling
operations, and metal theft and related recycling crimes.
11)Provides that moneys in the fund may be expended for the
purpose of enabling the department to enter into partnerships
with local law enforcement agencies, regional task forces, or
district attorneys.
12)Provides that the DOJ shall establish and administer the
Metal Theft Task Force Program. The department may enter into
an agreement with any state agency for the purpose of
administering the program.
13)Provides that the program shall be designed to enhance the
capacity of the DOJ to serve as the lead law enforcement
agency in the investigation and prosecution of illegal
recycling operations and metal theft and related recycling
crimes.
14)Provides that the DOJ shall consult at least twice per
calendar year with pertinent recycling trade associations,
including, but not limited to, the Institute of Scrap
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Recycling Industries, California Chapter and the California
Metal Coalition, to determine the best allocation of
resources, for purposes of the program, from an industry
perspective, in preventing metal theft, with an emphasis on
eliminating illegal recycling operations from the state.
15)Provides that the DOJ may enter into partnerships with local
law enforcement agencies, regional task forces, or district
attorneys. For purposes of this title, "partnership" means a
collaborative effort involving financial contributions by the
department to achieve the goals of the program established by
this title.
16)States that no later than December 31, 2018, the DOJ shall
submit a comprehensive report to the Legislature on the status
and progress, since the year 2016, of the program in
deterring, investigating, and prosecuting illegal recycling
operations, and metal theft and related recycling crimes. The
report shall include, but be not limited to, all of the
following information:
a) The number of metal theft and related recycling crime
cases filed;
b) The number of metal theft and related recycling crimes
cases investigated;
c) The number of victims involved in the cases reported;
d) The number of convictions obtained;
e) The total aggregate monetary loss suffered by the
victims, including damage caused by the theft;
f) The number of illegal recycling operations or illegal
junk dealers or recyclers, or both, shut down; and
g) An accounting of moneys received and expended in each
program year, commencing with 2016, which shall include all
of the following:
i) The amount of moneys received and expended by the
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department;
ii) The use to which those moneys were put, including
payment of salaries and benefits, operating expenses,
equipment purchases, and allowable expenditures; and
iii) Any other relevant information requested.
17)Provides that the program established pursuant to this title
shall not be implemented until the department determines that
sufficient moneys have been deposited in the Metal Theft Task
Force Fund to implement the provisions of this title. The DOJ
shall only be required to implement the provisions of this
title upon the availability of moneys in the fund in an amount
sufficient to cover all costs relating to the startup,
implementation, and continuing administration of the
provisions of this title.
18)Sunsets the provision of this bill on January 1, 2020.
EXISTING LAW:
1)Provides that a weighmaster shall pay to the department the
following license fee for each license year as applicable to
the operation: (Bus. & Prof. Code § 12704, subd. (a).)
a) Seventy-five dollars ($75) if the weighmaster is
operating at a fixed location;
b) Thirty dollars ($30) for each additional fixed location
at which the weighmaster is operating;
c) Two hundred dollars ($200) if the weighmaster is
operating at other than a fixed location; and
d) Twenty dollars ($20) for each deputy weighmaster.
2)Provides in addition to the license fees set forth a
weighmaster who is a recycler or a junk dealer as defined, or
is performing services on behalf of a recycler or junk dealer
shall also pay to the department the following license fee for
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each license year as applicable to the operation: (Bus. &
Prof. Code § 12704, subd. (b).)
a) Five hundred dollars ($500) if the weighmaster is
operating at a fixed location;
b) Five hundred dollars ($500) for each additional fixed
location at which the weighmaster is operating; and
c) Five hundred dollars ($500) if the weighmaster is
operating at other than a fixed location.
3)Defines "license year" as the period of time beginning with
the first day of the month the weighmaster is required to be
licensed in this state, and ending on the date designated by
the secretary for expiration of the license, or yearly
intervals after the first renewal. (Bus. & Prof. Code § 12704,
subd. (c).)
4)States that "location" means a premise on which weighing,
measuring, or counting devices are used. (Bus. & Prof. Code §
12704, subd. (d).)
5)Provides that the provisions of this section shall remain in
effect until January 1, 2019. (Bus. & Prof. Code § 12704,
subd. (e).)
6)Provides that all license fees collected pursuant to this
chapter shall be deposited in the Department of Food and
Agriculture Fund to be expended by the department for the
administration and enforcement of this chapter, except as
provided. (Bus. & Prof. Code § 12709, subd. (a).)
7)License fees collected pursuant to specified sections shall be
deposited in a special account in the Department of Food and
Agriculture Fund to be expended by the department for the
administration and enforcement of specified provisions. (Bus.
& Prof. Code § 12709, subd.(b).)
FISCAL EFFECT: Unknown
COMMENTS:
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1)Author's Statement: According to the author, "This bill will
establish The Metal Theft Taskforce within the California
Department of Justice (DOJ). The Taskforce will distribute
grants to regional and local law enforcement agencies for use
in combating metal theft crimes. Grant will also be available
for prosecution efforts. Funding for these grants would come
from license fees.
"The legislation also directs DOJ to award grants based on a
number of criteria to determine where the most pressing needs
for additional funding are."
2)Metal Theft in California: Metal theft has been well
documented throughout California. In 2007, the New York Times
reported:
"This is the No. 1 crime affecting farmers and ranchers
right now," said Bill Yoshimoto, an assistant district
attorney in the agriculturally rich Tulare County in the
Central Valley.
"Virtually every farmer in the Central Valley has been
hit," Mr. Yoshimoto said. But some have been hit far
beyond the value of the metal. For the farmer to replace
the pump is anywhere between $3,000 to $10,000, and then
there is downtime, and loss to crops.
Some sheriff's departments in agricultural counties have
rural crime units that investigate metal crimes almost
exclusively these days, setting up sting operations in
recycling shops and tagging copper bait with electronic
tracking devices.
Metal theft from California farmers rose 400 percent in
2006 over the previous year, according to the
Agricultural Crime Technology Information and Operations
Network, a regional law enforcement group headed by Mr.
Yoshimoto. The numbers this year are equally high.
Through the end of June, there were nearly 1000 incidents
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of scrap metal theft on farms, causing more than $2
billion in losses, the group's figures show. (Unusual
Culprits Cripple Farms in California, New York Times
(July 1, 2007).)
Moreover, metal theft is not confined to only farms and
rural areas. (See Metal Marauders on Loose, Monterey
County Herald (May 10, 2008) [stating: "Demand for
copper, brass, platinum, stainless steel and other
valuable metals has turned the underside of cars,
abandoned buildings, farms, freeways and industrial yards
into gold mines for thieves. 'It's an easy way to make a
quick buck,' said sheriff's detective Matt Davis.
'Everybody is stealing.'].)
3)Prior Attempts at Establishing a Metal Theft Taskforce: In
2013, the Legislature passed AB 909 (Gray) which was
substantially similar to this bill, with the major differences
being that AB 909 had the Department of Justice establish and
oversee the MTTF Program and did not provide a funding source
for the MTTF. The Governor vetoed AB 909 with the following
rationale in his veto message: "[AB 909] creates a new
enforcement effort without identifying a funding source. Today
I signed SB 485, which does provide a funding source for
greater enforcement within the existing infrastructure. More
can certainly be done, but let's build on stable funding
base."
Additionally, in 2014 AB 2313 (Nestande) was also
substantially similar to this bill when it was passed out of
Assembly Public Safety. That bill was amended to a bill that
was identical to this bill and it failed passage on the Senate
floor.
4)Argument in Support: According to Liberty Mutual Insurance,
"Over the past decade metal theft has remained a growing
problem in California that presents significant costs to
victims who typically include home and vehicle owners, small
and large businesses, and public agencies. In fact, the
United States Department of Energy estimates that metal theft
and resulting power outages, revenue losses and repairs costs
the nation some $1 billion annually. Although the Legislature
has taken action to help reduce the occurrence of metal theft,
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a significant factor that prevents criminals from facing
justice stems from a lack of resources and expertise required
to investigate such crimes."
5)Prior Legislation:
a) AB 2313 (Nestande), of the 2013-2014 legislative
session, would have created the Metal Theft Task Force
(MTTF) Program to provide funding for local law enforcement
agencies, as specified, to combat metal theft and related
recycling crimes. AB 2313 failed passage on the Senate
floor.
b) AB 909 (Gray), of the 2013-2014 legislative session,
would have created a MTTF Program substantially similar to
this bill but delegated establishment and oversight of the
program to the Department of Justice. AB 909 was vetoed by
the Governor.
c) SB 1023 (Committee on Budget and Fiscal Review), Chapter
43, Statutes of 2012, among other provisions, deleted the
provisions repealing the authorization for the Central
Valley Rural Crime Prevention Program and Central Coast
Rural Crime Prevention Program, thereby making the programs
operative indefinitely.
d) AB 2298 (Ma), Chapter 823, Statutes of 2012, prior to
its chaptered version, was substantially similar to this
bill but delegated the establishment and oversight of the
MTTF Program to the Board of State and Community
Corrections. AB 2298 was amended completely to address a
different topic.
e) AB 2768 (Poochigian), Chapter 327, Statutes of 1996,
created the Rural Crime Prevention Program, which
authorized the County of Tulare to enter into a
joint-powers agreement to share resources, personnel hours,
and information regarding rural crimes, including metal
theft.
f) AB 374 (Matthews), Chapter 719, Statutes of 2002,
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extended the operation of the Rural Crime Prevention
Program to July 1, 2005, and renamed the program the
Central Valley Rural Crime Prevention Program.
g) SB 44 (Denham), Chapter 18, Statutes of 2003, authorized
the counties of Monterey, San Luis Obispo, Santa Barbara,
Santa Cruz, and San Benito, until July 1, 2010, to develop
the Central Coast Rural Crime Prevention Programs modeled
on the Central Valley Rural Crime Prevention Programs, to
be administered by the county sheriff's office in Monterey
County and by the district attorney's office in each of the
other four counties.
REGISTERED SUPPORT / OPPOSITION:
Support
Air Conditioning Sheet Metal Association
Air Conditioning & Refrigeration Contractors Association
California Chapters of National Electrical Contractors
Association (NECA)
California Legislative Conference of Plumbing, Heating and
Piping Industry
Finishing Contractors Association of Southern California
Liberty Mutual Insurance
PacifiCorp
United Contractors
Western Line Constructers
Opposition
None
Analysis Prepared
by: Gabriel Caswell / PUB. S. / (916) 319-3744
AB 1019
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