BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 237
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          Date of Hearing:   April 14, 2009
          Counsel:                Nicole J. Hanson


                         ASSEMBLY COMMITTEE ON PUBLIC SAFETY
                                 Jose Solorio, Chair

                  AB 237 (Carter) - As Introduced:  February 6, 2009
                       As Proposed to be Amended in Committee
           
           
           SUMMARY  :   Authorizes a member of a city police department, or a  
          member of a county's sheriff's office, whose primary  
          responsibility is to conduct theft investigations to stop a  
          vehicle transporting metal products and inspect certain  
          documents to determine whether the driver is in legal possession  
          of the load; and upon reasonable belief that the driver of the  
          vehicle is not in legal possession, to take custody of the  
          vehicle and load; and imposes duties on the sheriff with respect  
          to the care and safekeeping of those products. Specifically,  
           this bill  :  

          1)Includes metal products to the list of items the CHP may stop  
            a vehicle for and inspect the bills of lading, shipping or  
            delivery papers, or other evidence to determine whether the  
            driver is in legal possession of the load, and, upon  
            reasonable belief that the driver of the vehicle is not in  
            legal possession, shall take custody of the vehicle and load  
            and turn them over to the custody of the sheriff of the county  
            in which the products of those loads, is apprehended.

          2)Provides that the sheriff shall receive and provide for the  
            care and safekeeping of the apprehended meal products of those  
            loads and, immediately, in cooperation with the department, a  
            city police department, or the district attorney's office,  
            proceed with an investigation and legal disposition. 

           EXISTING LAW  :

          1)Allows a member of the CHP to stop any vehicle transporting  
            any timber products, livestock, poultry, farm produce, crude  
            oil, petroleum products, or inedible kitchen grease, and  
            inspect the bills of lading, shipping or delivery papers, or  
            other evidence to determine whether the driver is in legal  
            possession of the load, and, upon reasonable belief that the  








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            driver of the vehicle is not in legal possession, shall take  
            custody of the vehicle and load and turn them over to the  
            custody of the sheriff of the county in which the timber  
            products, livestock, poultry, farm produce, crude oil,  
            petroleum products, or inedible kitchen grease, or any part  
            thereof, is apprehended.  [Vehicle Code Section 2810(a).]

          2)States that the sheriff shall receive and provide for the care  
            and safekeeping of the apprehended timber products, livestock,  
            poultry, farm produce, crude oil, petroleum products, or  
            inedible kitchen grease, or any part thereof, and immediately,  
            in cooperation with the department, proceed with an  
            investigation and its legal disposition.  [Vehicle Code  
            Section 2810(b).]

           FISCAL EFFECT  :   Unknown

           COMMENTS  :   

           1)Author's Statement  :  According to the author, "With the  
            prevalence of metal thefts from large construction sites,  
            public utility yards, farms, ranches, schools, etc., it would  
            aid law enforcement to curtail the rampant metal thefts by  
            being allowed to inspect certain loads for metal, in the  
            furtherance of their investigations.  Metal theft is one of  
            the fastest growing crimes in the state and country.  The  
            recent rise in scrap metal values has made the theft and sale  
            of these materials increasingly profitable.  

          "AB 237 amends CVC 2810 to expand statutory authority to inspect  
            loads for theft without a warrant or probable cause to a  
            member of the county sheriff's office, a city police  
            department, or a district attorney investigator whose primary  
            responsibility is to conduct theft investigations, applicable  
            with regard to a vehicle that is transporting metal products."

           2)Metal Theft in California:   The problem of metal theft has  
            been well documented throughout the state.  Last year, the New  
            York Times reported:

            "Theft of scrap metal, mostly copper, has vexed many areas of  
            American life and industry for the last 18 months, fueled  
            largely by record-level prices for copper resulting from a  
            building boom in Asia.  Common in developing counties, metal  
            theft is now committed in nearly every state, largely by  








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            methamphetamine users who hock the metal to buy drugs, the  
            authorities say. 

            "Thieves have stripped the wires out of phone lines, pulled  
            plaques off cemetery plots, raided air-conditioning systems in  
            schools and yanked catalytic converters from cars, all to be  
            resold to scrap metal recyclers. 

            "But perhaps no group has been as been as consistently singled  
            out as California farmers, who provide roughly half of the  
            nation's fruits and vegetables.  Irrigation systems, a  
            treasure trove of copper, tend to be in remote places, out of  
            the eyes of farmers and, until recently, law enforcement.

            " '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 1,000 incidents of scrap metal theft on farms, causing  
            more than $2 billion in losses, the group's figures show. 

            "'Here in Kern County, there were 213 incidents of copper  
            theft, the greatest number in the state.  They go out and take  
            a farm pump in the middle of nowhere,' said Sgt. Walt Reed,  
            head of county's rural crime task force.  'And they can pull  
            the copper wire strands from the electrical wire box and get  
            60 feet of wire, remove the insulation and take it to the  








                                                                  AB 237
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            scrap yard for $2 to $3 a pound.'

            "Alan Scroggs, an almond farm manager in Wasco, knows the  
            story only too well.  Over the course of three months this  
            spring, his irrigation system was raided five times by copper  
            thieves; his well was hit twice, and the booster system that  
            helps pump the water underground to irrigate the almond trees  
            three times. 

            "Copper thieves cut the wires in the conduit that runs to the  
            power source, tie the wires to the back of a pickup truck and  
            drive away, pulling the wire behind them and generally making  
            off with roughly 75 pounds of scrap metal.

            " 'When the sheriff's department came out here for the third  
            time,' Mr. Scroggs said, 'they said, "I can't believe I am  
            here again." '

            " 'Over the last 18 months, copper prices have hovered over  
            $3.50 a pound, hitting $4 at one point, the highest price the  
            metal has reached in recent memory,' said Patrick Chidley, a  
            mining and metals analyst at Barnard Jacobs Mellet in  
            Stamford, Conn.  By comparison, copper fetched 65 cents a  
            pound in 2001.

            " 'It is really the law of supply and demand,' Mr. Chidley  
            said.  'You have a lot of demand in China, where there is a  
            big infrastructure build-out.  Every building, every car,  
            every motor, every wind turbine needs copper, and there are  
            not enough mines out there to keep up.'

            "From Hawaii, where an accused copper thief is about to go on  
            trial for felony theft charges, to Maryland, where a  
            41-year-old man was electrocuted recently after trying to cut  
            through a high-voltage line in an abandoned discount store,  
            stolen metals have filled a market void. This summer in  
            Oakland, Calif., a memorial to 25 people who were killed  
            nearly 16 years ago in a fire was stripped of stainless steel  
            memorial plaques, and metal scavengers were suspected. 

            "California farmers have faced millions of dollars in losses.   
            A bill sponsored by Assemblyman Tom Berryhill, Republican of  
            Modesto, would have made it harder to steal copper, by making  
            recyclers pay by check - which can be tracked - and photograph  
            the sellers.  But that bill failed, so counties are pursuing  








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            local ordinances. 

            "Farmers say a statewide law would be more useful, however, as  
            many copper thieves work their way from the north through the  
            Central Valley, often ending their journey in Long Beach,  
            south of Los Angeles, where they sell to recyclers who quickly  
            get the metals to the port. 

            " 'We deal with mother nature and farm out in the open,' said  
            Mike Young, who lost the alfalfa crops here.  'So it's not  
            easy.  This copper theft is an epidemic.'  (Steinhauer,  
            Unusual Culprits Cripple Farms in California, N.Y. Times,  
            (Jul. 1, 2007)  [as of Apr. 2,  
            2009].)

            "Metal theft has not been confined to farms and rural areas.   
            The Monterey County Herald reports:

            "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.'

            " 'On Monday, deputies found three men stripping almost 900  
            feet of copper cable, which appeared to have been stolen from  
            an industrial yard.  They could have sold the copper for about  
            $6,500,' Davis said. 

            " 'It's happening all over the state,' he said.  . . . 

            " . . . Robert Gomez, manager of a Salinas auto shop, said  
            recently he welded a catalytic converter back onto a truck  
            after thieves tried to remove it.  Other shops report making  
            similar repairs for customers. 

            "Gomez said catalytic converters are hot items for thieves  
            because they have valuable metals and are easy to get to. 

            " 'They can just slide right under (a car) and get to it,' he  
            said.  'The value is the stuff inside.'









                                                                  AB 237
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            " 'A stolen converter can be sold for about $100 for the metal  
            it contains.  But the owner of the vehicle may have to spend  
            up to $500 to replace it,' Gomez said.  . . . 

            " . . . In Southern California, thieves have made off with  
            guardrails and road signs on freeways, according to the state  
            Department of Transportation. 

            "In Contra Costa County, suspected metal thieves are believed  
            to have caused a toxic spill after they took brass fittings  
            from tanks at a chemical plant in Richmond.

            "Last week at a ballpark in Ventura, thieves stripped wires  
            from an electrical vault, damaging lights used for Little  
            League games. 

            "Jeff Smith, a spokesman for Pacific Gas & Electric Co., said  
            theft of electrical wire is costly and thieves risk  
            electrocution, even when the power has been shut off. 

            " 'During the first six months of 2007, PG&E lost more than  
            $800,000 worth of copper cable to thievery at service yards,  
            power plants and utility connections in Northern California,'  
            Smith said. 

            " 'Like anything else, when the market value goes up, it  
            becomes a target,' Smith said.  'It's become increasingly more  
            serious every year.' "  [Lopez, Metal Marauders on Loose,  
            Monterey County Herald, (May 10, 2008) p. B1.]

           3)Argument in Support  :  According to  Alameda County Sheriff,  
            Gregory  J. Ahern; Amador County Sheriff, Martin A. Ryan;  
            Butte County Sheriff, Perry L. Reniff; Contra Costa County  
            Sheriff, Warren E. Rupf; Mariposa County Sheriff, Brian  
            Muller; San Bernardino County Sheriff's Department (the  
            sponsor of this bill); Shasta County Sheriff, Tom Bosenko;  
            Tuolumne County Undersheriff, Keith Lunney; Ventura County  
            Sheriff, Bob Brooks; and Yolo County Sheriff, E.G. Prieto  ,  
            "With the prevalence of metal thefts from large construction  
            sites, public utility yards, farms, ranches, schools, etc., it  
            would aid law enforcement to curtail the rampant metal thefts  
            by being allowed to inspect certain loads for metal, in the  
            furtherance of their investigations.  Metal theft is one of  
            the fastest growing crimes in the state and county.  The  
            recent rise in scrap metal values has made the theft and sale  








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            of these materials increasingly profitable.

          "AB 237 amends CVC 2810 to expand statutory authority to inspect  
            loads for theft without a warrant or probable cause to a  
            member of the county sheriff's office, a city police  
            department, or a district attorney investigator whose primary  
            responsibility is to conduct theft investigations, applicable  
            with regard to a vehicle that is transporting metal products."

           4)Prior Legislation  : 

             a)   SB 447 (Maldonado), Chapter 732, Statutes of 2009,  
               assists local law enforcement officials in quickly  
               investigating stolen metal and apprehending thieves by  
               requiring scrap metal dealers and recyclers to report what  
               materials are being scraped at their facilities and by whom  
               on a daily basis.  These rules already apply to pawn shop  
               dealers. 

             b)   SB 691 (Calderon), Chapter 720, Statutes of 2009,  
               requires junk dealers and recyclers to take thumbprints of  
               individuals selling copper, copper alloys, aluminum and  
               stainless steel.  Sellers must also show a government  
               identification (ID) and proof of their current address.   
               Recyclers who violate the law face suspension or revocation  
               of their business license and increased fines and jail  
               time. 

             c)   AB 844 (Berryhill), Chapter 731, Statutes of 2009,  
               requires recyclers to hold payment for three days, check a  
               photo ID and take a thumbprint of anyone selling scrap  
               metals.  AB 844 also requires any person convicted of metal  
               theft to pay restitution for the materials stolen and for  
               any collateral damage caused during the theft.   

             d)   AB 1778 (Ma), Chapter 733, Statutes of 2009, requires  
               recyclers to obtain identifying information of individuals  
               who bring in more than $50 worth of CRV recyclables and  
               newspapers.  AB 1778 also requires that payments of $50 or  
               more be made by check.

             e)   AB 1859 (Adams), Chapter 659, Statutes of 2009, creates  
               a fine of not more than $3,000 for any person who knowingly  
               receives any part of a fire hydrant, including bronze or  
               brass fittings and parts.








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             f)   AB 2724 (Benoit), of the 2007-08 Legislative Session,  
               required any person convicted of grand theft involving the  
               theft of wire, cable, copper, lead, solder, mercury, iron  
               or brass of a kind ordinarily used by, or that  ordinarily  
               belongs to a railroad or other transportation, telephone,  
               telegraph, gas, water, or electric light company or county,  
               city, city and county, or other political subdivision of  
               this state engaged in furnishing public utility service, or  
               farm, ranch or industrial facility or other commercial or  
               residential building, to pay a fine of $100 for a first  
               offense and $200 for any subsequent offense. AB 2724 failed  
               passage in the Senate Committee on Public Safety. 

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          San Bernardino County Sheriff's
            Department (Sponsor)
          Alameda County Sheriff
          Amador County Sheriff
          Butte County Sheriff
          California Farm Bureau Federation
          California State Association of Counties 
          California State Sheriffs Association
          Contra Costa County Sheriff
          Mariposa County Sheriff
          Shasta County Sheriff
          Tuolumne County Undersheriff
          Ventura County Sheriff
          Yolo County Sheriff

           Opposition 
           
          None
           

          Analysis Prepared by  :    Nicole J. Hanson / PUB. S. / (916)  
          319-3744