BILL ANALYSIS �
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|SENATE RULES COMMITTEE | SB 1387|
|Office of Senate Floor Analyses | |
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THIRD READING
Bill No: SB 1387
Author: Emmerson (R), et al.
Amended: 4/19/12
Vote: 21
SENATE BUS., PROF. & ECON. DEV. COMMITTEE : 7-0, 4/9/12
AYES: Price, Emmerson, Correa, Hernandez, Negrete McLeod,
Strickland, Wyland
NO VOTE RECORDED: Corbett, Vargas
SENATE PUBLIC SAFETY COMMITTEE : 7-0, 4/24/12
AYES: Hancock, Anderson, Calderon, Harman, Liu, Price,
Steinberg
SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8
SUBJECT : Metal theft
SOURCE : Eastern Municipal Water District
DIGEST : This bill prohibits junk dealers and recyclers
from possessing fire hydrants, manhole covers or backflow
devices without proper certification, as specified; and
provides that possession of stolen fire hydrants, manhole
covers or backflow devices by persons engaged in the
salvage, recycling, purchase or sale of scrap metal, shall
be punishable by an additional fine up to $3000.
ANALYSIS :
CONTINUED
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Existing law, the Business and Professions Code:
1. Regulates junk dealers and recyclers and defines "junk"
as secondhand and used machinery and all ferrous
(containing iron) and nonferrous (excludes iron) scrap
metals (as defined) and alloys, including any and all
secondhand and used furniture, pallets, or other
personal property, excluding livestock.
2. Requires junk dealers and recyclers to allow for
periodic inspection of their premises or junk, to
determine compliance with recordkeeping requirements,
and requires junk dealers and recyclers to produce their
records of sales and purchases and any property
purchased, for inspection by any of the following:
A. An officer holding a search warrant.
B. A person appointed by the county sheriff or head
of the police department.
C. An officer with a court order to inspect the
records or property.
3. Prohibits junk dealers and recyclers from providing
payment for nonferrous material, as defined, unless
payment is made by cash or check, and the payment is
mailed or provided on the third business day after the
date of sale.
4. Requires junk dealers and recyclers to obtain a
thumbprint from a seller, and to maintain the thumbprint
record for two years after the date of sale.
5. Provides that inspections or seizures of thumbprints
shall only be performed by a peace officer under a
criminal search warrant, where probable cause for the
warrant was based on a theft related to the sale for
which the thumbprint was collected.
6. Requires junk dealers and recyclers produce their
records for inspection on demand, however the thumbprint
of the seller may only be obtained by a peace officer
with a search warrant.
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Existing law, the Penal Code:
1. Provides that a swap meet vendor, as defined, or a
person who deals in, or collects, merchandise or
personal property, or their agent, employee, or
representative, who buys or receives any property of a
value greater than $950, that has been stolen or
obtained in any manner under circumstances that should
cause the buyer to inquire about the legal right to sell
the property, and the buyer does not make a reasonable
inquiry, shall be punished by imprisonment in a county
jail for not more than one year, or imprisonment of up
to three years.
2. Any person who buys or receives, for purposes of
salvage, any part of a fire hydrant or fire department
connection, including, but not limited to, bronze or
brass fittings and parts, that has been stolen or
obtained in any manner constituting theft or extortion,
knowing the property to be so stolen or obtained, shall,
in addition to any other penalty provided by law, be
subject to a criminal fine of not more than $3,000.
This bill provides that no junk dealer or recycler shall
possess any fire hydrant, or fire department connection,
including, but not limited to, brass fittings and parts, or
manhole cover or lid or part of that cover or lid, or
backflow device or connection to that device or part of
that device in the absence of a written certification on
the letterhead of the agency or utility owning or
previously owning the material described in the
certification that the agency has either sold the material
described or is offering the material for sale, salvage, or
recycling, and that the person possessing the certification
and identified in the certification is authorized to
negotiate the sale of that material.
Background
Metal theft has become increasingly popular within the last
decade and the theft of fire hydrants, copper, manhole
covers, and backflow devices in particular are on the rise,
and represent a significant health and safety concern to
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the public. According to an April 2, 2012 Sacramento Bee
article, "The cost of addressing the crime wave has likely
surpassed $1 million over the past year. Officials with
the city's Department of Transportation think they'll have
to spend another $2 million over the next year repairing
streetlights damaged by thieves." Over a New Year's
weekend in 2011, 50 manhole covers were stolen from the
streets of Sacramento. Cities, counties, and special
districts are taking different approaches to address metal
theft. Los Angeles residents are being asked to "adopt"
their neighborhood manhole covers in an attempt to "police"
their streets. Eastern and Municipal Water Districts have
issued $500 rewards for citizens who turn in thieves.
Anaheim Public Utilities has issued a customer alert on
their website asking residents to take precautions to
protect their backflow devices. The City has further
indicated that residents may wish to increase patrol and
install video surveillance devices if they wish to further
protect their devices.
The rise in recycled metal prices has increased the demand
for such items. Scrap metal from fire hydrants are
estimated to recycle at $300 per ton; price fluctuates
rapidly according to demand. Metal theft has been well
documented in California. The Los Angeles Times reported
an individual stealing 45 fire hydrants within the Inland
Empire. Investigators of the incident reported, "The theft
of metal to sell as scrap, such as copper wiring, bronze
fixtures and iron from construction site, is common,
especially during a prolonged economic slump."
Metal Theft Costs . The increasing theft of backflow
devices, manhole covers and fire hydrants or any parts of
hydrants impact city budgets greatly, especially during
tough economic times. Replacement hydrants can range
between $1,000- $1,500, while accessories can cost up to
$25 per hydrant. Backflow devices have been priced
anywhere from $330 to $22,000 depending on the diameter,
while cast iron manhole covers have a price tag of $231.71;
not accounting for labor. Cities and counties have to
repair and replace these items immediately due to public
safety concerns. The sponsor of this bill, cities several
incidents where individuals have suffered injuries because
of missing manhole covers, leaving local entities open to
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the possibility of legal action.
Enforcement Concerns . Dramatic increases in metal theft
have sparked numerous legislative actions over the past
decade. However, enforcement of such provisions has proven
not to be as effective due to fiscal constraints in local
law enforcement. Resident Deputy Sheriff Jim Currie of the
Solano County Sheriff's Office reported that incidents of
metal theft seem to be picking up in Rio Vista. "We've got
some things in place to help step up our surveillance, but
like other agencies, we've cut back on people and patrol
time. Our Sheriff is addressing that right now, but it has
been rough with the budget situation the way it is," Currie
said. The 2011 report from the National Insurance Crime
Bureau identified 25,083 insurance claims compared with
only 13,861 identified from the 2006-2008 report; an 81
percent increase. California was ranked third out of the
top five states with 1,348 insurance claims.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: Yes
SUPPORT : (Verified 5/9/12)
Eastern Municipal Water District (source)
Association of California Water Agencies
California Association of Sanitation Agencies
California Chamber of Commerce
California District Attorneys Association
California Municipal Utilities Association
California Professional Firefighters
California Special Districts Association
California State Sheriffs' Association
City of Canyon Lake
City of Cathedral City
City of San Jacinto
City of Thousand Oaks
Contra Costa Water District
Cucamonga Valley Water District
East Bay Municipal Utility District
El Dorado Irrigation District
Elsinore Valley Municipal Water District
Lake Hemet Municipal Water District
League of California Cities
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Mesa Consolidated Water District
Municipal Water District of Orange County
Rancho California Water District
San Bernardino County Sheriff's Office
San Bernardino Valley Municipal Water District
San Diego County Water Authority
The Metropolitan Water District of Southern California
Three Valleys Municipal Water District
Walnut Valley Water District
Western Municipal Water District
Western Riverside Council of Governments
ARGUMENTS IN SUPPORT : According to the author's office,
metal theft is on the rise as the price of metal continues
to climb. The theft of metals has devastated both public
and private property and has harmed critical public
infrastructure, making it difficult to deliver essential
utilities to customers. Moreover, the theft of certain
metal devices can seriously threaten public health and
safety. For instance, individuals have been severely
injured falling down uncovered manholes and vehicles have
incurred damage driving over manholes where the covers have
been stolen. In addition, stolen backflow devices leave
potable water sources vulnerable to cross-contamination
while stolen fire hydrants render properties defenseless to
fire. While several laws have been enacted to curb metal
theft, it is still prevalent throughout California.
According to the Eastern Municipal Water District the
sponsor, this bill seeks to address this epidemic and
strengthen current law by eliminating the attractiveness of
manhole covers, backflow devices, and fire hydrants to
metal thieves as there would no longer be a buyer for these
stolen items.
JJA:do 5/9/12 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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