Maryland Metal Scrap Statute

"Junk" or "Scrap Metal" includes the following, but does not include beverage or food cans:

• Nonferrous articles made wholly or substantially of: aluminum; babbitt metal; brass; bronze; light copper; heavy copper; lead; low carbon chrome; low carbon manganese; molybdenum; monel metal; pewter; nickel; stainless steel; tin; vanadium; zinc; platinum; gold; rhodium; or other nonferrous metals; and

The following Used Articles, made of either ferrous or nonferrous metal:

• catalytic converters;
• metal bleachers;
• hard–drawn copper;
• metal beer kegs;
• cemetery urns;
• grave markers;
• propane tanks; and
• any other used articles owned by a public utility including: guardrails; manhole covers; metal light poles; tree grates; water meters; and street signs.

"Historic Marker or Plaque" means a marker, plaque, or tablet commemorating a historic person or event, or identifying a historic place, structure, or object.

"Junk Dealer" or "Scrap Metal Processor" means a person who does business buying or selling junk or scrap metal, but does not include a dealer or pawnbroker licensed under Title 12 of the Business Regulation article.

Excepting the Licensing provision, the requirements for Dealers and Processors also apply to non-exempt Automotive Dismantler and Recyclers or Scrap Metal Processors licensed under Transportation Article, Title 15, Subtitle 5 if they conduct business as a licensed Dealer or Processor or acquire vehicle parts or articles that qualify as, are listed as, or are made of metals listed as Scrap Metal.

"Primary Law Enforcement Unit" means the Department of State Police, a police department, or sheriff, as designated by a resolution of the county or municipal governing body in the county in which the license of the Junk Dealer or Scrap Metal Processor is held.

Does not apply to:

• A dealer or pawnbroker licensed under Title 12 of the Business Regulation article;
• A vehicle that a common carrier uses in its business to transport Scrap Metal;

A person doing business other than junk business or scrap metal business whenever the person:

• Buys or transports Scrap Metal used in the operation of the business; or
• Transports, for disposal or sale, Scrap Metal accumulated by the business to dispose of or sell;

Except for the Historic Marker or Plaque provision, the law exempts antique dealers.

Except for the License provisions, the law exempts:

• An Automotive Dismantler and Recycler or Scrap Metal Processor licensed under Title 15, Subtitle 5 of the Transportation Article that only acquires whole vehicles for the purpose of dismantling, destroying, or scrapping them for the benefit of their parts or the materials in them,
• A person that buys scrap metal to use as raw material to produce 1,000,000 tons of steel or more in Maryland per calendar year.

The Recordkeeping and Reporting provisions do not apply to an item acquired from a:

• Licensed junk dealer or scrap metal processor;
• Unit of federal, State, or local government; or a

Commercial enterprise with a valid business license that has a written contract with a Dealer or Processor who has provided to the Primary Law Enforcement Unit:

• The name and business address of the commercial enterprise; and
• The type of junk or scrap metal subject to the contract.

A person must have a license to act as a Junk Dealer or Scrap Metal Processor unless a nonresident Dealer or Processor buys Scrap Metal from a resident Dealer or Processor; or the nonresident Dealer or Processor transports that Scrap Metal. However, if a nonresident Dealer or Processor comes into Maryland in a vehicle, they may not transport any Scrap Metal bought in Maryland outside the state in that vehicle unless they possess a license.

An applicant shall certify their name and business address and pay:

• For a Dealer or Processor license, a $10 fee if they are a Maryland resident;
• For an Agent license, a $5 fee if they are a Maryland resident;
• $100 for a Dealer, Processor, or Agent license if they are not a Maryland resident.

A State Junk License is not transferable. A nonresident Dealer or Processor may not keep a fixed place of business in Maryland. A person, other than a salaried employee of a Dealer or Processor licensee, must have an agent license when acting as an agent in Maryland. The local governing body in the county where a Processor is licensed shall designate the primary law enforcement unit to receive reports. If a municipal governing body designates the county police department or sheriff, the county may designate the State Police.

A Dealer or Processor must keep an accurate electronic record in English of each purchase of Junk or Scrap Metal containing the following:

• The Date and Time of purchase;
• A description of the Scrap Metal purchased, including the type and grade; and the weight of each type and grade if payment is based on weight;
• The amount paid or other consideration;
• The registration plate number, make, and model of any vehicle used;
• The Seller's name and address;
• The signature of the Seller and of the Dealer, Processor, or employee who accepted the Scrap Metal (not required for Reporting provision);

For each individual from whom the Dealer or Processor acquires scrap metal, either:

• The date of birth and driver's license number; or
• Identification information from a valid Maryland-issued photo ID that provides a physical description, including the sex, race, any distinguishing features, and approximate age, height, and weight. Additionally, a copy of the Maryland-issued photo ID is required by the Reporting provision, but is not specified in the Recordkeeping provision.

The Historic Marker or Plaque report requires a description including the full text, any installation date, and the name of any installation sponsor.

Dealers and Processors must retain records for 1 year. Primary Law Enforcement Units must retain reports for 1 year.

Records shall be open to inspection during business hours by State or local law enforcement personnel for an investigation of a specific crime involving Scrap Metal; said personnel may also request information from records pursuant to such an investigation. Written contracts with a commercial enterprise that are exempt from the Recordkeeping and Reporting provisions shall be open to inspection by a local law enforcement agency on the Dealer or Processor's business premises during business hours, but may not be open for public inspection without the consent of the Dealer or Processor.

Certain information from the records shall be transmitted electronically, in a format acceptable to the receiving Primary Law Enforcement Unit, by the end of the first business day after the transaction. The report shall include all the required Recordkeeping information except that the report:

• For the amount paid, only requires an indication of whether the amount paid or other consideration exceeds $500;
• Does not require the signature of the Seller and the Dealer, Processor, or employee;
• If a Maryland-issued photo ID is provided, requires a copy of the photo ID.

A Dealer or Processor may not be required to incur a substantial financial burden to comply with the Reporting requirements.

Submitted reports shall be kept confidential, are not public records, and are not subject to the State Government article, Title 10, Subtitle 6. The Primary Law Enforcement Unit may destroy its copy of a report 1 year after the report is received. The Unit may authorize a Dealer or Processor to extend the Reporting deadline by an extra day, hold written records instead of electronic, or submit reports by facsimile or mail.

Dealers, Processors, or antique dealers who purchase a Historic Marker or Plaque shall report the following information within 3 business days after the date of purchase to the sheriff or other law enforcement official designated by the governing body of the county in which the business is located:

• The date and time of purchase;
• The name and address of the Seller;
• The license tag number of any vehicle used; and
• A description of the Historic Marker or Plaque, including the full text, any installation date, and the name of any installation sponsor.

The sheriff or other law enforcement official promptly shall notify the Maryland Historical Trust with a copy to the reporting business.

Items listed as Used Articles under the definition of Junk or Scrap Metal may only be purchased from an individual who provides appropriate authorization from a relevant business or unit of federal, State, or local government specifically authorizing the individual to conduct the transaction.

Sellers of catalytic converters must provide identification as:

• A licensed automotive dismantler and recycler or scrap metal processor; or
• An agent or employee of a licensed commercial enterprise.

Up to a 15 day hold upon receipt of a written hold notice from a State or local law enforcement agency with reasonable cause to believe that Scrap Metal in the possession of a Dealer or Processor is stolen. The written hold notice shall identify the items alleged stolen, inform the Dealer or Processor of the hold, and specify the time period. A hold may be released early by the law enforcement agency or by court order.

A Historic Marker or Plaque may not be sold or otherwise disposed of for a period of 30 days from the date of the required report to law enforcement.

Local law enforcement personnel of the county where the place of business of the Dealer or Processor is located or where the Scrap Metal was purchased may enforce the law. Unless otherwise specified, a violation is a misdemeanor subject to:

• 1st offense: maximum $500 fine;
• Subsequent offenses: maximum $5,000 fine and/or maximum 1 year imprisonment.

A violation of the Historic Marker or Plaque provision is a misdemeanor subject to a maximum $100 fine.

State requirements preempt local rights to regulate and supersede any existing law that regulates the resale of Scrap Metal, excepting the power of a county or municipality to license Dealers and Processors.