25 LC 62 0107S (SCS)
Senate Bill 40
By: Senators Hatchett of the 50th, Gooch of the 51st, Anavitarte of the 31st and Robertson
of the 29th
AS PASSED SENATE
A BILL TO BE ENTITLED
AN ACT
To amend Article 14 of Chapter 1 of Title 10 of the Official Code of Georgia Annotated,
1
relating to secondary metals recyclers, so as to provide for applicability of the definition of2
the term "used, detached catalytic converters" to said article; to remove the exception for3
used, detached catalytic converters from the application of said article; to provide for certain4
registration requirements for secondary metals recyclers; to provide for the use of certain5
registration fees; to provide for records and reporting; to allow certain caps for secondary6
metals recyclers with respect to payments to and number of transactions with sellers to7
remain in effect after January 1, 2026; to make conforming changes; to provide for related8
matters; to provide for an effective date and applicability; to repeal conflicting laws; and for9
other purposes.10
BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:11
SECTION 1.12
Article 14 of Chapter 1 of Title 10 of the Official Code of Georgia Annotated, relating to13
secondary metals recyclers, is amended by revising Code Section 10-1-350, relating to14
definitions, by adding a new paragraph to read as follows:15
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"(18.1) 'Used, detached catalytic converter' means motor vehicle exhaust system parts16
that are used for controlling the exhaust emissions from motor vehicles and that contain17
a catalyst metal, but shall not include a catalytic converter that has been tested, certified,18
and labeled for reuse, in accordance with applicable federal Clean Air Act regulations,19
as may from time to time be amended."20
SECTION 2.21
Said article is further amended in Code Section 10-1-351, relating to verifiable22
documentation required and unlawful activities pertaining to used, detached catalytic23
converters, by revising subsection (d) as follows:24
"(d)(1) As used in this subsection, the term 'used, detached catalytic converter' means25
motor vehicle exhaust system parts that are used for controlling the exhaust emissions26
from motor vehicles and that contain a catalyst metal, but shall not include a catalytic27
converter that has been tested, certified, and labeled for reuse, in accordance with28
applicable federal Clean Air Act regulations, as may from time to time be amended.29
(2) It shall be unlawful for any person to purchase or to solicit or advertise for the30
purchase of a used, detached catalytic converter, or any nonferrous metal parts of a31
catalytic converter, unless such person is a registered secondary metals recycler in32
accordance with Code Section 10-1-359.1 and in full compliance with all requirements33
prescribed by this article.34
(3)(2) It shall be unlawful for any person to purchase, possess, transport, or sell a used,35
detached catalytic converter, or any nonferrous metal parts of a catalytic converter, unless36
such person is authorized to purchase, possess, transport, or sell catalytic converters37
pursuant to subsection (c) of this Code section and is in possession of the licenses,38
registrations, or other documentation required by subsection (c) of this Code section.39
(4)(3) Each unlawfully possessed or obtained used, detached catalytic converter shall be40
considered a separate offense."41
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SECTION 3.
42
Said article is further amended by revising Code Section 10-1-355, relating to conditions and43
limitations on payments for regulated metal property and exception for transaction between44
business entities, in effect on January 1, 2026, as follows:45
"10-1-355.46
(a) A secondary metals recycler shall pay only by check, electronic funds transfer, cash,47
or voucher for regulated metal property and shall make any such payment as specifically48
provided for in this Code section.49
(b) Any check, electronic funds transfer, or voucher shall be payable only to the person50
recorded as the seller of the regulated metal property to the secondary metals recycler.51
(c) Any voucher shall be provided to the seller at the time of the purchase transaction or52
mailed to the seller at the address indicated on the personal identification card of the seller53
presented at the time of such transaction. If the voucher is provided to the seller at the time54
of the purchase transaction and not mailed to the seller, the secondary metals recycler shall55
not redeem the voucher for three days from the date of the purchase transaction. The56
voucher shall include the date of purchase, name of the seller, the amount paid for the57
regulated metal property, a detailed description of the regulated metal property purchased,58
information as to whether the voucher was mailed or provided at the time of the purchase59
transaction, the first date on which the voucher may be redeemed, and the date on which60
the voucher expires. The voucher may only be redeemed for cash by the person whose61
name appears on the voucher as the seller or by such person's heirs or legal representative. 62
If a voucher is not redeemed by the person whose name appears on the voucher as the seller63
or by such person's heirs or legal representative within six months of the date of the64
transaction, the voucher shall expire and the secondary metals recycler shall not be required65
to honor the voucher after the expiration date.66
(d) No secondary metals recycler shall:
67
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(1) Pay to any seller more than $100.00 in cash for any transaction or complete more68
than two transactions per seller, per day, per registered secondary metals recycler69
location;70
(2) Pay cash to any seller for used, detached catalytic converters or coils;71
(3) Pay cash to any seller for used utility wire;72
(4) Pay cash to any seller for used communications copper;73
(5) Pay cash to any seller for copper wire; or74
(6) Pay cash to any seller for a battery.75
(e) A secondary metals recycler shall be prohibited from: (1) redeeming or cashing any76
check or electronic funds transfer paid to a seller for regulated metal property; and (2)77
providing or permitting any mechanism on the premises of the secondary metals recycler78
for the redemption or cashing of any check or electronic funds transfer.79
(e)(f) The provisions of this Code section shall not apply to any transaction between80
business entities."81
SECTION 4.82
Said article is further amended in Code Section 10-1-358, relating to purchases of regulated83
metal property exempted from application of article, as follows:84
"10-1-358.85
This article shall not apply to purchases of regulated metal property, other than used,86
detached catalytic converters, from:87
(1) Organizations, corporations, or associations registered with the state as charitable,88
philanthropic, religious, fraternal, civic, patriotic, social, or school-sponsored school89
sponsored organizations or associations or from any nonprofit corporations or90
associations;91
(2) A law enforcement officer acting in an official capacity;92
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(3) A trustee in bankruptcy, executor, administrator, or receiver who has presented proof
93
of such status to the secondary metals recycler;94
(4) Any public official acting under judicial process or authority who has presented proof95
of such status to the secondary metals recycler;96
(5) A sale on the execution, or by virtue, of any process issued by a court if proof thereof97
has been presented to the secondary metals recycler; or98
(6) A manufacturing, industrial, or other commercial vendor that generates and sells99
regulated metal property in the ordinary course of its business, provided that such vendor100
is not a secondary metals recycler."101
SECTION 5.102
Said article is further amended by revising subsection (c) of Code Section 10-1-359.1,103
relating to registration of secondary metals recycler, electronic data base, authority of sheriff,104
and penalty for violation, as follows:105
"(c) The sheriff shall be authorized to:106
(1) Assess and require payment of $200.00 for a new registration and an annual107
registration renewal for a secondary metals recycler;108
(2) If applicable in the jurisdiction where such secondary metals recycler is located
,109
require a the secondary metals recycler to submit a current and valid business license in110
the county or municipality that is associated with the address on the registration form111
prior to approving the registration or registration renewal;112
(3) Require the registered agent of a secondary metals recycler to submit to a criminal113
background check and fingerprinting for a new registration with the costs paid by the114
secondary metals recycler in an amount not to exceed $75.00;115
(4) Deny the new registration or registration renewal of a secondary metals recycler if116
such person's registration has been revoked in another Georgia county, information117
submitted on the registration form has been determined to be invalid or false, or it is118
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determined by the criminal background check that such person has been convicted of a
119
felony offense under this article more than three times
in the previous five years;120
(5) Revoke the registration of a secondary metals recycler's registered agent if the121
registered agent has been convicted of a felony offense in the previous five years under122
this article while serving as a registered agent;123
(6) Require secondary metals recyclers to provide on the registration form the customer124
identification number for the current data base contractor maintained by the Georgia125
Bureau of Investigation;126
(7) Require a secondary metals recycler to submit a signed and sworn statement that such127
person has not had such secondary metals recycler's registration or business license128
revoked during the previous year and that the registered agent has not been convicted of129
a metal theft felony offense in the previous year under this article while serving as a130
registered agent in the previous five years;131
(8) Delegate to personnel in the sheriff's office the registration of secondary metals132
recyclers and entering into the data base of the records of such registrations; and133
(9) Remit to the Georgia Sheriffs' Association $100.00 of each $200.00 registration fee134
and remit to the general fund of the county treasury the remaining $100.00 of each135
registration fee Enter into contracts with the governing authority of a county,136
municipality, or consolidated government for such governing authority to provide for the137
registration of secondary metals recyclers and the entering into the data base Georgia138
Sheriffs' Association Secondary Metals Recycler Registry of the records of such139
registrations for use by other law enforcement agencies, or by staff of the governing140
authority, or the public. Any such contract shall provide for reimbursement to such141
governing authority for the registrations or entry of the records of such registrations into142
the data base."143
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SECTION 6.
144
Said article is further amended by revising Code Section 10-1-359.2, relating to penalties for145
violations, as follows:146
"10-1-359.2.147
(a) Except as provided for in subsection (e) of Code Section 10-1-359.1, any person who148
buys or sells regulated metal property in violation of any provision of this article:149
(1) For a first offense, shall be guilty of a misdemeanor;150
(2) For a second offense, shall be guilty of a misdemeanor of a high and aggravated151
nature; and152
(3) For a third or subsequent offense or when such regulated metal property is unlawfully153
obtained and results in property damage exceeding the aggregate amount of $1,500.00,154
shall be guilty of a felony and, upon conviction thereof, shall be punished by155
imprisonment for not less than one nor more than ten years.156
Each unlawfully possessed or obtained used, detached catalytic converter, as such term is
157
defined in subsection (d) of Code Section 10-1-351, shall be considered a separate offense158
under this Code section.159
(b) Any person who buys or sells regulated metal property in violation of any provision160
of this article shall be liable in a civil action to any person who was the victim of a crime161
involving such regulated metal property for the full value of the regulated metal property,162
any repairs and related expenses incurred as a result of such crime, litigation expenses, and163
reasonable attorneys' fees."164
SECTION 7.165
Said article is further amended by revising paragraph (3) of subsection (b) of Code166
Section 10-1-359.3, relating to forfeiture and items declared contraband, as follows:167
"(3) Any used, detached catalytic converter, as such term is defined in subsection (d) of168
Code Section 10-1-351, possessed in violation of subsection (d) of Code Section169
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10-1-351 and any vehicle used in the transportation of such used, detached catalytic
170
converter, provided that any civil forfeiture proceedings for any vehicle seized pursuant171
to this subsection, including the reporting requirements set forth in Code Section 9-16-7,172
shall be stayed during the pendency of criminal proceedings unless otherwise agreed to173
by the owner or interest holder of such vehicle."174
SECTION 8.175
Said article is further amended by revising paragraph (2) of subsection (a) of Code176
Section 10-1-359.5, relating to required information from secondary metals recyclers and177
role of Georgia Bureau of Investigation, as follows:178
"(2) Notwithstanding any provision of Code Section 10-1-358 to the contrary, each
Each179
secondary metals recycler shall maintain, or cause to be maintained, a record, and shall180
electronically submit to the Georgia Bureau of Investigation a such record, of the receipt181
of each purchase of a used, detached catalytic converter as defined in subsection (d) of182
Code Section 10-1-351, or any nonferrous metal parts of a catalytic converter, from an183
industrial account a manufacturing, industrial, or other commercial vendor that generates184
and sells used, detached catalytic converters, or any nonferrous metal parts of a catalytic185
converter, in the ordinary course of its business or a secondary metals recycler. Such186
report shall include:187
(A) The name and address of the seller;188
(B) The date, time, and place of the transaction; and189
(C) The number of used, detached catalytic converters or pounds of catalyst metal190
purchased."191
SECTION 9.192
This Act shall become effective on July 1, 2025, and shall apply to all transactions occurring193
on and after such date.194
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SECTION 10.
195
All laws and parts of laws in conflict with this Act are repealed.196
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