Skip to main content Skip to office menu Skip to footer
Capital IconMinnesota Legislature

HF 457

1st Engrossment - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

KEY: stricken = removed, old language.
underscored = added, new language.
Line numbers 1.1 1.2 1.3 1.4 1.5 1.6 1.7
1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 1.23 1.24 1.25 2.1 2.2
2.3 2.4 2.5 2.6 2.7 2.8 2.9 2.10 2.11 2.12 2.13 2.14 2.15 2.16 2.17 2.18 2.19 2.20 2.21 2.22 2.23 2.24 2.25 2.26 2.27 2.28 2.29 2.30 2.31 2.32 2.33 2.34 2.35 3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 3.10 3.11 3.12 3.13 3.14 3.15 3.16 3.17 3.18 3.19 3.20 3.21 3.22 3.23 3.24 3.25 3.26 3.27 3.28 3.29 3.30 3.31 3.32 3.33 3.34 3.35 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.8 4.9 4.10 4.11 4.12 4.13 4.14 4.15 4.16 4.17 4.18 4.19 4.20 4.21 4.22 4.23 4.24 4.25 4.26 4.27 4.28 4.29 4.30 4.31 4.32 4.33 4.34 5.1 5.2 5.3 5.4 5.5 5.6 5.7
5.8
5.9 5.10 5.11 5.12 5.13 5.14 5.15 5.16 5.17 5.18 5.19 5.20 5.21 5.22 5.23
5.24 5.25 5.26
5.27 5.28 5.29

A bill for an act
relating to public safety; expanding an existing law enforcement tool regarding
record keeping of purchases of scrap metal dealers; requiring registrations;
providing a tax credit to certain dealers; establishing criminal penalties;
appropriating money; amending Minnesota Statutes 2006, section 325E.21;
proposing coding for new law in Minnesota Statutes, chapters 290; 609.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [290.0681] SCRAP METAL DEALER CREDIT.
new text end

new text begin Subdivision 1. new text end

new text begin Credit allowed. new text end

new text begin A scrap metal dealer as defined in section 325E.21
is allowed a credit against the income or franchise tax computed under section 290.06,
subdivision 1 or 2c, as applicable, for the taxable year equal to ..... percent of qualifying
expenditures.
new text end

new text begin Subd. 2. new text end

new text begin Qualifying expenditures. new text end

new text begin "Qualifying expenditures" means the
acquisition costs associated with the purchase or acquisition of automated reporting
computer hardware and software and video surveillance equipment, as required under
section 325E.21.
new text end

new text begin Subd. 3. new text end

new text begin Limitation; carryover. new text end

new text begin (a) The credit for the taxable year shall not exceed
the liability for tax. For purposes of this section, "liability for tax" means the tax imposed
under this chapter for the taxable year reduced by the sum of the nonrefundable credits
allowed under this chapter.
new text end

new text begin (b) If the amount of the credit determined under this section for any taxable year
exceeds the limitation under paragraph (a), the excess shall be a replacement credit
carryover to each of the .... succeeding taxable years. The entire amount of the excess
unused credit for the taxable year shall be carried first to the earliest of the taxable years to
which the credit may be carried and then to each successive year to which the credit may
be carried. The amount of the unused credit which may be added under this paragraph
shall not exceed the taxpayer's liability for tax less the credit allowed for the taxable year.
new text end

Sec. 2.

Minnesota Statutes 2006, section 325E.21, is amended to read:


325E.21 DEALERS IN deleted text begin WIRE AND CABLEdeleted text end new text begin SCRAP METALnew text end ; RECORDS
deleted text begin ANDdeleted text end new text begin ,new text end REPORTSnew text begin , AND REGISTRATIONnew text end .

Subdivision 1.

Purchase or acquisition record required.

Every deleted text begin person, firm or
corporation
deleted text end new text begin scrap metal dealernew text end , including an agent, employeenew text begin ,new text end or representative deleted text begin thereofdeleted text end new text begin of
the dealer
new text end , deleted text begin engaging in the business of buying and selling wire and cable commonly and
customarily used by communication and electric utilities
deleted text end shall keep a record, in the English
language, legibly written in ink or typewriting, at the time of each purchase or acquisition,
an accurate account or description, including the weight if customarily purchased by
weight, of deleted text begin such wire and cable commonly and customarily used by communication
and electric utilities
deleted text end new text begin the scrap metalnew text end purchased or acquired, the date, timenew text begin ,new text end and place
of the receipt of the same, the name and address of the person selling or delivering the
same deleted text begin anddeleted text end new text begin , the number of the check used to purchase the scrap metal,new text end the number of the
driver's license of deleted text begin suchdeleted text end new text begin thenew text end personnew text begin , and the license plate number of the vehicle used by the
person when delivering the scrap metal
new text end . deleted text begin Suchdeleted text end new text begin Thenew text end record, as well as deleted text begin such wire and cable
commonly and customarily used by communication and electric utilities
deleted text end new text begin the scrap metalnew text end
purchased or received, shall at all reasonable times be open to the inspection of any deleted text begin sheriff
or deputy sheriff of the county, or of any police officer in any incorporated city or statutory
city, in which such business may be carried on
deleted text end new text begin law enforcement agencynew text end . deleted text begin Suchdeleted text end new text begin Thenew text end person
shall not be required to furnish or keep such record of any property purchased from
merchants, manufacturers or wholesale dealers, having an established place of business, or
of any goods purchased at open sale from any bankrupt stock, but a bill of sale or other
evidence of open or legitimate purchase of deleted text begin suchdeleted text end new text begin thenew text end property shall be obtained and kept
by deleted text begin suchdeleted text end new text begin thenew text end person which must be shown upon demand to deleted text begin the sheriff or deputy sheriff
of the county, or to any police officer in any incorporated city or statutory city, in which
such business may be carried on. The provisions of this subdivision and of subdivision 2
shall not apply to or include any person, firm or corporation engaged exclusively in the
business of buying or selling motor vehicles, new or used, paper or wood products, rags or
furniture, secondhand machinery
deleted text end new text begin any law enforcement agencynew text end .

Subd. 2.

Sheriff's copy of record required.

new text begin (a) new text end It shall be the duty of every deleted text begin suchdeleted text end
persondeleted text begin , firm or corporation defined indeleted text end new text begin that is subject tonew text end subdivision 1 deleted text begin hereof,deleted text end to make
out and to deliver or mail to the office of the sheriff of the county in which business is
conducted, not later than the second business day of each week, a legible and correct copy
of the record required in subdivision 1 of the entries during the preceding week. In the
event deleted text begin suchdeleted text end new text begin thenew text end persondeleted text begin , firm or corporationdeleted text end has not made any purchases or acquisitions
required to be recorded under subdivision 1 deleted text begin hereofdeleted text end during the preceding weeknew text begin ,new text end no report
need be submitted to the sheriff under this subdivision.

new text begin (b) The duty imposed by paragraph (a) may be discharged by a person submitting
the record electronically by means of an automated reporting system.
new text end

new text begin Subd. 2a. new text end

new text begin Holding periods. new text end

new text begin (a) A scrap metal dealer may not sell any scrap
metal purchased or acquired until five business days after the record of that purchase or
acquisition was transmitted to the sheriff under subdivision 2, paragraph (b).
new text end

new text begin (b) A scrap metal dealer may not sell any scrap metal purchased or acquired until ten
business days after the record of that purchase or acquisition was delivered or mailed to
the sheriff under subdivision 2, paragraph (a).
new text end

Subd. 3.

Retention required.

Records required to be maintained by deleted text begin subdivision
1 hereof
deleted text end new text begin subdivisions 1 and 5 new text end shall be retained by the person making them for a period
of three years.

new text begin Subd. 4. new text end

new text begin Payment by check required. new text end

new text begin A scrap metal dealer shall pay for all scrap
metal purchases only by check. For purposes of this section, "check" means a check,
draft, or other negotiable or nonnegotiable order of withdrawal which is drawn against
funds held by a financial institution.
new text end

new text begin Subd. 5. new text end

new text begin Video security cameras required. new text end

new text begin (a) The scrap metal dealer shall install
and maintain at each licensed location video surveillance cameras or similar devices
positioned to record (1) a frontal view showing the face of each seller or prospective
seller of scrap metal who enters the licensed location; and (2) the seller's or prospective
seller's vehicle so that an accurate and complete description of it may be obtained from the
recordings made by the cameras. The video camera must be kept in operating condition.
The camera must record and display the accurate date and time. The video camera must
be turned on at all times when the licensed location is open for business and at any other
time when scrap metal is purchased.
new text end

new text begin (b) If the scrap metal dealer does not purchase some or any scrap metal at a specific
business location, the dealer need not comply with this subdivision with respect to those
purchases.
new text end

new text begin Subd. 6. new text end

new text begin Registration required. new text end

new text begin (a) Every scrap metal dealer doing business in
this state, whether or not the scrap metal dealer maintains a regular place of business in
this state, shall register with the commissioner of public safety as a scrap metal dealer on
a form prescribed by that commissioner.
new text end

new text begin (b) To be eligible for or to maintain a scrap metal dealer registration, a person must
operate lawfully and fairly within the purposes of this section and the applicable local
ordinance and:
new text end

new text begin (1) may not be a minor at the time that the application for a scrap metal dealer
registration is filed;
new text end

new text begin (2) may not have been convicted of any crime directly related to the occupation
licensed as prescribed by section 364.03, subdivision 2, unless the person has shown
competent evidence of sufficient rehabilitation and present fitness to perform the duties of
a registrant under this section as prescribed by section 364.03, subdivision 3; and
new text end

new text begin (3) must be of good moral character or repute.
new text end

new text begin (c) Any change, directly or beneficially, in the ownership of any registered scrap
metal dealer shall require the application for a new registration and the new owner must
satisfy all current eligibility requirements.
new text end

new text begin (d) The registration must include at least the scrap metal dealer's name, physical
location, contact information, and the types of scrap metal the dealer buys and sells.
new text end

new text begin (e) The registration is valid for three years and must be accompanied by a registration
fee of $....... The fee must be deposited in the special revenue fund.
new text end

new text begin Subd. 7. new text end

new text begin Criminal penalty. new text end

new text begin A scrap metal dealer, or the agent, employee, or
representative of the dealer, who buys or receives any scrap metal that the dealer knows or
reasonably should know is ordinarily used by or ordinarily belongs to a railroad or other
transportation, telephone, telegraph, gas, water or electric company, utility, or county, city,
or other political subdivision of this state engaged in furnishing public utility service;
without using due diligence to ascertain that the person selling or delivering the same has
a legal right to do so, is guilty of a gross misdemeanor.
new text end

new text begin Subd. 8. new text end

new text begin Local regulation. new text end

new text begin A local unit of government may license or otherwise
regulate the purchase and sale of scrap metal and may establish more stringent
requirements on scrap metal dealers than are established in this section.
new text end

new text begin Subd. 9. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the terms defined in this
subdivision have the meanings given.
new text end

new text begin (b) "Person" means an individual, partnership, limited partnership, limited liability
company, corporation, or other entity.
new text end

new text begin (c) "Scrap metal" means:
new text end

new text begin (1) wire and cable commonly and customarily used by communication and electric
utilities; and
new text end

new text begin (2) copper, aluminum, or any other metal purchased primarily for its reuse or
recycling value as raw metal, including metal that is combined with other materials
at the time of purchase.
new text end

new text begin (d) "Scrap metal dealer" or "dealer" means a person engaged in the business of
buying and selling scrap metal, but does not include a person engaged exclusively in
the business of buying or selling motor vehicles, new or used; paper or wood products;
rags or furniture; or secondhand machinery.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective August 1, 2007.
new text end

Sec. 3.

new text begin [609.593] DAMAGE OR THEFT TO ENERGY TRANSMISSION
EQUIPMENT.
new text end

new text begin Subdivision 1. new text end

new text begin Crime. new text end

new text begin Whoever intentionally and without consent from one
authorized to give consent causes any damage or takes, removes, severs, or breaks:
new text end

new text begin (1) any line erected or maintained for the purpose of transmitting electricity for
light, heat, or power, or any insulator or cross-arm, appurtenance or apparatus connected
therewith, any wire, cable, or current thereof; or
new text end

new text begin (2) any pipe or main or hazardous liquid pipeline erected, operated, or maintained for
the purpose of transporting, conveying, or distributing gas or other hazardous liquids for
light, heat, power, or any other purpose, or any part thereof, or any valve, meter, holder,
compressor, machinery, appurtenance, equipment, or apparatus connected with any such
main or pipeline; is guilty of a crime and may be sentenced as provided in subdivision 2.
new text end

new text begin Subd. 2. new text end

new text begin Penalty. new text end

new text begin Whoever violates subdivision 1 is guilty of a felony and may
be sentenced to imprisonment for not more than five years or to payment of a fine of
not more than $10,000, or both.
new text end

Sec. 4. new text begin APPROPRIATION.
new text end

new text begin $....... is appropriated from the special revenue fund to the commissioner of public
safety for fiscal years 2008 to 2009 for the purpose of section 2, subdivision 6.
new text end

Sec. 5. new text begin EFFECTIVE DATE; APPLICATION.
new text end

new text begin Section 3 is effective August 1, 2007 and applies to crimes committed on or after
that date.
new text end