Council General Government Committee

Summary

Meeting Overview

The General Government Committee met on March 6, 2012, at 11:00 am under the presiding of Ed Lane. The committee addressed three agenda items during the session, taking two votes and hearing two public comments.

The committee approved the Scrap Metal Ordinance, sponsored by CM Stinnett (6-31). Additionally, the committee deferred action on items currently in committee for further consideration at a later date. The meeting also included a public comment period where two members of the public provided input on matters before the committee.

Attendance

The following individuals were present at the meeting on March 6, 2012:

• Ed Lane
• Jay McChord
• Linda Gorton
• Steve Kay
• Chris Ford
• Tom Blues
• Julian Beard
• K. C. Crosbie
• George Myers
• Doug Martin

No absences or late arrivals were recorded.

Votes and Decisions

Ordinance 0130-26 – Scrap Metal Ordinance (Committee Recommendation)

1:31:04

A motion was made by Steve Kay and seconded by Jay McChord to recommend that the full council pass the Scrap Metal Ordinance with an amendment. The amendment reduces the number of transactions requiring a seller's license from three to two per year. The motion passed by voice vote with no abstentions.

Ordinance 0130-26 – Scrap Metal Ordinance (Full Vote)

1:33:51

The amended Scrap Metal Ordinance was voted on, which establishes that two or more transactions per year trigger the requirement for a seller's license. The ordinance passed by voice vote with no abstentions.

Public Comment

Two representatives from the recycling industry provided comments on proposed scrap metal regulations.

Bob Babbage 1:04:45, representing the Kentucky Recyclers Association and River Metals, expressed support for House Bill 390 and the collaborative effort behind the state legislation. Babbage urged the committee to allow sufficient time for the state law to be finalized before implementing stricter local ordinances. He emphasized the importance of maintaining consistency across jurisdictions and offered to provide feedback on the proposed local ordinance.

Justin Irvin 1:22:23, general manager of Wise Recycling, raised concerns about the potential consequences of overly strict local regulations. Irvin warned that such rules could incentivize scrap metal transactions to move across county lines to areas with weaker regulations, thereby undermining enforcement efforts. He advocated for the committee to focus enforcement resources on prosecuting actual thieves rather than imposing additional regulatory burdens on recyclers who are already operating in compliance with existing rules.

Contested Items

Seller's License Threshold Requirement

A significant disagreement emerged regarding the threshold for when sellers must obtain a license. The original proposal required a seller's license for individuals conducting three or more transactions per year. Council Member Myers challenged this threshold as insufficiently stringent, arguing it was too lenient and would not adequately address theft concerns.

Myers proposed an amendment to lower the threshold from three transactions to two transactions per year, making it easier to trigger the licensing requirement. This amendment reflected a stricter approach to regulating sellers and was intended to improve enforcement effectiveness.

The amendment passed by voice vote, indicating that a majority of the council supported the more restrictive threshold. However, the split vote nature of this item demonstrates that council members held differing views on the appropriate balance between two competing concerns: minimizing the regulatory burden on occasional sellers versus maximizing the effectiveness of licensing requirements in curbing theft-related activities.

Scrap Metal Ordinance – CM Stinnett (6-31)

The committee reviewed Ordinance 0130-26, which establishes comprehensive licensing and reporting requirements for scrap metal dealers and sellers 3:30.

Key Provisions

The ordinance includes the following requirements:

• $500 annual licensing fee for scrap metal dealers
• $30 annual licensing fee for individual sellers
• Three-day hold on payments for non-ferrous metals
• Requirement to photograph vehicle identification numbers (VINs)
• Data retention and reporting mandates to improve law enforcement access to transaction records

Purpose

The ordinance aims to combat copper theft by creating a system that gives law enforcement better access to scrap metal transaction records, thereby helping to prevent and investigate theft-related crimes.

Speakers and Discussion

CM Stinnett presented the ordinance, with input from Assistant Chief Holman, Bob Babbage, and Justin Irvin. The specific details of their remarks are not available in the meeting record.

Outcome

The ordinance was approved by the committee.

Items in Committee

No discussion occurred on the items listed under "Items in Committee" during this meeting. The agenda item was deferred, with the relevant portion of the meeting occurring at approximately 1:34:22.

Public Comment

Two representatives from the scrap metal industry provided public comment on the proposed ordinance.

Speakers and Key Points

Bob Babbage and Justin Irvin addressed the council, offering feedback on the proposed ordinance and discussing alternative regulatory approaches. 1:04:45

Both representatives expressed support for state-level legislation (HB 390) as a more comprehensive solution to the issues under consideration.

Concerns Raised

The speakers urged caution against implementing local rules that are too stringent, warning that overly restrictive regulations could create a black market for scrap metal. They advocated for a balanced approach that would maintain the viability of the industry while addressing legitimate regulatory concerns.

Outcome

This agenda item was informational in nature, with no formal action taken. The public comment provided the council with industry perspective on the proposed ordinance and alternative legislative approaches.