text: SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
  
      (a) Short Title.--This Act may be cited as the ``Secondary Metal 
  Theft Prevention Act of 2009''.
      (b) Table of Contents.--The table of contents for this Act is as 
  follows:
  
  Sec. 1. Short title; table of contents.
  Sec. 2. Findings.
  Sec. 3. Sense of the Congress.
  Sec. 4. Purposes.
  Sec. 5. Purchase transaction requirements.
  Sec. 6. Protection of personal information.
  Sec. 7. Enforcement by Federal Trade Commission.
  Sec. 8. Enforcement by State Attorneys General.
  Sec. 9. Civil penalty.
  Sec. 10. State and local law not preempted.
  Sec. 11. Definitions.
  Sec. 12. Effective date.
  
  SEC. 2. FINDINGS.
  
      The Congress finds the following:
              (1) Since 2006, metal theft has been on the rise, largely 
          due to a surge in the global demand for scrap metal and a 
          historic increase in the price of metal commodities.
              (2) Theft of metal components is jeopardizing the integrity 
          of critical infrastructure in the United States through theft 
          of metal in transportation, electrical, and telecommunications 
          networks.
              (3) Theft of manhole covers, storm water grates, highway 
          guard rails, railroad tracks, automobile components, and street 
          lamps pose a significant public safety risk.
              (4) Many State laws call on secondary metal recyclers to 
          help deter this crime and assist law enforcement by documenting 
          transactions and collecting information in order to identify 
          the sellers of scrap metal and the material they are selling. 
          These laws have been a significant deterrent to the problem of 
          metal theft.
              (5) Although many States have enacted metal theft laws, 
          metal theft is a nationwide crime that crosses state lines.
              (6) An overarching Federal law is necessary to deter metal 
          theft across the country.
              (7) Combating the problem of metal theft will require 
          improved communications between metal businesses and law 
          enforcement agencies.
              (8) The secondary metal recycling industry should be 
          commended for educating the public and law enforcement to the 
          problems related to metal theft, issuing ``Do Not Buy'' lists, 
          partnering with the National Crime Prevention Council, and 
          creating a Theft Alert System.
  
  SEC. 3. SENSE OF THE CONGRESS.
  
      It is the sense of the Congress that Federal, State, and local 
  government agencies should work with representatives of the secondary 
  metal recycling industry to develop and improve effective 
  countermeasures to combat the theft and sale of stolen secondary metal.
  
  SEC. 4. PURPOSES.
  
      The purposes of this Act are--
              (1) to protect consumers, businesses, critical 
          infrastructure, and State and local governments from the 
          problem of secondary metal theft;
              (2) to regulate interstate commerce by limiting trafficking 
          in stolen secondary metal sold for the purpose of recycling or 
          reuse;
              (3) to permit legitimate secondary metal transactions to 
          continue to take place; and
              (4) to establish a system to document secondary metal 
          transactions between sellers and buyers while addressing the 
          growing problem of secondary metal theft.
  
  SEC. 5. PURCHASE TRANSACTION REQUIREMENTS.
  
      (a) Do-not-buy List.--Unless the seller establishes by written 
  documentation that the seller is the owner, or an employee, agent, or 
  other person authorized to sell on behalf of the owner, it is unlawful 
  for a secondary metal recycling agent to purchase for recycling any 
  secondary metal that is--
              (1) marked with name, logo, or initials of a railroad, an 
          electric, gas, or water company, a telephone company, cable 
          company, or a public utility or that has been altered to 
          remove, conceal, or obliterate such a name, logo, or initials 
          through burning or cutting of wire sheathing or other means;
              (2) marked with the name of a city, county, or State 
          government entity;
              (3) a street light pole or fixture;
              (4) a road or bridge guard rail;
              (5) a highway or street sign;
              (6) a water meter cover;
              (7) a storm water grate;
              (8) unused or undamaged building construction or utility 
          material;
              (9) an historical marker;
              (10) a grave marker or cemetery urn or vase;
              (11) a utility access cover; or
              (12) a bulk container for beer with a capacity of 7.75 
          gallons or more.
      (b) Record Keeping.--
              (1) In general.--A secondary metal recycling agent shall 
          maintain a written or electronic record of each secondary metal 
          purchase. The record shall include--
                      (A) the agent's name and address;
                      (B) the date of the transaction;
                      (C) a description of the secondary metal purchased, 
                  including--
                              (i) a general physical description;
                              (ii) a product description, such as wire, 
                          tubing, extrusions, casting, or other kind of 
                          product; and
                              (iii) the weight, quantity, or volume 
                          purchased;
                      (D) the amount paid by the agent;
                      (E) the name and address of the person to which the 
                  payment was made;
                      (F) the name of the person delivering the secondary 
                  metal to the agent, including a distinctive number from 
                  a Federal or State government-issued photo 
                  identification card and a description of the type of 
                  the identification; and
                      (G) the license tag number, State-of-issue, make, 
                  and model, if available, of the vehicle used to deliver 
                  the secondary metal to the agent.
              (2) Repeat sellers.--A secondary metal recycling agent may 
          comply with the requirements of paragraph (1) with respect to 
          the second or a subsequent purchase of secondary metal from the 
          same person by--
                      (A) reference to the existing record relating to 
                  the seller; and
                      (B) recording any information for the transaction 
                  that is different from the existing record for that 
                  person.
              (3) Record retention period.--A secondary metal recycling 
          agent shall maintain any record required by this subsection for 
          not less than 2 years from the date of the transaction to which 
          the record relates.
      (c) Purchases in Excess of $75.--
              (1) In general.--A secondary metal recycling agent may not 
          pay cash for a single purchase of secondary metal in excess of 
          $75. For purposes of this paragraph, more than 1 purchase in 
          any 48-hour period from the same seller shall be considered to 
          be a single purchase.
              (2) Payment method.--
                      (A) Occasional sellers.--Except as provided in 
                  subparagraph (B), for any purchase of secondary metal 
                  in excess of $75 a secondary metal recycling agent 
                  shall make payment by check that--
                              (i) is payable to the seller; and
                              (ii) includes the name and address of the 
                          seller.
                      (B) Established commercial transactions.--A 
                  secondary metal recycling agent may make payments for 
                  purchases of secondary metal in excess of $75 from a 
                  governmental or commercial supplier of secondary metal 
                  with which the agent has an established commercial 
                  relationship by electronic funds transfer or other 
                  established commercial transaction payment method 
                  through a commercial bank if the agent maintains a 
                  written record of such payments that identifies the 
                  seller, the amount paid, and the date of the purchase.
      (d) Public Notice Requirement.--A secondary metal recycling agent 
  shall display, at its principal place of business and at any site at 
  which secondary metal is accepted by or for the agent, a printed notice 
  advising the public that the sale of stolen secondary metal is 
  prohibited under Federal and State laws.
  
  SEC. 6. PROTECTION OF PERSONAL INFORMATION.
  
      (a) In General.--A secondary metal recycling agent or the agent, 
  employee, or representative of a secondary metal recycling agent may 
  not disclose the identity of any person from which the agent purchases 
  secondary metal without the consent of the seller except in response to 
  a request from a law enforcement agency or judicial process.
      (b) Safeguards.--A secondary metal recycling agent shall implement 
  reasonable safeguards--
              (1) to protect the security of information required under 
          section 5(b)(1) maintained by that agent; and
              (2) to prevent unauthorized access to or disclosure of that 
          information.
      (c) Limits on Liability.--A secondary metal recycling agency shall 
  not be liable to any seller for a disclosure of information required 
  under section 5(b)(1) if the secondary metal recycling agent has met 
  the requirements of subsection (b) of this section.
  
  SEC. 7. ENFORCEMENT BY FEDERAL TRADE COMMISSION.
  
      (a) In General.--Violation of any provision of this Act shall be 
  treated as a violation of a rule under section 18 of the Federal Trade 
  Commission Act (15 U.S.C. 57a) regarding unfair or deceptive acts or 
  practices. The Federal Trade Commission shall enforce this Act in the 
  same manner, by the same means, and with the same jurisdiction, powers, 
  and duties as though all applicable terms and provisions of the Federal 
  Trade Commission Act (15 U.S.C. 41 et seq.) were incorporated into and 
  made a part of this Act.
      (b) Regulations.--
              (1) In general.--The Commission may promulgate such 
          regulations as it finds necessary or appropriate under this 
          Act.
              (2) Initial guidance.--Within 6 months after the date of 
          enactment of this Act, the Commission shall promulgate a final 
          rule--
                      (A) setting forth the minimum requirements for the 
                  documentation required by section 5(a);
                      (B) establishing criteria for record retention 
                  under section 5(b)(3);
                      (C) establishing requirements for treatment of a 
                  seller as a governmental or commercial supplier with an 
                  established commercial relationship under section 
                  5(c)(2)(B);
                      (D) establishing public notice requirements under 
                  section 5(d); and
                      (E) establishing criteria for safeguards under 
                  section 6(b).
  
  SEC. 8. ENFORCEMENT BY STATE ATTORNEYS GENERAL.
  
      (a) In General.--A State, as parens patriae, may bring a civil 
  action on behalf of its residents in an appropriate district court of 
  the United States to enforce the provisions of this Act whenever the 
  attorney general of the State has reason to believe that the interests 
  of the residents of the State have been or are being threatened or 
  adversely affected by the violation of this Act or a regulation under 
  this Act by a secondary metal recycling agent doing business in that 
  State.
      (b) Notice.--
              (1) Notice required.--At least 30 days before filing an 
          action under subsection (a), the attorney general of the State 
          involved shall provide to the Federal Trade Commission--
                      (A) written notice of the action; and
                      (B) a copy of the complaint for the action.
              (2) Authorization to proceed.--The State may bring the 
          action if it does not receive a request from the Federal Trade 
          Commission, within 30 days after the Commission receives the 
          notice, not to proceed with its action.
      (c) Federal Proceedings.--After receiving notice under subsection 
  (b), the Commission may--
              (1) request that the State not proceed with the action 
          pending the final disposition of a pending Federal proceeding 
          or action;
              (2) initiate an action in the appropriate United States 
          district court and move to consolidate all pending actions, 
          including State actions, in such court;
              (3) intervene in the action brought under subsection (a); 
          or
              (4) file petitions for appeal of a decision in such action.
      (c) Pending Federal Proceedings.--If the Federal Trade Commission 
  has instituted an enforcement action against a secondary metal 
  recycling agent for a violation of this Act or any regulation under 
  this Act, a State may not bring an action, during the pendency of the 
  Commission's enforcement action, under this section against that 
  secondary metal recycling agent for any violation alleged in the 
  Commission's enforcement action.
      (d) Construction.--For purposes of bringing any civil action under 
  subsection (a), nothing in this section regarding notification shall be 
  construed to prevent the attorney general of a State from exercising 
  the powers conferred on such attorney general by the laws of that State 
  to--
              (1) conduct investigations;
              (2) administer oaths or affirmations; or
              (3) compel the attendance of witnesses or the production of 
          documentary and other evidence.
      (e) Venue; Service of Process.--
              (1) Venue.--Any action brought under subsection (a) may be 
          brought in--
                      (A) the district court of the United States that 
                  meets applicable requirements relating to venue under 
                  section 1391 of title 28, United States Code; or
                      (B) another court of competent jurisdiction.
              (2) Service of process.--In an action brought under 
          subsection (a), process may be served in any district in which 
          the defendant--
                      (A) is an inhabitant; or
                      (B) may be found.
  
  SEC. 9. CIVIL PENALTY.
  
      The knowing violation of any provision of this Act is punishable by 
  a civil penalty of not to exceed $10,000.
  
  SEC. 10. STATE AND LOCAL LAW NOT PREEMPTED.
  
      Nothing in this Act preempts any State or local law regulating the 
  sale or purchase of secondary metal.
  
  SEC. 11. DEFINITIONS.
  
      In this Act:
              (1) Secondary metal.--The term ``secondary metal'' means--
                      (A) wire or cable commonly used by communications 
                  and electrical utilities; and
                      (B) copper, aluminum, or other metal (including any 
                  metal combined with other materials) that is valuable 
                  for recycling or reuse as raw metal.
              (2) Secondary metal recycling agent.--The term ``secondary 
          metal recycling agent'' means any person engaged in the 
          business of purchasing secondary metal for reuse or recycling, 
          without regard to whether that person is engaged in the 
          business of recycling or otherwise processing the purchased 
          secondary metal for reuse.
  
  SEC. 12. EFFECTIVE DATE.
  
      Except as required by section 7(b)(2), this Act shall take effect 6 
  months after the date of enactment.
target: Secondary Metal Theft Prevention Act of 2009 - Expresses the sense of Congress that government agencies should work with representatives of the secondary metal recycling industry to combat the theft and sale of stolen secondary metal. Defines "secondary metal" as: (1) wire or cable commonly used by communications and electrical utilities; and (2) copper, aluminum, or other metal (including when combined with other materials) that is valuable for recycling or reuse as raw metal.
  
  Makes it unlawful to sell certain secondary metal unless the seller documents ownership and maintains written or electronic records of each secondary metal purchase. Includes within the prohibition: (1) secondary metal that is marked with the name, logo, or initials of a railroad, a utility company, or a state or local government; (2) highway or street poles, fixtures, rails, or signs; (3) unused or undamaged building construction or utility material; (4) historical markers or grave markers; and (5) large bulk containers for beer. Prohibits cash purchases of secondary metal in excess of $75 or small multiple cash purchases within a 48-hour period. Requires purchasers of secondary metal in excess of $75 to pay by check.
  
  Empowers the Federal Trade Commission (FTC) and state attorneys general to enforce this Act. Imposes a civil penalty for violations.
  
  Declares that this Act does not preempt any state or local law regulating the sale or purchase of secondary metal.
feat_title: A bill to require secondary metal recycling agents to keep records of their transactions in order to deter individuals and enterprises engaged in the theft and interstate sale of stolen secondary metal, and for other purposes.