First Published in The Wichita Eagle on DELINEATED 02/10/10 ORDINANCE NO.

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First Published in The Wichita Eagle on DELINEATED 02/10/10 ORDINANCE NO. AN ORDINANCE AMENDING SECTIONS 3.90.010, 3.90.020. 3.90.030, 3.90.050, 3.90.090, 3.90.100, 3.90.110, 3.90.130, 3.90.140, AND 3.90.150 AND CREATING SECTIONS 3.90.005, 3.90.095, 3.90.115, 3.90.118, 3.90.135, 3.90.141, 3.90.142, 3.90.144, 3.90.151, 3.90.153, 3.90.154, 3.90.156 AND 3.90.160 OF THE CODE OF THE CITY OF WICHITA, KANSAS, PERTAINING TO SCRAP METAL DEALERS AND REPEALING THE ORIGINALS OF SECTIONS 3.90.010, 3.90.020. 3.90.030, 3.90.050, 3.90.090, 3.90.100, 3.90.110, 3.90.120, 3.90.130, 3.90.140 AND 3.90.150. KANSAS: BE IT ORDAINED BY THE GOVERNING BODY OF THE CITY OF WICHITA, SECTION 1. Section 3.90.005 of the Code of the City of Wichita, Kansas, is hereby created to read as follows: Enforcement of Provisions of Chapter. The Wichita Police Department and the Office of Central Inspection of the City of Wichita and the authorized representatives of such departments shall be responsible for the enforcement of the provisions of this chapter. SECTION 2. Section 3.90.010 of the Code of the City of Wichita, Kansas, is hereby amended to read as follows: Definitions. As used in this chapter, the following terms below shall have the following meanings indicated in this section:

(a) Automotive Catalytic Converter means a device used in automotive exhaust systems to convert carbon monoxide into carbon dioxide and other compounds. (b) Bales of regulated metal means regulated or specially regulated scrap metal processed with professional recycling equipment by compression, shearing, shredding or any other process, to a form which may be sold by a scrap metal dealer consistent with industry standards. (b) (c) Chief means the Chief of Police of the City of Wichita or his or her designee. (d) Cutting By-Products means borings, turnings, shavings, filings or other particulate matter produced by the cutting or machining of non-ferrous metal either in loose or compacted form. (e) Ferrous metal means a metal that contains iron or steel. (g) (f) Licensee means any person to whom a current license has been issued under this chapter, authorizing such person to conduct the business of a scrap metal dealer within the city limits. (a) (g) The term scrap processor metal dealer means any person, firm, company, partnership, association, or corporation engaged in the operation of a scrap processing facility, either wholesale or retail, who purchases for resale rope, scrap iron, brass, lead, copper or aluminum wire or tubing and other scrap metals, salvage tires, or junk of any description that operates a business that is: - 2 -

(1) Engaged in the business of buying, selling, trading, receiving or dealing in vehicle parts, regulated or specially regulated scrap metal; or (2) operating, carrying on, conducting or maintaining a scrap metal yard where vehicle parts, regulated or specially regulated scrap metal are gathered together and stored or kept for shipment, sale or transfer. However, This term does not include grocers or other persons primarily engaged in the business of the retail sale of food who purchase recyclable food and beverage containers for resale. (h) Minor shall mean an individual who is under eighteen years of age. (i) Non-ferrous means a metal that does not contain significant quantities of iron or steel, including but not limited to: copper, brass, lead, zinc, nickel and their alloys. (j) Person means any individual, owner, operator, corporation, partnership or association. (k) Property means vehicle parts, catalytic converters, regulated and specially regulated scrap metal. (l) Refrigeration Condensing Unit means any combination of copper tubing with or without attached aluminum cooling fins, that is used for the condensing of refrigerant gas in association with cooling devices, air conditioners or chillers. - 3 -

(m) Regulated scrap metal means any form of metal or metal byproducts which is not specially regulated scrap metal; including but not limited to: vehicle parts, wire, cable, bars, ingots, wire scraps, pieces, pellets, clamps, aircraft parts, pipes or connectors, any item composed in whole or in part of any nonferrous metal, other than an item composed of tin, that is purchased or otherwise acquired for the purpose of recycling or storage for later recycling. (n) Specially Regulated Scrap Metals means tungsten, in any form, tungsten alloy tooling, water or irrigation valves, plaques, statuary, bells with a diameter of eight (8) inches or more, works of art made of copper, brass, bronze, aluminum or stainless steel, cemetery ornaments including vases or markers made of any type of metal, historical markers made of any type of metal, automotive catalytic converters, kegs capable of holding more than ten gallons of liquid and non-ferrous cutting by-products. (o) Tin means a metal consisting predominantly of light sheet metal ferrous scrap, including large and small household appliances, construction siding and construction roofing. (p) Vehicle part means an object which was, or appears to have been, previously attached to a motor vehicle, but which, at the time of sale, is not attached to the motor vehicle and is being sold for the value of the metal contained in the part. - 4 -

SECTION 3. Section 3.90.020 of the Code of the City of Wichita, Kansas, is hereby amended to read as follows: "License required, fee. (a) No person, whether as principal officer, agent, or employee, shall conduct, pursue, carry on, or operate in the city, any business or occupation commonly known as a scrap processor metal dealer, without having first obtained a license. A separate scrap metal dealer s license shall be required for each permanent location of any such business. No more than one licensed business shall be permitted per zoning lot. The application for such license will be made on forms provided by the city and shall be in writing and shall state the full name and place of residence of the applicant. If the applicant be is a partnership, the application shall give the full name, including all previous names and aliases and place of residence of each partner, and if the applicant be is a corporation, then the name and address of each stockholder possessing twenty or more percent of the stock of the corporation shall be stated thereon on the application. The application shall also contain the name of the business, the address of the place or places where the business is to be conducted, and the hours of the day operation and the days of the week during which the applicant proposes to engage in business. (b) Fees: Scrap processors metal dealers shall pay an annual license fee of two four hundred dollars. In addition the cchief of ppolice, with the approval of the license collector City Treasurer, may assess an application fee not to exceed forty sixty dollars to recover costs associated with background checks performed by the Wichita Police Department. - 5 -

SECTION 4. Section 3.90.030 of the Code of the City of Wichita, Kansas, is hereby amended to read as follows: Eligibility requirements. No scrap processor metal dealer license or renewal thereof shall be granted to: (a) (b) Any person who is not a citizen of the United States; Any person who within ten years immediately preceding the date of making application, has been convicted of or has pleaded guilty to any felony, under the Kansas Criminal Code or pursuant to the laws of any city, state or of the United States or shall have forfeited his bond to appear in court to answer charges for any such offense; or any person who within ten years immediately preceding the date of making application has been convicted of or has pleaded guilty to a misdemeanor crime of robbery, theft, forgery, burglary, securing execution of a document by fraud or deception, any crime involving truth or dishonesty or any other similar offense pursuant to the laws of any city, state or of the United States; (c) Any partnership unless all the partners shall be eligible to receive a license as an individual; (d) Any person who has had his license revoked for cause under the provisions of this chapter; (e) A corporation, if any manager, officer or director thereof, would be ineligible, as an individual, to receive a license hereunder for any reason. A corporation, if any stockholder owning in the aggregate more than twenty percent of the stock of such corporation, would be ineligible as an individual for any reason other than age, citizenship and residence requirements; - 6 -

(f) (g) Any person who is not at least twenty-one eighteen years of age; Any person who at the time of application for renewal of any license issued hereunder would not be eligible for such license upon a first application; (h) Any person who does not own the premises for which a license is sought, unless he has a written lease therefore for at least three-fourths of the period for which the license is to be issued; (i) Any person whose business location does not comply with the provisions of Title 28 of this code the Wichita-Sedgwick County Unified Zoning Code and any applicable requirements for the screening of such business. (j) Any person whose business location does not comply with the health and environmental codes of the City of Wichita, State of Kansas, or of the United States. SECTION 5. Section 3.90.050 of the Code of the City of Wichita, Kansas, is hereby amended to read as follows: Change of location. Whenever a licensee shall changes his place of business to another location within the City of Wichita, he/she shall, within seven days prior, excluding Saturdays, Sundays, and legal holidays, give written notice thereof to the license collector City Treasurer. who shall then The City Treasurer shall issue a duplicate license, provided the new location complies with the provisions of Title 28 of this Code the Wichita-Sedgwick County Unified Zoning Code,. Which The new license shall show, in addition to all of the information appearing on the old license, a record of the change of location and the date - 7 -

thereof,. which The new license shall be authority for authorize the operation of such business under such license at such location. SECTION 6. Section 3.90.090 of the Code of the City of Wichita, Kansas, is hereby amended to read as follows: Issuance of license--posting. The license collector City Treasurer shall issue a license to an applicant within thirty days after receipt of a verified application unless it is determined, after examination by the cchief of ppolice and Superintendent of Central Inspection or his designee a designated representative, that the person is not eligible for a license pursuant to the provisions of this chapter. The license issued pursuant to this section shall be posted in a conspicuous place at or near the entrance to the licensed premises so that it may be easily read at any time. SECTION 7. Section 3.90.095 of the Code of the City of Wichita, is hereby created to read as follows: Appeal from refusal to issue or renew. If the Chief of Police or Superintendent of Central Inspection or a designated representative refuses to issue or renew a license under this chapter, such action is final unless the applicant or licensee, within ten business days after the date of the refusal to issue or renew a license, files a written appeal with the City Council setting forth specific grounds for the appeal. While the appeal is pending before the City Council, in the case of a denial of a renewal of the license, the licensee shall be allowed to operate the business. The City Council shall, within thirty days, grant - 8 -

a hearing to consider the action and may sustain, reverse or modify the action appealed. SECTION 8. Section 3.90.100 of the Code of the City of Wichita is hereby amended to read as follows: Suspension or revocation of license Notice of hearing. (a) Any license issued under this chapter may be suspended or revoked by the City Council after due notice and hearing, if the licensee (1) has failed to pay the annual license fee, (2) violated any provision of this chapter, or (3) becomes ineligible for a license because of any of the provisions of Sections 3.90.040 or 3.90.050 this chapter,; or (4) said licensee has given a false statement as to a material fact submitted to the license collector City Treasurer during the application process. Said The hearing herein provided for by this section shall be held by the governing body of the city City Council, within thirty days after notice thereof of such hearing. No revocation or suspension or surrender of any license shall impair or affect the obligation of any preexisting lawful contract between the licensee and others. (b) Within thirty days after the order of the ccity ccouncil revoking or suspending any license, the licensee may appeal from such order to the Sedgwick County ddistrict ccourt of the county in the manner as provided by law;. provided that aany appeal taken from an order revoking any such license shall not suspend the order of revocation during the pendency of such the appeal. - 9 -

SECTION 9. Section 3.90.110 of the Code of the City of Wichita is hereby amended to read as follows: Acquisition of property by use of fictitious name or false information. (a) It is unlawful for any individual person to sell any article property under the provisions of this chapter to a licensee or the licensee s employees or agents and use any name other than his or her true name. (b) It is unlawful for any individual person to sell any article property to a licensee or the licensee s employees or agents by means of any written instrument with knowledge that the writing falsely states or represents some material matter. (c) It shall be unlawful for any person to sell property under the provisions of this chapter to a licensee or the licensee s employees or agents, if such person is not the legal owner of the property, and such person does not have the owner s permission to sell such property. (d) It shall be unlawful for any person to present false identification documents or identification documents of another individual, as required by Section 3.90.115, to any licensee or the employees or agents of such licensee. SECTION 10. Section 3.90.115 of the Code of the City of Wichita is hereby created to read as follows: Transaction Requirements. (a) It shall be unlawful for any person to sell property to a licensee or the employees or agents of the licensee unless such person presents to such licensee or the employees or agents of such - 10 -

licensee, at or before the time of sale, the information described below regarding such property: (1) The legal name, date of birth, sex, residence or place of business, if any, of the person from whom the property was purchased or received. (2) A copy of a valid photo driver s license, valid military identification, valid passport or other approved valid photo identification card of the seller, issued by the United States, state or local jurisdiction. A copy of identification from a country other than the United States may be used to meet this requirement provided that a legible right thumb print is also obtained from the seller. If the thumb is not printable, a fingerprint with a notation of the finger utilized for such print shall be noted on the fingerprint card. (3) The license plate number of the vehicle delivering the seller and/or the property to be purchased. (4) A statement as to the owner of the property, that the property is free from encumbrances and is not stolen; or that the seller is acting for the owner and has permission to sell the property. If the seller is not the owner, such statement shall include the name and address of the owner of the property. (b) It shall be unlawful for any licensee, his employees or agents of such licensee to purchase or receive property from a seller, without demanding and receiving from the seller the information required by this section. - 11 -

(c) It shall be unlawful for any licensee, his employees or agents of such licensee, to purchase or receive property from an individual who presents documents which a licensee or the employees or agents of such licensee, has actual knowledge are false or fraudulent or by reasonable diligence should know are false or fraudulent. (d) It shall be the duty of every licensee, his agents or employees to report immediately to the Wichita Police Department, any offer to sell property to the licensee, by an individual utilizing documentation which the licensee, the licensee s employee or agent has actual knowledge is false or fraudulent or by reasonable diligence should know is false or fraudulent together with the identity, when known, the description of the person or persons making such offer and the license number, color and style of any motor vehicle transporting the individual. Such licensee, his employee or agent shall also report any property acquired by the licensee, his agents or employees, which is subsequently determined or reasonably suspected was sold by an individual utilizing false or fraudulent documentation and the licensee, or employees or agents of such licensee, shall furnish such information to the Wichita Police Department or other law enforcement agency investigating the matter. SECTION 11. Section 3.90.118 of the Code of the City of Wichita is hereby created to read as follows: Truth in Advertising Requirements. Any person, firm or corporation required by this chapter to obtain a scrap metal dealer s license shall be subject to the following: - 12 -

(a) It shall be unlawful for any such person, firm or corporation to advertise as a scrap metal dealer unless, at the time such advertisement occurs, such person, firm or corporation has a valid scrap metal dealer s license issued under the provisions of this chapter. (b) Any advertisement by such person, firm or corporation as a scrap metal dealer which is placed or published in any publication or other print medium circulated, displayed or distributed within the city limits or which is broadcast by radio or television or any internet posting/publication, electronic billboard, or any electronic or telephonic transmission of information, or any other means to persons within the city limits shall include the full name of the licensed person, firm or corporation and the license number assigned by the City Treasurer to such person, firm or corporation. (c) As used in this section, the words advertised or advertisement shall include, but not be limited to, a business card, printed letterhead, any other printed or written material, or any internet posting/publication, electronic billboard, or any electronic or telephonic transmission of information, designed to inform persons of the services offered by the advertising person, firm or corporation and to solicit business from such persons, or any broadcast statement designed to inform persons of the services offered by the advertising person, firm or corporation and to solicit business from such persons. Such words are - 13 -

intended to include telephone directory display ads but not basic white and yellow page listings. SECTION 12 Section 3.90.130 of the Code of the City of Wichita is hereby amended to read as follows: Scrap Metal Dealer - Records to be kept Keeping Requirements. (a) Every scrap processor licensee, his employees or agents of the licensee shall keep at his the licensed place of business a register sequentially numbered transaction records in which he shall enter in writing a complete and accurate description of all property, except as set forth below, taken, purchased, or received by him the licensee, his employees or agents of the licensee in the conduct of his business. The information shall include: (1) the date, time and place of the purchase transaction,; and (2) the correct seller s legal name, date of birth, sex and place of residence, including city and state, giving street and number if within the city, of the person selling or leaving the property,; (3) together with a copy of a valid the driver's license number of such person if the same is available or if not available person, the valid military identification number, valid passport number, or other approved valid state photo identification number issued by the United States, state or local jurisdiction. A copy of identification from a country other than the United States may be used to meet this requirement, provided that a legible right thumb print is also obtained from the seller. If the thumb is not printable, - 14 -

a fingerprint with a notation of the finger utilized for such print shall be noted on the fingerprint card; (4) A complete and accurate description of the property purchased, made in accordance with the most recent edition of Scrap Specifications Circular of The Institute of Scrap Recycling Industries, Inc.; (5) The price paid for such property and the full name of the employee or agent handling the transaction; (6) The license number, color and style of any motor vehicle in which the property is delivered in a purchase transaction; (7) The serial number, if any, on any valves or pipe fittings; The register shall also set forth the amount paid for the property. The licensee shall make such entries within one hour after the purchase of such property, and entries shall be made in ink, and shall not in any manner be erased, obliterated or defaced. (8) The weight, quantity or volume of the property in accordance with the custom of the trade; (9) The amount of consideration given for the property; (10) The name of the individual acting on behalf of the licensee in making the purchase; (11) A signed statement with the complete name of the seller stating that (A) each item is the seller s own personal property, is free of encumbrances and is not stolen; or (B) that the seller is acting on behalf of - 15 -

the owner and has permission to sell each item. If the seller is not the owner, such statement shall include the name and address of the owner of the property; (12) A copy of any proof of purchase or statement of ownership received from the seller as required by this chapter. (b) Records required by this chapter, including those maintained electronically shall be maintained by the scrap processor licensee at the scrap processor's licensed place of business for not less than two years following the date of transaction. All sequentially numbered transaction records, even if voided, are required to be maintained by the licensee in sequential order. All records shall be made available for inspection by law enforcement officers upon request. (c) The licensee s register, including copies of identification cards, may be kept in electronic format. (c) (d) Exception, tthe following types of property and/or transactions are not subject to the reporting requirements of this section: 1. Recyclable food and beverage containers, excluding aluminum kegs, and other recyclable plastic, glass, or metal containers; 2. News print or newspapers, or other paper products for recycling purposes; 3. Transactions involving the purchase of photographic film, including lithographic and x-ray film for reprocessing; - 16 -

4. Transactions involving materials purchased directly from a regulated public utility; provided that payment for such materials is made by check or bank draft to such public utility; 5. Transactions involving an industrially generated scrap aluminum, iron, brass, lead, copper, and other metals when purchased directly from an industry; provided that payment for such property is made by check or bank draft to such company or corporation; 6. Transactions involving scrap iron; provided, however, the scrap processor shall obtain the name and address of the person selling or leaving such property; Transactions involving regulated scrap metal for which the total price paid for all property is $50.00 or less; 7. Transactions in which the seller is also a licensed scrap metal dealer or a business licensed pursuant to Chapter 3.48 of the Code of the City of Wichita. 7. Transaction s where scrap processors purchase fifty dollars or less in merchandise; provided, however, the scrap processor shall obtain the name and address of the person selling or leaving such property. (e) After January 1, 2011, it shall be the duty of every licensee to furnish to the Wichita Police Department a full, true and correct copy of the records of all transactions conducted on the preceding day. These transactions shall be recorded in such format as may be required by the Chief of Police or his designee. An electronic copy of all information contained in the register concerning all property received or purchased during the preceding calendar day, - 17 -

shall be transmitted to the Wichita Police Department. Such information must be transmitted to the Wichita Police Department no later than 5:00 p.m. the next business day. SECTION 13. Section 3.90.135 of the Code of the City of Wichita is hereby created to read as follows: Check Payments Required for Certain Transactions. Payment for the following purchases shall be made by a pre-numbered check drawn on the regular bank account for the licensee and made payable to the person selling such property. (1) All purchases from any person within a twenty-four hour period of property which exceed fifty dollars; (2) Purchases of specially regulated scrap metals; or (3) Purchases of copper in any form for any amount; Such check register shall be made available for inspection by law enforcement officers upon request and shall be maintained on the licensed premises. SECTION 14. Section 3.90.140 of the Code of the City of Wichita is hereby amended to read as follows: Items acquired to be held. When a police officer has reasonable cause to believe that any property received by a scrap processor is stolen the police officer may place a hold notice upon the property. All property upon which a hold notice has been placed must be held by the dealer at the local place of business for sixty calendar days unless released sooner by authority of the police - 18 -

chief or his designee. After sixty calendar days, unless other disposition is authorized by the police chief or his designee, the hold is automatically released and scrap processor may dispose of the property. Acceptance of property suspected stolen; police officer requested holds; violation. (a) It shall be the duty of every licensee, his agents or employees to report immediately to the Wichita Police Department, any offer to sell to the licensee, property that such licensee, employees or agents has actual knowledge is stolen or by reasonable diligence should know is stolen, together with the identity, the description of the person or persons making such offer, and the license number, color and style of any motor vehicle transporting the individual. Such licensee, employees or agents of the licensee shall also report any property acquired by the licensee, his agents or employees, subsequently determined or reasonably suspected to be stolen property, to the Wichita Police Department or other law enforcement agency investigating the matter. (b) Notwithstanding the provisions of Section 3.90.141, it shall be the duty of every licensee, his agents or employees, to hold all property which law enforcement officers reasonably believes is stolen, in a secure place for thirty (30) days, exclusive of weekends and holidays, upon request by a law enforcement officer. The licensee, his agents or employees, may not process or remove the property from the licensed premises before the thirtieth day after receipt of the request from a law enforcement officer to hold the property unless: (1) The item is released into a law enforcement officer s care, custody and control at an earlier time; - 19 -

(2) A law enforcement officer releases the hold on the property upon an earlier date; (3) A court order releases the property. (c) In addition to the criminal penalties set forth in Section 3.90.160, failure to comply with any provision of this section may be grounds for the revocation of or the refusal to issue or renew any license required of a scrap metal dealer under this Chapter. SECTION 15. Section 3.90.141 of the Code of the City of Wichita is hereby created to read as follows: exceptions. Specially Regulated Scrap Metal to be retained at least 72 hours; tag; (a) 72-hour hold. No licensee, his employees or agents shall sell, dismantle, deface or in any manner alter or dispose of any specially regulated metal purchased or otherwise received for seventy-two (72) hours after receipt. During such seventy-two (72) hour period, all property shall be stored or displayed at the licensed premises, in the exact form received, and in a manner so as to be identifiable from the description entered in the register. Such property shall not be kept in such a manner so as to prevent or impede its examination. (b) Tag. In addition to the requirements set forth in subsection (a) of this section, the licensee, his employees or agents shall affix or otherwise attach a tag or label to each item of specially regulated scrap metal maintained for a minimum of seventy-two (72) hours. Such tag shall include the date of receipt of the item, the name and address of the person from whom such item was received, - 20 -

and the corresponding individual transaction number from the register maintained under section 3.90.130 of this chapter. Failure to comply with any provision of this section shall be grounds for the revocation of or the refusal to issue or renew any license required under this chapter. Any person violating any provision of this section shall be punished as provided by section 3.90.160 of this Code. (c) The seventy-two (72) hour hold requirements of subsection (a) shall not apply to non-ferrous cutting by-products, tungston alloy or alloy tooling when purchased from a business or corporation generating such metals through the industrial process, or catalytic converters when purchased from a company or corporation engaged in the purchasing, selling, repair or salvage of automobiles. SECTION 16. Section 3.90.142 of the Code of the City of Wichita is hereby created to read as follows: Purchasing or receiving goods of minors. No licensee, employee or agent of such licensee shall purchase or otherwise receive any property from a minor. SECTION 17. Section 3.90.144 of the Code of the City of Wichita, is hereby created to read as follows: Government or Utility Property. (a) It shall be unlawful for any licensee, employees or agents of any licensee, to purchase any of the following items without obtaining proof that the seller is an employee, agent or person who is authorized to sell the item on behalf of the governmental entity, utility provider, railroad, cemetery, civil organization or scrap metal dealer: - 21 -

(1) Utility access covers; (2) street light poles or fixtures; (3) road or bridge guard rails; (4) highway or street signs; (5) water meter covers; (6) traffic directional or traffic control signs; (7) traffic light signals; (8) any metal marked with any form of the name or initials of a governmental entity; (9) property owned and marked by a telephone, cable, electric, water or other utility provider; (10) property owned and marked by a railroad; (11) funeral markers or vases; (12) historical markers; (13) bales of regulated metal; (14) beer kegs; (15) manhole covers; (16) fire hydrants or fire hydrant caps; (17) water valve caps; (c) It shall be the duty of every licensee, his agents or employees to report immediately to the Wichita Police Department, and the governmental unit or utility owning such property, any offer to sell to the licensee, his employees or agents, any property described in subsection (a) which the licensee, his employees - 22 -

or agents has actual knowledge is owned by such governmental agency or utility or by reasonable diligence should know is owned by such governmental agency or utility together with the identity, when known, the description of the person or persons making such offer, and the license number, color and style of any motor vehicle transporting the individual. The licensee, his employees or agents shall also report any property acquired by the licensee, his agents or employees, subsequently determined or reasonably suspected to be owned by such governmental entity or utility, and the licensee shall furnish such information to the Wichita Police Department or other law enforcement agency investigating the matter. (d) Failure to make reports as provided in this chapter may be grounds for revocation or refusal to issue or renew a scrap metal dealer s license. SECTION 18. Section 3.90.150 of the Code of the City of Wichita is hereby amended to read as follows: Inspection of books and premises. Every scrap processor and every person employed by them in the conduct of their business licensee, employees or agents of such licensee shall admit to any and every part of the licensed premises designated in the license, at any time, any law enforcement officer or other official designated by the chief of police of the city this chapter to enforce the provisions of this code, to examine any property, books, or other records on the premises, and to search for and to place a hold upon pursuant to the provisions of Section 3.90.140(b) any article property known or believed by such officer or official to have been stolen. If the information is maintained in electronic format, - 23 -

the licensee shall provide a printout of the information to law enforcement officers upon request. Upon request, law enforcement officers may access the computer files maintained by the licensee. SECTION 19. Section 3.90.151 of the Code of the City of Wichita is hereby created to read as follows: Acceptance of property inscribed with company or school name. (a) It shall be unlawful for any licensee, his agents or employees, to purchase or receive property that is marked with any form of the name or initials of a private company, school, university or other public or private entity or agency or that the licensee, his agents or employees, knows or should reasonably be expected to know belongs to a private company, school, university or other public or private entity or agency unless the person offering such property for sale presents, at the time of such offer, a written, signed statement from the seller attesting to lawful ownership of the property, a receipt from the lawful owner, or a written, signed statement from the lawful owner of the property providing that the seller has authorization to sell or otherwise transfer that property. (b) It shall be the duty of every licensee, his agents or employees to report immediately to the Wichita Police Department, and the company owning such property, of any offer to sell to the licensee, his agents or employees, any property described in subsection (a) which the licensee, his agents or employees has actual knowledge is owned by such company or by reasonable diligence should know is owned by such company together with the identity, when known, the description of the person or persons making such offer, and the license, color - 24 -

and style of any motor vehicle transporting the individual. Such licensee shall also report any property acquired by the licensee, his agents or employees, subsequently determined or reasonably suspected to be owned by such company, and the licensee shall furnish such information to the Wichita Police Department or other law enforcement agency investigating the matter. (c) Failure to make reports as provided in subsection (b) above may be grounds for revocation or refusal to issue or renew a scrap metal dealer s license. SECTION 20. Section 3.90.153 of the Code of the City of Wichita is hereby created to read as follows: Requirements for Purchase of Catalytic Converters. (a) In addition to the record keeping requirements set forth in Section 3.90.130, every licensee, his employees or agents, shall obtain, in writing, from the seller, the following information at the time of purchase of any catalytic converter: (1) The make, model, year, manufacturer and vehicle identification number from which the catalytic converter was removed. (2) A statement that the converter was from a vehicle which was lawfully owned by the seller. (b) It shall be unlawful for a licensee, his agents or employees to purchase a catalytic converter from any person who is not the owner of the vehicle from which the catalytic converter was removed. (c) It shall be unlawful for any person to sell a catalytic converter from any vehicle of which he was not the lawful owner. - 25 -

(d) The provisions of subsections (a), (b) and (c) shall not apply to the purchase of catalytic converters from any company or corporation engaged in the purchasing, selling, repairing or salvaging of automobiles or companies licensed by the City of Wichita pursuant to Chapter 3.48 of the Code of the City of Wichita. Payment for the purchase of such catalytic converters shall be made by a pre-numbered check drawn on the regular bank account for the licensee and made payable to the company or corporation. SECTION 21. Section 3.90.154 of the Code of the City of Wichita is hereby created to read as follows: Requirements for Purchase of Refrigeration Condensing Unit. (a) It shall be unlawful for any licensee, his agents or employees to purchase any refrigeration condensing unit or component thereof from any person, unless the unit has affixed to it a hang tag, in a form approved by the Chief of Police. Such tag must be signed by a technician licensed by the Environmental Protection Agency to remove refrigerant from such devices. The tag shall state that the technician has either removed the refrigerant in accordance with federal law or upon examination of the unit has found it to be devoid of any refrigerant. (b) It shall be unlawful for any person to sell a refrigeration condensing unit without the appropriate Wichita Police Deparment Hang Tag, properly certified by a technician licensed by the Environmental Protection Agency. - 26 -

(c) The provisions of subsections (a) and (b) shall not apply to the purchase of air conditioning condensing coils from any general, mechanical, plumbing or electrical contractor licensed by the Code of the City of Wichita. Payment for the purchase of such coils shall be made by a pre-numbered check drawn on the regular bank account for the licensee and made payable to the contractor s company or corporation. SECTION 22. Section 3.90.156 of the Code of the City of Wichita is hereby created to read as follows: Scale Requirements for Purchase of Regulated and Specially Regulated Scrap Metal. (a) All scales used for the weighing of regulated and specially regulated scrap metal must be certified by the Kansas Department of Agriculture or by a service company licensed by the Kansas Department of Agriculture, pursuant to K.S.A. 83-302 et. seq. (b) The weight of regulated or specially regulated scrap metal shall be plainly visible from any point within four feet of the weighing platform. (c) The person offering the property for sale shall have the right to be present at the time of the weighing of the property and shall have an unobstructed view of the scale at the time of the transaction. SECTION 23. Section 3.90.160 of the Code of the City of Wichita, Kansas, is created to read as follows: Penalties. (a) Any person who violates any of the provisions of this chapter, shall be deemed guilty of a misdemeanor and upon conviction thereof shall be punished by a fine of not more than two thousand five hundred - 27 -

dollars ($2,500.00) or imprisonment which shall not exceed six (6) months, or by both such fine and imprisonment. (1) Upon a second conviction, a fine of not less than five hundred dollars ($500.00) nor more than one thousand dollars ($1,000.00), and a minimum jail sentence of five (5) days imprisonment shall be ordered by the court; (2) Upon a third conviction, a fine of not less than one thousand dollars ($1,000.00), and a minimum jail sentence of ninety (90) days imprisonment shall be ordered by the court; (b) The imposition of the fines established in subparagraph (a) herein shall be mandatory and the court shall not waive, remit, suspend, parole or otherwise excuse the payment thereof except that the court may order that the defendant perform community service specified by the court but such an order shall be entered only after the court has required the defendant to file an affidavit of such defendant s financial condition as required by Section 1.04.210(e) and amendments thereto, and the court has found from the information contained in the affidavit that the defendant is unable to pay the fines imposed herein. (c) For the purposes of determining whether a conviction is a first or subsequent conviction: (1) conviction includes being convicted of any violation of this chapter, it is irrelevant whether an offense occurred before of after the conviction for a previous offense. - 28 -

(2) conviction includes being convicted of a violation of this chapter or entering into a diversion agreement in lieu of further criminal proceedings on a complaint alleging a violation of this section. (3) any convictions occurring during the three years prior to the date of the occurrence shall be taken into account when determining the sentence to be imposed. (d) In addition to the penalties described in this section the city may revoke or suspend the license of a scrap metal dealer for violation of the provisions of this chapter. SECTION 24. The originals of Sections 3.90.010, 3.90.020, 3.90.030, 3.90.050, 3.90.090, 3.90.100, 3.90.110, 3.90.120, 3.90.130, 3.90.140 and 3.90.150 of the Code of the City of Wichita, Kansas, are hereby repealed. SECTION 25. This ordinance shall be included in the Code of the City of Wichita, Kansas, and shall be effective upon its passage and publication once in the official city paper. PASSED by the governing body of the City of Wichita, Kansas, this day of, 2010. ATTEST: Carl Brewer, Mayor Karen Sublett, City Clerk Approved as to Form: Gary E. Rebenstorf Director of Law - 29 -