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Recycled Materials Association Sues Minnesota Over New Copper Recycling Law

December 3, 2024

The Washington-based Recycled Materials Association (ReMA) has filed a lawsuit against the Minnesota Department of Commerce over a law that is set to be enforced in 2025 regarding the sale of copper for recycling. Local Minnesota media reports indicate that ReMA has taken legal action against Grace Arnold, in her capacity as commissioner of the Minnesota Department of Commerce, challenging a law aimed at curbing theft of copper items, such as in-use wiring.

ReMA argues that the new law, as currently written, will violate the state’s constitution and negatively impact metal recycling companies and scrap generators who have committed no crimes. The law will require anyone selling copper to obtain a license, which ReMA characterizes as an overreach, granting Arnold broad authority with insufficient legislative guidance. According to the Minneapolis Star-Tribune, ReMA is concerned about the “unconstitutional separation of powers” that the bill allegedly represents.

Another concern raised by ReMA is that the law applies even to small quantities of copper. This means that almost all sellers of recycled metal—including those involved with end-of-life vehicles, appliances, computers, and smartphones—will require a license, as these items all contain copper. ReMA argues that this requirement will unnecessarily complicate and burden the recycling process for a wide range of stakeholders.

The legislation gained support following high-profile incidents of copper theft that led to significant disruptions, such as darkened streetlights and compromised public safety. Neil Byce, co-owner of New Ulm, Minnesota-based CW Metals and Nordic Metals, expressed frustration that the law was passed without any input from metals recyclers or auto shredding plant operators. “Lawmakers are well-intentioned, and they create laws to try and give law enforcement tools, but unfortunately there is a disconnect between lawmakers, law enforcement, and the community that’s responsible for collecting all of this stuff,” said Byce.

As metal theft has become a recurring issue, ReMA—formerly known as ISRI—has consistently urged lawmakers and regulators to consider the needs of all stakeholders in the recycling chain when drafting laws or regulations intended to prevent theft. ReMA is now seeking to have a court declare the law unconstitutional and require the Minnesota Department of Commerce to establish a revised, lower-cost licensing procedure for individuals and companies in the state.

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