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File Number: 24-108 Analysis In 2022, California Senate Bill 1087 was signed into law, which amended section 21610 of the Business and Professions Code, to impose stricter regulations on core recyclers, dismantlers, and other licensed businesses that may reasonably generate, possess, or sell catalytic converters. The law requires core recyclers to provide documentation signifying the catalytic converter being purchased by the core recycler was obtained by the seller in a legal manner. Business and Professions Code §21610 also outlines fines imposed on core recyclers who fail to provide this documentation. Assembly Bill 1740 also amended California Business and Professions §21610, to require people or businesses who buy catalytic converters to document the purchase by recording the year, make, model, and vehicle identification number of the car that the converter came from. Senate Bill 1087 and Assembly Bill 1740 only target core recyclers, dismantlers, and other licensed businesses. They do not require the seller of the catalytic converter to produce any of the documentation previously mentioned. Assembly Bill 641 amended California Vehicle Code §11500 making it an infraction to be in possession of at least nine catalytic converters that have been cut from a vehicle. The first two violations are fines only, $100 and $250 respectively. A third and subsequent violations will result in a misdemeanor. Under the proposed ordinance, “Lawful possession” includes: (1) being the lawful owner of the catalytic converter; or (2) in possession of the catalytic converter with the lawful owner's written consent. It is not required to prove the catalytic converter was stolen to establish the possession is not a “lawful possession.” A violation of this ordinance would be a misdemeanor and upon conviction may be punished by a fine not to exceed $1,000, or by imprisonment in the county jail not to exceed six months, or by both. Each and every catalytic converter unlawfully possessed is a separate violation of this section. Committee Review and Actions On October 26, 2023, the Department presented the draft ordinance to the City Council Rules Committee. Feedback received from the Committee included several options to consider for violations of this ordinance: 1)Fine only (no misdemeanor) 2)Misdemeanor and fine 3)Misdemeanor for possession of two or more The recommendation of the Department, as stated above, is for the unlawful possession of catalytic converters to be a misdemeanor punishable by a fine not to exceed $1,000 or imprisonment in the county jail not to exceed six months, or by both. Page 2 City of San Leandro Printed on 3/28/2024