Title
Recommendation to Approve a Letter of Support for Assembly Bill 1182 (Santiago, Bonta, Cooley and Pan) Second Hand Dealer Bill. (Base Reuse 819099)
Body
To: Honorable Mayor and Members of the City Council
From: Elizabeth D. Warmerdam, Interim City Manager
Re: Recommendation to Approve a Letter of Support for Assembly Bill 1182 (Santiago, Bonta, Cooley and Pan) Second Hand Dealer Bill
BACKGROUND
In August 2012, AB391, the Second Hand Dealer and Pawnbrokers Electronic Reporting bill was signed into law. The law was created without input from the second hand dealers and recycling community and treated all second hand sales like pawnbrokers. The law is broad and created many reporting and storage obstacles for antique, second hand, and used goods dealers.
DISCUSSION
Alameda is home to many small antique dealers, second hand book stores, and consignment shops, as we are a community committed to the reuse of goods. Existing law now threatens the operation of these businesses by imposing additional requirements of these operators. In addition, the Alameda Antiques Faire, which has become a regional draw and signature event for Alameda, needs to ensure all of its vendors are in compliance with the broad requirements of the law.
The existing law requires every secondhand dealer to do all the following steps for any secondhand goods taken in, no matter the type or value of the item, or number of objects.
Secondhand dealer requirements:
• Be licensed by the local Chief of Police or Sheriff;
• Report on a daily basis, “all tangible personal property which he or she purchased, taken in trade, taken in pawn, accepted for sale on consignment, or accepted for auctioning”;
• Record the “name and current address of the intended seller or pledger of the property”;
• Record “identification of the intended seller or pledger”;
• Record “legible fingerprint taken from the intended seller or pledger”; and
• “Retain in his or her possession for a period of 30 days all tangible personal property reported . . .”
This existing law is very broad and violations of the provisions are subject to penalties ranging from $1,500 and/or two months in county jail to $25,000 and/or 6 months in county jail, which is severe for even the large dealers of second hand goods.
AB1182 allows the Legislature to refine existing law while still providing law enforcement with the tools needed to protect citizens. AB1182 clarifies that “tangible personal property” means all secondhand tangible personal property which bears a serial number or personalized initials or inscription or which is statistically found, through crime reports to the Attorney General, to constitute a significant class of stolen goods. In addition, it will exempt all property that has a value of less than $950 from required reporting to the electronic database.
City staff has discussed AB1182 with the Antiques Fair managers who strongly support the bill. This bill will exempt most of their goods sold due to the clarification on items valued $950 or less. This will significantly reduce their required reporting and the subsequent impacts on their business.
The bill passed unanimously through the California Assembly and is on its way to the Senate Business, Professions and Economic Development Committee.
FINANCIAL IMPACT
There is no financial impact.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
Not applicable.
ENVIRONMENTAL REVIEW
This action is exempt from the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15061(b)(3).
RECOMMENDATION
Approve Letter of Support for Assembly Bill 1182 (Santiago, Bonta, Cooley and Pan) Second Hand Dealer Bill.
Respectfully submitted,
Jennifer Ott, Chief Operating Officer for Alameda Point
By,
Nanette Mocanu, Assistant Community Development Director
Financial Impact section reviewed,
Elena Adair, Finance Director
Exhibit:
1. Letter of Support