The Michigan Credit Union League said it is supporting proposedlegislation that would crack down on scrap metal theft fromforeclosed properties.

HB 4593 was approved by a 98-9 vote of the Michigan State Houseof Representatives on Oct. 31 and now moves to the StateSenate.

“MCUL and Affiliates has lobbied the Legislature on this package(bill) because credit unions have reported considerable metal theftfrom foreclosed properties and even branch properties in certainareas,” MCUL reported in its weekly membership newsletter.

“Scrap metal is a major problem for credit unions because inaddition to any cost to repair the damage from the removal ofmetal, they also have to pay to replace the stolen metals to returnthe property to sellable condition, which is then still at risk forfuture theft,” the league said.

Current state law makes it difficult for police to pursue scrapmetal thieves because of insufficient record-keeping standards,according to an analysis of the proposed bill by the House FiscalAgency, a nonpartisan organization within Michigan's House ofRepresentatives. Moreover, because scrap metal theft occursthroughout the state, it is difficult for police to catchindividuals who are stealing the scrap metal, the analysissaid.

The House bill would address these problems by givingprosecutors the tools they need to convict scrap metal thieves byrequiring additional documents of scrap metal purchases, itsbackers said. The bill also would require purchasers to wait threedays to pay individuals who sell catalytic converters, copper wiresand air conditioners, the most frequently stolen items, according to the MCUL.