5201739 Consumer and Regulatory Affairs, Department of - Notice of Final Rulemaking - Title 16, Chapters 9-10 (Secondhand Dealers and Junk Dealers)
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DEPARTMENT OF CONSUMER AND REGULATORY AFFAIRS
NOTICE OF FINAL RULEMAKING
The Director of the Department of Consumer and Regulatory Affairs (Director), pursuant to the authority set forth in An Act Making appropriations to provide for the expenses of the government of the District of Columbia for the fiscal year ending June thirtieth, nineteen hundred and three, and for other purposes, approved July 1, 1902 (32 Stat. 627; D.C. Official Code § 47-2837 (2012 Repl.)), and D.C Official Code §§ 47-2851.03a(h) and 47-2851.20 (2012 Repl.), hereby gives notice of the adoption of the following amendments to Chapters 9 (Pawnbrokers) and 10 (Secondhand Dealers and Junk Dealers) of Title 16 (Consumers, Commercial Practices, and Civil Infractions) of the District of Columbia Municipal Regulations (DCMR).
The rulemaking amends the pawnbroker and secondhand dealer business license rules to require that pawnbrokers, secondhand dealers, and junk dealers use an Internet-based recordkeeping system and provide notice to the Metropolitan Police Department on individuals selling multiple units of the same type of electronic and other consumer goods.
The changes simplify the recordkeeping requirements for licensees and to implement safeguard provisions to deter the resale of stolen electronic consumer items.
This Notice of Final Rulemaking adopts the proposed rulemaking published at 61 DCR 5766 on June 6, 2014. No comments were received. The Director adopted these rules as final on November 5, 2014, and they will become effective upon publication.
Title 16, CONSUMERS, COMMERCIAL PRACTICES, AND CIVIL INFRACTIONS, of the DCMR is amended as follows:
Chapter 9, PAWNBROKERS, is amended as follows:
Section 905, PAWN RECORD LEDGER, is amended to read as follows:
905 PAWN RECORD LEDGER
905.1 Each licensee shall use an Internet-based recordkeeping system approved by the Director to maintain a pawn record ledger and shall make a copy of the government-issued identification provided by the seller of each transaction.
905.2 Each transaction shall be entered in the approved Internet-based recordkeeping system at the time of the transaction and according to the data entry requirements of the online system.
905.3 [RESERVED]
905.4 Each entry in the approved Internet-based recordkeeping system shall contain the following information:
(a) The number of pawnticket;
(b) Date of each transaction;
(c) A description and digital photograph of the article pledged;
(d) The amount loaned;
(e) The name and address of the pledgor, as listed on a government-issued identification;
(f) A description of the pledgor, as required in D.C. Official Code § 47-2884.11 (2012 Repl.);
(g) The date redeemed;
(h) If unredeemed, the date and disposition at auction; and
(i) The amount collected by redemption or auction of each pledge.
Section 908, COOPERATION WITH POLICE INVESTIGATIONS, is amended by adding new Subsections 908.6 and 908.7 to read as follows:
908.6 Each licensee shall notify the Metropolitan Police Department’s Pawn Unit of any person who, within the previous two (2) months, has sold or is seeking to sell three (3) or more units of the following types of electronic consumer goods:
(a) Cameras, cell phones, computers, laptops, or any other type of portable electronic communications device; or
(b) Televisions or personal entertainment devices such as Playstation, Xbox, Wii, or similar products.
908.7 The Chief of Police may issue a notice to any licensee advising the licensee that specific individuals have been pawning, selling, or seeking to pawn or sell multiple units of electronic consumer goods to other pawnbrokers, secondhand dealers, or auctioneers either in the District or surrounding jurisdictions.
Section 911, DANGEROUS WEAPONS, is amended to read as follows:
911 FIREARMS
911.1 No licensee shall accept a firearm (as defined by D.C. Official Code § 22-4501(2A) (2012 Repl.)) as a pledge in a pawnbroker transaction.
911.2 [RESERVED]
911.3 [RESERVED]
A new Section 914 is added to read as follows:
914 TRANSACTIONS INVOLVING MINORS
914.1 No licensee shall purchase or receive any article of secondhand personal property from a minor unless the minor’s parent or legal guardian is physically present during the transaction, consents in writing to the transaction, and presents the identification required in this chapter.
Chapter 10, SECONDHAND DEALERS AND JUNK DEALERS, is amended as follows:
Section 1001, BOOKS AND RECORDS, is amended as follows:
Subsection 1001.1 is amended to read as follows:
1001.1 Each licensee shall use an Internet-based recordkeeping system approved by the Director to record an accurate account of each transaction in the course of the business (except as to the purchase of rags, bones, old iron, and paper by junk dealers) and shall make a copy of the government-issued identification provided by the seller of each transaction.
Subsection 1001.2 is amended to read as follows:
1001.2 Each transaction shall be entered in the approved Internet-based recordkeeping system at the time of the transaction and according to the data entry requirements of the online system.
Subsection 1001.4 is amended to read as follows:
1001.4 The account of each transaction shall set forth the following:
(a) An accurate and complete description of the goods, article, or thing purchased or received on account of money paid for it, giving all numbers, marks, monograms, trademarks, and manufacturer’s names, an any other marks of identification appearing on the item at the time of receiving the item and a digital photograph of the item.
(b) The name, residence, race, sex, and date of birth of the person selling or delivering the item, as listed on a government-issued identification;
(c) The terms and conditions of the purchase, or receipt of the item;
(d) The place and date of the transaction;
(e) [RESERVED]; and
(f) All other facts and circumstances respecting the purchase or receipt.
Subsection 1001.6 is amended to read as follows:
1001.6 The dealer shall legibly write in English on the tag, the date of purchase or receipt of the article and a number corresponding with the property entered into the approved Internet-based recordkeeping system.
Section 1002, DEALERS RECEIVING JEWELRY OR PRECIOUS METALS, is amended as follows:
Subsection 1002.1 is amended to read as follows:
1002.1 In addition to the requirements of § 1001, a dealer purchasing or otherwise acquiring any article of jewelry or other article composed of or manufactured in whole or in significant part of a precious metal, including gold, silver, or platinum or derivatives or alloys or gold, silver, or platinum shall do the following:
(a) Require and inspect two (2) types of identification from the seller or person delivering the property, one (1) of which must be a government-issued identification that displays a photograph of the person;
(b) Record in the dealer’s account of the transaction all pertinent information, including the person’s date of birth, license number, social security number, height, weight, hair color, and eye color, to the extent contained in the identification provided by the seller or person delivering the property; and
(c) Pay for the articles only by check, the number and account of which are to be recorded in the dealer’s book.
Subsection 1002.3 is amended to read as follows:
1002.3 Except as provided in § 1002.4, no dealer shall sell, dispose of in any manner, melt, vulcanize, or otherwise change or destroy the identity of any article of secondhand personal property purchased or taken in the course of this business until after the expiration of thirty (30) calendar days from the time at which report has been made to the Chief of Police of the purchase or receipt of the property.
Section 1003, OTHER RESTRICTIONS AND REQUIREMENTS, is amended as follows:
Subsection 1003.5 is amended to read as follows:
1003.5 A Class C secondhand dealer operating to any extent on a consignment basis, must submit an annual report to the Director which verifies the consignment purchase conditions.
Subsection 1003.6 is amended to read as follows:
1003.6 A Class C secondhand dealer which is a charitable, nonprofit organization, as defined in § 501(c)(3) of the Internal Revenue Code of 1954, shall submit an annual report to the Director which verifies that status.
Subsection 1003.7 is amended to read as follows:
1003.7 Each licensee shall secure the name and address of the person purchasing or otherwise acquiring any of the following items:
(a) [RESERVED];
(b) Cameras, cell phones, computers, laptops, or any other type of portable electronic communications device;
(c) [RESERVED];
(d) Furs;
(e) Household appliances;
(f) Jewelry, or other items composed of or manufactured in whole or in significant part of a precious metal, as defined in § 1002.1;
(g) Musical instruments;
(h) Office machines and equipment;
(i) Televisions or personal entertainment devices such as Playstation, Xbox, Wii, or similar products;
(j) Watches; and
(k) Any item other than those listed in this subsection, having a retail sales value of one hundred dollars ($100) or more.
Section 1004, REPORTS TO POLICE, is amended as follows:
Subsection 1004.1 is amended to read as follows:
1004.1 Each junk dealer, Class A, and Class B dealer in secondhand personal property shall, at the time of each transaction, enter into the approved Internet-based recordkeeping system the information required under §§ 1001, 1002, and 1003
Section 1005, COOPERATION WITH POLICE INVESTIGATIONS, is amended by adding new Subsections 1005.3 and 1005.4 to read as follows:
1005.3 Each licensee shall notify the Metropolitan Police Department’s Pawn Unit of any person who, within the previous two (2) months, has sold or is seeking to see three (3) or more units of the following types of electronic consumer goods:
(a) Cameras, cell phones, computers, laptops, or any other type of portable electronic communications device; or
(b) Televisions or personal entertainment devices such as PlayStation, Xbox, Wii, or similar products.
1005.4 The Chief of Police may issue a notice to any licensee advising the licensee that specific individuals have been pawning, selling, or seeking to pawn or sell multiple units of electronic consumer goods to other pawnbrokers, secondhand dealers, or auctioneers either in the District or surrounding jurisdictions.
Section 1008, CLASS B DEALER REQUIREMENTS AND RESTRICTIONS, is amended as follows:
Subsection 1008.2 is amended to read as follows:
1008.2 Each Class B secondhand dealer shall use an Internet-based recordkeeping system approved by the Director to record each transaction involving used personal property setting forth the following:
(a) An accurate and complete description of the goods, article, or thing received in trade or in part payment for other merchandise and a digital photograph of each item;
(b) The date of receipt;
(c) The name and address of the person from whom acquired, as listed on a government-issued identification; and
(d) The name and address of the person, corporation, or firm which ultimately purchases of receives the property from the dealer.
Subsection 1008.3 is amended to read as follows:
1008.3 Whenever any secondhand personal property so acquired is to be sold at retail, is to be sent out of the District of Columbia, or is to be retained by the licensee for the licensee’s own use, the licensee shall, not less than thirty (30) days prior to selling the property, removing it from the District of Columbia, or using the property for personal purposes, deliver to the Chief of Police, on blank forms prescribed by the Mayors, a legible and correct transcript from the record required under this section relating to the property to be sold at retail, removed from the District of Columbia, or retained for use by the licensee.
Subsection 1008.4 is amended to read as follows:
1008.4 All used personal property covered by this section shall be kept separate and distinct from other merchandise, and its character or identify shall not be changed or destroyed until after the expiration of thirty (30) days from the time the required report has been made to the Chief of Police.
