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Every state with scrap metal regulation maintains a list of items dealers are prohibited from purchasing — regardless of seller explanation, documentation provided, or price offered. Buying a prohibited item exposes the dealer to criminal liability even if the item was legitimately obtained by the seller. "I didn't know" is not a defense in most states.

Critical rule: If an item appears on your state's prohibited list, do not purchase it. Period. If a seller becomes angry or insistent, document the refusal in your transaction log (date, time, description of item, reason refused) and decline the sale. Your log entry is your protection.

Universal Prohibited Items (Nearly All States)

The following items are prohibited from purchase in the vast majority of states with scrap metal dealer regulation. Consider these a universal baseline:

ItemWhy ProhibitedWhat to Watch For
Manhole covers and sewer gratesPublic infrastructure theft; public safety hazardRound cast iron covers, rectangular grates, utility access covers of any kind
Storm drain grates and catch basin framesPublic infrastructure; flooding risk when stolenIron grates typically weighing 50–150 lbs
Water meter covers and lidsPublic utility infrastructureSmall round or rectangular iron covers marked with water utility symbols
Utility transmission wire (on spool or connected)Electrical infrastructure theft; extreme theft riskWire still coiled on utility spools; wire clearly cut from active infrastructure
Guard rails and highway barrier cableTraffic safety; public propertyCorrugated steel rail sections; thick galvanized cable with highway hardware
Traffic signs and regulatory signsPublic safety; property of state/local governmentAny metal sign with retroreflective sheeting; stop signs, speed limit signs, etc.
Railroad materials (track, spikes, plates)Federal law (Railroad Safety Act); extreme theft riskSteel rail sections; track hardware; signal wire; crossing equipment
Cemetery materialsDisturbing graves or burial property; state statutesBronze vases, plaques, memorial markers, flower holders
Beer kegs with brewer markingsProperty of brewery; commercial lease violationAny keg with a brewery name, logo, or trademark stamp
Fire hydrants (any component)Public safety infrastructureBrass caps, stems, bonnets, or complete hydrant bodies
Propane tanks (intact)Safety hazard; may still contain gasNever accept intact cylinders of any size for scrap

State-Specific Additional Prohibitions

Texas

In addition to the universal list, Texas specifically prohibits purchasing: copper, aluminum, or bronze wire cut from active or inactive public utility service, rebar from active construction sites (must have a written contract with the general contractor), and bronze from historically designated properties or cemeteries. Texas also prohibits purchasing any material where a "reasonable person would know" the material was stolen — a subjective standard with significant enforcement teeth.

California

California has one of the most expansive prohibited item lists. The Business and Professions Code specifically prohibits purchasing: copper bus bars, plates, and wire from electrical substations; any material bearing a utility company's name or logo; agricultural equipment components (irrigation pipe, pump components) unless the seller can prove ownership of an agricultural operation; and catalytic converters without the full documentation package described in the California catalytic converter requirements.

Georgia

Georgia's prohibited list includes all universal items plus: copper from HVAC units (without documentation from a licensed HVAC contractor), bronze from government buildings or historic properties, and any item bearing the name or logo of a Georgia municipality, utility, or school system.

Florida

Florida prohibits all universal items plus: copper from air conditioning units unless the seller provides written documentation from a licensed contractor, any material that appears to have been removed from an active construction site without a written demolition or salvage contract, and aluminum wiring in any quantity unless from a licensed electrical contractor with documentation of the source.

Ohio

Ohio specifically prohibits the purchase of copper wire that still has pull string inside the conduit (indicating it was pulled directly from an electrical installation rather than recycled from manufactured products), and aluminum electrical wire from residential applications without proof of demolition or renovation permits.

How to Handle a Seller Offering Prohibited Items

  1. 1
    Decline the purchase clearly and immediately — "I can't buy that" is sufficient. You don't need to explain the law in detail or argue.
  2. 2
    Document the refusal in your transaction log — Note the date, time, brief description of the item offered, and that you declined to purchase. This creates a record if the item is later linked to a theft.
  3. 3
    If the seller is suspicious, contact law enforcement — If you believe the seller is actively attempting to sell stolen infrastructure metal, you may call non-emergency police. Many state laws specifically protect dealers who report suspected stolen materials from civil liability.
  4. 4
    Do not attempt to confiscate the item — You have no legal authority to take property from a seller. Simply decline and document.

FAQ

In most states, no — manhole covers are on the per se prohibited list, meaning no documentation makes the purchase legal for a scrap dealer. A small number of states allow purchase from licensed utilities or municipal demolition contractors with written documentation and advance notice to law enforcement. In practice, if any reasonable doubt exists, do not purchase. The potential criminal liability is not worth the scrap value.
Whole HVAC units are a significant problem area. An intact, functional AC unit being sold for scrap is suspicious — most legitimate scrap sources are worn-out or damaged units from replacements. Several states (California, Florida, Georgia) specifically require documentation from a licensed HVAC contractor for copper from AC systems. The best practice nationally: require written documentation (invoice from contractor, demolition permit, or property owner authorization) for any HVAC components. Without documentation, decline the purchase.
Licensed contractors (plumbers, electricians, HVAC technicians) typically have a legitimate source for scrap copper — material removed during renovation or replacement jobs. Most states allow purchases from licensed contractors with reduced documentation requirements. However, you should still record the contractor's license number, the address of the job where the material originated, and any documentation they provide. Some states require dealers to verify the contractor's license status before the sale.

Prohibited item lists are set by state statute and may vary from those listed here. Verify current requirements with your state's licensing agency before making compliance decisions. This is not legal advice.

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