Bill aims to better regulate metal-shredding industry in CA (ABC10 4/11/25) w/ video
Illegal Dumping@CalRecycle
Bill aims to better regulate metal-shredding industry in CA (ABC10 4/11/25): https://www.abc10.com/article/news/local/metal-shredding-bill-california/103-af7fad90-5a9f-4fb0-9a46-6f803e2dc15c
New signs around Sacramento urge support for Senate Bill 404. That’s proposed legislation that would update regulations around California’s metal-shredding industry.
New signs popping up around Sacramento urge support for Senate Bill 404. That’s proposed legislation that would update regulations around California’s metal-shredding industry.
Proponents say it would ultimately help with wildfire clean-up, by keeping metal-shredding facilities open in the state
After the Southern California wildfires from earlier this year - and so many other destructive fires in California - debris including burned out vehicles and homes needs to be removed from the area before rebuilding can begin.
Debris that contains metal can go to one of 10 metal-shredding shredding facilities throughout the state. They process end-of-life vehicles, appliances, and other forms of scrap metal; separate recyclable materials from non-recyclable materials and then sell the recyclable materials and dispose of the rest.
“They're taking scrap from housing, they're taking scrap from disasters - and it's a material, so it's not trash - they're turning it into usable product through their processes,” said Stuart Wildman, president of the Valley Industry and Commerce Association. “These are companies that are already highly regulated. But they're also companies that we want and we need in California. Otherwise, the raw material will just be taken and trucked to Arizona or Nevada. I don’t think that's something we want to do; that's actually worse for the environment than having them process the materials here and turn them into usable products like rebar.”
The Valley Industry and Commerce Association opposes SB 404 unless the bill is amended.
The proposed legislation would add more layers of regulation to the metal shredding industry, which proponents – including the California Metal Recyclers Coalition, which is paying for the signs throughout Sacramento – say is needed.
“Currently, both large and small shredders alike are operating in a state of uncertainty that puts their businesses at serious risk. SB 404 would rectify this situation by creating a clear and balanced regulatory program,” said Bob Hoffman, representing the California Metal Recyclers Coalition at a California Senate committee hearing last week. “The bill is essential for the future viability of the industry and the thousands of employees, businesses and communities that rely upon it, especially after catastrophes like floods and wildfires.”
The needed regulatory updates, he said, would allow metal-shredders to stay open, process debris – including from wildfires – and keep useful recycled materials in and benefitting California.
Opponents say the bill needs to distinguish between the metal shredding operations owned by big, national or even multi-national companies - and smaller, family-owned metal shredders.
Those include Pacific Auto Recycling Center in Lancaster, whose owner – Robert Hall – testified at the Senate committee hearing.
“For small shredders like ours, these burdens could force many of us to shut down, shrinking California’s recycling capacity and weakening the circular economy,” Hall said.
He and Waldman worry the legislation as it’s currently written constitutes a “one size fits all approach,” though Hoffman disputes that characterization.
“A lot of the small businesses don't do the same things that the large, multinational companies do,” Waldman said. “They're not touching the same toxins, they're not chemically treating any of the scrap metal.”
The bill’s author – Senator Anna Caballero (D-Merced) – says she hears those concerns and is continuing to work on the bill.
“It’s my goal to work with all the stakeholders to strike the right balance,” Caballero said at the committee hearing. “Small business is important, so I will continue to work with the remaining metal recyclers to ensure the unique needs of their business are being met.”
The bill passed through the Senate Environmental Quality Committee on April 2. Its next stop is the Senate Judiciary Committee in coming weeks.
According to the California Department of Toxic Substances Control, which provides regulation of the industry, the 10 metal-shredding facilities in California (owned by a total of eight companies) are:
- Radius Recycling (formerly Schnitzer Steel)
- Sims Metal Management - Redwood City
- SA Recycling LLC - Bakersfield
- SA Recycling LLC - Terminal Island
- SA Recycling LLC - Anaheim
- Ecology Auto Parts - Colton
- Universal Service Recycling Inc. - Stockton
- Pacific Auto Recycling Center (PARC) - Lancaster
- Kramar’s Iron and Metal, Inc. - Sun Valley
- Alco Iron & Metal Co. - Vallejo
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