Agenda item

To inform Members of the new legislative requirements of the Scrap Metal Dealers Act 2013, including necessary changes to Committee Terms of Reference and Scheme of Delegations and to endorse the fee setting process to full Council

Discussion:

The Licensing and Local Land Charges Manager informed the committee that a supplementary agenda had been circulated with revised recommendations, along with an additional appendix highlighting the changes to the council’s constitution in line with the powers of the Scrap Metal Dealers Act 2013.

The Senior Licensing and Enforcement Officer introduced the report on the Scrap Metal Dealers Act 2013, which was due to come into force on 1 October 2013. The new Act would give local authorities increased powers, including the power to refuse to grant a licence and powers to revoke licences if the dealer was considered unsuitable.

The Act introduced two types of licence either a site licence or a collector’s licence. A person could only hold one licence in a local authority’s area but could hold a licence in more than one local authority. 

Any dealers that had been registered before 1 October 2013 would be deemed to have a licence under the Act from 1 October 2013 and provided that the dealer submitted an application on or before 15 October their deemed licence would last until the council either issued a licence or gave notice of the decision to refuse the licence.  Any dealer who failed to submit an application on or before 15 October 2013 would see their deemed licence lapse on 16 October 2013. Any new scrap metal dealer would be able to apply for a licence but would have to wait until a licence was granted before being able to trade.

Members were advised that local authorities would complete suitability checks before granting a licence. The Local Government Association had recommended that decisions on whether to grant or refuse a licence to those previously registered was to be made by 1 December 2013.

The Senior Licensing and Enforcement Officer explained that fees would be set locally by each local authority, but that this should be on a cost recovery basis and not a profit making exercise.

The committee welcomed the report and the Senior Licensing and Enforcement responded to a number of questions. The committee were informed that no licences had yet been granted, as currently all scrap metal dealers only had to register themselves with the local authority. In total there were approximately 45 scrap metal dealers who were registered. 

The Senior Licensing and Enforcement Officer confirmed that the only agency who could object to the granting of a licence was the Police and it was being proposed that the dealer could appeal the decision via the Licensing Sub-Committee.

Members asked if it was possible for the new licence to identify the vehicle that itinerant dealers used but the committee was informed that it would be the dealers themselves who would be granted a licence and not the vehicle. However, all dealers were to be given an ID card and the Police had the power to stop and ask to see their ID.

Members were advised that there was currently no resource within the licensing team to visit all dealers. The Licensing and Local Land Charges Manager advised the committee that one of the reasons behind delegating authority to the Assistant Director, Legal and Corporate Services was to allow time to see how many applications the local authority received and how this cost could be absorbed within current resources. The Licensing and Local Land Charges Manager also explained to the committee that although full council determined the setting of charges and fees, by granting the Assistant Director, Legal and Corporate Services delegated authority to determine these particular fees it would enable any restructuring of fees to be dealt with quickly, rather than having to wait until the new financial year. By the 1 December 2013 the licensing team would have a better idea of how many applications had been received and would review resources at that point.

It was noted that the effect of the new legislation would be communicated to all scrap metal dealers, primarily by the British Metals Recycling Association. The Police had also visited a number of sites and advised dealers of the changes in legislation and asked that this be disseminated to itinerant dealers. In addition, the local authority was creating a webpage explaining the changes and updates to the legislation. 

In response to a Member’s question, the Senior Licensing and Enforcement Officer confirmed that there was no power to prevent dealers parking their vans on the street provided the vehicles were taxed and insured. However, any dealer who owned a site would need to have the site licensed in order to keep scrap metal on the land.

The Senior Licensing and Enforcement Officer noted the concern of members that some dealers might not take all reasonable steps to verify the names and addresses of anyone they received scrap metal from. However, any dealers who proved that they had taken all reasonable steps to ensure validity would not be prosecuted.

It was also stressed that information as to local authority boundaries would be included on the guidance issued with the Licence and on the Council’s website to assist dealers and collectors in knowing the boundary within which they were licensed.

Members asked if it was possible to issue a sticker, which could be placed on the vehicle windscreen when granting a licence, similar to a sticker when a restaurant passes its health and safety check. The Licensing and Local Land Charges Manager confirmed that she would review the legislation to assess whether such sticker would be permissible but stressed that this could be an additional cost to the service to create stickers or another form of identification for the vehicle. The Senior Licensing and Enforcement Officer also informed members that the personal licence would be small and could fit on the vehicles windscreen.

A member asked whether it was possible to attach conditions to the licence. The Licensing manger confirmed that the LA had no power to do this except in certain specified conditions.

A member also suggested that an article be included in a future edition of Medway Matters drawing attention to the need for the public to be aware that they could ask scrap metal collectors for their identity and licence. It was also noted that all licences that were granted would be available to view online, and dealers were aware that anyone could ask to see their licence on request.

Decision:

The committee agreed;

 (i)     To note the contents of the report, particularly the requirement to set fees for the licensing functions within the Scrap Metal Dealers Act 2013 (the Act), which falls to full Council.

(ii)     To recommend the Council at its meeting on 17 October 2013 add responsibility for dealing with all matters relating to the functions of the Council under the Scrap Metal Dealers Act 2013 to the terms of reference of the Licensing and Safety Committee, and, subject to this being agreed by the Council, to agree that the Licensing Sub Committee should consider and determine the action to be taken when representations are received from an applicant where it is proposed to refuse, vary or revoke a scrap metal licence

(iii)       That subject to (ii) above the powers and duties of the council as the licensing authority relating to the determination of applications made under the Scrap Metal Dealers Act 2013 be delegated to the Assistant Director, Legal and Corporate Services.

(iv)     That subject to (ii) above, the setting of fees under the Scrap Metal Dealers Act 2013 be delegated to the Assistant Director, Legal and Corporate Services

(v)    That the Council be recommended to agree the consequential changes to the Council's Constitution as set out in Appendix D to the updated addendum report circulated at the meeting.

(vi)        That the licence be clearly displayed so it can be easily visible to the public.

(vii)      That provision of the new legislation be publicised in the local press and in Medway Matters.