Denver Proposes Banning Cash Payments for Scrap Metal Sales

SEATTLE (Scrap Monster): Denver is considering an amendment to the city code to regulate scrap metal sales, mirroring its current rules for sales of used catalytic converters.

The proposed amendment would require junk dealers to meet additional requirements before accepting or purchasing scrap metal.

Among the proposed changes are a requirement for a “junk dealer” license from the Department of Excise & Licenses to run a scrap yard, detailed seller records including vehicle information and affidavits confirming lawful possession, and a ban on cash payments to ensure all transactions are tracked.

 District 9 Councilmember and bill co-sponsor Darrell Watson told members of the Business, Arts, Workforce, Climate and Aviation Services Committee that while statistics show a marked downward trend in catalytic converter thefts, theft of commodity “scrap” metal has increased.

In the metro area, Denver police logged more than 2,100 scrap metal thefts — not including catalytic converters — between 2018 and 2025.

Top locations targeted by thieves include construction sites, homes, government buildings, schools and parking lots.

Copper thieves disrupted the city’s light rail services in October 2024 and caused more than $100,000 in damage, according to RTD.

RTD said its police officers have responded to 21 instances of copper wire theft across its rail lines.

Under state law, a transaction of $300 or less may be negotiated with cash.

Watson argued that prohibiting cash transactions for scrap metal sales is necessary to protect city infrastructure and local businesses.

He said that while thieves may steal only a few hundred dollars in scrap metal, it may cost the business owner more than $10,000 to repair and replace what they lost.

Ben Rosen, who operates Atlas Metal and Iron, a small scrap operation near downtown Denver, told the committee members he had concerns with the ban on cash transactions as some of his customers rely heavily on the ability to sell scrap.”

“In a sanctuary city like Denver, we provide a service to folks, whether it's the unhoused, temporary visa holders, whether it's immigrants who have moved here, that – with the proper identification – they can come down and sell scrap to fund their ability to eat, take care of their children, and their ability to find housing.”

Anissa Reed with the Cellular Telephone Industries Association (CTIA) supports the amended ordinance, noting that organization members have reported nearly 4,000 incidents of copper theft nationwide.

Scrap metal, as defined by the proposed policy, means “any metal obtained by demolishing, disassembling, or cutting from its intended use, and includes copper, copper alloys, bronze, brass and aluminum.”

The definition does not include coins, precious metals such as gold, silver and platinum, and everyday recyclable food and beverage containers.

 Courtesy: www.denvergazette.com