Editor’s Notes By Caryn Smith ARAEditor@comcast.net

Cracking Down on the Bad Guys Requires Your Support

llegal operators are on sharp rise in many states. It almost seems unstop- pable at this point in time, and many auto recyclers are just working with the scrap vehicles they can get and are hop- ing for the best. Many are reporting it to authorities, and trying to make change happen. Public attention is being raised. As an example, in a November 10, 2014 story from the WPRI.com News website, the headline read, “Number of Unlicensed Auto Salvage Yards Increased with the Price of Scrap.” The story reports, “Unlicensed auto salvage yards have been on the increase in the Rhode Island area because of a spike in scrap metal prices, but some legit- imate salvage owners say the state has done lit- tle to crack down on them. “Auto salvage yards are regulated by the

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Rhode Island Department of Business Regulation (DBR). According to an online state database there were 67 licensed salvage yards in Rhode Island as of the end of October. Salvage yard owner Mike Cavanaugh – of J&D Auto Salvage in West Warwick – said he has been complaining to DBR for years about illegal operations. “What’s going on isn’t right. It isn’t fair to the small business,” Cavanaugh said. “We pay our taxes, pay the insurance. We have rules [and] the other side of the fence doesn’t.” Maria D’Alessandro – the Deputy Director of Securities, Commercial Licensing, and Racing and Athletics at DBR – said there is just one inspector that not only handles sal- vage yards, but a list of other areas including auto body shops, real estate, upholstery, liquor operations and mobile home parks...”

And therein lies the problem.

Complaints are fielded by over-burdened enforcement officers combined with authorities that don’t realize the impor- tance to them in lost tax revenue from the illegal faction. Two state Associations are taking mat- ters into their own hands, and helping law enforcement find the rogue opera- tors. Read their stories on page 44. What can you do? Consider attending the upcoming 2015 ARA Legislative Summit and Hill Day (story on page 52). Your presence matters, and you will understand why when you hear what Iowa and California are doing to combat illegal activity on their own turf. ■

Link to the story: wpri.com/2014/11/10/number-of-unlicensed-auto- salvage-yards-increased-with-the-price-of-scrap-nov14/)

6 Automotive Recycling | January-February 2015