Copper theft: What California’s 2026 scrap metal law means

California’s persistent problem with copper theft spurred legislative action in 2026. While it’s too soon to judge how effective the new law has been at slowing illegal scrap transactions, it’s a good time to review the law, discuss how it impacts scrap dealers and recyclers, and explore why copper theft has continued to be such an unrelenting threat.   

What is AB 476, and why did California pass it?

In January of 2026, California Assembly Bill 476 (AB 476) was officially enacted after being signed into law in October 2025. The law includes new penalties for infrastructure and copper wire theft, a serious problem that for years has plagued public utilities, outdoor facilities, worksites, and commercial businesses across California. 

The new law cracks down on copper theft in several ways:

• It increases the maximum fine amounts for scrap metal violations.
• By expanding the restricted public-property metal list to include streetlights, traffic signals, EV chargers, solar lighting components, and air quality sensors.
• By requiring a board-issued license for anyone selling scrap copper.
• Via stricter recordkeeping requirements for all scrap metal transactions. 

What’s changing for scrap metal dealers and recyclers in 2026

Here’s a closer look at the noteworthy details in AB 476 and what it means for scrap metal dealers and recyclers.

Anyone selling scrap copper needs to have a license from the Contractors’ State License Board 

Noteworthy details:

• The annual license fee is $500. 
• Licensed electricians, plumbers, and certain professionals with active state licenses can qualify for exemption. 
• The Contractors State License Board requires a background check as part of the licensing process, and can deny or revoke a license for any violations.

Recordkeeping requirements have expanded

Noteworthy details:

• Every purchase or sale of scrap must be documented to include the time, location, and full amount of the sale. 
• A detailed description of the item(s) is required.
• The name of the employee who handled the transaction must be recorded.
• The seller’s name, DOB, address, and a signed statement confirming their lawful ownership or possession of the item(s) are required prior to payment.
• Records must be kept for a minimum of two years.

Items have been added to the protected materials list

Noteworthy details:

• The protected list now includes streetlights, EV chargers, traffic signals, air quality sensors, solar lighting components, and certain historical or ornamental poles. 
• Protected items require written authorization demonstrating legal ownership or the chain of possession of the materials before they can be sold or recycled.
• Prior to AB 476, the protected items list included far fewer items, primarily manhole covers, lids, and fire hydrants.  

These regulations are aimed at stopping individuals and coordinated theft rings from stealing and selling stolen infrastructure materials in the underground scrap metal market. As it’s written, the implementation of AB 476 should not dramatically alter the day-to-day operations of legitimate scrap dealers and recyclers. 

Businesses and individuals who followed the previous rules simply need to ensure they keep clear, complete documentation of all scrap metal transactions.  

Penalties for copper theft: What’s new and what’s coming next? 

The AB 476 law increases the maximum fine amounts for two scrap metal violations.  

Violation: Possessing protected infrastructure materials without documentation

Previous maximum fine: $3,000

AB 476 maximum fine: $5,000

Violation: Knowingly purchasing stolen metals from public entities/utilities

Previous maximum fine: $1,000

AB 476 maximum fine: $5,000

In addition, the California legislature has proposed Assembly Bill 1941 (AB 1941), which, if passed into law, would make organized metal theft an official crime, punishable as either a misdemeanor or felony. 

Organized metal theft, defined simply, is the theft of metal materials carried out by two or more persons. 

If AB 1941 passes (currently awaiting a second chamber vote), it will require the voluntary sharing of metal theft information between the Department of Justice and local law enforcement and reporting agencies. Ideally this will make it easier for authorities to exchange evidence and track organized metal theft activity.  

Why is copper theft surging, and what factors contributed to the new laws aimed at stopping it?  

Both AB 476 and AB 1941 are reactions to the persistent threat and widespread damage caused by copper theft. A previous Bay Alarm blog focused on preventing copper theft at construction and industrial sites, but the financial, public-safety, and infrastructure concerns extend even further. 

The action by the California Legislature reflects a shared urgency to develop a stronger strategy for preventing and punishing copper theft. 

So why is copper theft still such a prevalent issue in California, and what forced legislative action?  

Copper is essential — and increasingly valuable

Copper, and specifically copper wire, is used in too many vital systems to name, and as a result is a high-usage, indispensable resource that has increased in price and resale value. 

Demand is up, driven by massive AI infrastructure projects 

The demand for copper and other metals has increased in part due to the data center development boom, which necessitates the construction of vast infrastructure systems that require copper.

Copper theft takes many shapes and has many targets

Copper’s ubiquitous presence makes its theft a crime with complex, costly ramifications that affect a broad spectrum of commercial and governmental entities. Public utilities, commercial businesses, agricultural operations, and communication networks are just some of the targeted sites, indicating that combating copper theft calls for a more proactive, expansive approach by law enforcement.  

Copper theft threatens public safety and operational continuity

Increasingly, copper theft is endangering the health and safety of citizens and communities. In the past year alone, there have been incidents of copper being stripped from California’s bridges, electrical poles and panels, streetlights, communications towers, transit systems, and irrigation wells. It is now viewed as a statewide infrastructure and public-safety problem.  

Protecting copper is a major challenge for commercial security systems

Remote outdoor areas, large agricultural operations, sprawling worksites full of valuable machinery, materials, and equipment. Bottom line, securing locations with copper is incredibly hard and prone to network errors, visibility gaps, and connectivity issues. Plus, criminals are constantly seeking new ways to exploit vulnerabilities and blind spots. 

How Bay Alarm helps you stay ahead of copper theft, before and after the law

AB 476 is a good starting point, but it won’t magically end copper theft overnight. While legislation should help, preventing copper theft still depends on a business finding a security system that can best protect its property.   

Bay Alarm helps companies prevent copper theft by providing a comprehensive array of advanced security solutions and professional support, including:

Mobile security units

Sturdy, solar-powered, portable mobile units built to protect outdoor projects and worksites through every stage of the job lifecycle.

Live video monitoring

Proactive deterrence that combines AI-enhanced surveillance, automated response, and 24/7 live professional support.

AI-enhanced surveillance cameras 

Monitor every part of your property with high-definition clarity, night-vision capabilities, and secure, cloud-based storage. 

Seamless integration

Unify your security systems and tools so they work together and can be managed from a single dashboard. 

Remote monitoring and access control

Flexible, mobile monitoring tools that enable constant site surveillance during off-hours, weekends, and holidays

Agent patrol services

Highly-trained security experts who provide customized security support for any environment.

Want help securing on-site copper and other valuable materials? Contact Bay Alarm today 

Updated on: August 27th, 2026