A licensing shift buried in Kentucky's recycling bill affects every scrap dealer and metals recycler in the state—and the clock is ticking.
Most Kentucky trucking and transportation business owners don't realize that a provision in SB291 has fundamentally changed who regulates secondary metals recyclers in the state. If you haul, collect, or deal in scrap metal, this affects you directly.
Secondary metals recyclers—including scrap dealers, junk dealers, and itinerant collectors—must now obtain a license from the Motor Vehicle Commission instead of the certificate of registration they previously held through the Department of Professional Licensing. This is not a minor administrative shuffle. It represents a transfer of regulatory authority and a new compliance framework.
Under the new requirement, every recycler must:
The Motor Vehicle Commission will establish the fee structure, so costs remain unknown until the commission publishes its regulations. This is important for budgeting purposes.
The law applies broadly to anyone engaged in secondary metals recycling. That includes established scrap yards, small independent dealers, and itinerant collectors who travel routes buying metal. If your operation involves collecting, purchasing, or processing scrap metal for resale, you fall under this requirement.
For transportation companies that also handle metals recycling as part of their business model, this creates a new licensing obligation separate from your existing Motor Vehicle Commission permits.
SB291 was passed with an emergency declaration, meaning it became effective immediately upon approval. The critical deadline for existing certificate holders is 90 days from that effective date. Within that window, anyone currently operating under a Department of Professional Licensing certificate must apply for and obtain the new Motor Vehicle Commission license.
Missing that 90-day window could result in operating without proper licensing, which carries legal and liability risks.
Contact the Motor Vehicle Commission directly to understand the application process and fee structure. The commission will be publishing guidance on how to apply and what documentation is required. If you currently hold a Department of Professional Licensing certificate, mark your calendar for the 90-day deadline and begin the application process well before it expires.
If you operate multiple locations or have multiple business entities involved in metals recycling, clarify whether each requires a separate license. The law requires a separate application, but the Motor Vehicle Commission's rules may affect how that works in practice.
This provision appears in Section 2, Page 2 of SB291, AN ACT relating to recyclers and declaring an emergency.
For a detailed breakdown of SB291's impact on your specific operation, a free business guide is available through industry resources.