Legislation that allows for regulating the transaction of catalytic converters was signed into law by Governor Holcomb on Monday.

The new law defines catalytic converters as a ‘major component part’ so only licensed salvage recyclers can buy or sell catalytic converters.

It also requires salvage recyclers to keep the same records for converters as valuable metal dealers, places a cap on cash payouts for detached catalytic converters at $25 per transaction per day and requires businesses buying or selling catalytic converters to be licensed with the Secretary of State’s Auto Dealer Services Division.