Senate Commerce Committee Statement to Assembly Committee Substitute for Assembly, No. 2401 (May 18, 2026)

Summary

Statement of the Senate Commerce Committee, State of New Jersey, dated May 18, 2026, reporting favorably an Assembly Committee Substitute for Assembly Bill No. 2401. The substitute requires each scrap metal business in the State to reduce the likelihood of a fire by, at a minimum, keeping heat detection equipment, developing a fire safety plan with the local fire department official or fire marshal, and confirming that pile heights do not exceed 55 feet. A business with over 200 tons of unprepared metal in a single shredder feedstock stockpile for any 24-hour period must also put in a remotely operated fire suppression system. The county enforcing agency is to review and approve compliance in writing. The statement says the substitute is identical to the committee substitute for Senate Bill No. 312.

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SENATE COMMERCE COMMITTEE

STATEMENT TO

ASSEMBLY COMMITTEE
SUBSTITUTE FOR

ASSEMBLY,
No. 2401

STATE
OF NEW JERSEY

DATED: MAY 18,
2026

The Senate Commerce Committee reports favorably an Assembly
Committee Substitute for Assembly Bill No. 2401.

The
committee substitute requires each scrap
metal business in the State to reduce
the likelihood of a fire by, at a minimum: (1) i nstalling and maintaining heat detection equipment capable of detecting
an incipient fire or potential hot spots ; (2) d eveloping a fire safety
plan in coordination with the local fire department official or fire marshal,
which is to be made in writin g and publicly available upon request; (3) making
available, to any fire code official investigating the scrap metal business as
a result of a fire at the business, records retained pursuant to current law; and
(4) confirming that the pile height of combustible material, noncombustible
material, or a combination thereof does not exceed 55 feet.

Additionally, a scrap metal business
that contains an unprepared metal shredder feedstock stockpile with over 200
tons of unprepared metal in a single stockpile for any 24-hour period is to i nstall a fire
suppression system that can be remotely operated and is designed to prevent hot spots from flashing into
fires by rapidly extinguishing future fire s and reflash. The system is
to include , but not be limited to: (1) a n
overhead fire suppression system including water towers with articulating water
supply heads and related water supply improvements; (2) m onitored heat detection equipment around piles of
at least 500 tons to identify hot spots prior to ignition; and (3)
annual certifi cation by a fire safety engineer, the National Fire
Protection Association (NFPA) and the Division of Fire Safety within the New
Jersey Department of Community Affairs, to meet all NFPA and State r egulatory
fire prevention standards for the industrial activity .

Under the substitute, the county enforcing agency is
to review and approve, in writing that is to be displayed in a conspicuous
manner in the office of the scrap metal business or on the Internet website of
the business, that a scrap metal business demonstrates that it installed heat detection equipment capable of detecting an
incipient fire or potential hot spots , developed a fire safety plan in
coordination with the local fire department official or fire marshal, and, if
applicable, met the requirements for a scrap
metal business that contains an unprepared metal shredder feedstock stockpile
with over 200 tons of unprepared metal in a single stockpile for any 24-hour
period .

As reported by the committee, the Assembly Environment
and Solid Waste Committee Substitute to Assembly Bill No. 2401 is identical to
the committee substitute for Senate Bill No. 312, which was also reported by
the committee on this date.

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