SAN ANTONIO — Catalytic Converter thefts have continued to increase nationwide according to the National Insurance Crime Bureau and thieves are still able to receive between $50 and $250 per catalytic converter they turn in to recycling facilities.
Texas District 7 Senator Paul Bettencourt said the thefts have become so lucrative that crime rings have formed to take advantage.
"You've got people in organized crime that have moved into this area because it is very profitable, and they are grabbing ever converter they can," Bettencourt said. "This has turned into big business."
Bettencourt told Kens 5 that police can currently get into situations where they pull people over, and see the catalytic converters in the suspect's possession, but don't have any way to make an arrest. SB 465 would change that.
"It basically says if you have a catalytic converter and you are not in the normal supply chain -- auto shops, wreckers, salvage, recycling, etc. -- there is going to be a presumption that you have stolen it or are involved in stealing it," Bettencourt said.
The bill's list of exceptions for legitimate businesses is fairly long and includes salvage yards, licensed salvage vehicle dealers, vehicle storage facilities, vehicle repair shops, towing companies, and used automotive parts recyclers among others. It also includes contractors working for the above businesses.
The bill would also make stealing a catalytic converter a state jail felony instead of a misdemeanor.
USAA spokeswoman Rebeka Nelson said it can cost victims between $3,500 and $5,000 to replace and it can leave that victim waiting more than 6 months to find a replacement in some cases.
"That doesn't include the cost of you being in a rental car for an extended period of time," Nelson said.
Nelson said more than 10,000 USAA customers had converters stolen in 2022.
Insurance Council of Texas spokesman Richard Johnson told KENS 5 the thefts are "a major issue for the insurance industry and is impacting rates for sure".
Bettencourt police need to have the ability to shut those gangs down so this stops happening.
"I think this needs to send a message to these gangs to get out of this business. These thefts are not just happening all the time, but there are people getting shot and killed in Houston over these," Bettencourt said.