Mesa Creates New Law To Regulate Electronic Recycling Kiosks

Published: Tuesday, August 28, 2018 - 4:57pm
(Photo courtesy ecoATM)
EcoATM accepts old phones, mp3 players and tablets in exchange for cash. According to their website there are 11 in the Valley.

Mesa city council approved an ordinance Monday regulating a new type of business that offers cash for old electronics.

“Bottom line is to allow business to try out new philosophies and new theories and just see if they work,” said Business License and Revenue Collections Administrator Tim Meyer.  

The company ecoATM allows people to trade their old cell phone, tablet or MP3 player for cash at an automated kiosk.

Until this week, Mesa would have regulated this business like a second-hand seller.

They’d need an annual license and would have to pay fees on transactions.

Meyer said the company told the city those fees didn’t allow it to be profitable.

“They take in so many items that are not functional or just are so outdated nobody would want them, it just didn’t make much sense,” Meyer said. “It didn’t fit their business model.”

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The new ordinance allows ecoATM and similar businesses to pay a higher fee upfront and skip the additional transaction fees.

Each kiosk will require its own annual $500 license and the company overall will pay a one-time $500 charge to operate in Mesa.

There are also rules on cooperating with the Mesa Police Department in case people try to sell stolen goods.

EcoATM requires people to provide an ID upon selling a device to the machine. 

Glendale adopted a similar ordinance in May. EcoATM worked with the the League of Arizona Cities and Towns to create a model ordinance that could be adopted by multiple cities.

The company’s website lists 11 ecoATM’s in the Phoenix metro area.

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