WSR 07-20-118

PROPOSED RULES

DEPARTMENT OF LICENSING


[ Filed October 3, 2007, 9:28 a.m. ]

Original Notice.

Preproposal statement of inquiry was filed as WSR 07-14-114.

Title of Rule and Other Identifying Information: Uniform Commercial Code, WAC 308-390-306 Initial financing statement.

Hearing Location(s): Department of Licensing, Room 209, 405 Black Lake Boulevard, Olympia, WA 98502, on November 8, 2007, at 3:00 p.m.

Date of Intended Adoption: November 9, 2007.

Submit Written Comments to: Margaret Vogeli, P.O. Box 9660, Olympia, WA 98507-9660, e-mail UCC@DOL.WA.GOV, fax (360) 586-4414, by November 6, 2007.

Assistance for Persons with Disabilities: Contact Margaret Vogeli by November 1, 2007, TTY (360) 664-8885.

Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: Amend rule to make a correction in subsection (3) concerning the calculation of lapse date for public financing transactions and manufactured home transactions. Under the proposed rule, these transaction types will be assigned a lapse date of five years from the date of filing.

Reasons Supporting Proposal: The legislation does not authorize a lapse date of thirty years from the date of filing.

Statutory Authority for Adoption: Chapter 62A.9A RCW.

Statute Being Implemented: Chapter 62A.9A RCW.

Rule is not necessitated by federal law, federal or state court decision.

Agency Comments or Recommendations, if any, as to Statutory Language, Implementation, Enforcement, and Fiscal Matters: An emergency rule to make this correction was adopted August 14, 2007, and expires December 12, 2007.

Name of Proponent: Department of licensing, governmental.

Name of Agency Personnel Responsible for Drafting: Margaret Vogeli, 405 Black Lake Boulevard, Olympia, WA, (360) 664-1530; Implementation and Enforcement: Nancy Skewis, 405 Black Lake Boulevard, Olympia, WA, (360) 664-1446.

No small business economic impact statement has been prepared under chapter 19.85 RCW. Exempt under RCW 34.05.310 (4)(c), (e).

A cost-benefit analysis is not required under RCW 34.05.328. Exempt under RCW 34.05.328 (5)(b)(iii), (v).

October 1, 2007

Nancy Skewis

Administrator

OTS-1095.1


AMENDATORY SECTION(Amending WSR 01-10-056, filed 4/27/01, effective 7/1/01)

WAC 308-390-306   Initial financing statement.   Upon the filing of an initial financing statement, the status of the parties and the status of the financing statement shall be as follows:

(1) Status of secured party. Each secured party named on an initial financing statement shall be a secured party of record, except that if the UCC record names an assignee, the secured party/assignor shall not be a secured party of record and the secured party/assignee shall be a secured party of record.

(2) Status of debtor. The status of a debtor named on the record shall be active and shall continue as active until one year after the financing statement lapses.

(3) Status of financing statement. The status of the financing statement shall be active. A lapse date shall be calculated, five years from the file date, unless ((the initial financing statement indicates that it is filed with respect to a public-financing transaction or a manufactured-home transaction, in which case the lapse date shall be thirty years from the file date, or if)) the initial financing statement indicates that it is filed against a transmitting utility, in which case there shall be no lapse date. A financing statement remains active until one year after it lapses, or if it is indicated to be filed against a transmitting utility, until one year after it is terminated with respect to all secured parties of record.

[Statutory Authority: Chapters 62A.9, 60.11, 60.13, 60.68, and 62A.9A RCW. 01-10-056, 308-390-306, filed 4/27/01, effective 7/1/01.]

Washington State Code Reviser's Office