FINAL BILL REPORT

                                   SSB 5052

FULL VETO

                             AS PASSED LEGISLATURE

Brief Description:  Concerning collection of public debts.

SPONSORS:Senate Committee on Law & Justice (originally sponsored by Senators Moore, Nelson and Thorsness).

SENATE COMMITTEE ON LAW & JUSTICE

HOUSE COMMITTEE ON JUDICIARY

BACKGROUND:

The state collection agency statute provides for the licensing and regulation of persons acting as collection agents for private and public debts.  The statute contains numerous provisions that prohibit the intimidation and harassment of consumers by collection agents.  In addition, collection agencies are required to retain records, comply with accounting procedures, and meet bonding requirements.

It is suggested that the collection agency statute be clarified to ensure that the collection of restitution and other legal financial obligations (such as court fines and assessments) is governed by the act if the person is acting as a collection agent.

SUMMARY:

Any person who acts as a collection agency to collect restitution and other legal financial obligations, such as court fines and assessments, must comply with the requirements of the collection agency statute.

Agencies may only assign public debts collectible in this state to a licensed collection agency.  Agencies can continue to use billing agents to notify debtors of their public debts.

VOTES ON FINAL PASSAGE:

Senate      47    2

House 95    0

FULL VETO  (See VETO MESSAGE)