SENATE BILL REPORT

                           EHB 1510

AS REPORTED BY COMMITTEE ON GOVERNMENT OPERATIONS, APRIL 1, 1993

Brief Description:  Concerning the issuance of charge cards to employees of municipal corporations and political subdivisions.

SPONSORS: Representatives Romero, H. Myers, Edmondson and Bray

HOUSE COMMITTEE ON LOCAL GOVERNMENT

SENATE COMMITTEE ON GOVERNMENT OPERATIONS

Majority Report:  Do pass. 

     Signed by Senators Haugen, Chairman; Drew, Vice Chairman; Owen, and Winsley.

Minority Report:  Do not pass. 

     Signed by Senator Loveland.

Staff:  Katie Healy (786‑7784)

Hearing Dates: March 24, 1993; April 1, 1993

BACKGROUND:

Any municipal corporation or political subdivision may issue charge cards to its officers and employees.  The charge cards may only be used for the purpose of covering expenses incident to authorized travel.  The person using the charge card must submit a fully itemized travel expense voucher within ten days of the billing date.

The municipal corporation or political subdivision has unlimited authority to revoke the use of any charge cards it issues.

SUMMARY:

Municipal corporations and political subdivisions that issue charge cards to their officers and employees are required to adopt rules concerning the distribution, control of the use of the charge cards, authorization and available credit limits, payment of bills, and other rules determined to be appropriate.

Restrictions that allow the charge cards to be used only for expenses incident to authorized travel are deleted.

Municipal corporations and political subdivisions may not issue affinity credit cards to their officers and employees.

Appropriation:  none

Revenue:  none

Fiscal Note:  none requested

TESTIMONY FOR:

This measure simply expands the uses of credit cards by municipal corporations.  Municipal corporations have the power to make the employee pay for unauthorized uses.  This bill makes the law less restrictive and more in line with the state.  State employees will be able to use charge cards for orders over the telephone.  By using credit cards to charge filing fees instead of cutting a large number of checks, costs will be reduced.  This is modeled after the state policy.  The rules the municipalities will have to create may be more restrictive than present law.  As the law stands now, the distribution is limited, the use is limited, the reimbursement is slow.

TESTIMONY AGAINST:  None

TESTIFIED:  Jim Justin, AWC (pro)