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SUBSTITUTE SENATE BILL 5370
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Passed Legislature - 1995 Regular Session
State of Washington 54th Legislature 1995 Regular
Session
By
Read first time 02/22/95.
Authorizing use
of credit cards by local governments.
AN ACT Relating to the
use of credit cards by local governments; amending RCW 42.24.115; adding a new
section to chapter 39.58 RCW; and creating a new section.
BE IT ENACTED BY THE
LEGISLATURE OF THE STATE OF WASHINGTON:
NEW SECTION. Sec.
1. The legislature finds
that (1) the use of credit cards is a customary and economical business
practice to improve cash management, reduce costs, and increase efficiency; and
(2) local governments should consider and use credit cards when appropriate.
NEW SECTION. Sec.
2. A new section is added
to chapter 39.58 RCW to read as follows:
(1) Local governments,
including counties, cities, towns, special purpose districts, municipal and
quasi-municipal corporations, and political subdivisions, are authorized to use
credit cards for official government purchases and acquisitions.
(2) A local government
may contract for issuance of the credit cards.
(3) The legislative
body shall adopt a system for:
(a) The distribution of
the credit cards;
(b) The authorization
and control of the use of credit card funds;
(c) The credit limits
available on the credit cards;
(d) Payment of the
bills; and
(e) Any other rule
necessary to implement or administer the system under this section.
(4) As used in this
section, "credit card" means a card or device issued under an
arrangement pursuant to which the issuer gives to a card holder the privilege
of obtaining credit from the issuer.
(5) Any credit card
system adopted under this section is subject to examination by the state
auditor's office pursuant to chapter 43.09 RCW.
(6) Cash advances on
credit cards are prohibited.
Sec. 3. RCW 42.24.115 and 1984 c
203 s 5 are each amended to read as follows:
(1) Any municipal
corporation or political subdivision may provide for the issuance of charge
cards to officers and employees for the ((sole)) purpose of covering
expenses incident to authorized travel.
(2) If a charge card
is issued for the purpose of covering expenses relating to authorized travel, upon
billing or no later than ((ten)) thirty days of the billing date,
the officer or employee using a charge card issued under this section shall
submit a fully itemized travel expense voucher. Any charges against the charge
card not properly identified on the travel expense voucher or not allowed
following the audit required under RCW 42.24.080 shall be paid by the official
or employee by check, United States currency, or salary deduction.
(3) If, for any reason,
disallowed charges are not repaid before the charge card billing is due and
payable, the municipal corporation or political subdivision shall have a prior
lien against and a right to withhold any and all funds payable or to become
payable to the official or employee up to an amount of the disallowed charges
and interest at the same rate as charged by the company which issued the charge
card. Any official or employee who has been issued a charge card by a
municipal corporation or political subdivision shall not use the card if any
disallowed charges are outstanding and shall surrender the card upon demand of
the auditing officer. The municipal corporation or political subdivision shall
have unlimited authority to revoke use of any charge card issued under this
section, and, upon such revocation order being delivered to the charge card
company, shall not be liable for any costs.
Passed
the Senate March 8, 1995.
Passed
the House April 4, 1995.
Approved by the Governor April 13, 1995.
Filed in
Office of Secretary of State April 13, 1995.
