SENATE BILL REPORT

ESSB 5464

BYSenate Committee on Judiciary (originally sponsored by Senators Halsan and Nelson)

Authorizing district courts to collect fines through credit cards and collection agencies.

Senate Committee on Judiciary

Senate Hearing Date(s):February 18, 1987; February 20, 1987; February 23, 1987

Majority Report:  That Substitute Senate Bill No. 5464 be substituted therefor, and the substitute bill do pass.

      Signed by Senators Talmadge, Chairman; Halsan, Vice Chairman; McCaslin, Moore, Nelson, Newhouse.

Senate Staff:Lidia Mori (786-7461)

                  April 10, 1987

House Committe on Judiciary

AS PASSED SENATE, MARCH 17, 1987

BACKGROUND:

Courts of limited jurisdiction may use collection agencies in an attempt to collect unpaid fines and forfeitures.  However, before a debt may be assigned to a collection agency, there must be an attempt to advise the debtor of the existence of the debt and that it may be assigned to a collection agency thirty days after notice is sent to the debtor.

The fines and forfeitures which are collected by district courts, including those collected by collection agencies, are to be remitted monthly to the county treasurer.  Thirty-two percent of this money is then sent to the state treasurer.  The remainder of the funds received by the county is to be deposited in the county's current expense fund.

SUMMARY:

Courts of limited jurisdiction may enter into agreements with collection agencies or one or more attorneys to collect overdue penalties on infractions, criminal fines, costs, assessments, civil judgments or forfeitures.  The agreements may specify remuneration for services but not more than 20 percent of the fine plus statutory costs.  When using the services of collection agencies or attorneys, it is not an assignment of debt as long as the court retains control of the overdue amounts.  The term "debt" includes penalties on infractions, criminal fines, costs, assessments, civil judgments or forfeitures imposed by the courts.

Courts of limited jurisdiction may use credit cards for billing and collecting paid and unpaid fines and forfeitures.

Fiscal Note:      requested

Senate Committee - Testified: Dawn Siler, Transworld Systems, Inc.; Kurt Sharar, Washington State Association of Counties; Janet McLane, Office for the Administrator for the Courts

HOUSE AMENDMENT:

Courts of limited jurisdiction are allowed to use collection agencies under Chapter 19.16 RCW to collect unpaid public debts including penalties on infractions, criminal fines, costs, assessments, civil judgments or forfeitures.  These courts may enter into agreements with one or more attorneys or collection agencies for collecting unpaid penalties, fines, costs, assessments and forfeitures.  The agreements may specify the scope of work, remuneration and other appropriate charges.  The delinquencies are not considered to be assigned debts when collection agencies or attorneys are employed to collect them but the court retains control of them.  Moneys paid for remuneration to collecting attorneys, collection agencies or, in the case of credit cards, to financial institutions may be imposed as court costs by the court.