HOUSE BILL REPORT

EHB 1909

BYRepresentatives Horn, Haugen, Ferguson, Cooper, Silver, May, Raiter, Holland, Nelson, Phillips, K. Wilson, Betrozoff, Brumsickle, Walker, Wood, Nealey, Wolfe, Nutley, Rayburn, Zellinsky, Todd, D. Sommers, Rector and Winsley

Authorizing local government to file abandoned intangible property records in archives after five years and transfer the property to its general fund.

House Committe on Local Government

Majority Report:  Do pass with amendment.  (14)

      Signed by Representatives Haugen, Chair; Cooper, Vice Chair; Ferguson, Ranking Republican Member; Horn, Nealey, Nelson, Nutley, Phillips, Raiter, Rayburn, Todd, Wolfe, Wood and Zellinsky.

House Staff:Steve Lundin (786-7127)

AS PASSED HOUSE MARCH 13, 1989

BACKGROUND:

Various statutes require local governments to retain funds to pay a warrant or other instrument that was issued by the local government.

The Uniform Unclaimed Property Act requires most unclaimed intangible property to be forwarded to the Department of Revenue.  However, unclaimed money that is held by a race track as a result of unredeemed pari-mutuel betting tickets is not required to be forwarded to the Department of Revenue.  Pari-mutuel betting is allowed on horse racing at county fairs.

SUMMARY:

A local government that holds abandoned intangible property that is not required to be forwarded to the Department of Revenue shall not be required to maintain current records of this property for longer than five years, and at that time may archive such records and transfer the money to its current expense fund.  However, the local government remains liable to pay the intangible property to a person or entity that subsequently establishes its ownership of this intangible property.

Fiscal Note:      Not Requested.

House Committee ‑ Testified For:    Fred Saeger, Washington Association of County Officials.

House Committee - Testified Against:      None Presented.

House Committee - Testimony For:    This will avoid undue bookkeeping and allow local governments to use the money.  If an owner can show ownership he or she can still obtain the money.

House Committee - Testimony Against:      None Presented.