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                                           ENGROSSED HOUSE BILL NO. 1579

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State of Washington                               51st Legislature                              1989 Regular Session

By Representatives R. Fisher, McLean, Holland, Silver, H. Sommers, Anderson and Winsley; by request of Office of Financial Management

Read first time 1/30/89 and referred to Committees on State Government/Appropriations (3/1/89). 1/19/90 referred to Committee on Rules.

AN ACT Relating to the authority of state agencies to charge interest on past due accounts receivable and other debts; and adding a new section to chapter 43.17 RCW.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1.  A new section is added to chapter 43.17 RCW to read as follows:

          Interest at the rate of one percent per month, or fraction thereof, shall accrue on debts owed to the state, starting on the date the debts are to be paid.  This section does not apply to:  (1) Any instance where such interest rate would conflict with the provisions of a contract or with the provisions of any other law; or (2) debts to be paid by other governmental units.  The office of financial management may adopt rules specifying circumstances under which state agencies may waive interest, such as when assessment or collection of interest would not be cost-effective.  This section applies only to debts which become due on or after the effective date of this act.