S-0618.1                   _______________________________________________

 

                                                     SENATE BILL 5171

                              _______________________________________________

 

State of Washington                              53rd Legislature                             1993 Regular Session

 

By Senators Sutherland, Moore, Vognild, Amondson, von Reichbauer and Bauer

 

Read first time 01/15/93.  Referred to Committee on Labor & Commerce.

 

Requiring assignment of certain debts owed the state to a collection agency.


          AN ACT Relating to collection of debts owed the state; and amending RCW 43.17.240.

 

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

 

        Sec. 1.  RCW 43.17.240 and 1991 c 85 s 2 are each amended to read as follows:

          (1) 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 become past due.

          (2) Every state agency shall assign all debts owed to the state under an express contract that are at least ninety days past due to a collection agency licensed under chapter 19.16 RCW.  An assignment of debts owed to the state under this subsection must comply with the requirements of personal services contracts entered under chapter 39.29 RCW.

          (3) This section does not apply to:  (((1))) (a) Any instance where such interest rate or assignment would conflict with the provisions of a contract or with the provisions of any other law; or (((2))) (b) debts to be paid by other governmental units.  The office of financial management may adopt rules specifying circumstances under which state agencies may waive this collection assignment or interest, such as when assessment or collection of interest would not be cost-effective.  This section does not affect any authority of the state to charge or collect interest under any other law on a debt owed to the state by a governmental unit.  Subsection (1) of this section applies only to debts ((which)) that become due on or after July 28, 1991.  Subsection (2) of this section applies only to debts that become due on or after the effective date of this act.

 


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