WSR 02-02-057

PROPOSED RULES

DEPARTMENT OF

FISH AND WILDLIFE

[ Filed December 27, 2001, 4:22 p.m. ]

Original Notice.

Preproposal statement of inquiry was filed as WSR 01-22-107.

Title of Rule: Financial procedures.

Purpose: Provide mechanism for handling dishonored checks and credit card transactions.

Other Identifying Information: Sets penalties, time for making transaction good, and effects if the error is not corrected.

Statutory Authority for Adoption: RCW 77.12.047.

Statute Being Implemented: RCW 77.12.047.

Summary: Persons who issue an NSF check or invalid credit card transaction will have a $30 dishonored instrument fee. They can correct the transaction within fifteen days, and the issuance will be valid except for mandatory commercial fishing license renewals, which have to renew during the calendar year. Department collection efforts will continuing for one hundred twenty days, with a 1% per month late fee, after which the account is sent out for collection.

Reasons Supporting Proposal: Reduce NSF check issuance.

Name of Agency Personnel Responsible for Drafting: Evan Jacoby, 1111 Washington Street, Olympia, 902-2930; Implementation: Jim Lux, 1111 Washington Street, Olympia, 902-2444; and Enforcement: Bruce Bjork, 1111 Washington Street, Olympia, 902-2373.

Name of Proponent: Department of Fish and Wildlife, governmental.

Rule is not necessitated by federal law, federal or state court decision.

Explanation of Rule, its Purpose, and Anticipated Effects: This rule establishes the procedure by which the department will handle dishonored checks and credit card transactions, and is adopted in conformity with OFM Financial and Administrative Policies, Regulations and Procedures Manual, Sections 2.2.4.3.3 through 2.2.4.3.6. This rule is intended to discourage persons from issuing NSF checks to the department for the purchase of commercial and recreational licenses. Persons will have fifteen days to make the NSF check good, during which period the license will remain valid. If a commercial licensee does not make the check good within fifteen days, any landing will be treated as having been made without a valid license, and the person will be subject to a commercial fishing citation. If a recreational licensee does not make the check good, any animals taken by that person will be treated as taken without a valid license, and the person may be subject to a big game, small game, or fishing citation. The fifteen day grace period does not apply to persons who are required to renew a license within a current year to be eligible for subsequent licensing, as RCW 77.65.050 allows the director to issue a license only if accompanied by the required fee.

A small business economic impact statement has been prepared under chapter 19.85 RCW.

Small Business Economic Impact Statement

1. Description of the Reporting, Record-keeping, and Other Compliance Requirements of the Proposed Rule: No reporting or record keeping is required. Compliance is making good an NSF check.

2. Kinds of Professional Services That a Small Business is Likely to Need in Order to Comply with Such Requirements: None required.

3. Costs of Compliance for Businesses, Including Costs of Equipment, Supplies, Labor, and Increased Administrative Costs: There is a $30 administrative fee for handling the NSF check. If not corrected, there is a 1% per month finance charge during department collection attempts. Additional costs may occur if the check is sent out for collection.

4. Will Compliance with the Rule Cause Businesses to Lose Sales or Revenue? No.

5. Cost of Compliance for the 10% of Businesses That are the Largest Businesses Required to Comply with the Proposed Rules Using One or More of the Following as a Basis for Comparing Costs:

a. Cost per employee;

b. Cost per hour of labor; or

c. Cost per one hundred dollars of sales.

There are no differential costs. During 2001, a total of seven NSF checks were received from approximately 2,000 commercial licensees.

6. Steps Taken by the Agency to Reduce the Costs of the Rule on Small Businesses or Reasonable Justification for Not Doing So: There are no differential costs between small businesses and any other businesses.

7. A Description of How the Agency Will Involve Small Businesses in the Development of the Rule: Notification, solicitation of public comments, and public testimony.

8. A List of Industries That Will Be Required to Comply with the Rule: Commercial licensees.

A copy of the statement may be obtained by writing to Evan Jacoby, 600 Capitol Way North, Olympia, WA 98501-1091, phone (360) 902-2930, fax (360) 902-2155.

RCW 34.05.328 does not apply to this rule adoption. Not hydraulics rules.

Hearing Location: Natural Resources Building, 1111 Washington Street, Olympia, on February 8-9, 2002, at 8:00 a.m.

Assistance for Persons with Disabilities: Contact Debbie Nelson by January 18, 2002, TDD (360) 902-2207, or (360) 902-2226.

Submit Written Comments to: Evan Jacoby, 600 Capitol Way North, Olympia, WA 98501-1091, fax (360) 902-2155, by February 1, 2002.

Date of Intended Adoption: February 8, 2002.

December 27, 2001

Evan Jacoby

Rules Coordinator


NEW SECTION
WAC 220-20-075   License sales -- Dishonored check and credit card transaction penalties.   All license sales by the department, and by department contract vendors in the case of non-salmon delivery licenses, are subject to the following provisions.

(1) Definitions. The following definitions apply to this section:

(a) "Collection procedures" means sending a payment on demand notice thirty', sixty, and ninety days after the Notice of Dishonored Instrument has been sent, during which period the person who issued the check or used the credit card will accrue a one per cent per month interest fee in addition to the dishonored instrument fee. If the accrued fees have not been paid within thirty days after the mailing of the ninety day notice, the account will be turned over for collection.

(b) "Dishonored instrument" means a check issued to the department for purchase of a license that has been returned for any reason, including but not limited to insufficient funds or closed account, or a credit card transaction with the department for purchase of a license that is not approved by the entity that issued the credit card.

(c) "Dishonored instrument fee" means the additional fee required to be paid for a license that was paid for with a dishonored instrument. The dishonored instrument fee is thirty dollars ($30.00).

(d) "Notice of Dishonored Instrument" means the notice sent to a person who attempted purchase of a license with a dishonored instrument. This notice will be mailed to the person at the address given at the time of the license transaction.

(2) Commercial license sales:

(a) All commercial license sales will be made through the Olympia licensing office, except for non-salmon delivery licenses, which will also be sold through department-approved contract vendors at selected ports.

(b) Commercial licensees who tender a dishonored instrument to the department will not be issued another commercial license of any kind until the license fee, dishonored instrument fee, and, if applicable, interest and collection fees, have been paid.

(c) Commercial licensees who have tendered a dishonored instrument may only replace the dishonored instrument and pay the dishonored instrument fee, and any future license purchases, by cash, certified check or money order for the subsequent two licensing years after the licensing year in which the dishonored instrument was issued.

(d) Except for commercial fishing licenses which require annual renewal in order to purchase subsequent year licenses, commercial licensees who have tendered a dishonored instrument have fifteen days from the mailing date of the Notice of Dishonored Instrument to pay the license and dishonored instrument fee, during which period the license will remain valid if the payment is received by the department by 5:00 p.m. on the fifteenth day, or by 5:00 p.m. on the next working day if the fifteenth day falls on a weekend or holiday. If the fees are not presented within fifteen days, the license will be voided as of the date of issuance, and any deliveries that have been made under the license will be treated as deliveries without a valid license.

(e) Commercial fishing licensees who are renewing a license which requires annual renewal in order to be renewed in a subsequent year, and who tender a dishonored instrument, must pay the license fee and the dishonored instrument fee by December 31st in order to have a valid license for purposes of subsequent renewal.

(f) Commercial licensees who do not replace a dishonored instrument within fifteen days are subject to collection procedures.

(g) Fishers who deliver shellfish of food fish other than salmon on a non-salmon delivery license. which license has been paid for with a dishonored check from the contract vendor are not subject to the penalties of this section.

(3) Recreational license sales:

(a) Recreational licensees who have tendered a dishonored instrument have fifteen days from the mailing date of the Notice of Dishonored Instrument to pay the license and dishonored instrument fee, during which period the license will remain valid if the payment is received by the department by 5:00 p.m. on the fifteenth day, or by 5:00 p.m. on the next working day if the fifteenth day falls on a weekend or holiday. If the fees are not presented within fifteen days, the license will be voided as of the date of issuance, and any recreational activities that occurred within the fifteen days will be treated as having occurred without having a valid license, tag or permit.

(b) Recreational licensees who have tendered a dishonored instrument may only replace the dishonored instrument and pay the dishonored instrument fee, and, if applicable, interest, by cash, certified check or money order.

(c) Recreational licensees who do not replace a dishonored instrument within fifteen days are subject to collection procedures.

[]

Reviser's note: The typographical error in the above section occurred in the copy filed by the agency and appears in the Register pursuant to the requirements of RCW 34.08.040.

Washington State Code Reviser's Office