HB1564 (2014) Detail

Relative to escheat proceedings.


HB 1564-FN – AS INTRODUCED

2014 SESSION

14-2185

06/04

HOUSE BILL 1564-FN

AN ACT relative to escheat proceedings.

SPONSORS: Rep. Danielson, Hills 7

COMMITTEE: Executive Departments and Administration

ANALYSIS

This bill requires the administrator to establish an owner outreach and reunification unit within the abandoned property division of the state treasury.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

14-2185

06/04

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Fourteen

AN ACT relative to escheat proceedings.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 New Paragraph; Notice and Publication of Lists of Abandoned Property. Amend RSA 471-C:20 by inserting after paragraph VII the following new paragraph:

VIII. The administrator shall establish an owner outreach and reunification unit within the abandoned property division.

2 Effective Date. This act shall take effect 60 days after its passage.

LBAO

14-2185

Revised 12/12/13

HB 1564-FN - FISCAL NOTE

AN ACT relative to escheat proceedings.

FISCAL IMPACT:

    The Department of Treasury and New Hampshire Association of Counties state this bill, as introduced, may decrease state general fund revenue by $300,000 in FY 2016 and each year thereafter, and increase state general fund expenditures by $98,896 in FY 2016, $91,164 in FY 2017, and $94,312 in FY 2018. The bill will have an indeterminable impact on county revenue in FY 2016 and each year thereafter. There will be no impact on local revenue, or county and local expenditures.

METHODOLOGY:

    The Department of Treasury states this bill establishes an owner outreach and reunification unit within the Abandoned Property Division. The Unit will be responsible for the creation and implementation of a dedicated plan, utilizing investigative and public outreach search techniques, to increase the amount of abandoned property returned to citizens of the state each year. The Department states the bill will have no fiscal impact in FY 2014 and FY 2015. Although the Department will take immediate steps to further the Unit’s creation, the Unit will not be operational until a budgetary appropriation is established in the FY 2016/2017 budget. Beginning in FY 2016, the Department will create a new position to staff the unit, and will incur travel and other expenditures related to owner reunification efforts. The Department projects these expenditures as follows:

 

FY 2016

FY 2017

FY 2018

Position-Related Expenditures:

     

Salary (LG 20, with Annual Steps)

$36,836

$38,435

$39,995

Benefits

$25,810

$27,329

$28,918

Equipment

$3,350

$0

$0

Current Expenses

$1,400

$1,400

$1,400

       

Other Expenditures:

     

Overtime

$12,000

$12,000

$12,000

Travel

$11,000

$11,000

$11,000

Hardware for Remote Outreach Efforts

$2,000

$0

$0

Trade Show Display Booth, Promotional Items, Etc

$4,500

$1,000

$1,000

Total Cost

$96,896

$91,164

$94,312

    Currently, the Abandoned Property Division returns an average of $5,500,000 to abandoned property owners each year. The Department estimates the new Unit will increase returns to property owners by $300,000 per year, decreasing general fund revenue by the same amount. The Department states that it will strive to continually increase the annual percentage of abandoned funds returned to the rightful owner. Each appreciable increase will have a further negative impact on general fund revenue.

    The New Hampshire Association of Counties states this bill will have little, if any, impact on county revenue.