BILL NUMBER: AB 1547 CHAPTERED
BILL TEXT
CHAPTER 653
FILED WITH SECRETARY OF STATE OCTOBER 6, 1997
APPROVED BY GOVERNOR OCTOBER 3, 1997
PASSED THE ASSEMBLY AUGUST 28, 1997
PASSED THE SENATE AUGUST 11, 1997
AMENDED IN SENATE JUNE 30, 1997
AMENDED IN ASSEMBLY MAY 28, 1997
AMENDED IN ASSEMBLY MAY 1, 1997
AMENDED IN ASSEMBLY APRIL 10, 1997
INTRODUCED BY Committee on Consumer Protection, Governmental
Efficiency and Economic Development (Davis (Chair), Campbell (Vice
Chair), Alquist, Figueroa, Firestone, Machado, Morrissey, Napolitano,
Ortiz, and Strom-Martin)
MARCH 5, 1997
An act to repeal Section 1326 of the Code of Civil Procedure, and
to amend Section 16302.1 of, to add Sections 16301.6, 16301.7, and
16301.8 to, and to repeal Sections 13940, 13941, 13942, 13943,
13943.1, and 13943.2 of, the Government Code, relating to state
government.
LEGISLATIVE COUNSEL'S DIGEST
AB 1547, Committee on Consumer Protection, Governmental Efficiency
and Economic Development. State government.
(1) Under existing law, specified expenditures made by the
Controller from the Unclaimed Property Fund that exceed $200 are
subject to approval by the State Board of Control.
This bill would repeal this provision.
(2) Existing law authorizes the State Board of Control to
discharge from accountability any state agency or employee that is
required to collect any state taxes, licenses, fees, or money owed to
the state for any reason that is due and payable if the moneys are
uncollectible or the amount does not justify the cost of collection.
This bill would delete this authority and related provisions and
instead authorize the Controller to discharge any state agency or
employee from accountability for the collection of taxes, licenses,
fees, or money if the debt is uncollectible or the amount of the debt
does not justify the cost of its collection. The bill would also
authorize a state agency not to collect these moneys if the amount
involved is $250 or less and the amount owed is uncollectible or does
not justify the cost of collection.
(3) This bill would also authorize the Controller rather than the
State Board of Control to adopt rules and regulations to permit state
agencies to retain overpayments made to those agencies where a
demand for refund is not made within 6 months after the refund
becomes due.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 1326 of the Code of Civil Procedure is
repealed.
SEC. 2. Section 13940 of the Government Code is repealed.
SEC. 3. Section 13941 of the Government Code is repealed.
SEC. 4. Section 13942 of the Government Code is repealed.
SEC. 5. Section 13943 of the Government Code is repealed.
SEC. 6. Section 13943.1 of the Government Code is repealed.
SEC. 7. Section 13943.2 of the Government Code is repealed.
SEC. 8. Section 16301.6 is added to the Government Code, to read:
16301.6. (a) Any state agency or employee required to collect any
state taxes, licenses, fees, or money owing to the state for any
reason that is due and payable may be discharged by the Controller
from accountability for the collection of the taxes, licenses, fees,
or money if the debt is uncollectible or the amount of the debt does
not justify the cost of its collection.
(b) The application for a discharge under this section shall be
filed with the Controller and includes all of the following:
(1) A statement of the nature and amount of the tax, license, fee,
or other money due.
(2) The names of the persons liable.
(3) The estimated cost of collection.
(4) All other facts warranting the discharge, unless the
Controller determines that the circumstances do not warrant the
furnishing of detailed information.
(c) The Controller shall audit the applications and discharge the
applicant from further accountability for collection and authorize
the applicant to close its books on that item if the Controller
determines all of the following:
(1) The matters contained in the application are correct.
(2) No credit exists against which the debt can be offset.
(3) Collection is improbable for any reason.
(4) The cost of recovery does not justify the collection.
(5) For items that exceed the monetary jurisdiction of the small
claims court, the Attorney General has advised, in writing, that
collection is not justified by the cost or is improbable for any
reason.
SEC. 9. Section 16301.7 is added to the Government Code, to read:
16301.7. A discharge of a state agency or employee pursuant to
Section 16301.6 does not release any person from the payment of any
tax, license, fee, or other money that is due and owing to the state.
SEC. 10. Section 16301.8 is added to the Government Code, to read:
16301.8. In addition to a discharge from accountability pursuant
to Section 16301.6, a state agency is not required to collect taxes,
licenses, fees, or money owed to the state if the amount to be
collected is two hundred fifty dollars ($250) or less and the amount
owed to the state is uncollectible or does not justify the cost of
collection. This authority may be revoked by the Controller if he or
she finds that the agency abused its discretion to refrain from
collecting taxes, licenses, fees, or money owed to the state.
Nothing contained in this section shall be construed as releasing any
person from the payment of any money due the state.
SEC. 11. Section 16302.1 of the Government Code is amended to
read:
16302.1. Whenever any person pays to any state agency pursuant to
law an amount covering taxes, penalties, interest, license or other
fees, or any other payment, and it is subsequently determined by the
state agency responsible for the collection thereof that this amount
includes an overpayment of ten dollars ($10) or less of the amount
due the state pursuant to the assessment, levy, or charge to which
the payment is applicable, the amount of the overpayment may be
disposed of in either of the following ways:
(1) The state agency responsible for the collection to which the
overpayment relates may apply the amount of the overpayment as a
payment by the person on any other taxes, penalties, interest,
license or other fees, or any other amount due the state from that
person if the state agency is responsible by law for the collection
to which the overpayment is to be applied as a payment.
(2) Upon written request of the state agency responsible for the
collection to which the overpayment relates, the amount of the
overpayment shall, on order of the Controller, be deposited as
revenue in the fund in the State Treasury into which the collection,
exclusive of overpayments, is required by law to be deposited.
The Controller may adopt rules and regulations to permit state
agencies to retain these overpayments where a demand for refund
permitted by law is not made within six months after the refund
becomes due; and the retained overpayments shall belong to the state.
Except as provided in the foregoing paragraph, this section shall
not affect the right of any person making overpayment of any amount
to the state to make a claim for refund of the overpayment, nor the
authority of any state agency or official to make payment of any
amount so claimed, if otherwise authorized by law.