2444
HOUSE OF REPRESENTATIVES                H.B. NO.           
TWENTIETH LEGISLATURE, 2000                                
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO UNCLAIMED PROPERTY.
 


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

 1      SECTION 1.  Chapter 523A, Hawaii Revised Statutes, is
 
 2 amended by adding a new section to be appropriate designated and
 
 3 to read as follows:
 
 4      "§523A-    Unclaimed property trust fund.  (a)  There is
 
 5 established in the state treasury the unclaimed property trust
 
 6 fund, which shall be administered by the director.
 
 7      (b)  The proceeds of the fund shall be used to pay claims
 
 8 for return of abandoned property to their rightful owners and to
 
 9 other states' unclaimed property programs for owners whose last
 
10 known address was in that other state.
 
11      (c)  All moneys collected by the unclaimed property program
 
12 from holders, and proceeds from the sale of unclaimed property
 
13 less costs in connection with the sale of the abandoned property
 
14 shall be deposited into the unclaimed property trust fund.
 
15      (d)  All funds in the unclaimed property trust fund in
 
16 excess of $1,000,000 remaining on balance on June 30 of each year
 
17 shall lapse to the credit of the general fund."
 
18      SECTION 2.  Section 523A-23, Hawaii Revised Statutes, is
 
19 amended to read as follows:
 

 
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 1      "[[]§523A-23[]]  Deposit of funds.(a)  Except as otherwise
 
 2 provided by this section, the director shall promptly deposit in
 
 3 the [general] unclaimed property trust fund of this State all
 
 4 funds received under this part, including the proceeds from the
 
 5 sale of abandoned property under section 523A-22.  All funds in
 
 6 excess of $1,000,000 remaining on balance in the unclaimed
 
 7 property trust fund on June 30 of each year shall be transferred
 
 8 by the director to the general fund.  The trust fund balance
 
 9 shall be invested by the director and all such investment
 
10 earnings shall be deposited to the credit of the general fund.
 
11      (b)  Before making any deposit to the credit of the
 
12 [general] unclaimed property trust fund, the director may deduct:
 
13      (1)  Any costs in connection with the sale of abandoned
 
14           property;
 
15      (2)  Costs of mailing and publication in connection with any
 
16           abandoned property;
 
17      (3)  Reasonable service charges; and
 
18      (4)  Costs incurred in examining records of holders of
 
19           property and in collecting the property from those
 
20           holders."
 
21      SECTION 3.  Section 523A-24, Hawaii Revised Statutes, is
 
22 amended by amending subsection (c) to read as follows:
 
23      "(c)  If a claim is allowed, the director shall pay [over]
 

 
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 1 via a check from the unclaimed property trust fund or deliver to
 
 2 the claimant the property or the amount the director actually
 
 3 received or the net proceeds if it has been sold by the director,
 
 4 together with any additional amount required by section 523A-21.
 
 5 If the claim is for property presumed abandoned under section
 
 6 523A-10 which was sold by the director within three years after
 
 7 the date of delivery, the amount payable for that claim is the
 
 8 value of the property at the time the claim was made or the net
 
 9 proceeds of sale, whichever is greater."
 
10      SECTION 4.  There is appropriated out of the general
 
11 revenues of the State of Hawaii the sum of $500,000, or so much
 
12 thereof as may be necessary for fiscal year 2000-2001, to be
 
13 deposited into the unclaimed property trust fund, for the purpose
 
14 of satisfying claims for return of abandoned property.
 
15      SECTION 5.  The sum appropriated shall be expended by the
 
16 department of budget and finance for the purposes of this Act.
 
17      SECTION 6.  Statutory material to be repealed is bracketed.
 
18 New statutory material is underscored.
 
19      SECTION 7.  This Act shall take effect upon its approval.
 
20 
 
21                           INTRODUCED BY:_________________________
 

 
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