Date: 01/27/2009

Final
BILL SUMMARY for HB09-1052

HOUSE COMMITTEE ON BUSINESS AFFAIRS AND LABOR

Votes: View--> Action Taken:
Moved amendment L.001 (Attachment F). The motion
Moved to refer House Bill 09-1052, as amended, to
Pass Without Objection
PASS



10:49 AM -- House Bill 09-1052

Representative Waller, prime sponsor, presented House Bill 09-1052 concerning limitations on the solicitation of donated items that will be sold for profit. HB09-1052 requires a for-profit entity who places a bin in a public place for the collection of donated items that will later be sold for profit to affix a disclosure label on the bin that states that items left in the bin will be sold for profit and are not tax-deductable. Representative Waller explained that people will donate items to these for-profit bins thinking that they donated them to a nonprofit. He said that Goodwill Industries has stated that these unmarked bins have adversely affected their donations. Representative Waller responded to questions about the number of bins that exist and what types of items are placed in the bins.

10:56 AM --
Lorrie Molli, representing Good Will Industries of Colorado Springs, testified in support of the bill. She said they have noticed these for-profit bins that are unmarked or marked asking for donations for charitable purposes. Ms. Molli said they do not want to remove these bins, they just want to inform the public and keep them from being misled. Representative Gagliardi asked whether the bill would effect bake sales or fund-raisers. Representative Waller explained that the bill only effects donation bins and does not remove them, it just requires them to be marked. Representative Ryden said she noticed that most of these bin owners are fraudulent companies and whether the bill will help regulate those companies. Representative Waller said it will not curb fraudulent companies, but it will protect the nonprofit companies. Representative Liston asked what some of the for-profit companies are and how big the sign would be required to be. Representative Waller said the bill requires the label to be conspicuously displayed in a typed or printed clearly legible form.

11:07 AM --
Richard Berninzoni, representing Good Will Industries of Denver, testified in support of the bill. He talked about the effect the economy has on donations. Mr. Berninzoni said the bill gives a level playing field for all organizations. He talked about the for-profit bins and what happens to the donated goods and explained that some of the for-profit companies rent a charity name and only give about four percent to the charity. Representative Ryden asked whether those organizations that give only four percent to charity would fall under the bill since they do give a certain amount to the charity. Representative Waller responded stating that the bill states that all the items must go to the charity.
BILL:HB09-1052
TIME: 11:13:41 AM
MOVED:Balmer
MOTION:Moved amendment L.001 (Attachment F). The motion passed without objection.

09HouseBus0127AttachF.pdf
SECONDED:Stephens
VOTE
Balmer
Bradford
Gagliardi
Liston
Priola
Ryden
Scanlan
Soper
Stephens
Casso
Rice
Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


11:15 AM

Representative Waller gave some closing remarks on the bill and talked about the importance of charitable organizations in this economy.
BILL:HB09-1052
TIME: 11:17:33 AM
MOVED:Balmer
MOTION:Moved to refer House Bill 09-1052, as amended, to the Committee of the Whole. The motion passed 10-0.
SECONDED:Liston
VOTE
Balmer
Yes
Bradford
Yes
Gagliardi
Yes
Liston
Yes
Priola
Yes
Ryden
Yes
Scanlan
Yes
Soper
Yes
Stephens
Yes
Casso
Yes
Rice
Excused
Final YES: 10 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: PASS