Bill Summary for Bill Number HB10-1114

Date: 02/09/2010

Final
BILL SUMMARY for HB10-1114

HOUSE COMMITTEE ON BUSINESS AFFAIRS AND LABOR

Votes: View-->	Action Taken:
Move to amend Amendment L.001 to strike lines 28 t Moved amendment L.001 (Attachment D). The motion Moved to refer House Bill 10-1114, as amended, to	FAIL Pass Without Objection PASS

11:18 AM -- House Bill 10-1114

Representative Liston, prime sponsor, presented House Bill 1114 concerning the registration of agents of persons in the business of transmitting money. Under current law, money transmitters are required to be licensed but their agents are not. The amendment requires the registration of money transmitter agents and sets the procedures and requirements for registration, including providing information submitted to the banking board and the signing of a statement affirming knowledge of money laundering laws.

Under penalty of a Class 2 misdemeanor for a first offense and a Class 1 misdemeanor for a second or subsequent offense, a licensed money transmitter is prohibited from knowingly employing an agent who has been convicted of certain offenses, or employing anyone under 18 years of age to perform money transmission services. Access to information sent to the banking board is open to law enforcement officers acting within the scope and course of their official duties.

Representative Liston distributed a handout (Attachment C).

11:23 AM -- Detective Adrian Vasquez, representing the Drug Enforcement Agency, testified in support of the bill. He talked about the use of money transmitters in criminal activities, including drug dealing and laundering money to other countries. Detective Vasquez explained the limits detectives have when investigating transmitters and how this bill came about.

11:27 AM -- Sarah McCaslin, a Colorado Springs Police Officer on the DEA Task Force, testified in support of the bill. She discussed a number of undercover operations on money transmitters. She explained that most stores will have a number of phones, one for each company, as shown in the handout Representative Liston distributed.

11:36 AM -- Pam Johnson, a Colorado Springs Police Officer on the DEA Task Force, testified in support of the bill. She walked the committee through the bill and explained what problem each provision is attempting to address, including removing current barriers the Division of Banking has with sharing information with law enforcement. Representative Bradford asked about the age requirement for the agents under the bill. Detective Johnson explained that under the law, a juvenile is under the age of 18 and an adult is 18 or over so that is what they went with age 18. Representative Balmer asked how it works in a retail store and talked about the fact that many stores hire 16- to 18-year-old employees working in these establishments. Representative Liston explained the reasons behind using the age 18 and explained that most stores currently do not allow employees under the age of 18 to transmit money. A discussion regarding the age requirement ensued.

11:54 AM -- Jim Schrant, resident agent in charge of the DEA, testified on the bill. He talked about a number of investigations that have found that drug cartels are using Colorado transmitters to get drug proceeds from the United States to Mexico. Mr. Schrant addressed the age issue that was discussed earlier.

11:58 AM -- Albert Villasueo, representing the DEA, testified in support of the bill. He said the issue is not exclusive to Colorado Springs, they have seen the same practice in his area.

12:01 PM -- Fred Joseph, acting state Banking Commissioner, Colorado Division of Banking, testified in support of the bill.

12:04 PM -- Tom Hill, representing the County Sheriffs of Colorado, testified in support of the bill.

12:05 PM -- Greg Romberg, representing the Colorado Press Association and the Colorado Broadcasters Association, expressed a concern with the language on page five that states that certain information would not be open to the public.

12:07 PM -- Chris Howes, representing the Colorado Retail Council, testified on the bill. He addressed the age requirement issue that was discussed earlier. Mr. Howes said in most cases minors are supervised by an adult and so there should be an adult there to take care of it already. Another discussion regarding age requirements ensued.

12:14 PM -- Geoff Blue, representing the Colorado Attorney General's Office, testified in support of the bill. He said they have not set a position on the age. Representative Balmer asked a question about the age requirement. Representative Rice asked Mr. Blue to get back to the committee with the Attorney General's stance on the age requirement. Representative A. Kerr asked a question about the committee assignment.


BILL:	HB10-1114
TIME:	12:20:42 PM
MOVED:	Liston
MOTION:	Moved amendment L.001 (Attachment D). The motion passed without objection.
SECONDED:	Balmer
		VOTE
	Balmer
	Bradford
	Casso
	Kerr A.
	Liston
	Middleton
	Priola
	Soper
	Stephens
	Gagliardi
	Rice

Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


BILL:	HB10-1114
TIME:	12:21:26 PM
MOVED:	Kerr A.
MOTION:	Move to amend Amendment L.001 to strike lines 28 through 30 on page 3. The motion failed 9-2.
SECONDED:	Middleton
		VOTE
	Balmer	No
	Bradford	No
	Casso	No
	Kerr A.	Yes
	Liston	No
	Middleton	Yes
	Priola	No
	Soper	No
	Stephens	No
	Gagliardi	No
	Rice	No

Not Final YES: 2 NO: 9 EXC: 0 ABS: 0 FINAL ACTION: FAIL


BILL:	HB10-1114
TIME:	12:28:18 PM
MOVED:	Liston
MOTION:	Moved to refer House Bill 10-1114, as amended, to the Committee on Appropriations. The motion passed 10-1.
SECONDED:	Bradford
		VOTE
	Balmer	Yes
	Bradford	Yes
	Casso	Yes
	Kerr A.	No
	Liston	Yes
	Middleton	Yes
	Priola	Yes
	Soper	Yes
	Stephens	Yes
	Gagliardi	Yes
	Rice	Yes

Final YES: 10 NO: 1 EXC: 0 ABS: 0 FINAL ACTION: PASS