First Regular Session Sixty-ninth General Assembly STATE OF COLORADO INTRODUCED LLS NO. 13-0745.01 Nicole Myers x4326 HOUSE BILL 13-1197 HOUSE SPONSORSHIP Lawrence, SENATE SPONSORSHIP Balmer, House Committees Senate Committees State, Veterans, & Military Affairs A BILL FOR AN ACT Concerning the prohibition of certain debt collection activities by the department of personnel. Bill Summary (Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://www.leg.state.co.us/billsummaries.) Current law requires the state controller to assist state agencies in the collection of debts due the state through such agencies. The state controller, pursuant to statutory authority, has delegated this duty to the central collection services section in the department of personnel (department). Current law also specifies that the department may provide debt collection services for political subdivisions of the state. The bill prohibits the department, including the state controller and the central collection services section, from providing debt collection services for a political subdivision of the state or for a privately owned or nonprofit entity. Be it enacted by the General Assembly of the State of Colorado: SECTION 1. In Colorado Revised Statutes, 24-30-202.4, amend (2.5) as follows: 24-30-202.4. Collection of debts due the state - controller's duties - creation of debt collection fund - definitions. (2.5) The department of personnel, including the state controller and the central collection services section of the division of finance and procurement, shall provide collection services only to state agencies as specified in subsections (1) and (2) of this section. The department of personnel, may shall not provide debt collection services for political subdivisions of the state The provisions of this section governing the time for referral of accounts to private collection agencies, write off, release, or compromise of debts shall not govern the debt collection services provided to political subdivisions except as agreed between the department and such political subdivisions or state agencies and institutions. or for any privately owned or nonprofit entity. For purposes of this subsection (2.5), "political subdivision of the state" means any county, municipality, city and county, school district, or special district. SECTION 2. Applicability. This act applies to debt collection services that are initiated on or after July 1, 2013. SECTION 3. Safety clause. The general assembly hereby finds, determines, and declares that this act is necessary for the immediate preservation of the public peace, health, and safety.