FISCAL NOTE
Date Requested: February 25, 2025
Time Requested: 03:57 PM |
| Agency: |
Financial Institutions, West Virginia Division of |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 3194 |
Introduced |
SB561 |
|
|---|
| CBD Subject: |
Banking and Finance; Uniform Laws |
|---|
|
FUND(S):
None
Sources of Revenue:
Special Fund
Legislation creates:
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The Uniform Special Deposits Act as proposed in SB561 will have no impact on state revenues or expenses. It creates a permissible deposit program for financial institutions to use subject to certain conditions.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2025
Increase/Decrease
(use"-") |
2026
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
0 |
0 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
0 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
The Uniform Special Deposits Act as presented in SB561 will have no impact on the revenues and expenses of the State of West Virginia.
Memorandum
Senate Bill 561, the Uniform Special Deposits Act, applies to relationships between a financial institution and its depositors under certain circumstances outlined in the code. The bill stems from a work product that was adopted by the Uniform Law Commission. Unlike deposits that are payable on a customer’s order, special deposits are established for a particular purpose, and a beneficiary becomes entitled to payment after a determination is made that a specified contingency has occurred. This relationship is outlined in a contractual account agreement between a financial institution and the persons seeking to make the special deposit.
A government entity arguably could be a party to a special deposit arrangement, but that relationship likely will have no impact on government revenues and expenses outside of any typical deposit arrangement depending upon the terms of the contractual agreement.
Person submitting Fiscal Note: Kathy Lawson
Email Address: klawson@wvdob.org