H. B. 2522
(By Delegate Reynolds)
[Introduced February 17, 2009; referred to the
Committee on Roads and Transportation then the
Judiciary.]
A BILL to amend and reenact §60A-7-707 of the Code of West
Virginia, 1931, as amended, relating to authorizing the
law-enforcement agency responsible for a forfeited motor
vehicle to trade the motor vehicle for a new vehicle if the
motor vehicle has little value for public auctions purposes.
Be it enacted by the Legislature of West Virginia:
That §60A-7-707 of the Code of West Virginia, 1931, as
amended, be amended and reenacted to read as follows:
ARTICLE 7. WEST VIRGINIA CONTRABAND FORFEITURE ACT.
§60A-7-707. Disposition of other forfeited property; distribution
of proceeds.
(a) When property other than that referred to in section seven
hundred six of this article is forfeited under this article, the
circuit court ordering the forfeiture, upon application by the
prosecuting attorney or the chief of the law-enforcement agency that seized
said the forfeited property, may direct:
that
(1) Title to the forfeited property be vested in the
law-enforcement agency so petitioning; or
(2) The law-enforcement agency responsible for the seizure
retain the property for official use;
or
(3) The forfeited property shall be offered at public auction
to the highest bidder for cash. Notice of such public auction
shall be published as a Class III legal advertisement in accordance
with article three, chapter fifty-nine of this code. The
publication area shall be the county where the public auction will
be held;
or
(4) If a forfeited motor vehicle does not have any value for
public auction purposes, then the law-enforcement agency
responsible for the seizure may trade the forfeited motor vehicle
for a new motor vehicle.
(b) When a law-enforcement agency receives property pursuant
to this section, the court may, upon request of the prosecuting
attorney initiating the forfeiture proceeding, require the
law-enforcement agency to pay unto the office of
said the
prosecuting attorney a sum not to exceed 10% of the value of the
property received to compensate
said the office for actual costs
and expenses incurred.
(c) The proceeds of every public sale conducted pursuant to
this section shall be paid and applied as follows: First, to the balance due on any security interest preserved by the court;
second, to the costs incurred in the storage, maintenance and
security of the property; third, to the costs incurred in selling
the property.
(d) Any proceeds of a public sale remaining after distribution
pursuant to subsection (c) of this section shall be distributed as
follows:
(1)10% of such proceeds shall be tendered to the office of
the prosecuting attorney who initiated the forfeiture proceeding.
(2) The balance shall be deposited in a special
law-enforcement investigation fund. Such fund shall be
administered by the chief of the law-enforcement agency that seized
the forfeited property sold and shall take the form of an
interest-bearing account with any interest earned to be compounded
to the fund. Any funds deposited in the special law-enforcement
investigative fund pursuant to this article shall be expended only
to defray
the costs of protracted or complex investigations, to
provide additional technical equipment or expertise, to provide
matching funds to obtain federal grants or for such other
law-enforcement purposes as the chief of the law-enforcement agency
may deem appropriate. However, these funds may not be utilized for
regular operating needs.
(e) If more than one law-enforcement agency was substantially
involved in effecting the seizure and forfeiture of property, the court wherein the petition for forfeiture was filed shall equitably
distribute the forfeited property among the law-enforcement
agencies. In the event of a public sale of such property pursuant
to subsection (a) of this section, the court shall equitably
distribute any proceeds remaining after distribution pursuant to
subsection (c) and subdivision (1), subsection (d) of this section
among such law-enforcement agencies for deposit into their
individual special law-enforcement investigative fund. Equitable
distribution shall be based upon the overall contribution of the
individual law-enforcement agency to the investigation which led to
the seizure.
(f) Upon the sale of any forfeited property
for which that
title or registration is required by law, the state shall issue a
title or registration certificate to any bona fide purchaser at a
public sale of the property conducted pursuant to subsection (a) of
this section. Upon the request of the law-enforcement agency
receiving, pursuant to the order of the court, or electing to
retain, pursuant to subsection (a) of this section, any forfeited
property for which title or registration is required by law, the
state shall issue a title or registration certificate to the
appropriate governmental body.
(g) Any funds expended pursuant to the provisions of this
section, shall only be expended
in the manner as provided in
subsection (b), section seven hundred five of this article.
(h) Every prosecuting attorney or law-enforcement agency
receiving forfeited property or proceeds from the sale of forfeited
property pursuant to this article shall submit an annual report to
the body which has budgetary authority over such agency. Such
report shall specify the type and approximate value of all
forfeited property and the amount of proceeds from the sale of
forfeited property received in the preceding year. No county or
municipality may use anticipated receipts of forfeited property in
their budgetary process.
(i) In lieu of the sale of any forfeited property subject to
a bona fide security interest preserved by an order of the court,
the law-enforcement agency receiving the forfeited property may pay
the balance due on any security interest preserved by the court
from funds budgeted to the office or department or from the special
fund and retain possession of the forfeited property for official
use pursuant to subsection (a) of this section.
(j) In every case where property is forfeited, disposition of
the forfeited property, in accordance with this article, shall be
made within six months of the date upon which the court of
jurisdiction orders forfeiture. Should the office or agency
receiving the property fail either to place the property in
official use or dispose of the property in accordance with law, the
court of jurisdiction shall cause disposition of the property
to be
made with any proceeds
therefrom to be awarded to the state.
(k) No disposition shall occur until all applicable periods
for filing a notice of intent to appeal has expired and no party in
interest shall have filed such notice. The filing of the notice of
intent to appeal shall stay any such disposition until the appeal
has been finally adjudicated or until the appeal period of 180
days has expired without an appeal having actually been taken or
filed, unless a valid extension of the appeal has been granted by
the circuit court under the provisions of section seven, article
four, chapter fifty-eight of this code.
(l) The special law-enforcement investigative funds of each
law-enforcement agency may be placed in an interest-bearing
depository insured by the federal government.
NOTE: The purpose of this bill is to authorize the
law-enforcement agency responsible for a forfeited motor vehicle to
trade the motor vehicle for a new vehicle if the motor vehicle has
little value for public auctions purposes.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would
be added.