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Introduced Version Senate Bill 405 History

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Key: Green = existing Code. Red = new code to be enacted
Senate Bill No. 405

(By Senators Bowman and Plymale)

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[Introduced January 31, 2007; referred to the Committee on Government Organization.]

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A BILL to amend and reenact §12-3-1a and §12-3-1b of the Code of West Virginia, 1931, as amended, all relating to direct deposit; clarifying that only the Auditor receives authorization for direct deposit payment; permitting the Auditor to cease issuing paper warrants; and authorizing electronic notification for direct deposit payment.

Be it enacted by the Legislature of West Virginia:
That §12-3-1a and §12-3-1b of the Code of West Virginia, 1931, as amended, be amended and reenacted, all to read as follows:
ARTICLE 3. APPROPRIATIONS, EXPENDITURES AND DEDUCTIONS.

§12-3-1a. Payment by deposit in bank account.
(a) The Auditor may issue his or her warrant on the Treasurer to pay any person claiming to receive money from the Treasury by deposit to the person's account in any bank or other financial institution by electronic funds transfer if the person furnishes authorization of the method of payment. The Auditor shall prescribe the form of the authorization If the authorization is in written form, it shall be sent to the Auditor for review and approval and then forwarded in electronic form to the treasurer. If the authorization is in electronic form, it shall be sent to both the Auditor and the treasurer. The Auditor and must review and approve the authorization. This section may not be construed to require the Auditor to utilize the method of payment authorized by this section. An authorization furnished pursuant to this section may be revoked by written notice furnished to the Auditor. and then forwarded by the Auditor in electronic form to the treasurer or by electronic notice furnished to both the Auditor and the treasurer
(b) Upon execution of the authorization and its receipt by the office of the Auditor, the warrant shall be created in the manner specified on the authorization and forwarded to the Treasurer for further disposition to the designated bank or other financial institution specified on the electronic warrant. Provided, That After the first day of July, two thousand two seven, the state Auditor shall may cease issuing paper warrants. except for income tax refunds. After that date all warrants except for income tax refunds, shall be issued by electronic funds transfer: Provided, however, That the Auditor, in his or her discretion, may issue paper warrants on an emergency basis.
§12-3-1b. Voluntary direct deposits by Auditor of salaries of employees to banks or other financial institutions.
(a) Any officer or employee of the State of West Virginia may authorize the direct deposit of his or her net wages to his or her account in any bank or other financial institution by electronic funds transfer. Direct deposit authorizations shall comply with the requirements of section one-a of this article.
(b) Upon approval of an authorization, the Auditor shall issue the warrant in the manner specified on the authorization and forward the warrant to the Treasurer for further disposition to the designated bank or other financial institution on or before the day or days the officer or employee is due his or her net wages.
(c) Direct deposit authorizations may be revoked by an employee at any time thirty days prior to the date on which the direct deposit is regularly made and on a form to be provided by the Auditor. Provided, That on and after the first day of July, two thousand two,
(d) At the option of the Auditor, all wages shall be deposited directly into the employees' account at any bank or financial institution designated by the employee via electronic funds transfer or, if the employee does not have a bank account, through the West Virginia check Pay Card Program in accordance with section four, article three-a of this chapter.
(e) After the first day of July, two thousand seven, the Auditor may, upon providing thirty days' notice to employees, implement electronic notification of payment for all direct deposit recipients. An employee may choose not to receive electronic notification at any time thirty days prior to the date on which the
electronic notification is regularly made and on a form to be provided by the Auditor.


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(NOTE:
The purpose of this bill is to clarify that only the Auditor receives authorization for direct deposit payment; permitting the Auditor to cease issuing paper warrants; and authorizing electronic notification for direct deposit payment.


Strike-throughs indicate language that would be stricken from the present law, and underscoring indicates new language that would be added.)
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