United States savings bonds shall be deemed abandoned when they have remained unclaimed for more than 3 years after their date of maturity and shall escheat to the state 3 years after abandonment. At least 180 days after the bonds escheat to the state, the Treasurer shall bring a civil action to confirm that the bonds shall escheat to the state.

The Treasurer shall retain records of the names associated with such bonds that shall be made available for public inspection.

Under current law, certain personal property that is held or owing in the ordinary course of business that is unclaimed by the owner is considered abandoned after 7 years and is to be delivered to the state. Under the act, outstanding checks, drafts, credit balances, customers' overpayment, and any unidentified remittance are not considered abandoned if there is an ongoing business relationship.

Currently, the abandonment period for payroll checks is 5 years. This act reduces that period to 3 years beginning January 1, 2015.

The act excludes business credits from being treated as unclaimed property. The term "business credits" is defined as "any credit offered by one business entity to another business entity to be applied in exchange for goods or services but does not have a redeemable cash value".

The act creates a statute of limitations for enforcement actions of 3 years from when a report is filed or when notified of a dispute. That limit is extended to 6 years if a fraudulent report is filed.

Holders who have filed reports that are aggrieved by a decision of the treasurer shall be entitled to an administrative hearing.

Provisions relating to U.S. savings bonds carry an emergency clause.

This act contains provisions identical to SCS/SB 995 (2014) and is similar to HB 1693 (2014).

CHRIS HOGERTY