HomeMy WebLinkAboutESCHEAT UNCLAIMED FUNDS UNDER $15.00 PER GOVERNTMENT CODE 50 PIR F 0,
Council/Agency Meeting Held:2-- X-b4 2006 SEDI -1 PH 55: 28
Deferred/Continued to:
MrA-pproved El Conditionally Approved
WviCity Clerk's Signaillre
Council Meeting Date: 9/18/2006 Department ID Number: CT06-14
CITY OF HUNTINGT6N BEACH
REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS
SUBMITTED BY: SHARI L. FREIDENRICH, City Treasur
nd,
PREPARED BY: SHARI L. FREIDENRICH, City Treasur�4
SUBJECT: ESCHEAT $1,297.52 OF UNCLAIMED FUNDS UNDER $15.00 PER
GOVERNTIVIENT CODE 50055 TO GENERAL FUND
Statement of Issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachment(s)
Statement of Issue: The City is holding $1,297.52 of unclaimed funds under $15.00. Per
Government - Code Section 50055, unclaimed funds less than $15.00, which remain
unclaimed for over one year, become the property of the City.
Funding Source: Not applicable.
Recommended Action: Motion to: Review and approve the transfer of $1,297.52 of
unclaimed funds less than $15.00 to the unappropriated General Fund in compliance with
Government Code Section 50055.
Alternative Action(s),: Deny transfer of funds and do not comply with the Government
Code.
REQUEST FOR CITY COUNCIL ACTION
MEETING DATE: 9/18/2006 DEPARTMENT ID NUMBER: CT06-14
Analysis: The City Treasurer has developed a procedure based on Government Code
Section 50055 (Attachment 1) for the escheatment of funds (Attachment 2). These
unclaimed funds in the amount of $1,297.52 are identified in Attachment 3. Pursuant to
Government Code Section 50055, if individual items are under $15.00 and have remained
unclaimed for over one year, they can be transferred to the general fund by an act of the City
Council without the necessity of publication of a notice in a newspaper.
Under the procedure, the City Treasurer received a list (Attachment 3) from the Finance
Department of unclaimed funds consisting of outstanding checks and water refunds which
have remained unclaimed for over one year that are less than $15.00. These unclaimed
funds total the amount of$1,297.50.
This RCA requests City Council to approve the transfer of these funds.
Environmental Status: Not applicable.
Attachment(s):
City Clerk's
. - NumberDescription
,. 1. Copy of Government Code Sections 50050 to 50056
2. Escheatment of Funds Procedure
3. Listing of unclaimed funds over 1 year old and under $15.00 minimum
-2- 8/25/2006 12:32 PM
Government Code Sections 50050 to 50056
Attachment 1
CA Codes (gov:50050-50057) Page 1 of 3
GOVERNMENT CODE
SECTION 50050-50057
50050. For purposes of this article, "local agency" includes all
districts. Except as otherwise provided by law, money, excluding
restitution to victims, that is not the property of a local agency
that remains unclaimed in its treasury or in the official custody of
its officers for three years is the property of the local agency
after notice if not claimed or if no verified complaint is filed and
served. At any time after the expiration of the three-year period,
the treasurer of the local agency may cause a notice to be published
once a week for two successive weeks in a newspaper of general
circulation published in the local agency. Money representing
restitution collected on behalf of victims shall be either deposited
into the Restitution Fund or used by the local agency for purposes of
victim services after the expiration of the three-year period.
However, with respect to moneys deposited with the county treasurer
pursuant to Section 7663 of the Probate Code, this three-year period
to claim money held by a local agency is extended for an infant or
person of unsound mind until one year from the date his or her
disability ceases.
For purposes of this section, "infant" and "person of unsound mind"
have the same meaning as given to those terms as used in Section
1441 of the Code of Civil Procedure.
50051. The notice shall state the amount of money, the fund in
which it is held, and that it is proposed that the money will become
the property of the local agency on a designated date not less than
forty-five days nor more than sixty days after the first publication
of the notice.
50052. Upon or prior to publication, a party of interest may file a
claim with the treasurer which must include the claimant's name,
address, amount of claim, the grounds on which the claim is founded,
and any other information that may be required by the treasurer. The
claim shall be filed before the date the unclaimed money becomes the
property of the local agency as provided under Section 50051 and the
treasurer shall accept or reject that claim. If the claim is
rejected by the treasurer, the party who submitted the claim may file
a verified complaint seeking to recover all, or a designated part,
of the money in a court of competent jurisdiction within the county
in which the notice is published, and serves a copy of the complaint
and the summons issued thereon upon the treasurer. The copy of the
complaint and summons shall be served within 30 days of receiving
notice that the claim was rejected. The treasurer shall withhold the
release of the portion of unclaimed money for which a court action
has been filed as provided in this section until a decision is
rendered by the court.
50052.5. (a) Notwithstanding Section 50052, the treasurer may
release to the depositor of the unclaimed money, their heir,
beneficiary, or duly appointed representative, unclaimed money if
claimed prior to the date the money becomes the property of the local
agency upon submitting proof satisfactory to the treasurer, unless
the unclaimed money is deposited pursuant to Section 7663 of the
http://www.leginfo.ca.gov/cgi-bin/displaycode?section=gov&group=50001-51000&file=5... 1/12/2006
CA Codes (gov:50050-50057) Page 2 of 3
Probate Code.
(b) Notwithstanding Section 50052, the treasurer may release
unclaimed money deposited with the county treasurer pursuant to
Section 7663 of the Probate Code, to any adult blood relative of
either the decedent or the decedent's predeceased spouse.
(c) Notwithstanding Section 50052, the treasurer may release
unclaimed money deposited with the county treasurer pursuant to
Section 7663 of the Probate Code to the parent who has legal and
physical custody of a minor who is a blood relative of either the
decedent or the decedent's predeceased spouse without the need to
appoint a legal guardian for the minor as follows:
(1) If the value of the unclaimed money deposited with the county
treasurer is five thousand dollars ($5, 000) or less, the treasurer
may release the money according to Section 3401 of the Probate Code.
(2) If the value of the unclaimed money deposited with the county
treasurer is sixty thousand dollars ($60,000) or less, and the money
is not released under paragraph (1) , the unclaimed money may be
released by the treasurer to the parent who shall, after payment of
any costs incurred in making the claim, hold the money in trust, to
be used only for the care, maintenance, and education of the minor,
and the parent shall be liable therefor to the minor under the
fiduciary laws of this state. The money held in trust shall be
released to the minor when the minor reaches the age of majority.
(d) The claim shall be presented to the county treasurer in
affidavit form and signed under penalty of perjury. Notwithstanding
Section 13101 of the Probate Code, the claimant, to be entitled to
the entire escheated estate, needs only to establish with documentary
proof the existence of a blood relationship to either the decedent
or of the predeceased spouse, if any, and the documentary proof, if
regular on its face, need not be certified. Notwithstanding Section
13101 of the Probate Code, the claimant shall not be required to
declare that no other person has an equal or superior claim to the
escheated estate.
The county treasurer may rely in good faith on the sworn
statements made in the claim and shall have no duty to inquire into
the truth or credibility of evidence submitted.
In paying out the escheated estate, the county treasurer shall be
held harmless to all. Payment shall act as total acquittance and
shall completely discharge the county treasurer from any liability.
If the county treasurer rejects any claim made hereunder, the
claimant may take his or her grievance to the Superior Court of the
county holding the escheated estate.
Any claim paid hereunder shall be paid without interest.
50053. When any such money becomes the property of a local agency
and is in a special fund, the legislative body may transfer it to the
general fund.
50054. Whenever any city or county or city and county renders
construction services or constructs public works for any city,
county, city and county or any other governmental agency below the
level of the state government, the price charged for such services or
construction shall be sufficient to reimburse the governmental body
performing such services for the full cost thereof including labor,
material, equipment costs or rentals and a reasonable allowance for
overhead. In computing overhead, without limitation on other factors
properly includable, there shall be allocated to the overhead cost
its proportionate share of indirect labor and administrative costs.
http://www.leginfo.ca.gov/cgi-bin/displaycode?section=gov&group=50001-51000&file=5... 1/12/2006
CA Codes (gov:50050-50057) Page 3 of 3
50055. Any other provision of this article notwithstanding, any
individual items of less than fifteen dollars ($15) , or any amount if
the depositor's name is unknown, which remain unclaimed in the
treasury or in the official custody of an officer of a local agency
for the period of one year or upon an order of the court may be
transferred to the general fund by the legislative body without the
necessity of publication of a notice in a newspaper.
50056. The responsibilities of the treasurer as provided under this
article may be delegated by the treasurer to the agency, district,
or department that maintains the supporting records of the unclaimed
money based on the initial receipt or deposit of that money or both.
50057. For individual items in the amount of one thousand dollars
($1,000) or less, the legislative body of any county may, by
resolution, authorize the county treasurer to perform on its behalf
any act required or authorized to be performed by it under Sections
50050, 50053, and 50055. The resolution shall require that the
county auditor be informed of each act performed under the
authorization.
http://www.leginfo.ca.gov/cgi-bin/displaycode?section=gov&group=50001-51000&file=5... 1/12/2006
Escheatment of Funds Procedure
Attachment 2
Escheat of Money
Gov't Section 50050-50056
I. Operating Expenses—Under Minimum($15.00)
Finance Office:
A) At the end of every fiscal year, identify all outstanding checks by check
number, date, name and fund which are under $15.00 and which are over
one(1)year old for all bank accounts. Provide list to City Treasurer.
City Treasurer Department:
B) City Treasurer to request Council action for approval of the transfer of
these funds to revenue in the general fund.
11. Operating Expenses—Equal or Greater Than Minimum($15.00)
Finance:
A) At the end of every fiscal year, identify all outstanding checks by check
number, date, name and fund which are equal or greater than $15.00 and
which are over 1 year old. Send a letter notifying payees of outstanding
check that has reached "Abandoned Property Status" allowing three (3)
weeks for response.
B) Upon receipt of a letter, a party of interest may file a claim with the City
Treasury which must include claimant's name, address, amount of claim,
the grounds on which the claim is founded and any other information that
may be required by the City Treasurer. (Copy of"Claim form" attached.)
The City Treasurer will provide this to the Finance Officer for review and
approval. If approved, paperwork for issuance of a new check will be
processed by accounting.
C) After the response period has expired, identify these items as stale over
one(1)year.
D) At the end of every fiscal year, identify all remaining outstanding checks
over three (3) years old including check number, date, name and fund and
move to Unclaimed Warrants account. Provide list to City Treasurer.
City Treasurer Department:
E) City Treasurer will provide list to City Clerk to publish unclaimed moneys
in a newspaper notice. The notice is to be published once a week for two
Office of the City Treasurer
policies\escheat.doc 1/12/2006
successive weeks in a newspaper of general circulation published in the
City. The notice shall state the amount of money, the fund in which it is
held, and that it is proposed that the money will become the property of the
City on a designated date not less than forty-five (45) days nor more than
sixty(60) days after the first publication of the notice.
F) Upon publication, a party of interest may file a claim with the City
Treasurer which must include claimant's name, address, amount of claim,
the grounds on which the claim is founded and any other information that
may be required by the City Treasurer. (Copy of"Claim Form" attached.)
The City Treasurer will provide this to the Finance Officer for review and
approval. if approved, paperwork for issuance of a new check will be
processed by accounting.
G) After the second publication in a newspaper, the City Treasurer will
prepare an RCA and request Council take action to approve the transfer of
all amounts in the Unclaimed Warrants account over three (3)years old to
the General Fund or if it is restitution collected on behalf of victims, it
shall be either deposited into the Restitution Fund or used by the City for
purposes of victim services after the expiration of the three-year period.
III. Bond Funds—Under Minimum($15.00)
Finance Office:
A) At the end of every fiscal year, identify all outstanding checks by check
number, date, name and fund which are under$15.00 and which are over 1
year. Provide list to City Treasurer.
City Treasurer Department:
B) City Treasurer to request Council action for approval of the transfer of
these funds to revenue in the general fund.
IV. Bond Funds—Equal or Greater Than Minimum($15.00)
Finance Office:
B) At the end of every fiscal year, identify all outstanding checks by check
number, date, name and fund which are equal or greater than $15.00 and
which are over i year old. Send a letter notifying payees of outstanding
check that has reached "Abandoned Property Status" allowing three (3)
weeks for response.
B) Upon receipt of a letter, a party on interest may file a claim with the City
Treasurer which must include claimant's name, address, amount of claim,
Office of the City Treasurer
policies\escheat.doc 1/12/2006
the grounds on which the claim is founded and any other information that
may be required by the City Treasurer. (Copy of"Claim Form" attached.)
The City Treasurer will provide this to the Finance Officer for review and
approval. If approved, paperwork for issuance of a new check will be
processed by accounting.
C) After the response period has expired, identify these items as stale over
one(1)year.
D) At the end of every fiscal year, identify all remaining outstanding checks
over three (3) years old including check number, date, name and fund and
move to Unclaimed Warrants account. Provide list to City Treasurer.
City Treasurer Department:
E) City Treasurer will provide list to City Clerk to publish unclaimed moneys
in a newspaper notice. The notice is to be published once a week for two
successive weeks in a newspaper of general circulation published in the
City. The notice shall state the amount of money, the fund in which it is
held, and that it is proposed that the money will become the property of the
City on a designated date not less than forty-five (45) days nor more than
sixty(60)days after the first publication of the notice.
F) Upon publication, a party of interest may file a claim with the City
Treasury which must include claimant's name, address, amount of claim,
the grounds on which the claim is founded and any other information that
may be required by the City Treasurer. (Copy of"Claim Form" attached.)
The City Treasurer will provide this to the Finance Officer for approval. If
a claim is approved, a new check will be issued and the amount removed
from the Unclaimed Warrants account.
G) After the second publication in a newspaper, the City Treasurer will prepare
an RCA and request Council take action to approve the transfer of all amounts
in the Unclaimed Warrants account over three (3) years old to the General
Fund.
Office of the City Treasurer
policies\escheat.doc 1/12/2006
Listing of Unclaimed Funds over 1 year old
And under $15.00 Minimum Amount
Attachment 3
Summary of Funds Under $15 to be Escheated:
Date Amount Check #
7/14/1997 $2.84 45605
7/23/1997 $6.28 45700
7/28/1997 $6.43 45709
7/30/1997 $12.31 45725
8/6/1997 $1.23 45795
8/6/1997 $13.05 45801
8/18/1997 $4.30 45891
8/18/1997 $8.27 45889
9/8/1997 $2.74 46043
9/24/1997 $1.10 46144
9/24/1997 $4.92 445875
10/8/1997 $7.78 46261
10/15/1997 $8.23 46336
10/22/1997 $1.96 46383
10/22/1997 $9.84 448098
10/29/1997 $2.89 46432
11/3/1997 $6.00 46463
11/24/1997 $11.37 46624
12/3/1997 $0.06 451019
12/10/1997 $7.46 46747
12/22/1997 $12.30 46830
12/24/1997 $6.73 46884
1/14/1998 $11.19 47062
1/14/1998 $12.23 47032
2/23/1998 $6.59 47340
3/9/1998 $7.71 47456
3/20/1998 $13.13 458125
4/6/1998 $8.73 47719
4/22/1998 $7.80 47854
4/27/1998 $5.11 47915
4/27/1998 $14.48 47897
4/29/1998 $8.28 47932
4/29/1998 $8.80 47936
5/4/1998 $3.71 47979
5/18/1998 $13.56 48105
5/18/1998 $13.62 48110
5/18/1998 $14.51 48131
6/3/1998 $10.55 48205
Page 1
Summary of Funds Under$15 to be Escheated:
Date Amount Check#
6/8/1998 $1.33 48279
6/8/1998 $7.25 48339
6/10/1998 $5.78 48378
6/17/1998 $8.00 48470
7/1/1998 $4.64 48586
7/6/1998 $9.00 48614
8/10/1998 $10.18 48918
8/12/1998 $2.58 48950
9/2/1998 $3.00 49135
9/2/1998 $5.14 49129
9/9/1998 $4.41 49184
9/16/1998 $5.81 49245
9/28/1998 $3.36 49317
9/30/1998 $5.82 49343
9/30/1998 $13.16 49351
10/12/1998 $6.65 49430
10/19/1998 $1.84 49480
10/19/1998 $5.98 49472
10/21/1998 $7.70 493956
11/2/1998 $13.83 49542
11/9/1998 $3.26 49599
11/9/1998 $6.08 49608
11/9/1998 $14.55 49621
11/10/1998 $10.00 495610
11/18/1998 $13.90 496384
11/30/1998 $4.52 49757
12/14/1998 $13.36 49880
1/4/1999 $1.52 49975
1/4/1999 $2.18 49978
1/6/1999 $1.75 50008
2/l/1999 $5.39 50153
2/8/1999 $4.51 50183
2/24/1999 $1.32 50249
4/15/1999 $1.69 50443
5/24/1999 $7.23 50668
6/14/1999 $11.31 50763
6/30/1999 $4.77 50849
6/30/1999 $5.00 521495
Page 2
Summary of Funds Under$15 to be Escheated:
Date Amount Check#
6/30/1999 $9.95 50858
7/7/1999 $2.24 50871
7/7/1999 $3.65 50883
7/12/1999 $4.82 50919
7/12/1999 $5.47 50913
8/8/1999 $1.20 51422
8/8/1999 $1.72 52074
8/8/1999 $3.22 51503
8/8/1999 $6.47 52721
8/8/1999 $9.37 51108
8/8/1999 $9.46 51458
8/8/1999 $10.06 52122
8/8/1999 $10.96 52316
8/23/1999 $13.80 53075
9/l/1999 $6.66 53128
9/8/1999 $4.67 529743
9/8/1999 $5.42 529547
9/15/1999 $14.00 530197
9/20/1999 $9.29 53203
10/4/1999 $3.24 53247
10/11/1999 $2.81 53275
10/13/1999 $2.88 533633
10/20/1999 $14.79 53327
11/2/1999 $4.96 535726
11/3/1999 $8.00 535928
11/8/1999 $11.02 53401
12/10/1999 $2.90 539809
1/19/2000 $5.38 546370
1/19/2000 $6.74 53667
2/2/2000 $6.01 53739
2/7/2000' $2.53 53759
2/16/2000 $2.00 549415
2/23/2000 $6.59 53800
3/29/2000 $11.00 554341
4/7/2000 $1.10 54155
4/7/2000 $1.73 54079
4/7/2000 $1.97 54169
4/7/2000 $2.65 54092
Page 3
Summary of Funds Under$15 to be Escheated:
Date Amount Check#
4/7/2000 $3.00 54088
4/7/2000 $3.00 54163
4/7/2000 $3.71 54148
4/7/2000 $5.00 54120
4/7/2000 $8.44 54131
4/7/2000 $10.71 54025
4/7/2000 $12.50 54203
4/7/2000 $12.53 54097
4/7/2000 $12.94 54026
4/10/2000 $3.00 54214
4/17/2000 $5.32 54243
5/8/2000 $2.45 54324
5/22/2000 $1.89 54377
5/24/2000 $1.22 54394
5/31/2000 $3.00 54407
6/12/2000 $11.63 54467
6/26/2000 $5.87 54543
7/3/2000 $3.42 54574
7/3/2000 $6.88 54583
7/3/2000 $12.88 54576
7/12/2000 $12.05 511843
8/2/2000 $10.00 568874
8/2/2000 $10.00 568875
8/14/2000 $7.52 54718
8/16/2000 $2.26 54734
8/28/2000 $2.45 54779
8/28/2000 $11.82 54783
9/6/2000 $5.75 54819
9/8/2000 $0.34 573160
9/20/2000 $1.05 54875
9/25/2000 $2.76 54887
11/1/2000 $10.00 600613
11/27/2000 $1.49 55101
1/3/2001 $8.01 55241
2/14/2001 $5.00 604585
2/28/2001 $12.18 55394
3/5/2001 $2.81 55411
3/5/2001 $14.78 55430
Page 4
Summary of Funds Under$15 to be Escheated:
Date Amount Check#
3/26/2001 $11.89 55501
3/28/2001 $10.44 55514
4/4/2001 $10.39 55544
4/4/2001 $12.81 55548
4/11/2001 $10.00 607672
4/25/2001 $5.10 55606
5/7/2001 $3.46 55632
5/14/2001 $1.32 55665
5/23/2001 $6.00 610022
5/23/2001 $11.35 55711
6/6/2001 $5.50 610711
6/11/2001 $6.97 55778
6/13/2001 $0.77 531889
6/27/2001 $1.20 55830
7/2/2001 $9.83 55843
7/9/2001 $2.14 55878
7/16/2001 $8.74 55891
7/16/2001 $13.72 55895
7/27/2001 $1.20 537124
7/27/2001 $3.76 536444
8/l/2001 $10.00 613898
8/l/2001 $14.00 613566
8/10/2001 $1.20 537966
8/27/2001 $2.53 56024
8/27/2001 $3.00 56015
8/27/2001 $3.00 56020
9/5/2001 $2.92 56044
9/12/2001 $4.30 56072
9/19/2001 $9.09 56097
10/5/2001 $5.69 540955
10/5/2001 $6.78 10853
10/17/2001 $4.86 56191
10/22/2001 $11.54 56200
10/24/2001 $13.00 618090
11/2/2001 $11.75 542410
11/19/2001 $9.83 56267
12/5/2001 $2.76 56324
12/12/2001 $6.00 620068
Page 5
Summary of Funds Under$15 to be Escheated:
Date Amount Check#
12/12/2001 $14.06 56357
12/19/2001 $8.18 56378
12/28/2001 $0.16 545129
Total $1,297.52
Page 6
RCA ROUTING SHEET
INITIATING DEPARTMENT: CITY TREASURER
SUBJECT: ESCHEATMENT
COUNCIL MEETING DATE: September 18, 2006
v
y , 771
xr
Ordinance (w/exhibits & legislative draft if applicable) Attached ❑
Not Applicable
Resolution (w/exhibits & legislative draft if applicable) Attached ❑
Not Applicable
Tract Map, Location Map and/or other Exhibits Attached ❑
Not Applicable
Contract/Agreement (w/exhibits if applicable) Attached ❑
(Signed in full by the City Attorney) Not Applicable
Subleases, Third Party Agreements, etc. Attached ❑
(Approved as to form by City Attorney) Not Applicable
Certificates of Insurance (Approved by the City Attorney) Attached ❑
Not Applicable
Fiscal Impact Statement (Unbudgeted, over $5,000) Attached ❑
Not Applicable
Bonds (If applicable) Attached ❑
Not Applicable
Staff Report (If applicable) Attached ❑
Not Applicable
Commission, Board or Committee Report (If applicable) Attached ❑
Not Applicable
Findings/Conditions for Approval and/or Denial Attached ❑
Not Applicable
Administrative Staff
Assistant City Administrator Initial
City Administrator Initial
+�City Clerk (�
G'11 ,� �Oi RE•�U 't�k, ;�' e, �• ..G',, yi �: 3 i�:
„ > /,,,e
(Below Space For City Clerk's Use Only)
RCA Author: slf