Bill Text: IA SSB3195 | 2013-2014 | 85th General Assembly | Introduced
Bill Title: A study bill for an act providing a procedure for the escheatment of United States savings bonds presumed abandoned.
Spectrum: Unknown
Status: (N/A - Dead) 2014-02-17 - In Commerce [SSB3195 Detail]
Download: Iowa-2013-SSB3195-Introduced.html
Senate
Study
Bill
3195
-
Introduced
SENATE
FILE
_____
BY
(PROPOSED
COMMITTEE
ON
COMMERCE
BILL
BY
CHAIRPERSON
McCOY)
A
BILL
FOR
An
Act
providing
a
procedure
for
the
escheatment
of
United
1
States
savings
bonds
presumed
abandoned.
2
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
3
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_____
Section
1.
NEW
SECTION
.
556.9B
United
States
savings
bonds
1
——
escheatment
procedures.
2
1.
Notwithstanding
any
provision
of
this
chapter
to
the
3
contrary,
the
escheat
of
United
States
savings
bonds
and
4
proceeds
from
such
bonds
to
the
state
shall
be
governed
by
this
5
section.
6
2.
United
States
savings
bonds
held
or
owing
in
this
state
7
by
any
person,
or
issued
or
owed
in
the
course
of
a
holder’s
8
business,
or
issued
or
owed
by
a
state
or
other
government,
9
governmental
subdivision,
agency,
or
instrumentality,
and
all
10
proceeds
from
such
bonds,
shall
escheat
to
the
state
three
11
years
after
such
bonds
are
presumed
abandoned
property
under
12
section
556.9,
subsection
1.
All
property
rights
and
legal
13
title
to
and
ownership
of
such
United
States
savings
bonds
14
or
proceeds
from
such
bonds,
including
all
rights,
powers,
15
and
privileges
of
survivorship
of
any
owner,
co-owner,
or
16
beneficiary,
shall
vest
solely
in
the
state.
17
3.
Within
one
hundred
eighty
days
after
the
three-year
18
period
referred
to
in
subsection
2,
if
a
claim
has
not
been
19
filed
in
accordance
with
the
provisions
of
section
556.19
for
20
the
United
States
savings
bonds,
the
treasurer
of
state
shall
21
commence
a
civil
action
in
the
district
court
of
Polk
county
22
for
a
determination
that
the
savings
bonds
shall
escheat
to
23
the
state.
The
treasurer
of
state
may
postpone
the
bringing
24
of
such
an
action
until
sufficient
United
States
savings
bonds
25
have
accumulated
in
the
treasurer
of
state’s
custody
to
justify
26
the
expense
of
the
civil
action.
27
4.
a.
In
lieu
of
the
notice
and
publication
provisions
28
specified
in
section
556.12,
the
treasurer
of
state
or
the
29
treasurer
of
state’s
attorney
must
file
an
affidavit
or
a
30
declaration
stating
all
of
the
following
that
apply:
31
(1)
That
personal
service
of
notice
or
notification
by
32
certified
mail
has
been
attempted
at
the
last
known
address
of
33
all
named
defendants
unless
the
treasurer
or
the
treasurer’s
34
attorney
has
reason
to
believe
that
the
address
submitted
35
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by
the
holder
is
unknown
or
not
otherwise
sufficient
to
1
ensure
that
personal
service
or
delivery
of
such
notice
will
2
likely
occur.
The
notice
shall
notify
the
defendant
of
the
3
information
in
paragraph
“b”
,
subparagraphs
(1),
(2),
and
(3).
4
(2)
That
a
reasonable
effort
has
been
made
to
ascertain
the
5
names
and
addresses
of
any
defendants
sought
to
be
served
as
6
unknown
parties.
7
(3)
That
service
of
summons
pursuant
to
subparagraph
(1)
or
8
(2)
has
been
unsuccessful.
9
b.
Following
the
filing
of
the
affidavit
or
declaration
10
pursuant
to
paragraph
“a”
,
the
treasurer
of
state
shall
serve
11
notice
by
publication.
Publication
of
the
notice
shall
be
made
12
once
each
week
for
three
consecutive
weeks
in
a
newspaper
of
13
general
circulation
published
in
the
county
where
the
petition
14
is
filed.
Such
notice
shall
name
any
defendant
to
be
served
15
and
shall
notify
the
defendant
of
the
following:
16
(1)
The
defendant
has
been
sued
in
a
named
court.
17
(2)
The
defendant
must
answer
the
petition
or
other
pleading
18
or
otherwise
defend,
on
or
before
a
specified
date
that
is
19
less
than
forty-one
days
after
the
date
the
notice
is
first
20
published.
21
(3)
If
the
defendant
does
not
answer
or
otherwise
defend,
22
the
petition
or
other
pleading
will
be
taken
as
true
and
23
judgment,
the
nature
of
which
must
be
stated,
will
be
rendered
24
accordingly.
25
5.
If
a
person
does
not
file
a
claim
or
appear
at
the
26
hearing
to
substantiate
a
claim,
or
if
the
court
determines
27
that
a
claimant
is
not
entitled
to
the
property
claimed
by
28
the
claimant,
the
court,
if
satisfied
by
evidence
that
the
29
treasurer
of
state
has
substantially
complied
with
the
laws
30
of
this
state,
shall
enter
a
judgment
that
the
United
States
31
savings
bonds
have
escheated
to
the
state,
and
all
property
32
rights
and
legal
title
to
and
ownership
of
such
savings
bonds
33
or
proceeds
from
such
bonds,
including
all
rights,
powers,
34
and
privileges
of
survivorship
of
any
owner,
co-owner,
or
35
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_____
beneficiary,
have
vested
solely
in
the
state.
1
6.
The
treasurer
of
state
shall
redeem
United
States
2
savings
bonds
escheated
to
the
state
and
the
proceeds
from
the
3
redemption
shall
be
deposited
into
the
general
fund
of
the
4
state
in
accordance
with
section
556.18.
5
7.
Any
person
making
a
claim
for
the
United
States
savings
6
bonds
escheated
to
the
state
under
this
section,
or
for
the
7
proceeds
from
such
bonds,
may
file
a
claim
in
accordance
8
with
section
556.19.
Upon
providing
sufficient
proof
of
the
9
validity
of
the
person’s
claim,
the
treasurer
of
state
may
pay
10
such
claim
in
accordance
with
the
provisions
of
section
556.20.
11
EXPLANATION
12
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
13
the
explanation’s
substance
by
the
members
of
the
general
assembly.
14
This
bill
provides
a
procedure
for
the
escheatment
to
the
15
state
of
United
States
savings
bonds
presumed
to
be
abandoned.
16
The
bill
provides
that
if
a
claim
has
not
been
filed
for
the
17
United
States
savings
bonds
within
three
years
and
180
days
18
after
the
savings
bonds
were
presumed
abandoned
under
current
19
law,
the
treasurer
of
state
shall
commence
a
civil
action
in
20
the
district
court
of
Polk
county
for
a
determination
that
21
the
savings
bonds
shall
escheat
to
the
state.
The
treasurer
22
of
state
may
postpone
the
bringing
of
such
an
action
until
23
sufficient
United
States
savings
bonds
have
accumulated
in
the
24
treasurer
of
state’s
custody
to
justify
the
expense
of
the
25
civil
action.
26
The
bill
provides
that,
in
lieu
of
existing
notice
27
provisions,
and
after
either
personal
service
or
service
by
28
mail
has
been
attempted
or
there
is
reason
to
believe
that
29
such
service
or
delivery
will
be
unsuccessful,
the
treasurer
30
of
state
shall
serve
notice
of
the
civil
action
by
publication
31
in
a
newspaper
of
general
circulation
published
in
the
county
32
where
the
petition
is
filed,
naming
any
defendant
remaining
to
33
be
served.
The
notice
shall
notify
each
defendant
that
the
34
defendant
has
been
sued
in
a
named
court,
that
the
defendant
35
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must
answer
the
petition
or
other
pleading
or
otherwise
1
defend,
on
or
before
a
specified
date
not
less
than
41
days
2
after
the
date
the
notice
is
first
published
and
that
if
the
3
defendant
does
not
answer
or
otherwise
defend,
the
petition
4
or
other
pleading
will
be
taken
as
true
and
judgment
rendered
5
accordingly.
The
bill
additionally
requires
that
prior
to
6
service
by
publication,
the
treasurer
of
state
or
the
treasurer
7
of
state’s
attorney
must
file
an
affidavit
or
a
declaration
8
relating
to
efforts
undertaken
to
identify
and
serve
notice
9
upon
known
and
unknown
defendants.
10
The
bill
provides
that
if
a
claim
for
the
United
States
11
savings
bonds
is
not
filed
or
no
one
appears
at
the
hearing
12
to
substantiate
a
claim,
or
if
the
court
determines
that
13
a
claimant
is
not
entitled
to
the
property
claimed
by
the
14
claimant,
the
court,
if
satisfied
that
the
treasurer
of
state
15
has
substantially
complied
with
the
required
process,
shall
16
enter
a
judgment
that
the
savings
bonds
have
escheated
to
17
the
state.
The
treasurer
of
state
shall
redeem
the
savings
18
bonds
escheated
and
the
proceeds
from
the
redemption
shall
be
19
deposited
into
the
general
fund
of
the
state.
20
The
bill
provides
that
any
person
making
a
claim
for
the
21
United
States
savings
bonds
escheated
to
the
state
or
for
the
22
proceeds
from
such
bonds
may
file
a
claim
for
the
bonds
and
23
proceeds
and,
if
sufficient
proof
of
the
validity
of
the
claim
24
is
determined
to
exist,
the
treasurer
of
state
may
pay
the
25
claim
in
accordance
with
current
law.
26
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