SB 1030 — Trust Funds/Department of Financial Services
by Budget Subcommittee on General Government Appropriations
This summary is provided for information only and does not represent the opinion of any Senator, Senate Officer, or Senate Office.
Prepared by: Budget Subcommittee on General Government Appropriations Committee (BGA)
The bill (Chapter 2011-25, L.O.F.) terminates the State Treasury Escrow Trust Fund, FLAIR number 43-2-622, and the Employee Refund Clearing Trust Fund, FLAIR number 43-2-194, within the Department of Financial Services, which are obsolete. The State Treasury Escrow Trust Fund was historically used to hold monies in escrow related to the transactions of state agencies, thereby eliminating the need for costly private escrow accounts. The department has not used this trust fund in recent years. The Treasury Cash Deposit Trust Fund is currently being utilized for this purpose. The Employee Refund Clearing Trust Fund was originally used as a clearing account for the deposit of salary overpayment refunds received from state employees until these funds could be transferred back to the fund of its original disbursement. The need for the Employee Refund Clearing Trust Fund was eliminated more than ten years ago when the department implemented a new process for salary refunds. The termination of these trust funds will not affect state operations.
These provisions were approved by the Governor and take effect July 1, 2011.
Vote: Senate 40-0; House 115-0