REPRESENTATIVES Young, Buehrer, Reidelbach, Williams, Flowers, Hagan, Cates, Willamowski, Setzer, Barrett, Perry, Cirelli, Hoops

To amend section 169.02 of the Revised Code to exempt

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wages of fifty dollars or less from coverage under

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the Unclaimed Funds Law.

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BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

Section 1. That section 169.02 of the Revised Code be amended	4
to read as follows:	5

Sec. 169.02.  Subject to division (B) of section 169.01 of	6
the Revised Code, the following constitute unclaimed funds:	7

(A) Except as provided in division (R) of this section, any	8
demand, savings, or matured time deposit account, or matured	9
certificate of deposit, together with any interest or dividend on	10
it, less any lawful claims, that is held or owed by a holder which	11
is a financial organization, unclaimed for a period of five years;	12

(B) Any funds paid toward the purchase of withdrawable	13
shares or other interest in a financial organization, and any	14
interest or dividends on them, less any lawful claims, that is	15
held or owed by a holder which is a financial organization,	16
unclaimed for a period of five years;	17

(C) Except as provided in division (A) of section 3903.45 of	18
the Revised Code, moneys held or owed by a holder, including a	19
fraternal association, providing life insurance, including annuity	20
or endowment coverage, unclaimed for three years after becoming	21
payable as established from the records of such holder under any	22
life or endowment insurance policy or annuity contract that has	23
matured or terminated. An insurance policy, the proceeds of which	24
are payable on the death of the insured, not matured by proof of	25
death of the insured is deemed matured and the proceeds payable if	26
such policy was in force when the insured attained the limiting	27
age under the mortality table on which the reserve is based.	28

Moneys otherwise payable according to the records of such	29
holder are deemed payable although the policy or contract has not	30
been surrendered as required.	31

(D) Any deposit made to secure payment or any sum paid in	32
advance for utility services of a public utility and any amount	33
refundable from rates or charges collected by a public utility for	34
utility services held or owed by a holder, less any lawful claims,	35
that has remained unclaimed for one year after the termination of	36
the services for which the deposit or advance payment was made or	37
one year from the date the refund was payable, whichever is	38
earlier;	39

(E) Except as provided in division (R) of this section, any	40
certificates, securities as defined in section 1707.01 of the	41
Revised Code, nonwithdrawable shares, other instruments evidencing	42
ownership, or rights to them or funds paid toward the purchase of	43
them, or any dividend, capital credit, profit, distribution,	44
interest, or payment on principal or other sum, held or owed by a	45
holder, including funds deposited with a fiscal agent or fiduciary	46
for payment of them, and instruments representing an ownership	47
interest, unclaimed for five years. Any underlying share or other	48
intangible instrument representing an ownership interest in a	49
business association, in which the issuer has recorded on its	50
books the issuance of the share but has been unable to deliver the	51
certificate to the shareholder, constitutes unclaimed funds if	52
such underlying share is unclaimed for five years. In addition,	53
an underlying share constitutes unclaimed funds if a dividend,	54
distribution, or other sum payable as a result of the underlying	55
share has remained unclaimed by the owner for five years.	56

This division shall not prejudice the rights of fiscal agents	57
or fiduciaries for payment to return the items described in this	58
division to their principals, according to the terms of an agency	59
or fiduciary agreement, but such a return shall constitute the	60
principal as the holder of the items and shall not interrupt the	61
period for computing the time for which the items have remained	62
unclaimed.	63

In the case of any such funds accruing and held or owed by a	64
corporation under division (E) of section 1701.24 of the Revised	65
Code, such corporation shall comply with this chapter, subject to	66
the limitation contained in section 1701.34 of the Revised Code.	67
The period of time for which such funds have gone unclaimed	68
specified in section 1701.34 of the Revised Code shall be	69
computed, with respect to dividends or distributions, commencing	70
as of the dates when such dividends or distributions would have	71
been payable to the shareholder had such shareholder surrendered	72
the certificates for cancellation and exchange by the date	73
specified in the order relating to them.	74

Capital credits of a cooperative which after January 1, 1972,	75
have been allocated to members and which by agreement are	76
expressly required to be paid if claimed after death of the owner	77
are deemed payable, for the purpose of this chapter, fifteen years	78
after either the termination of service by the cooperative to the	79
owner or upon the nonactivity as provided in division (B) of	80
section 169.01 of the Revised Code, whichever occurs later,	81
provided that this provision does not apply if the payment is not	82
mandatory.	83

(F) Any sum payable on certified checks or other written	84
instruments certified or issued and representing funds held or	85
owed by a holder, less any lawful claims, that are unclaimed for	86
five years from the date payable or from the date of issuance if	87
payable on demand; except that the unclaimed period for money	88
orders that are not third party bank checks is seven years, and	89
the unclaimed period for traveler's checks is fifteen years, from	90
the date payable or from the date of issuance if payable on	91
demand.	92

As used in this division, "written instruments" include, but	93
are not limited to, certified checks, cashier's checks, bills of	94
exchange, letters of credit, drafts, money orders, and traveler's	95
checks.	96

If there is no address of record for the owner or other	97
person entitled to the funds, such address is presumed to be the	98
address where the instrument was certified or issued.	99

(G) Except as provided in division (R) of this section, all	100
moneys, rights to moneys, or other intangible property, arising	101
out of the business of engaging in the purchase or sale of	102
securities, or otherwise dealing in intangibles, less any lawful	103
claims, that are held or owed by a holder and are unclaimed for	104
five years from the date of transaction.	105

(H) Except as provided in division (A) of section 3903.45 of	106
the Revised Code, all moneys, rights to moneys, and other	107
intangible property distributable in the course of dissolution or	108
liquidation of a holder that are unclaimed for one year after the	109
date set by the holder for distribution;	110

(I) All moneys, rights to moneys, or other intangible	111
property removed from a safe-deposit box or other safekeeping	112
repository located in this state or removed from a safe-deposit	113
box or other safekeeping repository of a holder, on which the	114
lease or rental period has expired, or any amount arising from the	115
sale of such property, less any lawful claims, that are unclaimed	116
for three years from the date on which the lease or rental period	117
expired;	118

(J) Subject to division (M)(2) of this section, all moneys,	119
rights to moneys, or other intangible property, and any income or	120
increment on them, held or owed by a holder which is a fiduciary	121
for the benefit of another, or a fiduciary or custodian of a	122
qualified retirement plan or individual retirement arrangement	123
under section 401 or 408 of the Internal Revenue Code, unclaimed	124
for three years after the final date for distribution;	125

(K) All moneys, rights to moneys, or other intangible	126
property held or owed in this state or held for or owed to an	127
owner whose last known address is within this state, by the United	128
States government or any state, as those terms are described in	129
division (E) of section 169.01 of the Revised Code, unclaimed by	130
the owner for three years, excluding any property in the control	131
of any court in a proceeding in which a final adjudication has not	132
been made;	133

(L) Amounts payable pursuant to the terms of any policy of	134
insurance, other than life insurance, or any refund available	135
under such a policy, held or owed by any holder, unclaimed for	136
three years from the date payable or distributable;	137

(M)(1) Subject to division (M)(2) of this section, any funds	138
constituting rents or lease payments due, any deposit made to	139
secure payment of rents or leases, or any sum paid in advance for	140
rents, leases, possible damage to property, unused services,	141
performance requirements, or any other purpose, held or owed by a	142
holder unclaimed for one year;	143

(2) Any escrow funds, security deposits, or other moneys	144
that are received by a licensed broker in a fiduciary capacity and	145
that, pursuant to division (A)(26) of section 4735.18 of the	146
Revised Code, are required to be deposited into and maintained in	147
a special or trust, noninterest-bearing bank account separate and	148
distinct from any personal or other account of the licensed	149
broker, held or owed by the licensed broker unclaimed for two	150
years.	151

(N) Any sum greater than fifty dollars payable as wages, any	152
sum payable as salaries, or commissions, any sum payable for	153
services rendered, funds owed or held as royalties, oil and	154
mineral proceeds, funds held for or owed to suppliers, and moneys	155
owed under pension and profit-sharing plans, held or owed by any	156
holder unclaimed for one year from date payable or distributable,	157
and all other credits held or owed, or to be refunded to a retail	158
customer, by any holder unclaimed for three years from date	159
payable or distributable;	160

(O) Amounts held in respect of or represented by lay-aways	161
sold after January 1, 1972, less any lawful claims, when such	162
lay-aways are unclaimed for three years after the sale of them;	163

(P) All moneys, rights to moneys, and other intangible	164
property not otherwise constituted as unclaimed funds by this	165
section, including any income or increment on them, less any	166
lawful claims, which are held or owed by any holder, other than a	167
holder which holds a permit issued pursuant to Chapter 3769. of	168
the Revised Code, and which have remained unclaimed for three	169
years after becoming payable or distributable;	170

(Q) All moneys that arise out of a sale held pursuant to	171
section 5322.03 of the Revised Code, that are held by a holder for	172
delivery on demand to the appropriate person pursuant to division	173
(I) of that section, and that are unclaimed for two years after	174
the date of the sale.	175

(R)(1) Any funds that are subject to an agreement between	176
the holder and owner providing for automatic reinvestment and that	177
constitute dividends, distributions, or other sums held or owed by	178
a holder in connection with a security as defined in section	179
1707.01 of the Revised Code, an ownership interest in an	180
investment company registered under the "Investment Company Act of	181
1940," 54 Stat. 789, 15 U.S.C. 80a-1, as amended, or a certificate	182
of deposit, unclaimed for a period of five years.	183

(2) The five-year period under division (R)(1) of this	184
section commences from the date a second shareholder notification	185
or communication mailing to the owner of the funds is returned to	186
the holder as undeliverable by the United States postal service or	187
other carrier. The notification or communication mailing by the	188
holder shall be no less frequent than quarterly.	189

All moneys in a personal allowance account, as defined by	190
rules adopted by the director of job and family services, up to	191
and including the maximum resource limitation, of a medicaid	192
patient who has died after receiving care in a long-term care	193
facility, and for whom there is no identifiable heir or sponsor,	194
are not subject to this chapter.	195

Section 2.  That existing section 169.02 of the Revised Code	196
is hereby repealed.	197

Section 3.  Section 169.02 of the Revised Code is presented	198
in this act as a composite of the section as amended by both Am.	199
Sub. H.B. 640 and Sub. S.B. 245 of the 123rd General Assembly. The	200
General Assembly, applying the principle stated in division (B) of	201
section 1.52 of the Revised Code that amendments are to be	202
harmonized if reasonably capable of simultaneous operation, finds	203
that the composite is the resulting version of the section in	204
effect prior to the effective date of the section as presented in	205
this act.	206