SB510: crediting excess funds in the investor education fund to the FRM victim's fund.

SB 510-FN-A - AS AMENDED BY THE SENATE

01/30/2020 0175s

2020 SESSION

20-2983

11/04

SENATE BILL 510-FN-A

AN ACT crediting excess funds in the investor education fund to the FRM victim's fund.

SPONSORS: Sen. Giuda, Dist 2; Sen. D'Allesandro, Dist 20; Rep. Weyler, Rock. 13; Rep. L. Ober, Hills. 37

COMMITTEE: Ways and Means

ANALYSIS

This bill requires that a certain amount of excess moneys from the investor education fund be deposited in the FRM victims' contribution recovery fund.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

01/30/2020 0175s 20-2983

11/04

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Twenty

AN ACT crediting excess funds in the investor education fund to the FRM victim's fund.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 New Paragraph; FRM Victims' Contribution Recovery Fund. Amend RSA 359-P:2 by inserting after paragraph I the following new paragraph:

I-a. In addition to the funds contributed under paragraph I, the fund shall also consist of the amount contributed under RSA 421-B:6-601(j).

2 New Subparagraph; Uniform Securities Act; Administration of Chapter; Investor Education Fund. Amend RSA 421-B:6-601 by inserting after subparagraph (i) the following new subparagraph:

(j) Any excess of the funds credited to the general fund pursuant to paragraph (h) up to $500,000 per fiscal year shall be contributed to the FRM victims' contribution recovery fund established in RSA 359-P:2.

3 Repeal. The following are repealed:

I. RSA 359-P:2, I-a, relative to funds contributed pursuant to RSA 421-B:6-601(j).

II. RSA 421-B:6-601(j), relative to moneys contributed to the FRM victims' contribution recovery fund.

4 Effective Date.

I. Section 3 of this act shall take effect July 1, 2024.

II. The remainder of this act shall take effect June 30, 2020.

LBAO

20-2983

Amended 2/3/20

SB 510-FN-A- FISCAL NOTE

AS AMENDED BY THE SENATE (AMENDMENT #2020-0175s)

AN ACT crediting excess funds in the investor education fund to the FRM victim's fund.

FISCAL IMPACT: [ X ] State [ ] County [ ] Local [ ] None

Estimated Increase / (Decrease)

STATE:

FY 2020

FY 2021

FY 2022

FY 2023

Appropriation

$0

$0

$0

$0

Revenue

$0

$0

$0

$0

Expenditures

$0

$0

$0

$0

Funding Source:

[ X ] General [ ] Education [ ] Highway [ X ] Other - FRM Victims' Recovery Fund

METHODOLOGY:

This bill requires that a certain amount of excess money from the investor education fund be deposited in the FRM Victims' Recovery Fund instead of the State General Fund. The Bureau of Securities Regulation indicates this bill would require up to $500,000 of the amount in excess of $725,000 from the Investor Education Fund to be deposited in the FRM Victims' Recovery Fund. Under current law, amounts in excess of $725,000 are deposited in the State General Fund. The Bureau indicates the excess has exceeded $500,000 for the last three years but notes there is no guarantee this would be the case in any given fiscal year. The fiscal impact of this bill will be a decrease of up to $500,000 in State General Fund revenue and an increase of up to $500,000 in FRM Victims' Recovery Fund revenue.

AGENCIES CONTACTED:

Department of State, Bureau of Securities Regulation