|
Home >
Issues
> IOU Reform
September 1, 2009
Chamber Supported IOU Fix
The State of California issued thousands of IOU over the
summer and many businesses experienced the inconvenience of
having to deal with this process. A Redondo Beach
Chamber-supported legislative proposal to be considered in
2010 will help fix this inconvenience in future years. The
proposal would allow any state agency to accept an IOU from
any business or individual for the payment of an outstanding
state financial obligation.
The legislative proposal, AB 1506, allows a business or
individual to use the IOU at full face value to make
payments to the state, such as DMV registration and tax
payments. Authored by Assemblymember Joel Anderson it fixes
a flaw in the system by making IOUs useful and would take
effect immediately if adopted by the Legislature.
Furthermore, it fixes a problem so that, if the State is
required to issue IOUs in the future, business and
individuals will not run into the same problem as they did
this past summer. The Chamber agrees with the intent of the
proposed legislation because businesses or individuals
should be allowed the option of using the very monetary
instrument issued by the state.
Home >
Issues
> IOU Reform
|
