Rhode Island House Bill H7864

Rhode Island 2022 Regular Session

• Introduced: 3/4/22
• Refer: 3/4/22

Caption

Department Of Revenue

Impact

One of the major changes brought by H7864 is the removal of the sunset provision that would have automatically terminated the collection unit as of June 30, 2023. By amending the law to allow for continued operation, the bill significantly impacts state operations regarding debt recovery, enabling sustained oversight and regular assessment of the collection performance. This is intended to provide ongoing revenue benefits to the state by ensuring that debts are systematically pursued and collected over time.

Summary

House Bill H7864 introduces amendments to the laws governing the Department of Revenue, particularly concerning the establishment and operation of a collection unit tasked with assisting state agencies in the collection of overdue debts owed to the state. This collection unit is designed to improve the efficiency of collecting debts, which could significantly bolster state revenue streams. By creating a centralized unit, the bill seeks to streamline the process whereby various state agencies can refer delinquent debts, thereby enhancing accountability and efficacy in financial management within government operations.

Contention

Debates surrounding H7864 may center on the operational complexities and ethical considerations of state agencies engaging in collection practices. Critics may argue that incentivizing debt collection could lead to aggressive practices that might negatively impact vulnerable populations. Conversely, supporters assert that it is crucial for the financial health of the state to have effective mechanisms in place to pursue debts owed to the government. The bill's supporters suggest that each agency's alignment and cooperation with the collection unit can lead to an overall improvement in public service delivery while ensuring that those who owe debts are held accountable.