In Washington State, House Bill 2781 has begun moving forward and is scheduled for a hearing on Thursday, January 24th at 10am.
This new legislation will prevent any annual report filings including nonprofits to be filed with the Secretary of State; directing all annual report filings to be filed with Business Licensing. This could affect your business as it will cost more for all the companies to perform these filings. In addition, if the first bill fails, a second bill is behind it that will increase the cost of annual reports that do get filed with Business Licensing Services in an effort to make up some money.
CORPSMART™ will be attending the hearing and stakeholders are being encouraged to do the following:
- Testify in opposition during the hearing on Thursday at 10:00 and send letters to your legislators including the bill sponsors
- Should the bill advance out of the house be available to testify in opposition in the Senate
- Encourage your colleagues and clients to also participate in opposing this bill
If HB2781 were to become law, it would take all of the OSOS annual report duties and place them with the Department of Revenue – Business Licensing Service and would reinstate the $11 fee per transaction. In addition, this bill would add Nonprofit Corporations and Limited Partnership annual reports to the BLS filing process and fees. There are approximately 60,000 Nonprofit Corporations that file a $10 annual report each year. The new process would increase the cost of filing the annual report from $10 to $21 and could remove approximately $660,000 from the Washington State nonprofit community.
We ask that you express opposition of this bill to your legislators. In addition we ask that you be available (or be represented) to testify in opposition should this bill move forward to a committee hearing.
HB 2781 was submitted by representatives Lytton and Ormsby of your legislative districts.