OLYMPIA — Washington will begin 2010 with new restrictions on how payday lenders and dog breeders operate. There also will be fewer dates on which you could be casting a ballot.
The payday lending industry faces some of the biggest changes undertaken anywhere in the country as the state tries to help consumers avoid getting in over their head in debt through short-term loans.
Under the law, consumers will be unable to borrow more than $700, or 30 percent of their gross monthly income, whichever is less, at any one time. They will be limited to no more than eight separate loans in a 12-month period. Washington will be the first state in the nation to impose such a cap.
Lenders will be responsible for making sure they do not issue a loan to someone who is maxed out or capped out. To do that, they will be using a new statewide database that will track every loan issued in the state. In 2009, that amounted to an average of 8,700 loans a day.
The new law also helps consumers who can’t repay their loan in the prescribed two-week period. Borrowers can obtain an interest-free installment plan for repayment if they request one from their lender before their original loan is due.
Those with loans of less than $400 will get an additional 90 days to repay and those owing between $400 and $700 will get up to 180 days. An installment plan must be paid off before one will be able to get another payday loan.
All this information, including the status of the installment plan, will be in that database.
Phones have been ringing nonstop at the Department of Financial Institutions, which oversees the payday lending industry. Most are appreciative, though some don’t like the limits they will be facing, said Deb Bortner, the department’s director of consumer services.
Another new law aims to eliminate puppy mills by imposing tougher standards for the care and treatment of dogs reared for breeding.
It bars any person from owning or otherwise having charge or custody of more than 50 dogs with intact sexual organs over the age of six months at any time.
Specific requirements are spelled out for caging of the animals, including the size, temperature and cleanliness. If a person has 10 or more dogs at any one time, the law lays out specifics for providing each one with adequate time and space to exercise.
The new law emerged after the discovery of several puppy mills in Washington, including ones in Snohomish and Skagit counties.
A year ago, authorities raided a home near Gold Bar, where they rescued nearly 160 dogs, many with matted coats and serious health problems. Six tiny puppy bodies were found in a freezer stored along with food and more dead dogs were found in a garbage bin.
In November, two people who lived and worked at the home entered guilty pleas to six counts each of first-degree animal cruelty.
“The hope is this will help prevent situations from arising that could lead to animal cruelty,” said Mary Leake Schilder, public affairs manager for the Progressive Animal Welfare Society of Lynnwood.
“This will give law enforcement a little more leverage to prevent breeding facilities from getting out of hand. We believe this law is fair to responsible and compassionate breeders,” she said.
Finally, there will be fewer dates this year on which you might receive a ballot in the mail.
For years, elections of different sorts could be held up to six times a year. Besides the August primary and November general elections, four other dates were set aside for special elections. These occurred in February, March, April and May and most often were for levies or bonds for a school or fire district.
Starting this year, the March date is eliminated and the May ballot is reserved for “tax levies that failed previously in that calendar year and new bond issues.” In 2012, the May date is cut.
Jerry Cornfield: 360-352-8623, jcornfield@heraldnet.com.
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