Louisiana State Treasurer John Schroder announced today that the department’s Unclaimed Property Program is out of money to pay claims to residents due to “sweeps” of the state’s budget.
Schroder says a similar shortfall happened in September 2018. He said, as of Tuesday, Sept. 22, the program had a balance of $623,715.10, which is far short of what is needed to pay claims, WAFB-TV reports.
People and businesses may need to wait several weeks for claims. Businesses traditionally remit lost money to the state in late October, which will generate enough funding to resume paying claims.
Also in his announcement, Schroder promoted Constitutional Amendment No. 7, which will be on the statewide ballot for the Nov. 3 election. The amendment will create the Unclaimed Property Permanent Trust Fund to protect unclaimed property beginning July 1, 2021. Through the fund’s investment earnings, it also will create a state revenue source that doesn’t raise taxes or spend people’s unclaimed property, according to Schroder. Read the announcement here.
