Legislature passes bill designed to protect vulnerable adults’ finances

Senate File 24, a measure to help safeguard vulnerable adults from financial exploitation, was passed Tuesday in the Wyoming Legislature. It now heads to Gov. Mark Gordon for consideration.
Michael Smith/For the Wyoming Tribune Eagle

by Jasmine Hall 

CHEYENNE — Vulnerable adults may be better protected from financial exploitation following the passage of Senate File 24 in the Wyoming Legislature.

State representatives voted down two amendments to the bill Tuesday before approving it 36-25-1 on third reading in the second chamber. Senate President Ogden Driskill, R-Devils Tower, signed the legislation later in the day, and it will now head to Gov. Mark Gordon’s desk for consideration.

The bill authorizes banks to put a five-day temporary hold on potentially fraudulent transactions, which gives them the time to investigate whether any asset is being coerced or wrongfully taken from vulnerable adults. This could be through obtaining control of the assets or property or converting them to “deprive the other person of ownership, use, or benefit of possession of the property.”

“It’s just the individual suspicious transaction that might get flagged and interrupted,” said House Judiciary Committee Chairman Art Washut, R-Casper, during the third reading debate. “As we balance the protection of our seniors and our vulnerable adults with individual liberty concerns, by reducing this bill from what it once was, 14 days, down to five days, I think we’ve really come pretty close to finding that sweet spot for the proper balance between protection and liberty.”

If the financial institution believes there to be an issue based on evidence, they can report the incident to Adult Protection Services to further look into it. The division of the Wyoming Department of Family Services provides social case work or assistance to vulnerable adults and elders who are eligible.

The state agency can inform law enforcement, as well as ensure the money or property stays in the hands of the owner that may have been taken advantage of.

Banks would also be provided immunity from civil liability in SF 24, unless the institution acted in bad faith or for malicious purposes. They are responsible for protecting the confidentiality of personal finance records, but the legislation allows them to share information regarding the exploitation to a third party such as DFS.

This was the final version passed without changes through the House, but there were two amendments brought forward by Reps. Tony Locke, R-Casper, and Christopher Knapp, R-Gillette, that weren’t approved. One would have required the bank to notify the party of the unusual transaction before they hold it or report it to DFS, and the other required specified “documentation of when customers of financial institutions qualify as vulnerable adults.”

Neither passed, and criticisms of the two amendments were heard on the floor. Some said the first would dilute the power of the bill and might inform the perpetrator the banks were concerned, and creating documentation of vulnerable adults in the system may have led to further complications or dangers in the second amendment.

“You can potentially become a vulnerable adult fairly quickly. If someone has a stroke, or other health care issues that happen, (they) could happen right now,” said Rep. Karlee Provenza, D-Laramie. “Then, what do we do for folks that then are going to try to cash in on what they might consider an opportunity if they haven’t gone in and figured out that they’re vulnerable at that point?”

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Legislature passes bill designed to protect vulnerable adults’ finances