This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SB 0780 - Licensing & Regulation of Rail & Motor Carriers
L.R. NO. 3034-04
BILL NO. Truly Agreed to and Finally Passed HCS for SB 780
SUBJECT: Economic Development: Transportation
TYPE: Original
DATE: May 17, 1996
FISCAL SUMMARY
ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED FY 1997 FY 1998 FY 1999
Highway Fund ($1,155) $0 $0
General Revenue * $0 ($2,500,000) $0
State
Transportation
Assistance
Revolving Fund * $0 $0 to $2,500,000 $0
Total Estimated
Net Effect on All
State Funds ($1,155) ($0 to $2,500,000) $0
*SUBJECT TO APPROPRIATION.
ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED FY 1997 FY 1998 FY 1999
None $0 $0 $0
Total Estimated
Net Effect on All
Federal Funds $0 $0 $0
ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED FY 1997 FY 1998 FY 1999
Local Government $0 $0 $0
FISCAL ANALYSIS
ASSUMPTION
Officials of the Department of Economic Development - Division of
Transportation indicate that the requirement to reissue certificates to all
intrastate carriers would result in costs to the Division of approximately
$1,155, representing letterhead paper, envelopes, postage, labels and a laser
printer cartridge. Officials indicate that the change of the Division's name
will require changes to divisional forms, letterhead paper, identification
cards, badges, etc., but costs should be minimal since the name change is not
effective until July 1, 1997. The Division would have sufficient time to use
supplies with the old name and begin replacement with the new name.
Officials also noted that the licensing period for motor carriers would
change under this proposal, and that while some license fees may be collected
earlier in the licensing period than previously, the same amount of license
fees would be collected.
Officials of the Department of Economic Development - Public Service
Commission indicate that this proposal would have no fiscal impact on their
agency.
Officials of the Department of Highways & Transportation indicate that they
would likely request a one-time appropriation from the state General Revenue
fund in the amount of $2,500,000 to the newly-created State Transportation
Assistance Revolving Fund. Once such an appropriation is made, officials
assume that the fund would be self- sustaining.
Oversight assumes that the request for appropriation would be made in FY
1998. Oversight also assumes that any amount up to the full appropriation
may be disbursed in loans and has reflected the potential disbursement of the
full amount in FY 1998 as well. Any amounts remaining in the State
Transportation Assistance Revolving Fund at the end of an appropriation
period will not be transferred to the General Revenue fund, but will remain
in the fund.
FISCAL IMPACT - State Government FY 1997 FY 1998 FY 1999
(10 Mo.)
HIGHWAY FUND
Costs-equipment and expenses related to
reissuance of certificates
to motor carriers ($1,155) $0 $0
GENERAL REVENUE FUND
Costs-appropriation to State Transportation
Assistance Revolving Fund * $0 ($2,500,000) $0
STATE TRANSPORTATION ASSISTANCE
REVOLVING FUND
Income-appropriation from General Revenue fund * $0 $2,500,000 $0
Costs-transportation assistance loans * 0 (0 to 0
2,500,000)
NET EFFECT ON STATE TRANSPORTATION $0 $0 to $0
ASSISTANCE REVOLVING FUND * $2,500,000
* SUBJECT TO APPROPRIATION.
FISCAL IMPACT - Local Government FY 1997 FY 1998 FY 1999
(10 Mo.)
0 0 0
DESCRIPTION
This legislation would change the name of the Division of Transportation
within the Department of Economic Development to the "Division of Motor
Carrier and Railroad Safety" effective July, 1997. It would also reorganize
the Division's responsibilities to coincide with federal preemption.
Licensing periods for motor vehicles operated by motor carriers would be
effective January 1 to December 31, with license fees due by December 31 of
the year immediately preceding the licensing period.
This legislation would establish the State Transportation Assistance
Revolving Fund for the purpose of assisting in planning, acquisition,
development and construction of transportation facilities other than highways
in the state. The Fund would be administered by the State Highways and
Transportation Commission. It would receive appropriations by the general
assembly, as well as any revenues from federal, private or other sources.
Funds would be loaned to any political subdivision of the state or to any
public or private non-profit organization for the purposes specified.
This legislation is federally mandated (Federal Aviation Administration
Authorization Act of 1994), would not duplicate any other program and would
not require additional capital improvements or rental space.
SOURCES OF INFORMATION
Department of Economic Development - Division of Transportation
Department of Economic Development - Public Service Commission
Department of Highways and Transportation