This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SB 0244 - Establishes New Prostitution Crime

L.R. NO.  0711-02
BILL NO.  SCS for SB's 244 and 312
SUBJECT:  Prostitution:  HIV Testing
TYPE:     Original
DATE:     April 23, 1997



                              FISCAL SUMMARY

                    ESTIMATED NET EFFECT ON STATE FUNDS


FUND AFFECTED              FY 1998             FY 1999           FY 2000
General Revenue          ($37,330)           ($46,158)         ($47,543)

Total Estimated
Net Effect on All
State Funds              ($37,330)           ($46,158)         ($47,543)


                   ESTIMATED NET EFFECT ON FEDERAL FUNDS


FUND AFFECTED              FY 1998             FY 1999           FY 2000
None

Total Estimated
Net Effect on All
Federal Funds                   $0                  $0                $0


                    ESTIMATED NET EFFECT ON LOCAL FUNDS


FUND AFFECTED              FY 1997             FY 1998           FY 2000
Local Government         (Unknown)           (Unknown)         (Unknown)


                              FISCAL ANALYSIS

ASSUMPTION

In response to an identical proposal, officials from the Office of State
Courts Administrator (CTS) assumed there could be enhanced penalties for some
prostitution offenses.  CTS assumes there are relatively few prostitution
cases prosecuted in circuit court, as most are prosecuted in municipal
courts.  CTS would expect a small number of cases to become more protracted,
but would not anticipate any appreciable increase in costs to the budget of
the judiciary.

Officials from the Department of Health (DOH) assume the proposal would
require mandatory HIV testing for all persons convicted of the crime of
prostitution.  Costs associated with HIV testing would include
transportation, pre and post test consultation (as required by law), the
blood draw, and analysis of the sample.  DOH reports there were 3,105 arrests
for prostitution in Missouri during the 1994 calendar year.  However, DOH
cannot determine the number of arrests that actually result in a conviction.
The proposal does not address responsibility for the costs of the testing or
assign them to the person violating the law; therefore, it is assumed that
the DOH or the local health department of the arresting entity would be
responsible for the costs incurred.  DOH further reports that there are a
variety of mechanisms used between the jails and courts with county and city
health departments to provide necessary health services.  If this proposal
passes, city and county health departments would need to be alerted to the
potential demand for additional services as a result of the law to ensure
they receive adequate reimbursement or to direct courts and jails to enter
into agreements with other providers for the required HIV testing.  DOH
assumes there would be a local health impact given the number of arrests and
the requirements of the proposal.  DOH further assumes local governmental
entities could submit specimens for HIV testing to the state health
laboratory.  The incidence of HIV in this population is unknown, but assumed
to be significant given the risk behavior involved.

DOH assumes the majority of the arrests would continue to occur in the Kansas
City and St. Louis areas and would require two additional FTE contract staff
($36,275 per year) plus approximately $18,000 in related laboratory costs,
for a total cost of $90,550 annually.

Based on numerous conversations with several agencies, Oversight assumes that
less than half of all prostitution arrests actually result in a conviction of
the crime of prostitution as defined in Section 567.020, RSMo.  This proposal
would require HIV testing for all persons convicted rather than arrested.
Therefore, Oversight assumes that DOH would not be required to test all 3,105
persons arrested for the crime.  For purposes of this fiscal note, Oversight
has assumed that DOH's costs would be approximately one-half of those
reported above (based on the assumption that less than one-half of all
prostitution arrests result in conviction).

In response to an identical proposal, officials from the Office of the State
Public Defender (SPD) assumed existing staff could represent the 15 to 20
persons who could be charged with a more serious crime.  However, passage of
more than one similar proposal could require the SPD to request increased
appropriations to cover the cumulative cost of representing the indigent
accused.

In response to a similar proposal, officials from the Office of Prosecution
Services (OPS) assumed there would be no fiscal impact on their agency;
however, there could be a minimal impact on local prosecutors.  OPS assumes
that passage of more than one similar proposal could require local
prosecutors to request increased appropriations.

In response to an identical proposal, officials from the Department of
Corrections (DOC) assumed there would be an unknown fiscal impact on their
agency, as they are unable to predict the number of additional commitments
which could result from the creation of the offenses outlined.  DOC assumes
an increase in commitments would depend on the utilization by prosecutors and
the actual sentences imposed by the courts.  If additional persons are
sentenced to the custody of the DOC, they would incur a corresponding
increase in operational costs either through incarceration (average of $29.16
per inmate, per day) or through supervision provided by the Board of
Probation and Parole (average of $2.50 per offender, per day).  Overall, DOC
assumes that supervision by their agency through probation or incarceration
would result in some additional costs but assumes that the impact would be
minimal.

In response to an identical proposal, officials from the Department of Mental
Health (DMH) assumed additional persons would be likely to agree to
participate in substance abuse treatment programs, as successful completion
of such a program would allow persons to withdraw their guilty plea and/or
plead not guilty.  DMH assumes the actual number of persons convicted of
prostitution with a substance abuse problem cannot be determined; therefore,
DMH is unable to determine the fiscal impact this proposal would have on
their agency.

Oversight assumes the fiscal impact on DMH would be minimal and could be
absorbed with existing resources or requested through normal and customary
budgetary means.

In response to an identical proposal, officials from the Department of
Revenue, the Missouri Sheriffs' Association, and the Missouri Police Chiefs'
Association assumed there would be no fiscal impact on their agencies.


FISCAL IMPACT - State Government      FY 1998   FY 1999   FY 2000
                                     (10 Mo.)
GENERAL REVENUE FUND

Costs - Department of Health (DOH)
   Contract Staff (1 FTE staff)     ($30,217) ($37,363) ($38,484)
   Laboratory Costs                   (7,113)   (8,795)   (9,059)
Total Costs - DOH                   ($37,330) ($46,158) ($47,543)

ESTIMATED NET EFFECT ON
GENERAL REVENUE FUND                ($37,330) ($46,158) ($47,543)


FISCAL IMPACT  - Local Government     FY 1998   FY 1999   FY 2000
                                     (10 Mo.)
LOCAL HEALTH DEPARTMENTS

Costs associated with HIV testing   (Unknown) (Unknown) (Unknown)


FISCAL IMPACT - Small Business

No direct fiscal impact to small businesses would be expected as a result of
this proposal.


DESCRIPTION

The proposal would create two new crimes relating to prostitution and would
require HIV testing for a person convicted of prostitution.  Prostitution
would be a Class C felony if the person committing the crime of prostitution
(1) possesses illegal drugs at the time of arrest and (2) has been previously
convicted of prostitution.  Prostitution would be a Class C felony if a
person commits the crime of prostitution and knows or should have known he or
she would test positive for the human immunodeficiency virus.  Additionally,
a judge would be allowed to order a person convicted of prostitution to
participate in a drug and alcohol abuse program.  If the person successfully
completes such program, the court could reverse such conviction.

This legislation is not federally mandated, would not duplicate any other
program and would not require additional capital improvements or rental
space.


SOURCES OF INFORMATION

Office of State Courts Administrator
Department of Health
Office of the State Public Defender
Office of Prosecution Services
Department of Corrections
Department of Mental Health
Department of Revenue
Missouri Sheriffs' Association
Missouri Police Chiefs' Association