This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SB 0409 - Inspection and Regulation of Asbestos Abatement Projects

L.R. NO.  1548-02
BILL NO.  SB 409
SUBJECT:  Asbestos Removal
TYPE:     Original
DATE:     March 15, 1997



                              FISCAL SUMMARY

                    ESTIMATED NET EFFECT ON STATE FUNDS


FUND AFFECTED              FY 1998             FY 1999           FY 2000
Natural Resource         ($30,000)
Protection Fund                to
                         ($54,000)            ($7,500)          ($7,500)

Total Estimated          ($30,000)
Net Effect on All               to
State Funds              ($54,000)            ($7,500)          ($7,500)



                   ESTIMATED NET EFFECT ON FEDERAL FUNDS


FUND AFFECTED              FY 1998             FY 1999           FY 2000


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


                    ESTIMATED NET EFFECT ON LOCAL FUNDS


FUND AFFECTED              FY 1998             FY 1999           FY 2000
Local Government                $0                  $0                $0


                              FISCAL ANALYSIS

ASSUMPTION

The Department of Natural Resources (DNR) assumes less than 1% (approximately
15) of the current projects would not be required to notify the department
under the proposed legislation.  Therefore, the DNR would not be impacted by
this change.

The DNR would be required to train and certify any representative of the
commission or DNR or authorized state agency as asbestos supervisors and
asbestos inspectors.  There are approximately 23 employees in the DNR and
seven inspectors within the four local air agencies that would be required to
have the necessary certification.

The DNR assumes the approximate cost for the training which would be required
for certification is $1,000 ($500 for each training course, a 3 day-inspector
and the other a 5 day-supervisor course).  The yearly refresher course would
cost $250 per person.  Therefore training costs would be $30,000 the first
year and $7,500 in subsequent years.


The cost of travel and lodging for personnel that are unable to attend a
class locally would average out to be around $100 ($70 for lodging and $30
for meals) per day for expenses.  Total travel and lodging cost could be from
$0 to $24,000 (30 inspectors times 8 nights times $100) depending on where
the training is held.


FISCAL IMPACT - State Government         FY 1998   FY 1999   FY 2000
                                        (10 Mo.)
NATURAL RESOURCE PROTECTION
  FUND - Air Pollution Asbestos Fee Subaccount

Costs - DNR
  Training and Certification Expenses  ($30,000)
                                              to
                                       ($54,000)  ($7,500)  ($7,500)


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

                                              $0        $0        $0


FISCAL IMPACT - Small Business

Some small businesses could be impacted because they would no longer have to
notify the DNR of asbestos abatement project that are less than 25 linear
feet.


DESCRIPTION

This act revises the law on asbestos abatement projects.  It removes the
rulemaking authority of the Missouri Air Conservation Commission for
regulation of asbestos abatement projects.

The definition of an asbestos abatement project is amended to exclude from
regulation any project affecting less than twenty-five linear feet of
asbestos materials.  Current law includes projects over ten square feet or
sixteen linear feet.

The act excludes from regulation projects affecting single family homes or
vacant apartments of four or fewer units being demolished pursuant to a
government condemnation order, so long as there is evidence that public
health and environment are not endangered.  The state asbestos certification
exams shall not include tests of knowledge of state rules.  An application
for an exemption from regulation must meet requirements of statutes, but not
state rules.

The DNR or the local enforcement agency shall conduct asbestos abatement
inspections using persons certified as an asbestos supervisor and as an
asbestos inspector.  No inspection fee shall be charged unless the inspection
is conducted by a person having such certification.

Civil penalties for violations of asbestos abatement law shall be placed in
the County School Fund, rather than the Natural Resources Protection Fund.
Only violations of statute, not rules, shall be subject to civil penalties.

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

Department of Natural Resources