This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SB 0908 - Administrative proceedings to remedy detrimental reliance
SB 908 - Fiscal Note

COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION

FISCAL NOTE

L.R. NO. 3591-03

BILL NO. HCS for SB 908

SUBJECT: Administrative Law and Rules: State Departments

TYPE: Original

DATE: April 23, 1998


FISCAL SUMMARY

ESTIMATED NET EFFECT ON STATE FUNDS

FUND AFFECTED FY 1999 FY 2000 FY 2001
General Revenue $0 ($49,341) ($46,566)
Total Estimated

Net Effect on All

State Funds

$0 ($49,341) ($46,566)



ESTIMATED NET EFFECT ON FEDERAL FUNDS

FUND AFFECTED FY 1999 FY 2000 FY 2001
Total Estimated

Net Effect on All

Federal Funds

$0 $0 $0



ESTIMATED NET EFFECT ON LOCAL FUNDS

FUND AFFECTED FY 1999 FY 2000 FY 2001
Local Government $0 $0 $0

Numbers within parentheses: ( ) indicate costs or losses

This fiscal note contains 4 pages.



FISCAL ANALYSIS

ASSUMPTION

Officials of the following agencies/offices/commissions stated that either they would not be have any new duties due to this bill or that they could absorb costs of new duties:

Conservation, Health, Elementary and Secondary Education, Higher Education, Transportation, Mental Health, Tax Commission, Health, Economic Development, and Missouri Consolidated Health Care Plan.

Officials of the following agencies/offices/commissions stated that they are uncertain as to the impact of this proposal: Administration, Natural Resources, Insurance, Labor and Industrial Relations, Agriculture, Public Safety, Revenue, Social Services and Corrections.

Oversight assumes that the agencies would request additional resources if and when the number and complexity of hearings caused by this proposal require them.

Officials of the Department of Revenue would request an Assistant Counsel in anticipation of additional hearings which would result from this proposal. They would request additional resources, as needed, through the budget process.

Oversight assumes that since the proposal would apply only to agency interpretations relied upon after January 1, 1999, the Counsel would be needed beginning in FY 2000. Oversight also assumes the Counsel would work in existing agency space.

FISCAL IMPACT - State Government FY 1999 FY 2000 FY 2001
(10 Mo.)
GENRERAL REVENUE
Cost - Department of Revenue (DOR)
Personal Service (1 FTE) $0 $35,153 $36,032
Fringe Benefits 0 9,843 10,089
Expense and Equipment 0 4,345 445
Administrative Cost to DOR $0 ($49,341) ($46,566)
NET EFFECT ON GENERAL
REVENUE FUND $0 ($49,341) ($46,566)
FISCAL IMPACT - Local Government FY 1999 FY 2000 FY 2001
(10 Mo.)
0 0 0
FISCAL IMPACT - Small Business

Small businesses which have relied on written interpretations of state agencies could be affected by this proposal.



DESCRIPTION

This proposal would establish administrative hearings for entities which rely in good faith on executive branch agency written interpretations of statute or constitution and which claim to be adversely affected by a retroactive application of a changed or new interpretation of statute or constitution.

Agencies would, upon a finding of detrimental reliance, apply new or changed decisions or interpretations prospectively only and not apply new or changed interpretations retroactively concerning activities of entities which relied in good faith on past interpretations.

Agencies would also, upon request of affected entities, take actions which agencies would have taken or granted in the absence of new or changed interpretations of law or constitution.

This proposal would apply to all agency interpretations reasonably relied on by non-government entities on and after January 1, 1999.

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

SOURCES OF INFORMATION

Office of Administration

Department of Agriculture

Department of Conservation

Department of Corrections

Department of Economic Development

Department of Health

SOURCES OF INFORMATION (continued)

Department of Transportation

Department of Insurance

Department of Labor and Industrial Relations

Department of Mental Health

Department of Natural Resources

Department of Public Safety

Department of Revenue

Department of Social Services

State Tax Commission

Missouri Consolidated Health Care Plan













Jeanne Jarrett, CPA

Director

April 23, 1998