This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SB 0132 - Automatically closes personal information in motor vehicle records
SB 132 - Fiscal Note

COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION

FISCAL NOTE

L.R. NO. 0069-01

BILL NO. SB 132

SUBJECT: Motor Vehicle Public Records

TYPE: Original

DATE: February 15, 1998


FISCAL SUMMARY

ESTIMATED NET EFFECT ON STATE FUNDS

FUND AFFECTED FY 2000 FY 2001 FY 2002
Highway Fund ($792,746) ($1,131,032) ($1,132,216)
Total Estimated

Net Effect on All

State Funds

($792,746) ($1,131,032) ($1,132,216)



ESTIMATED NET EFFECT ON FEDERAL FUNDS

FUND AFFECTED FY 2000 FY 2001 FY 2002
Total Estimated

Net Effect on All

Federal Funds

$0 $0 $0



ESTIMATED NET EFFECT ON LOCAL FUNDS

FUND AFFECTED FY 2000 FY 2001 FY 2002
Local Government ($291,667) ($350,000) ($350,000)

Numbers within parentheses: ( ) indicate costs or losses

This fiscal note contains 4 pages.

FISCAL ANALYSIS

ASSUMPTION

The Department of Insurance, Department of Public Safety-Highway Patrol and Department of Transportation do not expect to be affected, administratively.

Officials of the Department of Revenue (DOR) assumes that this proposal would render obsolete the procedures implemented on September 13, 1997, to implement SB 19 and the federal Driver's Privacy Protection Act. As a result, the DOR would be required to revamp its procedures and current system. DOR personnel now ask drivers' license or motor vehicle registration applicants whether they want to restrict personal information (about 80% choose to do so). The proposal would close all records unless the owner of the personal information gave written permission for DOR to release information.

DOR officials assume that its electronic system could no longer be utilized and all transactions would have to be processed manually since each request must be accompanied by written authorization from the record holder.

The Drivers License Bureau receives approximately 1.5 million requests for driver's records through the Electronic Driver Record System. DOR officials assume that as a result of this proposal 1.2 million records will be closed and estimate that 10% of closed records will be opened upon written request. (Most inquiries will be for driver record histories, which are not personal information.) Drivers' License Bureau officials assume they would need an additional 3 FTE to convert from electronic to manual processing. Motor Vehicle Bureau officials assume they would need an additional 2 FTE to implement provisions of this proposal. Oversight assumes that conversion from electronic to manual systems would be accomplished with existing personnel. Oversight also assumes that one FTE could process about 30,000 of these transactions per year (DOR assumption from its response to a similar proposal during 1998 session). Therefore, Oversight assumes three permanent FTE would be needed.

The Information Systems Division would incur costs for programming, unit testing, system testing, implementation and documentation since the Driver's License and General Registration Computer Systems would need extensive modifications. To accommodate these modifications, the division would incur State Data Center costs of $7,439.

This proposal would also result in a decrease in revenue. As the proposal would require the written permission of the record holder to accompany the request for the driver's and motor

vehicle record, the DOR anticipates that the Information Fund would lose approximately $1,400,000 per year in record sales.





FISCAL IMPACT - State Government FY 2000 FY 2001 FY 2002
(10 Mo.)
HIGHWAY FUND
Costs-Department of Revenue (DOR)
Personal Service (3 FTE) ($47,713) ($58,688) ($60,154)
Overtime ($ 26,507) ($0) ($0)
Fringe Benefits ($14,261) ($17,542) ($17,980)
Expense and Equipment ($9,265) ($4,802) ($4,082)
Total Costs-DOR ($97,746) ($81,032) ($82,216)
Loss-Department of Transportation (DHT)
Reduced Income from DOR Information
Fund Transfers ($875,000) ($1,050,000) ($1,050,000)

ESTIMATED NET EFFECT ON

HIGHWAY FUND ($972,746) ($1,131,032) ($1,132,216)
FISCAL IMPACT - Local Government FY 2000 FY 2001 FY 2002
(10 Mo.)
POLITICAL SUBDIVISIONS
Cities ($175,000) ($210,000) ($210,000)
Counties ($116,667) ($140,000) ($140,000)
NET EFFECT ON POLITICAL
SUBDIVISIONS ($291,667) ($350,000) ($350,000)
FISCAL IMPACT - Small Business
This proposal would not have a direct fiscal impact on small businesses.



DESCRIPTION

This proposal would automatically close personal information in drivers' license and motor vehicle records maintained by the Department of Revenue. The Department of Revenue would be prohibited from disclosing personal information obtained unless the person gives permission. Exceptions would be provided for disclosure to governmental agencies and their representatives DESCRIPTION (continued)

carrying out governmental functions; insurance organizations carrying out claims investigations, antifraud activities, ratings and underwritings; and motor vehicle manufacturers in connection with matters of motor vehicle or driver safety and theft, motor vehicle product alterations, recalls, advisories, warranty service or performance monitoring.

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

SOURCES OF INFORMATION

Department of Revenue

Department of Insurance

Department of Transportation

Department of Public Safety

Missouri Highway Patrol







Jeanne Jarrett, CPA

Director

February 15, 1998