This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SJR 016 - Forfeiture proceedings shall be divided between schools and law enforcement
SJR 16 - Fiscal Note

COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION

FISCAL NOTE

L.R. NO.: 1009-02

BILL NO.: SCS for SJR 16

SUBJECT: Education, Elementary and Secondary; Public Safety Dept.; Constitutional Amendments

TYPE: Original

DATE: April 13, 1999


FISCAL SUMMARY

ESTIMATED NET EFFECT ON STATE FUNDS

FUND AFFECTED FY 2000 FY 2001 FY 2002
General Revenue $0 ($63,100) $0
Total Estimated

Net Effect on All

State Funds

$0 ($63,100) $0



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 $0 $0 $0

Numbers within parentheses: ( ) indicate costs or losses

This fiscal note contains 3 pages.

FISCAL ANALYSIS

ASSUMPTION

Officials of the Missouri State Water Patrol (MSWP) state the fiscal impact of this proposal is unknown since the amount of money they receive through the Federal Program varies from year to year. There is no way of knowing how much this proposal can or will affect their agency.

Officials of the Department of Elementary and Secondary Education (DES) state this proposal would submit to voters for adoption or rejection an amendment to the constitution which would require all forfeitures for breach of a penal law to be remitted to a state forfeiture fund for redistribution. Fifty percent of these funds are to then be transferred to the State Schools Moneys Fund; and the remaining 50% of the proceeds are to be evenly divided between the enforcement agency to which the forfeiture was attributed and the Department of Public Safety.

DES staff state this proposal eliminates funding for the School Building Revolving Fund. With no money in that fund, districts would be unable to enter into a lease purchase agreement with the state to borrow from that fund to build a building. This School Building Revolving Fund had the potential for providing building funds to districts unable to secure the funds locally.

DES staff assume this proposal would result in an increase of approximately $500,000 to the State Schools Moneys Fund for use in the Foundation Program and a decrease of approximately $1,000,000 to the School Building Revolving Fund.

Officials of the Missouri State Highway Patrol (MHP) note that their agency has received over $1,000,000 per year to the Drug Forfeiture Fund from Federal Equitable Sharing Funds. MHP staff assume that they would not be allowed to accept funds through the Federal Equitable Sharing Program under terms of this proposal. They also note that some activities and equipment funded through Drug Forfeiture Fund appropriations would have to be funded through other sources.

Oversight assumes this proposal changes the constitution to allow proceeds of forfeitures to be distributed to law enforcement and public schools. Because the amounts of criminal forfeitures can vary from year to year, Oversight will not attempt to estimate the value of forfeitures which would go to the Department of Public Safety Forfeiture Fund or the State Schools Moneys Fund until enabling legislation is received.

Advertisement costs for the proposal would be $3,990 per newspaper column inch for three publications of the text of the proposal, the introduction, title, fiscal note summary, and affidavit. The proposal would be on the ballot for the November 2000 general election.

FISCAL IMPACT - State Government FY 2000 FY 2001 FY 2002
Cost to General Revenue Fund
Secretary of State
Newspaper Advertisements ($63,100)
FISCAL IMPACT - Local Government FY 2000 FY 2001 FY 2002
0 0 0
FISCAL IMPACT - Small Business
No direct fiscal impact to small businesses would be expected as a result of this proposal.


DESCRIPTION

This constitutional amendment if passed by the General Assembly and approved by the voters, would change the method of distributing criminal forfeiture proceeds. One-half of the proceeds shall be used for public schools; one-half shall be deposited in the Department of Public Safety Fund, fifty percent of which shall be distributed to the law enforcement agency involved in the forfeiture and fifty percent shall be retained by the Department.

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 Elementary and Secondary Education

Missouri State Highway Patrol

Missouri State Water Patrol

Jeanne Jarrett, CPA

Director

April 13, 1999