COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION



FISCAL NOTE



L.R. No.: 0299-01

Bill No.: Perfected SB 54

Subject: Motor Vehicles; Licenses-Motor Vehicles; Revenue Dept.

Type: Original

Date: March 12, 2003




FISCAL SUMMARY



ESTIMATED NET EFFECT ON GENERAL REVENUE FUND
FUND AFFECTED FY 2004 FY 2005 FY 2006
Total Estimated

Net Effect on

General Revenue

Fund

$0 $0 $0



ESTIMATED NET EFFECT ON OTHER STATE FUNDS
FUND AFFECTED FY 2004 FY 2005 FY 2006
Air Pollution Fund ($15,167) ($16,500) ($16,500)
Total Estimated

Net Effect on Other

State Funds

($15,167) ($16,500) ($16,500)



Numbers within parentheses: ( ) indicate costs or losses.

This fiscal note contains 4 pages.















ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED FY 2004 FY 2005 FY 2006
Total Estimated

Net Effect on All

Federal Funds

$0 $0 $0



ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED FY 2004 FY 2005 FY 2006
Local Government $0 $0 $0




FISCAL ANALYSIS



ASSUMPTION



Officials from the Missouri State Highway Patrol assume the proposed legislation would have no fiscal impact on their agency.



Officials from the Department of Revenue assume the proposed legislation would have minimal administrative impact on their agency.



Officials from the Department of Transportation (MoDOT) assume there will be little to no fiscal impact on the department as a result of this legislation at this time.



Officials with the Department of Natural Resources (DNR) noted that switching to biennial emissions testing reduces state revenue from Franklin County by fifty percent. Although the maximum allowable fee for inspection stations could collect would increase, the $.75 collected per inspection would stay the same. DNR estimates 44,000 annual paid inspections based on an estimate from the contractor performing the emission inspections. Each paid test results in $0.75 in state revenue. The revenue loss would begin in FY 04.



Oversight assumes that the effective date of this proposal is August 28, 2003. Therefore, Oversight prorated the loss of revenue to the indicated funds at ten months in FY 04.



ASSUMPTION (continued)



FY 04 (10 mo) Income Loss

Prorated for ten months $13,750



FY 05 Income Loss

(44,000 inspections /2)(.75 each) $16,500



FY06 Income Loss

(44,000 inspections /2)(.75 each) $16,500



FISCAL IMPACT - State Government FY 2004

(10 Mo.)

FY 2005 FY 2006
MISSOURI AIR POLLUTION CONTROL FUND
Income (Loss)-DNR
Emissions testing inspection fee ($15,167) ($16,500) ($16,500)
NET ESTIMATED EFFECT ON AIR POLLUTION FUND



($15,167)


($16,500)


($16,500)


FISCAL IMPACT - Local Government FY 2004

(10 Mo.)

FY 2005 FY 2006
$0 $0 $0



FISCAL IMPACT - Small Business



Small businesses could be affected by the provisions in this proposal. An industry which requires vehicle maintenance could be affected by the higher biennial rate. An industry which conducts inspections could be allowed to collect a higher amount per inspection.

















DESCRIPTION



This proposal could make the BAR-97 test in Franklin County a biennial test and increase the maximum allowable testing fee for the independent stations from $10.50 to $24.



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

Department of Revenue

Department of Public Safety

Missouri Highway Patrol

Department of Transportation













Mickey Wilson, CPA

Director

March 12, 2003