COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION



FISCAL NOTE



L.R. No.: 0667-05

Bill No.: SJR 12

Subject: Constitutional Amendments: Roads and Highways

Type: Original

Date: March 17, 2003




FISCAL SUMMARY



ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDS
FUND AFFECTED FY 2004 FY 2005 FY 2006
General Revenue $0 ($34,850) $0
Total Estimated

Net Effect on

General Revenue

Fund

$0 ($34,850) $0



ESTIMATED NET EFFECT ON OTHER STATE FUNDS
FUND AFFECTED FY 2004 FY 2005 FY 2006
Road $0 $68,243,365 $165,815,000
Total Estimated

Net Effect on All Other

State Funds

$0 $68,243,365 $165,815,000



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 of the Missouri Department of Transportation (MoDOT) estimated additional income from this proposal based on actual collections for FY 2002 and assuming a 1.24% per year growth rate. They estimate $165,815,000 in FY 2006 and $167,868,000 in FY 2007. Oversight assumes that there would be five months of additional collections in FY 2005 ($68,243,365).



Department of Transportation officials assume that the moneys derived from the additional tax would not be subject to the "sharing" with cities and counties which applies to the "permanent" motor fuel taxes. They also assume that the moneys from the proposed tax would "free" existing Road Fund monies for use on additional maintenance and construction projects.



Officials of the Office of Administration's Division of Accounting stated that the proposal would not affect their agency.

Secretary of State officials stated that advertisement costs for the proposal would be $3,485 per column inch for three printings of the text of the proposal, the introduction, fiscal note summary, and affidavit. The proposal would be on the ballot for the November 2004 general election.





FISCAL IMPACT - State Government FY 2004 FY 2005 FY 2006
GENERAL REVENUE FUND
Cost to Secretary of State

Newspaper Advertisements



$0


($34,850)


$0
ESTIMATED NET EFFECT ON GENERAL REVENUE FUND

$0


($34,850)


$0
STATE ROAD FUND
Income - Additional Tax proceeds $0 $68,243,365 $165,815,000
ESTIMATED NET EFFECT ON STATE ROAD FUND

$0


$68,243,365


$165,815,000

FISCAL IMPACT - Local Government FY 2004 FY 2005 FY 2006
$0 $0 $0




FISCAL IMPACT - Small Business



Small businesses which sell or purchase motor fuels would be affected by this proposal.





DESCRIPTION



This proposal would impose an additional tax of four cents ($.04) per gallon on motor fuels. Proceeds from this tax would be used to retire up to $2,250,000,000 in state road bonds authorized by the General Assembly before June 30, 2006.



The tax would terminate whenever the Commissioner of Administration determines that proceeds from the tax are sufficient to retire the state road bonds or December 31, 2026, whichever is earlier.



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





SOURCES OF INFORMATION



Department of Transportation

Office of Administration - Division of Accounting

Secretary of State





















Mickey Wilson, CPA

Director

March 17, 2003