COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.: 1041-01
Bill No.: SB 261
Subject: Licenses-Motor Vehicle; Revenue Dept.
Type: Original
Date: March 7, 2003
FISCAL SUMMARY
| FUND AFFECTED | FY 2004 | FY 2005 | FY 2006 |
| Total Estimated
Net Effect on General Revenue Fund |
$0 | $0 | $0 |
| FUND AFFECTED | FY 2004 | FY 2005 | FY 2006 |
| Highway | ($5,855) | $625 | $625 |
| Total Estimated
Net Effect on Other State Funds |
($5,855) | $625 | $625 |
Numbers within parentheses: ( ) indicate costs or losses.
This fiscal note contains 5 pages.
| FUND AFFECTED | FY 2004 | FY 2005 | FY 2006 |
| Total Estimated
Net Effect on All Federal Funds |
$0 | $0 | $0 |
| FUND AFFECTED | FY 2004 | FY 2005 | FY 2006 |
| Local Government | $313 | $375 | $375 |
ASSUMPTION
Officials with the Department of Agriculture and the Department of Transportation assume this proposal would have no fiscal impact on their agencies.
Officials with the Department of Revenue (DOR)- Division of Motor Vehicle and Drivers Bureau (DVSB) assume this proposal could have fiscal impact on their agency. The DVSB cannot determine the number of plates that could be issued as a result of this legislation. Therefore, the revenue impact is based on the issuance of 100 plates. If the volume of applications for this plate type substantially exceeds 100, the DOR may require additional appropriations. There is a $15 application fee for this plate.
FY 04 (10 months) Income
80 plates issued* $15 plate fee $1,200
FY 05 Income
100 plates issued* $15 plate fee $1,500
FY 06 Income
100 plates issued* $15 plate fee $1,500
ASSUMPTION (continued)
According to the Missouri Constitution, this revenue is to be dispersed in the following manner:
State Road Fund 75%
Cities 15%
Counties 10%
DVSB notes that prior to last year specialty plates were developed, designed and provided to DOR by the Missouri Vocational Enterprises. The Missouri Vocational Enterprises recently contracted with a vendor to now provide all Missouri specialty plates. The costs will be shown for all specialty license plate bills accordingly.
This contract requires DOR to pay:
-$250 new plate design set-up fee (if applicable)
-$50 per modification for a new plate design (if applicable)
-$80 per revision to existing plate designs (if applicable)
-$4.50 per plate for freight shipping to DOR
DOR further assumes their agency could incur cost for procedures, mailings to agencies, plates, tabs and storage at the State Data Center.
Officials with DOR- Information and Technology Bureau (ITB) assume that implementing this proposal could require 180 hours of overtime programming to modify the special plate reservation program, the renewal pull program for fees and the Uniform Field Office System.
FY 04 Cost
Form changes and Envelopes $402
New Plate Design (Contractor) $250
Postage (100*4.50) and extra to agencies $796
Plate actual cost (100*5.98) and Tab cost $624
Storage at State Data Center $500
Programming Salaries $4,221
Total $6,793
FY 05 Cost
Storage at State Data Center $500
FY 06 Cost
Storage at State Data Center $500
ASSUMPTION (continued)
To implement this legislation, the DOR could require additional funds. In the past, the programs included in this legislation have been paid for with highway funds. This year, however, highway funds may not be available for this purpose as a result of legislation enacted by the General Assembly in 2000 that limits the use of highway funds.
This limitation is found in Section 226.200.3, RSMo. It places a cap on the highway funding available to state departments other than the Department of Transportation. The total amount of highway funds appropriated to these other state departments (including the DOR) cannot exceed the total amount of their fiscal year 2001 highway appropriations. This cap limits the highway funds that will be available for the implementation of this legislation.
If highway funds are not available, then another source of funding must be identified to pay for the cost of implementing this legislation.
This proposal could increase state revenue through plate fees.
| FISCAL IMPACT - State Government | FY 2004
(10 Mo.) |
FY 2005 | FY 2006 |
| HIGHWAY FUND | |||
| Income-Department of Revenue | |||
| License Plate Fee | $938 | $1,125 | $1,125 |
| Cost-Department of Revenue | |||
| Forms, Design and Postage | ($1,448) | $0 | $0 |
| Programming Salaries | ($4,221) | $0 | $0 |
| Storage | ($500) | ($500) | ($500) |
| Plates and Tabs | ($624) | $0 | $0 |
| Total Cost-DOR | ($6,793) | ($500) | ($500) |
| NET ESTIMATED EFFECT ON HIGHWAY FUND |
($5,855) |
$625 |
$625 |
| FISCAL IMPACT - Local Government | FY 2004
(10 Mo.) |
FY 2005 | FY 2006 |
| Income-Cities | |||
| License Plate Fee | $188 | $225 | $225 |
| Income-Counties | |||
| License Plate Fee | $125 | $150 | $150 |
| NET ESTIMATED EFFECT ON LOCAL FUNDS |
$313 |
$375 |
$375 |
FISCAL IMPACT - Small Business
No direct fiscal impact to small businesses would be expected as a result of this proposal.
DESCRIPTION
This proposal would create a Missouri Foxtrotting Horse Breed special license plate.
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 Revenue
Department of Agriculture
Department of Transportation
Mickey Wilson, CPA
Director
March 7, 2003