COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.: 2796-02
Bill No.: SB 878
Subject: Education - Elementary and Secondary; Public Service Commission; Utilities
Type: Original
Date: January 16, 2004
FISCAL SUMMARY
| FUND AFFECTED | FY 2005 | FY 2006 | FY 2007 |
| Total Estimated
Net Effect on General Revenue Fund |
$0 | $0 | $0 |
| FUND AFFECTED | FY 2005 | FY 2006 | FY 2007 |
| Total Estimated
Net Effect on All State Funds |
$0 | $0 | $0 |
Numbers within parentheses: ( ) indicate costs or losses.
This fiscal note contains 4 pages.
| FUND AFFECTED | FY 2005 | FY 2006 | FY 2007 |
| Total Estimated
Net Effect on All Federal Funds |
$0 | $0 | $0 |
| FUND AFFECTED | FY 2005 | FY 2006 | FY 2007 |
| Local Government | $0 | $0 to Unknown | $0 to Unknown |
ASSUMPTION
Officials of the Department of Elementary and Secondary Education did not respond to our fiscal note request.
Officials of the Department of Economic Development - Public Service Commission (PSC) state this bill would extend the effective period of a current natural gas school aggregation program to June 30, 2007 (currently expires on June 30, 2005). PSC notes that current efforts related to this statue have included several meetings, tariff filings, testimony filings, discovery, litigation and hearings. PSC is not requesting additional resources due to this proposal.
Officials of the Department of Economic Development - Office of the Public Counsel (OPC) state although this bill has some impact on OPC, OPC should be able to absorb the changes; however, if the requirements of this bill are combined with additional requirements or changes OPC may incur a fiscal impact.
Oversight assumes this proposal could result in a reduction in natural gas prices for schools. The amount of savings is unknown, but could exceed $100,000.
| FISCAL IMPACT - State Government | FY 2005
(10 Mo.) |
FY 2006 | FY 2007 |
| $0 | $0 | $0 |
| FISCAL IMPACT - Local Government | FY 2005
(10 Mo.) |
FY 2006 | FY 2007 |
| SCHOOL DISTRICTS | |||
| Savings - Reduced Natural Gas Costs | $0 | $0 to Unknown | $0 to Unknown |
| ESTIMATED NET EFFECT ON LOCAL GOVERNMENT* | $0 | $0 to UNKNOWN | $0 to UNKNOWN |
| *Estimated to exceed $100,000 annually | |||
FISCAL IMPACT - Small Business
Natural gas businesses could be affected competitively by this proposal.
DESCRIPTION
This proposal directs Missouri gas companies to file a set of experimental tariffs with the Public Service Commission. These tariffs are applicable to all school districts, whether charter, private, public or parochial thereafter. The tariffs shall, at a minimum, provide for the aggregate purchasing of natural gas, the resale of such natural gas supplies at the gas corporation's cost of purchasing such supplies, and they shall not require special metering. The Commission may suspend the program for a period of time if it is causing a negative financial impact on the corporation, its customers or local taxing authorities.
The termination date has been extended to June 30, 2007 - two years after its original termination date.
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 Economic Development
Public Service Commission
Office of the Public Counsel
NOT RESPONDING:
Department of Elementary and Secondary Education
Mickey Wilson, CPA
Director
January 16, 2004