COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION



FISCAL NOTE



L.R. No.: 3139-01

Bill No.: SB 926

Subject: Higher Education; Gambling.

Type: Original

Date: February 3, 2004




FISCAL SUMMARY



ESTIMATED NET EFFECT ON GENERAL REVENUE FUND
FUND AFFECTED FY 2005 FY 2006 FY 2007
General Revenue (Less than $100,000) (Less than $100,000) $0
Total Estimated

Net Effect on

General Revenue

Fund

(Less than $100,000) (Less than $100,000) $0



ESTIMATED NET EFFECT ON OTHER STATE FUNDS
FUND AFFECTED FY 2005 FY 2006 FY 2007
Total Estimated

Net Effect on Other

State Funds

$0 $0 $0



Numbers within parentheses: ( ) indicate costs or losses.

This fiscal note contains 4 pages.











ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED FY 2005 FY 2006 FY 2007
Total Estimated

Net Effect on All

Federal Funds

$0 $0 $0



ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED FY 2005 FY 2006 FY 2007
Local Government $0 $0 $0




FISCAL ANALYSIS



ASSUMPTION



Officials from the Office of Administration - Division of Purchasing and Materials Management, Missouri Gaming Commission, Missouri Lottery Commission, Missouri House of Representatives and the University of Missouri each assume the proposal would not fiscally impact their respective agencies.



Officials from Central Missouri State University assume the proposal would have an unknown fiscal impact on local political subdivisions.



Officials from Southwest Missouri State University and Southeast Missouri State University did not respond to our request for fiscal impact.



Oversight notes that the University of Missouri has, in responses to similar proposals in previous years which designated the University to do the proposed study, estimated the cost of the study at about $98,000. Oversight also notes that this proposal would allow appropriations of up to $200,000 for the study. Therefore, Oversight assumes that the costs for the study would be under $200,000 and would be split between FY 2005 and FY 2006.





FISCAL IMPACT - State Government FY 2005

(10 Mo.)

FY 2006 FY 2007
GENERAL REVENUE FUND
Cost - Joint Committee on Gaming and Wagering
Expense - Study Contract (Less than $100,000) (Less than $100,000)



$0
ESTIMATED NET EFFECT ON GENERAL REVENUE FUND (Less than $100,000) (Less than $100,000)

$0






FISCAL IMPACT - Local Government FY 2005

(10 Mo.)

FY 2006 FY 2007
$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 proposal provides for the Joint Committee on Gaming and Wagering to solicit competitive bids from state universities for a comprehensive study of pathological or problem gambling in this state. After bidding is closed, the Committee shall choose the best and lowest bid based on the academic and professional qualifications of the research team and the ability of the team to deliver the best data.



The study must focus on a review of existing policies regarding the prevention and treatment of pathological and problem gambling and formulate changes to these policies. The study must include information on the economic impact of pathological or serious problem gambling on the state and political subdivisions; how much money an individual pathological gambler costs society each year; the relationship between crime and gambling; the economic impact of gambling on other businesses; the demographics of pathological gamblers; and the costs and effectiveness of state and federal gambling regulatory policy.





DESCRIPTION (continued)



The study director shall hold hearings, administer oaths, take testimony, receive evidence and subpoena witnesses and production of documents. The proposal directs the University to complete the study and file a report by January 31, 2007, and requires the general assembly to appropriate up to $200,000 for the study.



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



Office of Administration

Division of Purchasing and Materials Management

Missouri Gaming Commission

Missouri Lottery Commission

University of Missouri

Central Missouri State University

Missouri House of Representatives



NOT RESPONDING: Southwest Missouri State University and Southeast Missouri State University







Mickey Wilson, CPA

Director

February 3, 2004