COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION



FISCAL NOTE



L.R. No.: 3429-02

Bill No.: Perfected SCS for SB 974

Subject: Medical Malpractice Liability

Type: Original

Date: March 18, 2004




FISCAL SUMMARY



ESTIMATED NET EFFECT ON GENERAL REVENUE FUND
FUND AFFECTED FY 2005 FY 2006 FY 2007
Total Estimated

Net Effect on

General Revenue

Fund

$0 $0 $0



ESTIMATED NET EFFECT ON STATE FUNDS
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.











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 Department of Health and Senior Services, Department of Elementary and Secondary Education, Department of Mental Health, Department of Insurance, Department of Social Services, and the Department of Corrections assume the proposed legislation would have no fiscal impact on their agencies.



Officials from the Office of State Courts Administrator assume the proposed legislation would have no fiscal impact on the courts.



Officials from the Office of Attorney General (AGO) assumes this provision will create a fiscal impact because claims for malpractice or liability may be brought against the State Legal Defense Fund. The AGO is responsible for defending claims against the State Legal Defense Fund, and it is unclear now many liability or malpractice claims may be filed in proportion to the low or no-costs services provided by the bill. As a result, AGO assumes costs are unknown, but under $100,000.





ASSUMPTION (continued)



Oversight assumes the AGO could absorb the cost of the proposed legislation within existing resources. If the AGO experiences an increase that would require additional funding, the AGO could request the funding through the appropriation process.





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
$0 $0 $0





FISCAL IMPACT - Small Business



Small businesses providing free medical evaluations or screenings could be fiscally impacted by the proposed legislation.





DESCRIPTION



The proposed legislation would modify the State Legal Expense Fund. Physicians licensed pursuant to Chapter 334, RSMo, who provide free health screenings in any setting without receiving compensation, would be included in the list of persons for whom the State Legal Expense Fund is available.



The proposal would also clarify that malpractice insurance obtained by or on behalf of any physician, dentist, physician assistant, dental hygienist, or nurse whose services are volunteered would not be considered available to pay any portion of a judgment or claim for which the State Legal Expense Fund is liable.



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 State Courts Administrator

Department of Health and Senior Services

Department of Insurance

Office of Attorney General

Department of Elementary and Secondary Education

Department of Mental Health

Department of Corrections

Department of Social Services













Mickey Wilson, CPA

Director

March 18, 2004