COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION



FISCAL NOTE



LR No.: 3589-01

Bill No.: SB 1183

Subject: Political Parties: Subdivision Regulation

Type: Original

Date: February 27, 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 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 (Unknown) (Unknown) (Unknown)




FISCAL ANALYSIS



ASSUMPTION



Officials of the Department of Natural Resources assume no fiscal impact.



Officials of the Jefferson City - City Counselors Office stated that if "cities cannot require a bond to be posted for compliance with regulations, only for improvements, this shifts the cost burden to the cities. Examples might be regulations requiring erosion abatement or prohibiting mud accumulation on streets. If these are not followed, the city would bear the cost of repair".



Officials of the Jasper County, Jefferson County, Platte County, and Greene County Commissions assume no fiscal impact.



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
CITIES AND COUNTIES
Cost to Cities and Counties
repair costs (Unknown) (Unknown) (Unknown)



FISCAL IMPACT - Small Business



No direct fiscal impact to small businesses would be expected as a result of this proposal.



DESCRIPTION



In accordance with this act, cities and towns may only impose requirements for the posting of bonds or escrows for subdivision-related improvements. In lieu of completion of work and installations prior to the final approval of a plat, the council will accept, at the option of the developer, an escrow secured with cash, an escrow secured with an irrevocable letter of credit, or a surety bond.

Under this act, regulations shall provide that in the event a developer, who has posted a bond or an escrow with the city, transfers title of the subdivision property prior to full release, the municipality will accept a replacement escrow from the successor. The city will accept a replacement in the amount held by the city at the time of the property transfer. Upon receiving the replacement escrow, the city shall fully release the original escrow or bond and the prior developer from all obligations associated with the subdivision improvements.

This act includes "bond amount" where the statute previously referred only to "escrow funds."

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 Natural Resources

Jefferson City - City Counselor

Jasper County Commission

Greene County Commission

Platte County Commission

Jefferson County Commission





































Mickey Wilson, CPA

Director

February 27, 2004