COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.: 3853-01
Bill No.: SB 1040
Subject: Environmental Protection; Fees; Waste - Hazardous
Type: Original
Date: February 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 |
| Solid Waste Management Fund | $2,076,104 | $2,076,104 | $2,076,104 |
| Highway Fund | ($6,334) | $0 | $0 |
| Hazardous Waste Remedial Fund | $1,600,000 | $1,600,000 | $1,600,000 |
| Hazardous Waste Fund | $1,100,000 | $1,100,000 | $1,100,000 |
| Total Estimated
Net Effect on Other State Funds |
$4,769,770 | $4,776,104 | $4,776,104 |
Numbers within parentheses: ( ) indicate costs or losses.
This fiscal note contains 5 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 | $0 |
ASSUMPTION
Officials from the Department of Transportation, Department of Economic Development and Attorney General's Office assume no fiscal impact.
Officials of the Department of Revenue assume this proposal extends the sunset provision from January 1, 2004 to January 1, 2009. However, the Department of Revenue would have to notify tire retailers that the tire fee program was reactivated. All tire fee accounts must be programmatically reactivated requiring an estimated 173 hours or $5,771 and mailing costs of $563.
Officials from the Department of Natural Resources (DNR) assume the proposed legislation would extend the sunset date on the waste tire fee. The waste tire fee generates about $2.1 million dollars annually. The DNR assumes the revenue will be used to fund continued removal of illegally dumped tiers, educational programs, and grants to end users.
The proposal extends the sunset of two fees that support the hazardous waste program. Extension of the fees will not result in a fiscal impact.
ASSUMPTION (continued)
Current statute provides revenue through January 1, 2005 (first six months of FY05). The proposed legislation would extend the sunset date of two fees that support the hazardous waste program to January 1, 2010. Extension of the sunset date for these fees will continue the current revenue stream. This does not affect the department's authority regarding these issues. Therefore, the program will not be impacted by this legislation.
The proposal extends the sunset date Revenue received as a result of this legislation is projected to be $800,000 to the Hazardous Waste Remedial Fund and $550,000 to the Hazardous Waste Fund for the six month period of FY05 beginning January 1, 2005. The continued fees will generate about $1.6M annually into Hazardous Waste Remedial Fund and $1.1M annually to the Hazardous Waste Fund.
Projected revenues for FY 2006 that would be generated are approximately $2,476,053 in category tax (60% to HWRF and 40% to HWF) and $142,045 in land disposal fees (60% to HWRF and 40% to HWF).
The department assumes the revenue will be used to support the regulation of hazardous wastes in the state of Missouri. Revenue from these fees is a critical component of the funding that support the regulation, compliance and enforcement activities conducted by the Hazardous Waste Program and Regional Offices. This funding also supports emergency response activities conducted by the Environmental Services Program.
| FISCAL IMPACT - State Government | FY 2005 | FY 2006 | FY 2007 |
| SOLID WASTE MANAGEMENT FUND | |||
| Income - DNR | |||
| Solid Waste Management Fund - Tire Fees |
$2,076,104 |
$2,076,104 |
$2,076,104 |
| NET ESTIMATED EFFECT ON SOLID WASTE MANAGEMENT FUND |
$2,076,104 |
$2,076,104 |
$2,076,104 |
| HAZARDOUS WASTE REMEDIAL FUND | |||
| Income - DNR | |||
| Hazardous Waste Remedial Fund | $1,600,000 | $1,600,000 | $1,600,000 |
| Hazardous Waste Fund | $1,100,000 | $1,100,000 | $1,100,000 |
| NET ESTIMATED EFFECT ON HAZARDOUS WASTE REMEDIAL FUND |
$2,700,000 |
$2,700,000 |
$2,700,000 |
| HIGHWAY FUND | |||
| Cost-Department of Revenue | |||
| Programming and Mailing | ($6,334) | $0 | $0 |
| NET ESTIMATED EFFECT ON HIGHWAY FUND |
($6,334) |
$0 |
$0 |
| FISCAL IMPACT - Local Government | FY 2005 | 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 act extends the waste tire fee until 2009, extends the hazardous waste generator fee until 2010, and extends the hazardous waste storage fee until 2010.
This proposal has an emergency clause.
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
Department of Revenue
Department of Transportation
Mickey Wilson, CPA
Director
February 16, 2004