COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION



FISCAL NOTE



L.R. NO.: 2930-01

BILL NO.: SB 693

SUBJECT: Telecommunications; Merchandising Practices

TYPE: Original

DATE: January 7, 2000




FISCAL SUMMARY



ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED FY 2001 FY 2002 FY 2003
None $0 $0 $0
Total Estimated

Net Effect on All

State Funds

$0 $0 $0



ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED FY 2001 FY 2002 FY 2003
None $0 $0 $0
Total Estimated

Net Effect on All

Federal Funds

$0 $0 $0



ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED FY 2001 FY 2002 FY 2003
Local Government $0 $0 $0


Numbers within parentheses: ( ) indicate costs or losses

This fiscal note contains 3 pages.



FISCAL ANALYSIS



ASSUMPTION



Officials from the Office of the Attorney General (AGO) assume any additional costs generated as a result of the proposal could be absorbed with existing resources.



Officials from the Office of State Public Defender (SPD) assume that existing staff could provide representation for those 5-10 cases arising where indigent persons were charged with illegal telemarketing. However, passage of more than one similar bill would require the SPD to request increased appropriations to cover the cumulative cost of representing the indigent accused in the additional cases.



Officials from the Department of Economic Development-Public Service Commission (PSC), Department of Economic Development-Office of Public Counsel (OPC), Department of Economic Development-Division of Credit Unions (DCU), Office of State Courts Administrator (CTS), and the Office of Prosecution Services (OPS) assume the proposed legislation would have either no or minimal fiscal impact on their agencies.





FISCAL IMPACT - State Government FY 2001 FY 2002 FY 2003

(10 Mo.)



0 0 0



FISCAL IMPACT - Local Government FY 2001 FY 2002 FY 2003

(10 Mo.)



0 0 0

FISCAL IMPACT - Small Business



This proposal could have a direct fiscal impact on certain small businesses, since it could decrease the amount of sales by telemarketers.



DESCRIPTION



The proposed legislation would establish guidelines for telemarketers. It would require telemarketers to provide certain information promptly to the consumer receiving the telephone call; it would prohibit certain practices, such as requesting a fee in advance to remove derogatory information from or improve a person's credit history or credit record; it would prohibit abusive



DESCRIPTION (Continued)



telemarketing acts, such as calling persons who have previously indicated they do not wish to receive telemarketing calls from that seller; and it would provide a range of appropriate time, from 8:00 a.m to 9:00 p.m., to place telemarketing calls to a person's residence. This proposal would have penalty provisions.

This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space.



This proposal would not affect Total State Revenues.



SOURCES OF INFORMATION



Office of the Attorney General

Office of State Public Defender

Department of Economic Development-Public Service Commission

Department of Economic Development-Office of Public Counsel

Department of Economic Development-Division of Credit Unions

Office of State Courts Administrator

Office of Prosecution Services











Jeanne Jarrett, CPA

Director

January 7, 2000