COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. NO.: 3151-01
BILL NO.: SB 731
SUBJECT: Motor Vehicles; Free Registrations; Purple Heart
TYPE: Original
DATE: January 25, 2000
FISCAL SUMMARY
| FUND AFFECTED | FY 2001 | FY 2002 | FY 2003 |
| Highway Fund | ($46,939) | ($37,306) | ($37,306) |
| Railroad Grade Crossing Fund | ($603) | ($483) | ($483) |
| Total Estimated
Net Effect on All State Funds |
($47,542) | ($37,789) | ($37,789) |
| FUND AFFECTED | FY 2001 | FY 2002 | FY 2003 |
| None | $0 | $0 | $0 |
| Total Estimated
Net Effect on All Federal Funds |
$0 | $0 | $0 |
| FUND AFFECTED | FY 2001 | FY 2002 | FY 2003 |
| Local Government | ($15,347) | ($12,278) | ($12,278) |
Numbers within parentheses: ( ) indicate costs or losses
This fiscal note contains 4 pages.
ASSUMPTION
The Department of Revenue (DOR) stated the Motor Vehicle Bureau (MVB) issued 1,680 purple heart license plates in FY 99. The average registration fee was $27, however recipients of purple heart plates are only required to pay the $15 special plate fee at the initial time of application and not at renewal title. This excludes the $.25 Railroad Grade Crossing fee. In FY99, 249 owners applied for new purple heart plates.
The Motor Vehicle Bureau will insert a flyer with each special/personalized plate renewal notice informing the applicant that these fees are being eliminated. Thus the MVB will incur expenses in amount of $898 for FY01 for policy revisions, envelopes, flyers and postage. For FY02 & 03 the expenses will be $473.
REVENUE IMPACT
Because these are "free" registrations, and Senate Bill 19 from last year requires the option of biennial registration, the MVB assumes that these individuals will take advantage of the biennial option the first year. Accordingly, 50% of the applicants will get a biennial registration in FY01 and 50% in FY02. The calculated loss in registration fees is as follows:
FY 01
Highway Fund ($46,041)
Cities ($9,208)
Counties ($6,139)
RR Grade Crossing ($603)
FY 02 & 03
Highway Fund ($36,833)
Cities ($7,367)
Counties ($4,911)
RR Grade Crossing ($483)
Officials from the Department of Transportation concur with the Department of Revenue's response to this proposal.
Officials from the Secretary of State assume this proposal would not fiscally or administratively impact their agency.
FISCAL IMPACT - State Government FY 2001 FY 2002 FY 2003
(10 Mo.)
HIGHWAY FUND
Costs - Department of Revenue
Flyers, Postage, Policies ($898) ($473) ($473)
Loss - Department of Revenue
Registration fees ($46,041) ($36,833) ($36,833)
ESTIMATED NET EFFECT ON
HIGHWAY FUND ($46,939) ($37,306) ($37,306)
RAILROAD GRADE CROSSING FUND
Loss - Department of Revenue
Registration fees ($603) ($483) ($483)
ESTIMATED NET EFFECT ON
RAILROAD GRADE CROSSING FUND ($603) ($483) ($483)
FISCAL IMPACT - Local Government FY 2001 FY 2002 FY 2003
(10 Mo.)
CITIES and COUNTIES
Loss - Cities
Registration fees ($9,208) ($7,367) ($7,367)
Loss - Counties
Registration fees ($6,139) ($4,911) ($4,911)
ESTIMATED NET EFFECT ON
CITIES AND COUNTIES ($15,347) ($12,278) ($12,278)
FISCAL IMPACT - Small Business
No direct fiscal impact to small businesses would be expected as a result of this proposal.
DESCRIPTION
This proposal allows a Purple Heart recipient to receive free registration and Purple Heart License plates for two motor vehicles.
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 Revenue
Department of Transportation
Missouri Highway Patrol
Jeanne Jarrett, CPA
Director
January 25, 2000