COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. NO.: 4476-01
BILL NO.: SB 998
SUBJECT: Business and Commerce; Economic Development Department; Licenses - Misc..
TYPE: Original
DATE: February 28, 2000
FISCAL SUMMARY
| FUND AFFECTED | FY 2001 | FY 2002 | FY 2003 |
| General Revenue | $0 | $0 | $0 |
| Total Estimated
Net Effect on All State Funds |
$0 | $0 | $0 |
| FUND AFFECTED | FY 2001 | FY 2002 | FY 2003 |
| Total Estimated
Net Effect on All Federal Funds |
$0 | $0 | $0 |
| FUND AFFECTED | FY 2001 | FY 2002 | FY 2003 |
| Local Government | $0 | $0 | $0 |
Numbers within parentheses: ( ) indicate costs or losses
This fiscal note contains 4 pages.
ASSUMPTION
Officials from the Office of Secretary of State (SOS) state this proposal creates the Missouri Business and Industrial Development Companies Act. The SOS assumes there would be costs due to additional publishing duties related to the Department of Economic Development's authority to promulgate rules, regulations, and forms. SOS estimates the division could require approximately 22 new pages of regulations in the Code of State Regulations at a cost of $26.50 per page, and 33 new pages in the Missouri Register at a cost of $22.50 per page. Costs due to this proposal would be $1,326, the actual fiscal impact would be dependent upon the actual rulemaking authority and may be more or less. Financial impact in subsequent fiscal years would depend entirely on the number, length, and frequency of the rules filed, amended, rescinded, or withdrawn. SOS does not anticipate the need for additional staff as a result of this proposal; however, the enactment of more than one similar proposal may, in the aggregate, necessitate additional staff.
Oversight assumes the SOS could absorb the costs of printing and distributing regulations related to this proposal. If multiple bills pass which require the printing and distribution of regulations at substantial costs, the SOS could request funding through the appropriation process. Any decisions to raise fees to defray costs would likely be made in subsequent fiscal years.
Officials from the State Treasurer's Office, the Office of the State Courts Administrator, and the Attorney General's Office assume this proposal will not fiscally impact their respective agencies.
Officials of the Department of Economic Development (DED) did not respond to our request for fiscal impact.
Oversight assumes the Department of Economic Development will charge fees sufficient to cover their costs of administering the Missouri BIDCO act.
FISCAL IMPACT - State Government FY 2001 FY 2002 FY 2003
(10 Mo.)
GENERAL REVENUE FUND
Income - Department of Economic Devel.
Missouri BIDCO fees unknown unknown unknown
FISCAL IMPACT - State Government FY 2001 FY 2002 FY 2003
(continued) (10 Mo.)
Costs - Department of Ecoomic Devel.
Costs associated with Missouri BIDCO (unknown) (unknown) (unknown)
ESTIMATED NET EFFECT ON
GENERAL REVENUE FUND $0 $0 $0
FISCAL IMPACT - Local Government FY 2001 FY 2002 FY 2003
(10 Mo.)
$0 $0 $0
FISCAL IMPACT - Small Business
Small businesses may be fiscally impacted as a result of this proposed legislation.
DESCRIPTION
This act authorizes the creation of Business and Industrial Development Companies (BIDCOs) to provide financing assistance and management assistance to business firms.
The Business and Industrial Development Company (BIDCO) is licensed by the Director of the Department of Economic Development. Rules and licensing requirements are set by the Director to ensure that the BIDCO operates to provide such financing assistance and a return on investments in a sound manner.
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 the Secretary of State
Office of the State Courts Administrator
State Treasurer's Office
Attorney General's Office
NOT RESPONDING: DEPARTMENT OF ECONOMIC DEVELOPMENT
Jeanne Jarrett, CPA
Director
February 28, 2000