COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION



FISCAL NOTE



L.R. No.: 3575-01

Bill No.: SB 868

Subject: Roads and Highways; Highway Department

Type: Original

Date: January 16, 2002




FISCAL SUMMARY

ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED FY 2003 FY 2004 FY 2005
ROAD FUND Unknown Unknown Unknown
Total Estimated

Net Effect on All

State Funds

Unknown Unknown Unknown



ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED FY 2003 FY 2004 FY 2005
Total Estimated

Net Effect on All

Federal Funds

$0 $0 $0





ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED FY 2003 FY 2004 FY 2005
Local Government $0 $0 $0

Numbers within parentheses: ( ) indicate costs or losses.

This fiscal note contains 3 pages.





FISCAL ANALYSIS



ASSUMPTION



Officials with the Office of Administration - Division of Purchasing and Materials Management and the Department of Economic Development - Division of Motor Carrier and Railroad Safety (DED - MCRS) assume the proposal would have no fiscal impact on their agency.



Officials with the Department of Transportation (MoDOT) assume the proposal would have no fiscal impact on their agency. However, MoDOT notes that they are currently required to divide a project into less than ten mile segments if requested by a contractor. A request of this nature requires significant resources. This proposal would eliminate the possibility of "segmenting" a project over ten miles, thus creating a cost savings, however the savings is unknown.



The office of the Secretary of the State (SOS) assumes that this legislation requires highway road bids to be published. Because historically, bids are published in the Missouri Register, it is presumed these bids will also be published in this bi-monthly publication so as to inform the public of the status and pertinent details concerning the bid. This will require the Missouri Department of Transportation to transmit the bids to the Office of Secretary of State, Administrative Rules Division for publication of the same. Bids are only published in the Missouri Register and typically do not exceed 1-1.5 pages of text. Bids are not published in the Code of State Regulations, and, therefore, there will be no cost associated with the bids for this publication. The estimated cost per page of Register is $23.00. The total actual cost of $35 ($23 x 1.5) could be more or less than the numbers provided. The impact of the legislation in future years is unknown.



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.





FISCAL IMPACT - State Government FY 2003

(10 Mo.)

FY 2004 FY 2005
ROAD FUND
Cost Savings - MoDOT Eliminated Project Segmentation Unknown Unknown Unknown
Unknown Unknown Unknown



FISCAL IMPACT - Local Government FY 2003

(10 Mo.)

FY 2004 FY 2005

FISCAL IMPACT - Small Business



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



DESCRIPTION



This act eliminates the requirement that road projects be bid in sections not to exceed 10 miles.



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 Transportation

Office of Secretary of the State

Office of Administration

Division of Purchasing and Materials Management

Department of Economic Development

Division of Motor Carrier and Railroad Safety





Mickey Wilson, CPA

Acting Director

January 16, 2002