COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION



FISCAL NOTE



L.R. No.: 4133-01

Bill No.: SB 1008

Subject: Environmental Protection

Type: Original

Date: February 18, 2002




FISCAL SUMMARY



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

Net Effect on All

State Funds

$0 $0 $0



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 4 pages.



FISCAL ANALYSIS



ASSUMPTION



Officials of the State Courts Administrator and the Department of Health and Senior Services stated that the proposal would not have fiscal impact on their agencies.



Officials of the Secretary of State (SOS) stated that this proposal would streamline the process and oversight of cleanups of hazardous waste sites and encourage voluntary cleanup sites, allow the Hazardous Waste Commission to adopt rules (previously in the Clean Water Commission rules), and make properties eligible for petroleum storage tank insurance fund benefits ineligible for Brownfield Redevelopment program incentives unless the owner waives insurance fund benefits. Based on experience with other divisions, the rules, regulations and forms issued by the Department of Natural Resources could require as many as 45 pages in the Code of State Regulations. For any given rule, roughly half again as many pages are published in Missouri Register as in the Code because cost estimates and fiscal notes are not repeated in the Code. The estimated cost of a page in the Missouri Register is $23. The estimated cost of a page in the Code of State Regulations is $27. The estimated cost of publication in FY 2003 for this proposal is $2,779. Actual cost could be more or less and costs in future years would depend upon frequency and length of rules filed, amended, rescinded or withdrawn.



This proposal alone would not require the Secretary of State to hire additional personnel; however, the cumulative effect of several bills requiring rulemaking activity could require additional resources.



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 of the Department of Natural Resources stated that, in the long run, allowing Voluntary Cleanup Program (VCP) site owners to waive Petroleum Storage Tank Insurance Fund (PSTIF) benefits might encourage more cleanups and, consequently, more economic development of brownfield sites.



Oversight notes that the proposal could affect the number of requests for "brownfield" program loans, grants and tax credits. (Officials of the Department of Economic Development have not yet responded to this proposal.)





FISCAL IMPACT - State Government FY 2003

(10 Mo.)

FY 2004 FY 2005
$0 $0 $0





FISCAL IMPACT - Local Government FY 2003

(10 Mo.)

FY 2004 FY 2005
$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 proposal would transfers authority to regulate petroleum storage tanks from the Clean Water Commission to the Hazardous Waste Management Commission.



Owners of property eligible for benefits from the Petroleum Storage Tank Insurance Fund would not receive incentives under the state Brownfield Redevelopment Program unless they waived Fund benefits.



The Department of Natural Resources would be allowed to conduct inspections of voluntary clean-up plan (remediated) sites if there were suspected violations of required pollution control plans.



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





SOURCES OF INFORMATION



Department of Health and Senior Services

Department of Natural Resources

Secretary of State

State Courts Administrator



Not Responding - Department of Economic Development











Mickey Wilson, CPA

Acting Director

February 18, 2002