COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION



FISCAL NOTE



L.R. No.: 4256-04

Bill No.: Truly Agreed to and Finally Passed HS for HCS for SB 1039

Subject: Housing: Kansas City

Type: Original

Date: May 29, 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 ($14,000 to Unknown) ($16,800 to Unknown) ($16,800 to Unknown)

Numbers within parentheses: ( ) indicate costs or losses.

This fiscal note contains 3 pages.

FISCAL ANALYSIS



ASSUMPTION



Officials of the Department of Economic Development- Mo. Housing Commission assume no state fiscal impact.



Officials of the Kansas City Manager's Office assume no fiscal impact to City Funds, however, officials stated that the cost of paying the Housing Commissioners $200 per month plus expenses would come from funds of the Kansas City Housing Authority.



Oversight assumes that the cost to the Kansas City Housing Authority would be 7 Commissioners x $2,400 ($200 x 12 months = $2,400) or $16,800 annually plus an unknown amount for expense reimbursement. Fiscal impact for the Kansas City Housing Authority for 10 months of FY 2003 is $14,000 plus an Unknown amount for expense reimbursement. Commissioners would be allowed to adjust the compensation annually to reflect the changes in the Consumer Price Index or could use a similar prudent and object pre-escalator method.



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
KANSAS CITY HOUSING AUTHORITY
Cost to Kansas Housing Authority
Commission Member's Salary ($14,000 to Unknown)* ($16,800 to Unknown)* ($16,800 to Unknown)*

* Unknown costs would be for expense reimbursement, and any annual compensation adjustment for 7 Commissioners.



FISCAL IMPACT - Small Business



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





DESCRIPTION



Under current law, all seven members of the Kansas City Housing Authority Commission are appointed by the mayor, with one member from each of the six city council districts and the seventh member a tenant of a housing authority project. All commissioners must have resided in Kansas City for at least one year.

Under this substitute, six commissioners will be nominated by a nominating committee and appointed by the mayor, and one commissioner will be elected by the tenants of the housing authority. All must be residents of Kansas City for at least one year. One of the appointed commissioners must be receiving Section 8 housing assistance and one member must own rental property in Kansas City, but not any property containing public housing. Each commissioner will receive a stipend of $200 per month, plus reimbursement for expenses incurred in the discharge of their duties.

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 Economic Development- Mo. Housing Commission

Kansas City Manager's Office



















Mickey Wilson, CPA

Acting Director

May 29, 2002