COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION

FISCAL NOTE

LR No.: 1005-10

Bill No.: Truly Agreed to and Finally Passed SS for SCS for HS for HB 267

Subject: Counties: Ordinances

Type: Original

Date: June 3, 2003

FISCAL SUMMARY

Numbers within parentheses: ( ) indicate costs or losses.

This fiscal note contains 7 pages.

ASSUMPTION

Sections 49.650:

Officials of the Cass County Clerk's Office assume that each time an election would be held to approve an ordinance the county would have election costs of approximately $40,000.

Officials of Jefferson County Commission assume no fiscal impact.

Officials of Franklin County assume no fiscal impact.

Oversight assumes this proposal is enabling legislation and would have no fiscal impact as written. Before a non-charter county would have fiscal impact, the counties governing body or the citizens by petition would have to act. Fiscal impact would be from the cost of an election. This proposal requires any election to be held at the same time as "the next general election". If held at the same time as another election costs would be minimized. Oversight will show fiscal impact as $0, because this proposal as written does not mandate certain counties to pass ordinances and to hold elections. Oversight assumes no state fiscal impact.

ASSUMPTION (continued)

Section 64.907 - Counties- Storm Water Utility Tax:

Officials of the Department of Natural Resources assume no fiscal impact.

Oversight assumes that the provisions of this section is enabling, and does not mandate certain counties to impose a storm water utility tax for the purpose of funding public storm water control projects. Before fiscal impact could occur the county's governing body would have to receive voter approval to impose the utility tax. Oversight assumes no fiscal impact to counties or to the state from this section.

Section 67.399 - St. Louis County- Housing Code Violations- Fee:

Oversight assumes the provisions of this section is enabling and would only have fiscal impact if the governing body would act to impose a fee upon owners of real property that is in violation of county housing codes. Oversight assumes that the provisions of this section do not mandate the county's governing body to impose a fee. Therefore, Oversight assumes no state or local fiscal impact.

Section 150.150 - Merchants License Fee Increase:

Oversight assumes the increase in Section 150.150 would only affect the City of St. Louis and Charter Counties. Oversight assumes this substitute would not affect second, third or fourth class counties or Jackson County.

Oversight assumes that charter counties and the City of St. Louis do not pay into the County Employees' Retirement Fund and are allowed to keep all of the Merchant License Fee collected. Oversight assumes there would be an unknown increase in revenue from the increase in Merchant License fees.

67.1775 Children Services:

Officials of the Department of Revenue assume no fiscal impact. Officials noted that this proposal does not provide language that would require the Department of Revenue to collect the tax. Therefore, officials assume there would be no 1% collection fee collected as a result of this proposal.

Cass County officials assume if this proposal were placed before the voters, there would be additional election cost of approximately $25,000 to $30,000.

ASSUMPTION (continued)

Jefferson County officials assume no fiscal impact.

Oversight assumes this proposal is enabling legislation and would have no fiscal impact unless, either the County's governing body, or by citizen petition, would place on the ballot, and receive voter approval to impose a sales tax that could not exceed one-quarter of a cent, for the purpose of providing services to protect the well-being and safety of children. Oversight assumes that this proposal as written, does not mandate counties to impose a sales tax, therefore, Oversight assumes no fiscal impact. Oversight assumes that as written, local governments would have to collect and administer the sales tax.

FISCAL IMPACT - Small Business

Section 64.907: Small businesses located in certain counties that would receive voter approval to impose a storm water control utility tax could expect to pay the tax.

Section 67.399: Small businesses in the commercial housing business, that own property located in St. Louis County, and the property is in violation of county housing codes could expect to pay a fee as penalty for being in violation.

Section 67.1775: Small businesses located in certain counties that would receive voter approval to impose a sales tax for community services for children, would be expected to pay and collect the sales tax.

Section 150.150: Small businesses located in charter counties and the City of St. Louis could expect to pay an increase in Merchant License fees.

DESCRIPTION

This bill makes several changes related to county government. The bill:

(1) Changes the months in which county commissioners are required to meet; (49.170)

(2) Authorizes the governing body of all counties to provide workers' compensation, health insurance, life insurance, and retirement plans for county employees; (49.278)

(3) Allows any county to acquire, own, erect, operate, manage, and maintain buildings and property outside the limits of the established seat of justice; (49.370)

(4) Authorizes any county of the first, second, or fourth classification without a charter form of government to adopt ordinances or resolutions related to its property, affairs, and local government. The bill limits the types of ordinances that may be passed. Ordinances may be submitted to the voters for approval. No county may pass an ordinance which will submit a tax to the voters without authorization by the General Assembly; (49.650)

(5) Establishes qualifications for a candidate for the office of County Surveyor in counties of the second, third, and fourth classification. In counties of the third and fourth classification, a surveyor may be appointed if no qualified candidate seeks the office; (60.010)

DESCRIPTION (continued)

(6) Authorizes any county subject to Environmental Protection Agency rules concerning storm water discharge to adopt ordinances that are necessary to comply with federal regulations. These counties may, upon voter approval, impose a storm water utility tax in an amount necessary to fund public storm water control projects; (64.907)

(7) Authorizes St. Louis County to impose, by ordinance, a semiannual fee of up to $200 on owners of residential property or commercial housing property if that property, has been vacant for six months and is in violation of the housing code. A municipal officer must make the initial determination, and the owner may appeal or improve the property within 30 days. If improved, the owner may ask for reinspection. If the fee is still imposed, the owner may still appeal. Delinquent fees become a lien upon the property. Currently, only municipalities may impose the fee; (67.399)

(8) Authorizes all counties to impose, upon voter approval, a sales tax of up to 0.025% for community services for children up to the age 19. Current law allows St. Charles, St. Louis, Jefferson, Franklin, Warren, and Lincoln counties to enact this sales tax. The moneys collected from the tax will be deposited into the county's community children's fund and administered by the board of directors; (67.1775)

(9) Increases the fee that a county collector may charge in charter counties and the City of St. Louis for a merchants license from $5 up to $25. The fee may be adjusted annually based on the Consumer Price Index, but the fee may not exceed $100. Current law sets the fee at $5, except in Jackson County, where the governing body sets the fee, not to exceed $100. The bill repeals a statute that was enacted twice, clarifying that the fee in all other counties is $25; (150.150)

(10) Establishes requirements for candidates for the office of Public Administrator. Candidates must be 21 years of age, be a resident of the county for at least one year, be a registered voter, and be current in the payment of all personal and business taxes; (473.730)

(11) Requires county collectors in all counties, except charter counties, to establish an adequate system of bookkeeping, authorize and prescribe the method nd manner of collection of taxes, and specify the format of the tax books and the form and manner of preparation of tax bills. All computer changes must interface with equipment and software in use; and (Section 1)

DESCRIPTION (continued)

(12) Deletes certain current sections of law related to county government.

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 Natural Resources

Department of Revenue

Cass County Clerk

Jefferson County Commission

Franklin County Commission

NOT RESPONDING

Timing did not allow for responses from the following local governments:

Callaway County

Cape Girardeau County

Boone County

Clay County

Greene County

Johnson County

Marion County

Taney County

Mickey Wilson, CPA

Director

June 3, 2003