COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.: 1102-02
Bill No.: Perfected HCS for HB 493
Subject: Engineers, Licenses-Motor Vehicle, Motor Vehicles, Revenue Dept.
Type: Original
Date: March 17, 2003
FISCAL SUMMARY
| FUND AFFECTED | FY 2004 | FY 2005 | FY 2006 |
| Total Estimated
Net Effect on General Revenue Fund |
$0 | $0 | $0 |
| FUND AFFECTED | FY 2004 | FY 2005 | FY 2006 |
| Highway | ($7,269) | $5,125 | $5,125 |
| Total Estimated
Net Effect on Other State Funds |
($7,269) | $5,125 | $5,125 |
Numbers within parentheses: ( ) indicate costs or losses.
This fiscal note contains 6 pages.
| FUND AFFECTED | FY 2004 | FY 2005 | FY 2006 |
| Total Estimated
Net Effect on All Federal Funds |
$0 | $0 | $0 |
| FUND AFFECTED | FY 2004 | FY 2005 | FY 2006 |
| Local Government | $1,564 | $1,875 | $1,875 |
ASSUMPTION
Officials with the Department of Transportation assume this proposal would have no fiscal impact on their agency.
Officials with the Department of Revenue (DOR) Division of Motor Vehicle and Drivers Bureau (DVSB) assume this proposal could have fiscal impact on their agency. The DVSB, with information from the Missouri Society of Professional Engineers, indicates that approximately 500 of these specialty plates could be issued. There is a $15 application fee for this plate.
FY 04 (10 months) Income
417 plates issued* $15 plate fee $6,255
FY 05 Income
500 plates issued* $15 plate fee $7,500
FY 06 Income
500 plates issued* $15 plate fee $7,500
ASSUMPTION (continued)
According to the Missouri Constitution, this revenue is to be dispersed in the following manner:
State Road Fund 75%
Cities 15%
Counties 10%
DOR-DVSB assumes there could be cost for procedures, mailings, plates, tabs, storage at the State Data Center and a new plate design fee.
Due to the volume of plates expected, DOR-DVSB assumes it could incur cost for a Clerk Typist I to work 40 hours of overtime. Oversight assumes that DOR could absorb the work load with existing resources.
DOR-DVSB notes that prior to last year specialty plates were developed, designed and provided to DOR by the Missouri Vocational Enterprises. The Missouri Vocational Enterprises recently contracted with a vendor to now provide all Missouri specialty plates. The costs will be shown for all specialty license plate bills accordingly.
This contract requires DOR to pay:
-$250 new plate design set-up fee (if applicable)
-$50 per modification for a new plate design (if applicable)
-$80 per revision to existing plate designs (if applicable)
-$4.50 per plate for freight shipping to DOR
Officials with DOR- Information and Technology Bureau (ITB) assume that implementing this proposal could require 180 hours of overtime programming to modify the special plate reservation program, the renewal pull program for fees and the Uniform Field Office System.
ASSUMPTION (continued)
FY 04 Cost
Form changes and Envelopes $493
Plate Design (contractor) $250
Postage (500*4.50) and extra for agencies $3,376
Plates (500*5.98) and tab cost $3,120
Storage at State Data Center $500
Programming Salaries $4,221
Total $11,960
FY 05 Cost
Storage at State Data Center $500
FY 06 Cost
Storage at State Data Center $500
To implement this legislation, DOR could require additional funds. In the past, the programs included in this legislation have been paid for with highway funds. This year, however, highway funds may not be available for this purpose as a result of legislation enacted by the General Assembly in 2000 that limits the use of highway funds.
This limitation is found in Section 226.200.3, RSMo. It places a cap on the highway funding available to state departments other than the Department of Transportation. The total amount of highway funds appropriated to these other state departments (including DOR) cannot exceed the total amount of their fiscal year 2001 highway appropriations. This cap limits the highway funds that will be available for the implementation of this legislation.
If highway funds are not available, then another source of funding must be identified to pay for the cost of implementing this legislation.
This proposal could increase state revenue through plate fees.
| FISCAL IMPACT - State Government | FY 2004
(10 Mo.) |
FY 2005 | FY 2006 |
| HIGHWAY FUND | |||
| Income-Department of Revenue | |||
| License Plate Fee | $4,691 | $5,625 | $5,625 |
| Cost-Department of Revenue | |||
| Forms and Postage | ($4,119) | $0 | $0 |
| Programming salaries | ($4,221) | $0 | $0 |
| Storage | ($500) | ($500) | ($500) |
| Plates and Tabs | ($3,120) | $0 | $0 |
| Total Cost-DOR | ($11,960) | ($500) | ($500) |
| NET ESTIMATED EFFECT ON HIGHWAY FUND |
($7,269) |
$5,125 |
$5,125 |
| FISCAL IMPACT - Local Government | FY 2004
(10 Mo.) |
FY 2005 | FY 2006 |
| LOCAL FUNDS | |||
| Income-Cities | |||
| License Plate Fee | $938 | $1,125 | $1,125 |
| Income-Counties | |||
| License Plate Fee | $626 | $750 | $750 |
| NET ESTIMATED EFFECT ON LOCAL FUNDS |
$1,564 |
$1,875 |
$1,875 |
FISCAL IMPACT - Small Business
No direct fiscal impact to small businesses would be expected as a result of this proposal.
DESCRIPTION
This proposal could allow members of the Missouri Society of Professional Engineers to obtain a license plate bearing the organization's emblem. The members would pay a $15 fee to DOR and pay an emblem usage fee of $25 to their organization.
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 Revenue
Department of Transportation
Mickey Wilson, CPA
Director
March 17, 2003