LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
FISCAL IMPACT STATEMENT
LS 6703 NOTE PREPARED: Dec 21, 2024
BILL NUMBER: SB 197 BILL AMENDED:
SUBJECT: Unsafe Building Law.
FIRST AUTHOR: Sen. Freeman BILL STATUS: As Introduced
FIRST SPONSOR:
FUNDS AFFECTED: GENERAL IMPACT: Local
DEDICATED
FEDERAL
Summary of Legislation: This bill requires that the instructions for requesting a hearing on an order relating
to an unsafe premises: (1) be printed in at least 12 point font; and (2) be placed in a conspicuous location on
the order. It requires a hearing to be conducted when a civil penalty is imposed unless the property owner
waives the hearing in writing. It also provides that a civil penalty shall be waived if the property subject to
the order was sold to a third party that renovates the property and meets certain conditions.
This bill prohibits a civil penalty for an unsafe premises from being included on a property tax statement.
Effective Date: July 1, 2025.
Explanation of State Expenditures:
Explanation of State Revenues:
Explanation of Local Expenditures: This bill’s provisions may result in a minor increase in the
administrative workload for hearing authorities since it expands the scenarios under which a hearing must
be held regarding orders of the enforcement authority of a county or municipality’s unsafe building law.
Under this bill, the hearing authority would be required to conduct a hearing prior to imposing an initial civil
penalty unless the property owner waives the right to the hearing in writing.
Explanation of Local Revenues: This bill’s provisions may result in a minor decrease in revenue generated
from civil penalties imposed by the hearing authority related to properties that are in violation of a county
or municipality’s unsafe building law. Under this bill, the civil penalty (or penalties) would be waived if the
property is sold to a nonrelated third party and the purchaser decides to make the necessary improvements
to the property.
State Agencies Affected:
Local Agencies Affected: Enforcement and hearing authorities assigned with administering unsafe building
SB 197 1 laws in counties and municipalities.
Information Sources:
Fiscal Analyst: James Johnson, 317-232-9869.
SB 197 2