COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:4609H.02C Bill No.:HCS for HB 2154 Subject:Cities, Towns, and Villages; Fire Protection; Political Subdivisions Type:Original Date:April 6, 2022Bill Summary:This proposal changes the law regarding fire protection districts and fire
hydrants.
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2023FY 2024FY 2025Total Estimated Net
Effect on General
Revenue $0$0$0
ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTEDFY 2023FY 2024FY 2025Total Estimated Net
Effect on Other State
Funds $0$0$0
Numbers within parentheses: () indicate costs or losses. L.R. No. 4609H.02C
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ESTIMATED NET EFFECT ON FEDERAL FUNDSFUND AFFECTEDFY 2023FY 2024FY 2025Total Estimated Net
Effect on All Federal
Funds $0$0$0
ESTIMATED NET EFFECT ON FULL TIME EQUIVALENT (FTE)FUND AFFECTEDFY 2023FY 2024FY 2025Total Estimated Net
Effect on FTE 000
☐ Estimated Net Effect (expenditures or reduced revenues) expected to exceed $250,000 in any
of the three fiscal years after implementation of the act or at full implementation of the act.
☐ Estimated Net Effect (savings or increased revenues) expected to exceed $250,000 in any of
the three fiscal years after implementation of the act or at full implementation of the act.
ESTIMATED NET EFFECT ON LOCAL FUNDSFUND AFFECTEDFY 2023FY 2024FY 2025Local Government (Unknown) (Unknown) (Unknown) L.R. No. 4609H.02C
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FISCAL ANALYSIS
ASSUMPTION
§71.014 – Annexed Area within a Fire Protection District
Oversight received no responses from cities, the counties of Franklin, Johnson and Ray and fire
protection districts related to the fiscal impact of this section of the proposal. Oversight has
presented this fiscal note on the best current information available. Upon the receipt of additional
responses, Oversight will review to determine if an updated fiscal note should be prepared and
seek the necessary approval to publish a new fiscal note.
§71.395 – Fire hydrants
Officials from the City of Kansas City state this section would have a substantial negative fiscal
impact because it would pass the cost of fire hydrants, currently paid for by developers, on to the
City.
Officials from the City of Springfield anticipate a negative fiscal impact from this proposal and
note it is difficult to quantify but would likely be very costly. At present, the expense of a fire
hydrant is paid by the developer/property owner.
In response to a previous version, officials from the City of Camdenton stated cities could then
be spending money to put in fire hydrants even though they may not have the funds available or
could take money away from other needed services.
In response to a previous version, officials from the City of Grandview stated that most, if not
all of the cities in Missouri, impose upon developers the requirement to build structures that
comply with all City Codes, including Building and Fire Codes. The Fire Codes in particular
require new buildings to incorporate life/safety features into the buildings, including fire
hydrants as a condition to receiving building permits and certificates of occupancy. It is a matter
of life and safety of city residents and is part of the cost of development. This proposal would
shift the cost of installing fire hydrants to each city, which would clearly have a fiscal impact.
In response to a previous version, officials from the City of Prairie Home stated any new
subdivision built within city limits will increase city costs by requiring the city to pay for the
installation of fire hydrants. The cost of this unfunded mandate is unknown since it is not known
what development will take place.
In response to a previous version, officials from the City of Sikeston assumed this proposal
transfers the cost of development from the developer to the taxpayer at large, even though the
taxpayer at large doesn’t necessarily benefit from the installation of the hydrant. L.R. No. 4609H.02C
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In response to a previous version, officials from the Florissant Valley Fire Protection District
assumed this proposal could reduce or limit required fire code requirements for fire flow that is
important for firefighting, leaving areas without needed and required water supplies for
firefighting
Oversight notes the responses from the cities and fire protection district above indicated this
proposal would have an unknown negative impact. Oversight is unable to project a statewide
cost for this proposal based on the number of cities and the number of potential fire hydrants that
would be needed in any given year. Oversight will, therefore, show the impact to local
governments-political subdivisions as an unknown cost.
Oversight only reflects the responses received from state agencies and political subdivisions;
however, other cities and fire protection districts were requested to respond to this proposed
legislation but did not. A general listing of political subdivisions included in the Missouri
Legislative Information System database is available upon request.
Bill as a Whole
Officials from the Department of Public Safety’s Division of Fire Safety, the State Tax
Commission and the City of Claycomo each assume the proposal will have no fiscal impact on
their respective organizations. Oversight does not have any information to the contrary.
Therefore, Oversight will reflect a zero impact in the fiscal note for these agencies.
FISCAL IMPACT – State GovernmentFY 2023
(10 Mo.)
FY 2024FY 2025$0$0$0FISCAL IMPACT – Local GovernmentFY 2023
(10 Mo.)
FY 2024FY 2025LOCAL POLITICAL
SUBDIVISIONS
Costs – Cities – installation of fire
hydrants (§71.395) p. 4 (Unknown) (Unknown) (Unknown)
ESTIMATED NET EFFECT ON
LOCAL POLITICAL
SUBDIVISIONS
(Unknown) (Unknown) (Unknown) L.R. No. 4609H.02C
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FISCAL IMPACT – Small Business
No direct fiscal impact to small businesses would be expected as a result of this proposal.
FISCAL DESCRIPTION
This bill requires an incorporated city to pay for the costs of installing a fire hydrants, other than
a dry fire hydrant. If the city cannot or does not pay the cost of installation of the fire hydrant,
installation of the fire hydrant cannot be required.
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
City of Kansas City
City of Camdenton
City of Claycomo
City of Springfield
City of Grandview
City of Prairie Home
City of Sikeston
Florissant Valley Fire Protection District
Department of Public Safety - Division of Fire Safety
State Tax Commission
Julie MorffRoss StropeDirectorAssistant DirectorApril 6, 2022April 6, 2022