COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:4926S.04C Bill No.:SCS for HB 2168 Subject:Attorney General; Department of Commerce and Insurance; Crimes and
Punishment; Employment Security; Environmental Protection; Insurance -
Automobile; Insurance - General; Law Enforcement Officers and Agencies; Motor
Fuel; Motor Vehicles; Department of Revenue
Type:Original Date:April 28, 2022Bill Summary:This proposal modifies provisions relating to insurance.
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND
AFFECTED
FY 2023FY 2024FY 2025Fully
Implemented
(FY 20230)
General
Revenue*($388,649)
Greater than
($38,866)
Greater than
($38,866)
Greater than
($38,866)
Total Estimated
Net Effect on
General
Revenue
($388,649)
Greater than
($38,866)
Greater than
($38,866)
Greater than
($38,866)
*FY 2023 fiscal impact to General Revenue is the estimated DOR-ITSD cost for building and
implementing a system. Oversight assumes an implementation date of January 1, 2024 for the
new system; therefore Oversight has reflected potential additional DOR impacts starting in FY
2024.
Numbers within parentheses: () indicate costs or losses. L.R. No. 4926S.04C
Bill No. SCS for HB 2168
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ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND
AFFECTED
FY 2023FY 2024FY 2025Fully
Implemented
(FY 2030)
Highway Fund$0$50,882$101,760$101,760Motor Vehicle
Financial
Responsibility
Verification and
Enforcement
Fund*
$0
Less than
($56,934) to
could exceed
$81,706
Less than
($105,640) to
could exceed
$171,640
Less than
($106,119) to
could exceed
$171,161
Missouri Office
of Prosecution
Services Fund
($182,466)Less than
($182,466) to
Unknown
Less than
($182,466) to
Unknown
Less than
($182,466) to
Unknown
Petroleum
Storage Tank
Insurance
Fund**
$0$0$0($2,237,802)Unemployment
Automation Fund
$4,402,670 or Up
to $5,000,000
$4,402,670 or Up
to $5,000,000
$4,402,670 or Up
to $5,000,000
$4,402,670 or Up
to $5,000,000
Total Estimated
Net Effect on
Other State
Funds
$4,220,204 to
$4,817,534
$4,214,152 to
$4,950,122
$4,216,321 to
$5,090,934
$1,978,043 to
$2,852,653
**Oversight notes the petroleum storage tank insurance fund is currently set to expire on
December 31, 2025. This proposal extends that date to December 31, 2030. Oversight reflects
this extension as a continuation/renewal of existing income and related expenses. The
Department of Natural Resources estimates an annual net fiscal impact of approximately of
negative $2.2 million to the fund beyond FY 2025 (annual collections into the fund of
approximately $16.6 million and annual expenses from the fund of $18.8 million) L.R. No. 4926S.04C
Bill No. SCS for HB 2168
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ESTIMATED NET EFFECT ON FEDERAL FUNDSFUND AFFECTEDFY 2023FY 2024FY 2025Fully
Implemented (FY
2030)
Unemployment Trust
Fund
($4,402,670) or
Up to
($5,000,000)
($4,402,670) or
Up to
($5,000,000)
($4,402,670) or
Up to
($5,000,000)
($4,402,670) or
Up to
($5,000,000)
Unemployment
Compensation
Administration Fund
$0 or Up to
($91,109)
$0$0$0Total Estimated Net
Effect on All Federal
Funds
($4,402,670) or
Up to
($5,091,109)
($4,402,670) or
Up to
($5,000,000)
($4,402,670) or
Up to
($5,000,000)
($4,402,670) or
Up to
($5,000,000)
ESTIMATED NET EFFECT ON FULL TIME EQUIVALENT (FTE)FUND AFFECTEDFY 2023FY 2024FY 2025Fully
Implemented (FY
2030)
Motor Vehicle
Financial
Responsibility
Verification and
Enforcement Fund –
DOR FTE
0 FTE1 FTE1 FTE1 FTE
Missouri Office of
Prosecution Services
2 FTE2 FTE2 FTE2 FTE
Total Estimated Net
Effect on FTE2 FTE3 FTE3 FTE3 FTE
☒ 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. L.R. No. 4926S.04C
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ESTIMATED NET EFFECT ON LOCAL FUNDSFUND
AFFECTED
FY 2023FY 2024FY 2025Fully
Implemented
(FY 2030)
Local
Government$0
Less than
$16,960
Less than
$33,920
Less than
$33,920
FISCAL ANALYSIS L.R. No. 4926S.04C
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ASSUMPTION
Due to time constraints, Oversight was unable to receive some agency responses in a timely
manner and performed limited analysis. Oversight has presented this fiscal note on the best
current information that we have or on information regarding a similar bill(s). Upon the receipt
of agency responses, Oversight will review to determine if an updated fiscal note should be
prepared and seek approval to publish a new fiscal note.
§§288.132 & 288.133 – Unemployment Automation Fund
In response to a similar proposal from 2022 (HB 2290), officials from Department of Labor
and Industrial Relations (DOLIR) stated Section 288.133 would require each employer that is
liable for contributions to pay an annual unemployment automation adjustment of two one-
hundredths of one percent of the employer’s total taxable wages for the twelve-month period
ending the preceding June thirtieth. The total adjustment due from all employers is not to exceed
five million dollars.
In addition, for the first calendar quarter of each year, the total amount of tax contributions
otherwise due for each employer liable for contributions shall be reduced by the dollar amount of
the automation adjustment.
Taxable wage for period ending June 30, 2021: $ 22,013,351,744 X 0.02% = $4,402,670.
The Department anticipates being able to absorb the implementation costs, including ITSD costs
through a current UI maintenance agreement and existing funds. However, until the FY 2023
budget is final, the Department cannot identify specific funding sources.
Oversight notes for this bill, ITSD assumes they will contract out the programming changes
needed to update automation adjustment percentage, contribution rate of employers, and
to create tables for unemployment automation fund. ITSD estimates the project would take
820.8 hours at a contract rate of $111 per hour for a total cost to the state of $91,109.
Oversight notes that DOLIR has an existing maintenance contract that is paid by the
Unemployment Compensation Administration Fund, supplemented by the Unemployment
Automation Fund as funds are available. Additionally, DOLIR selects its ongoing consultancy
rate dependent on difficulty of the programing and has a choice to employ in-house ITSD at $95
per hour, or outside IT consultants at $111 per hour. Therefore, Oversight will reflect a one-time
IT consultant cost of $0 up to ($91,109) in the fiscal note for FY 2023.
In response to a similar proposal from 2022 (HB 2290), officials from the Department of
Conservation, Missouri Department of Transportation, and Office of Administration
stated the proposal would not have a direct fiscal impact on their respective organizations. L.R. No. 4926S.04C
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In response to a similar proposal from 2022 (HB 2290), officials from the City of Kansas City
and the stated the proposal would not have a direct fiscal impact on their
respective organizations.
In response to a similar proposal from 2022 (HB 2290), officials from the University of Central
Missouri assumed the proposal would have indeterminate fiscal impact on their organization.
Oversight notes subsection 288.133.4 states that there shall be an offsetting reduction due from
each employer liable to pay contributions under chapter 288. Therefore, Oversight will assume
the proposal will net to zero fiscal impact to employers, including colleges, universities, and
local political subdivisions.
In response to the similar proposal, SB 876 (2022), officials from Missouri State University
stated the proposal would not have a direct fiscal impact on their organization.
Oversight only reflects the responses received from state agencies and political subdivisions;
however, other cities, counties, colleges, and universities were requested to respond to this
proposed legislation but did not. A listing of political subdivisions included in the Missouri
Legislative Information System (MOLIS) database is available upon request.
§§303.025, 303.041, 303.420, 303.422, 303.425, 303.430 & 303.440 – Motor Vehicle Financial
Responsibility
In response to a similar proposal from this year (SS for SCS for SB 783), officials from the
Department of Revenue (DOR) assumed the following regarding this proposal:
Administrative Impact - Motor Vehicle and Driver License Bureaus
The proposal requires the Department to establish and maintain a web-based system for online
insurance verification. The system’s goal is to identify uninsured motorists in the most effective
way. To establish the objectives, details, and deadlines for the system, the Department must
create an advisory council, which consists of representatives from the insurance industry who
will also serve as voting members. To implement and enforce the program and to require real-
time reporting, administrative rules will be promulgated.
The proposal allows the Department to contract or consult with a third-party vendor who has
implemented a similar program in other states to create the web-based system; however, there is
no funding provided in the proposal to fund a third-party vendor. As such, OA-ITSD will be
responsible for the development, implementation, and maintenance of the system, unless funding
becomes available. The OA-ITSD cost will be shown later in this response.
An online “real-time” insurance verification system will allow law enforcement to verify
compliance with the Financial Responsibility Law at the time of roadside-traffic stops and motor L.R. No. 4926S.04C
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vehicle crash investigations. This will result in an increase in the number of “no insurance”
citations being issued by law enforcement to motor vehicle operators or owners.
Missouri currently has approximately 7.1 million registered vehicles. The uninsured vehicle rate
in Missouri is believed to be approximately 13 percent.
This equates to 923,000 uninsured vehicles possibly being operated on Missouri roadways, not
including out-of-state vehicles. It is unclear how many citations will be issued annually and of
those, how many will result in a court conviction. According to statics maintained by the
Missouri Attorney General’s Office, in 2019, there were 1,524,640 traffic stops in this state.
This shows 21% of the motor vehicles registered are stopped annually (1,524,640/7,100,000 =
21%). This may result in the Department receiving 193,830 convictions (923,000 x 21%)
annually.
A court sends the conviction either electronically or by paper to the Department to post to the
driver record and assess four points. (§303.025.3). The Department currently receives
approximately 25% of all traffic convictions by paper (193,830 x 25% = 48,458). An Associate
Customer Service Representative (ACSR) can key 350 paper convictions daily.
48,458 Number of paper convictions received annually
252 Number of working days per year
213 Convictions received daily
350 Convictions processed per day
0.6 ACSR I needed = 1 FTE @ $26,328
The Department is required to issue point warning notices when a person accumulates four
points on their driver record. No insurance convictions result in the assessment of four points.
As such, each of these convictions will result in a point warning notice or a suspension notice for
those individuals who have already accumulated points on their record prior to this point
assessment.
193,830 Number of notices issued by the Department
X $.038 Cost per letter
$7,366 Total Annual Cost for letter
6 Number of months in FY 2024 after law becomes effective
$3,683 FY 2024 Letter Cost (6 months only)
$7,366 FY 2025 Letter Cost
$7,366 FY 2026 Letter Cost
193,830 Number of envelopes issued by the Department
X $.068 Cost per envelope
$13,180 Total Annual Cost for envelopes
2 Number of months in FY 2024 after law becomes effective
$6,590 FY 2024 Envelope Cost (6 months only) L.R. No. 4926S.04C
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$13,180 FY 2025 Envelope Cost
$13,180 FY 2026 Envelope Cost
193,830 Number of notices issued by the Department
X $.55 Cost for postage
$106,607 Total Annual Cost for postage
2 Number of months in FY 2024 after law becomes effective
$ 53,304 FY 2024 Postage Cost (6 months only)
$106,607 FY 2025 Postage Cost
$106,607 FY 2026 Postage Cost
In summary, Oversight notes the following costs for mailings:
FY 2023FY 2024 (6 Mos.)FY 2025Mailings$0$63,577$127,153
DOR notes this online system will also allow the Department and contract offices to verify
insurance at the time a vehicle is registered or a registration is renewed both in-person and
online. The registration or renewal will be denied if insurance is not confirmed.
The proposal allows the Department to suspend registration of a vehicle if it has reason to
believe a vehicle is uninsured. Currently, the Department enforces compliance with the insurance
law in the following ways:
renewal of registration is denied;
Department pursuant to §303.040, the driver’s operating privilege and the owner’s
vehicle registration is suspended.
The court also has the ability to enter an order suspending the driving privilege, pursuant to
§303.025.3. In CY 2021, the Department received four court-ordered suspensions. The
Department does not have available data to determine an estimated volume of increase, but
assumes it will be minimal enough to be absorbed by current FTE. If the increase is more
significant than anticipated or additional laws are passed that impact the staff who process these
court orders, additional FTE may be requested through the appropriations process.
The Department has no data that would help to determine how much of an increase in hearing
requests the Department will receive, but assumes it will not cause additional FTE. If the
increase in hearing requests is more significant than anticipated or additional laws are passed that
affect the staff who mediate these hearings, additional FTE may be requested through the
appropriations process. L.R. No. 4926S.04C
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Oversight does not have information to the contrary and therefore, Oversight will reflect the
costs estimates for one FTE and the costs for mailings as provided by the DOR.
To implement the proposed legislation, DOR states they will be required to:
a minimum of nine months, per bill provisions
system
FY 2024 – Driver License Bureau (DLB)
Associate Research/Data Analyst 450 hrs. @ $19.47 per hr. = $ 8,762
Research/Data Analyst 175 hrs. @ $24.29 per hr. = $ 4,324
Administrative Manager 60 hrs. @ $26.37 per hr. = $ 1,583
$14,669
This legislation will result in an unknown increase in hearings the Department will conduct in
regards to appeals. If the increase in hearings is significant, the Department will request
additional FTE through the appropriations process.
In addition, it may be necessary that supplemental funding be given to establish the program and
IT system since the funding source listed in this bill would not have any funds until funds were
collected from violators.
Oversight will reflect an “Unknown” cost to DOR for the administration of Sections 303.420 to
303.440, RSMo, in the Motor Vehicle Financial Responsibility Verification and Enforcement
Fund.
DOR notes, to incorporate the necessary changes to account for voluntary registration suspension
by motor vehicle owner and requests to reinstate said registration, the Department will be
required to:
FY 2024 – Motor Vehicle Bureau
Associate Research/Data Analyst 134 hrs. @ $18.87 per hr. = $2,529
Research/Data Analyst 34 hrs. @ $23.55 per hr. = $ 801 L.R. No. 4926S.04C
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Administrative Manager 17 hrs. @ $25.56 per hr. = $ 435
Total $3,765
FY 2024 – Strategy and Communications Office
Associate Research/Data Analyst 30 hrs. @ $18.87 per hr. = $ 566
Research/Data Analyst 30 hrs. @ $23.55 per hr. = $ 707
Total $1,273
Total Costs = $5,038
Oversight assumes DOR will use existing staff and will not hire additional FTE to conduct these
activities; therefore, Oversight will not reflect the administrative costs DOR has indicated on the
fiscal note.
Administrative Impact - General Counsel’s Office (GCO)
DOR-GCO anticipates if the increase is more significant than anticipated or additional laws are
passed that impact the General Counsel’s Office (GCO), additional FTE or Attorneys may be
requested through the appropriations process. It is unclear how many individuals will appeal to
the Circuit Court once their insurance is suspended.
Oversight assumes DOR will use existing staff and will not hire additional FTE to conduct these
activities; therefore, Oversight will not reflect the administrative costs as DOR indicated on the
fiscal note.
DOR notes OA-ITSD services will be required at a cost of $388,649 in FY 2023 (4,091.04 hours
x $95 per hour) and $38,866 in FY 2024 and FY 2025 (409.12 hours x $95 per hour).
Oversight does not have any information to the contrary in regards to DOR’s assumptions;
therefore, Oversight will reflect DOR’s OA-ITSD costs on the fiscal note. For fiscal note
purposes, Oversight assumes the $38,866 annual cost will continue into FY 2026.
Revenue Impact
DOR states if a no insurance conviction subsequently results in a point accumulation suspension,
the individual will be required to pay a $20 reinstatement fee. With a presumption that 10% of all
convictions received will result in a suspension, the reinstatement fees collected would be:
193,830 Number of annual convictions
X 10% presumed percent of suspensions
19,383 Number of annual point suspensions
X 35% Percent that reinstate annually
6,784 Number of annual reinstatements from these suspensions
X $20 Reinstatement fee per suspension L.R. No. 4926S.04C
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$135,680 Reinstatement fees collected annually
12 Number of months in a year
$11,307 Increase in reinstatement fees collected monthly
X 6 Number of months in FY 2024 after law becomes effective
$67,842 Fees Collected in FY 2024 (6 months only)
Fees collected will be distributed 75% Highway Fund, 15% Cities, and 10% Counties.
FY 2024
$67,842 x 75% = $50,882 Highway Fund
$67,842 x 15% = $10,176 Cities
$67,842 x 10% = $ 6,784 Counties
FY 2025
$135,680 x 75% = $101,760 Highway Fund
$135,680 x 15% = $20,352 Cities
$135,680 x 10% = $13,568 Counties
FY 2026
$135,680 x 75% = $101,760 Highway Fund
$135,680 x 15% = $20,352 Cities
$135,680 x 10% = $13,568 Counties
Oversight also notes this proposal creates the “Motor Vehicle Financial Responsibility
Verification and Enforcement Fund”, which shall consist of money collected under Sections
303.420 to 303.440, RSMo. Oversight notes fees from the pretrial diversion program being
established will be deposited into this fund.
Oversight notes the following misdemeanor convictions for violations of ⸹303.025:
FY 2021 6,478
FY 2020 5,662
FY 2019 7,333
FY 2018 8,256
Average 6,932
There is no way to determine how much revenue will be collected as a result of this provision;
however, Oversight will estimate that 5% to 25% of violators will participate in the diversion
program.
6,932 x 5% = 347 x $200 (diversion participation fee) = $69,320
6,932 x 25% = 1,733 x $200 (diversion participation fee) = $346,600 L.R. No. 4926S.04C
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Oversight notes because this is a diversion program, offenders may choose this option instead of
paying a normal fine, which will result in a decrease in fine revenue to schools; therefore,
Oversight will reflect an “Unknown” loss to schools. For simplicity, Oversight will not reflect
the possibility that fine revenue paid to school districts may act as a subtraction in the foundation
formula in following years.
Oversight notes the verification system shall be installed and fully operational by January 1,
2024, following an appropriate testing or pilot period of not less than nine months; therefore,
Oversight will reflect the DOR FTE costs in FY 2024 (6 months) and FY 2025 (12 months).
In response to a similar proposal from this year (SS for SCS for SB 783), officials from the
Missouri Office of Prosecution Services (MOPS) assumed the following regarding this
proposal:
If as contemplated in the bill, DOR enters into an agreement with MOPS to administer the
diversion program created in Section 303.425 [much like the MOPS equivalent in Oklahoma
does] there will be fiscal impact. First, MOPS will need the two FTEs
budget in the amount of $182,466 (salary, fringe supply). [Note: this amount to be paid out of the
MOPS services fund, not general revenue]. Second, there will be a positive fiscal impact to
MOPS from its share of the diversion fees collected but that amount is not able to be determined
at this time. The positive financial impact will depend on the number of diversion cases and the
amount of the diversion fee MOPS is allowed to retain for administering the diversion program.
At a minimum, based on the success of the Oklahoma program, the positive fiscal impact should
cover the cost of the two new FTEs and further replace revenue lost from significantly reduced
bad checks restitution which has severely declined over the past decade, which in turn has
significantly reduced the amount of revenue available to adequately fund the office in serving the
state's prosecutors and circuit attorney.
Oversight notes that the proposal allows DOR to enter into an agreement with a third party other
than MOPS to administer the diversion program. For fiscal note purposes Oversight will assume
DOR will enter into an agreement with MOPS and will reflect the estimates as provided by
MOPS.
In response to a similar proposal from this year (SS for SCS for SB 783), officials from the
Department of Commerce and Insurance, Department of Corrections, Missouri Highway
Patrol, Missouri Department of TransportationOffice of the State TreasurerOffice of the
State Courts Administrator and Office of the State Public Defender each assumed 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.
In response to a similar proposal from this year (SS for SCS for SB 783), officials from the
Phelps County Sheriff, Kansas City Police Department, Eldon Police Department, St.
Joseph Police Department and St. Louis County Police Department each assumed the L.R. No. 4926S.04C
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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.
Oversight only reflects the responses received from state agencies and political subdivisions;
however, other law enforcement agencies were requested to respond to this proposed legislation
but did not. A listing of political subdivisions included in the Missouri Legislative Information
System (MOLIS) database is available upon request.
§319.129 – Petroleum Storage Tank Insurance Fund
In response to a similar proposal from 2022 (SB 742), officials from the Petroleum Storage
Tank Insurance Fund (PSTIF) assumed the following regarding this proposal:
Section 319.129.16 would extend all PSTIF Board of Trustees' operations until 12/31/2030.
Under current law, the Board's operations will be reduced on 1/1/2026, thereafter no longer
accepting new claims. Revenue will cease and the cash balance in the Fund will be used for
paying costs for claims previously filed, including the administrative costs necessary during the
"wind down" period until all claims are closed or moneys are depleted. Actuarial analysis
indicates the cash balance on 12/31/2025 will not be sufficient to meet long-term liabilities for
claims already filed, plus those expected to be filed before the sunset date. The estimated
shortfall is approximately $45 million. This issue is exasperated by the anticipated increase in
claims as the sunset date nears and tank and property owners rush to test for impact of previously
unreported pollution and file claims before the cut-off.
If this bill passes, the rush to file end-of-program claims will be spread out over more years,
lessening the impact as revenues are still being collected. Additionally, in an effort to have
adequate revenue to meet long-term liabilities, the PSTIF Board of Trustees is currently
considering an increase in the transport load fee, the primary source of revenue for the Fund. The
five additional years of collection this bill provides would allow for a smaller increase in the fee.
PSTIF's 2021 "Breakeven Analysis" estimates that revenues and expenses from 1/1/2026 through
12/31/2030 (the period of the proposed extension) with no increase in the transport load fee
would be consistent with current PSTIF budget plus/minus typical fluctuations due to economic
factors and claims projections as follows:
FY 2026: Total Est. Revenue $16,846,213; Total Est. Expenses $18,253,921
FY 2027: Total Est. Revenue $16,791,007; Total Est. Expenses $18,478,701
FY 2028: Total Est. Revenue $16,735,401; Total Est. Expenses $18,375,900
FY 2029: Total Est. Revenue $16,679,367; Total Est. Expenses $18,613,508
FY 2030: Total Est. Revenue $16,622,888; Total Est. Expenses $18,860,690
FY 2031(1/2): Total Est. Revenue $7,675,000; Total Est. Expenses $12,859,926 L.R. No. 4926S.04C
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Oversight does not have information to the contrary and therefore, Oversight will reflect an
extension of revenue and related expenses as provided by the PSTIF.
Oversight notes there was a balance of $42,428,271 in the Petroleum Storage Tank Insurance
Fund (0585) as of December 31, 2021. The fund had receipts of $17.5 million in FY 2021.
Officials from the Department of Natural Resources, Department of Commerce and
Insurance, Department of Revenue, Office of the State Treasurer and Missouri Department
of Transportation 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.
§375.159 – Travel Insurance
In response to a similar proposal from 2022 (HB 2566), officials from the Department of
Commerce and Insurance assumed the proposal would have no fiscal impact on their
organization. Oversight does not have any information to the contrary. Therefore, Oversight will
reflect a zero impact in the fiscal note for this section.
§376.380 – Value of Certain Insurance Policies and Contracts
In response to a similar proposal from 2022 (SB 1079), officials from the Department of
Commerce and Insurance assumed the proposal will have no fiscal impact on their
organization.
Oversight notes that the above mentioned agency has stated the proposal would not have a direct
fiscal impact on their organization. Oversight does not have any information to the contrary.
Therefore, Oversight will reflect a zero impact on the fiscal note for this section.
Rule Promulgation
Officials from the Joint Committee on Administrative Rules assume this proposal is not
anticipated to cause a fiscal impact beyond its current appropriation.
Officials from the Office of the Secretary of State (SOS) note many bills considered by the
General Assembly include provisions allowing or requiring agencies to submit rules and
regulations to implement the act. The SOS is provided with core funding to handle a certain
amount of normal activity resulting from each year's legislative session. The fiscal impact for
this fiscal note to the SOS for Administrative Rules is less than $5,000. The SOS recognizes that
this is a small amount and does not expect that additional funding would be required to meet
these costs. However, the SOS also recognizes that many such bills may be passed by the
General Assembly in a given year and that collectively the costs may be in excess of what the
office can sustain with its core budget. Therefore, the SOS reserves the right to request funding L.R. No. 4926S.04C
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for the cost of supporting administrative rules requirements should the need arise based on a
review of the finally approved bills signed by the governor.
§379.011 – Delivery of Insurance Notices
In response to a previous version, officials from the Department of Commerce and Insurance
assumed the proposal will have no fiscal impact on their organization. Oversight does not have
any information to the contrary. Therefore, Oversight will reflect a zero impact in the fiscal note
for this section.
L.R. No. 4926S.04C
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FISCAL IMPACT –
State Government
FY 2023
(10 Mo.)
FY 2024FY 2025Fully
Implemented
(FY 2030)
GENERAL
REVENUE FUND
Cost – DOR – OA-
ITSD services
(⸹⸹303.420 to
303.440) p. 9
($388,649)($38,866)($38,866)($38,866)Transfer Out – to the
Motor Vehicle
Financial
Responsibility
Verification and
Enforcement Fund –
start-up expenses
before revenue stream
is established
(⸹⸹303.420 to
303.440) p. 11
$0$0 or
(Unknown)
$0 or
(Unknown)
$0 or
(Unknown)
ESTIMATED NET
EFFECT ON THE
GENERAL
REVENUE FUND
($388,649)
Greater than
($38,866)
Greater than
($38,866)
Greater than
($38,866)
HIGHWAY FUNDRevenue –
reinstatement fees
(⸹⸹303.420 to
303.440) p. 10
$0$50,882$101,760$101,760ESTIMATED NET
EFFECT ON THE
HIGHWAY FUND
$0$50,882$101,760$101,760 L.R. No. 4926S.04C
Bill No. SCS for HB 2168
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April 28, 2022
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MOTOR VEHICLE
FINANCIAL
REPSONSIBILITY
VERIFICATION
AND
ENFORCEMENT
FUND
Transfer In – from
General Revenue
(⸹303.420 to 303.440)
p. 11
$0$0 or
Unknown
$0 or
Unknown
$0 or
Unknown
Revenue – money
collected (⸹303.420 to
303.440) p. 11
$0$34,660 to
$173,300
$69,320 to
$346,600
$69,320 to
$346,600
Cost – DOR to
administer program
(303.420 to 303.440)
p. 8
$0(Unknown)(Unknown)(Unknown)Cost – DOR (303.420
to 303.440) p. 6
Personal Services$0($13,429)($26,858)($27,127)Fringe Benefits$0($10,502)($20,949)($21,159)Expense and
Equipment
$0($4,086)$0$0Total Costs - DOR$0($28,017)($47,807)($48,286) FTE Change – DOR 0 FTE1 FTE1 FTE1 FTECost – DOR –
mailings (303.420 to
303.440) p. 6-7
$0($63,577)($127,153)($127,153)ESTIMATED NET
EFFECT ON THE
MOTOR VEHICLE
FINANCIAL
RESPONSIBILITY
VERIFICATION
AND
ENFORCEMENT
FUND
$0Less than
($56,934) to
could exceed
$81,706
Less than
($105,640) to
could exceed
$171,640
Less than
($106,119) to
could exceed
$171,161 L.R. No. 4926S.04C
Bill No. SCS for HB 2168
Page 18 of 23
April 28, 2022
KC:LR:OD
Estimated Net FTE
Change to the Motor
Vehicle Financial
Responsibility
Verification and
Enforcement Fund
0 FTE1 FTE1 FTE1 FTEMISSOURI OFFICE
OF PROSECUTION
SERVICES FUND
(0680)
Revenue – MOPS –
fees from diversion
program (303.420 to
303.440) p. 11
$0UnknownUnknownUnknownCost – MOPS – FTE
Costs (303.420 to
303.440) p. 11
($182,466)($182,466)($182,466)($182,466)ESTIMATED NET
EFFECT ON THE
MISSOURI OFFICE
OF PROSECUTION
SERVICES FUND
($182,466)Less than
($182,466) to
Unknown
Less than
($182,466) to
Unknown
Less than
($182,466) to
Unknown
Estimated Net FTE
Change to the
Missouri Office of
Prosecution Services
Fund
2 FTE2 FTE2 FTE2 FTEPETROLEUM
STORAGE TANK
INSURANCE FUND
(0585)
Revenue - PSTIF
Board of Trustees -
Extension of transport
$0$0$0$16,622,888 L.R. No. 4926S.04C
Bill No. SCS for HB 2168
Page 19 of 23
April 28, 2022
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load fee from
12/31/2025 to
12/31/30
(§319.129.16) p. 12
Expenses - PSTIF
Board of Trustees -
Extension of program
from 2025 to 2030
(§319.129.16) p. 12
$0$0$0($18,860,690)ESTIMATED NET
EFFECT ON THE
PETROLEUM
STORAGE TANK
INSURANCE FUND
$0$0$0($2,237,802)UNEMPLOYMENT
AUTOMATION
FUND (0953)
Transfer In – DOLIR
from the federal
Unemployment Trust
Fund (§§288.132 &
288.133) p. 4-5
$4,402,670 or
Up to
$5,000,000
$4,402,670 or
Up to
$5,000,000
$4,402,670 or
Up to
$5,000,000
$4,402,670 or
Up to
$5,000,000
ESTIMATED NET
EFFECT ON THE
UNEMPLOYMENT
AUTOMATION
FUND
$4,402,670 or
Up to
$5,000,000
$4,402,670 or
Up to
$5,000,000
$4,402,670 or
Up to
$5,000,000
$4,402,670 or
Up to
$5,000,000
UNEMPLOYMENT
TRUST FUND
(0122)
Transfer Out –
DOLIR to the state
Unemployment
Automation Fund
(§§288.132 &
288.133) p. 4-5
($4,402,670) or
Up to
($5,000,000)
($4,402,670) or
Up to
($5,000,000)
($4,402,670) or
Up to
($5,000,000)
($4,402,670) or
Up to
($5,000,000) L.R. No. 4926S.04C
Bill No. SCS for HB 2168
Page 20 of 23
April 28, 2022
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ESTIMATED NET
EFFECT ON THE
UNEMPLOYMENT
TRUST FUND
($4,402,670) or
Up to
($5,000,000)
($4,402,670) or
Up to
($5,000,000)
($4,402,670) or
Up to
($5,000,000)
($4,402,670) or
Up to
($5,000,000)
UNEMPLOYMENT
COMPENSATION
ADMINISTRATION
FUND (0948)
Cost – DOLIR – IT
services (§§288.132 &
288.133) p. 4
$0 or Up to
$91,109)
$0$0$0ESTIMATED NET
EFFECT ON THE
UNEMPLOYMENT
COMPENSATION
ADMINISTRATION
FUND
$0 or Up to
$91,109)
$0$0$0 L.R. No. 4926S.04C
Bill No. SCS for HB 2168
Page 21 of 23
April 28, 2022
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FISCAL IMPACT
– Local
Government
FY 2023
(10 Mo.)
FY 2024FY 2025Fully
Implemented
(FY 2030)
LOCAL
POLITICAL
SUBDIVISIONS
Revenue (Cities
15%) –
reinstatement fees
(⸹⸹303.420 to
303.440) p. 10$0$10,176$20,352$20,352
Revenue (Counties
10%) –
reinstatement fees
(⸹⸹303.420 to
303.440) p. 10$0$6,784$13,568$13,568
Loss – Schools –
decreased in fine
revenue for those
who choose the
diversion program
over paying the
standard fine
(⸹⸹303.420 to
303.430) p. 10-11$0
$0 or
(Unknown)
$0 or
(Unknown)
$0 or
(Unknown)
ESTIMATED
NET EFFECT
ON LOCAL
POLITICAL
SUBDIVISIONS$0
Less than
$16,960
Less than
$33,920
Less than
$33,920
FISCAL IMPACT – Small Business
§§288.132 & 288.133 - Small businesses will have to comply with the proposal and remit
appropriate amounts into the Unemployment Automation Trust fund.
§319.129 - Small business owners and operators of petroleum storage tanks will be able to
continue to obtain reasonably-priced pollution liability coverage as a result of this proposal. L.R. No. 4926S.04C
Bill No. SCS for HB 2168
Page 22 of 23
April 28, 2022
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§375.159 - A direct fiscal impact to a limited lines travel insurance producer or travel retailer
could be expected as a result of this proposal.
§376.380 - Certain small business insurance companies may be impacted by this proposal.
FISCAL DESCRIPTION
This proposal enacts provisions relating to insurance.
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
Petroleum Storage Tank Insurance Fund
Department of Revenue
Missouri Department of Transportation
Department of Commerce and Insurance
Office of the State Treasurer
Missouri Highway Patrol
Missouri State Treasurer’s Office
Office of the State Public Defender
Office of the State Courts Administrator
Department of Corrections
Missouri Office of Prosecution Services
Department of Labor and Industrial Relations
Office of Administration
Missouri Department of Conservation
University of Central Missouri
City of Kansas City
City of Springfield
Phelps County Sheriff
Kansas City Police Department
St. Louis County Police Department
Eldon Police Department
St. Joseph Police Department L.R. No. 4926S.04C
Bill No. SCS for HB 2168
Page 23 of 23
April 28, 2022
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Julie MorffRoss StropeDirectorAssistant DirectorApril 28, 2022April 28, 2022