COMMITTEE ON LEGISLATIVE RESEARCH OVERSIGHT DIVISION FISCAL NOTE L.R. No.:5588H.01I Bill No.:HB 2719 Subject:Easements and Conveyances Type:Original Date:March 7, 2022Bill Summary:This proposal authorizes the conveyance of certain state properties. FISCAL SUMMARY ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2023FY 20234FY 20245General Revenue*Unknown or (Unknown) $0 or Unknown$0 or UnknownTotal Estimated Net Effect on General Revenue Unknown or (Unknown) $0 or Unknown$0 or Unknown *Oversight will assume a fiscal impact of less than $250,000. ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTEDFY 2023FY 20234FY 20245Total Estimated Net Effect on Other State Funds $0$0$0 Numbers within parentheses: () indicate costs or losses. L.R. No. 5588H.01I Bill No. HB 2719 Page 2 of March 7, 2022 KB:LR:OD ESTIMATED NET EFFECT ON FEDERAL FUNDSFUND AFFECTEDFY 2023FY 20234FY 20245Total Estimated Net Effect on All Federal Funds $0$0$0 ESTIMATED NET EFFECT ON FULL TIME EQUIVALENT (FTE)FUND AFFECTEDFY 2023FY 20234FY 20245Total 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 20245Local GovernmentUnknown$0$0 L.R. No. 5588H.01I Bill No. HB 2719 Page 3 of March 7, 2022 KB:LR:OD FISCAL ANALYSIS ASSUMPTION Section 1 – Iron County Conveyance Officials from the Office of Administration, the Attorney General’s Office, the Department of Natural Resources and the Missouri Department of Transportation each assume the proposal would not fiscally impact their respective agencies. Oversight notes this proposal conveys small parcels of land from the Department of Natural Resources (DNR) to the Missouri Department of Transportation (MoDOT) for $1 or less. Oversight assumes the fiscal impact of these transactions between DNR and MoDOT are not material and therefore we will not reflect a fiscal impact from these conveyances. Section 2 – Pike County Conveyance Officials from the Office of Administration, Division of Facilities Management, Design and Construction (OA) state they do not make public the appraisal values for property that may be sold or conveyed because public knowledge of such information may hinder the State’s ability to gain the best value for the property. Additionally, since the terms of conveyances are yet to be determined, the fiscal impact, if any, cannot be calculated. Therefore, the fiscal impact is $0 to unknown. Officials from the Missouri Department of Transportation and Office of the Governor 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. In response to a similar proposal from 2021 (HB 731), officials from the Attorney General’s OfficeOversight does not have any information to the contrary. Therefore, Oversight will reflect a zero impact in the fiscal note. Oversight notes this proposal conveys a parcel of property of land from the state to the Missouri Department of Transportation (MoDOT) for $1 or less (for land containing 1 8/10 acres more or less). Oversight assumes the fiscal impacts of this transaction to OA and MoDOT are not material and therefore we will not reflect a fiscal impact from this conveyance. L.R. No. 5588H.01I Bill No. HB 2719 Page 4 of March 7, 2022 KB:LR:OD Section 3 – Adair County Conveyance to Kirksville R-III School District Officials from the Office of Administration, Division of Facilities Management, Design and Construction state they do not make public the appraisal values for property that may be sold or conveyed because public knowledge of such information may hinder the State’s ability to gain the best value for the property. Additionally, since the terms of conveyances are yet to be determined, the fiscal impact, if any, cannot be calculated. Therefore, the fiscal impact is $0 to unknown. Officials from the Office of the Governor and the Attorney General’s Office each assume the proposal would not fiscally impact their respective offices. In response to a similar proposal in SB 1111 from the current session, officials from the Department of Public Safety – Missouri National Guard (MONG) assumed the proposal would not fiscally impact their organization. Officials from the City of Kirksville did not respond to our request for fiscal impact. As this parcel appears to be material in size (square city block contained by West Scott Street, West Fillmore Street, South Main Street and South Elson Street; which currently contains the Missouri National Guard Armory building), Oversight will reflect the transaction of the conveyance of state property in Adair County to the Kirksville R-III school district as 1) a loss of the value of the state property, 2) the proceeds (if any) of the sale/conveyance, and 3) the annual savings (if any) to the state no longer maintaining the property. Oversight will assume a fiscal impact of less than $250,000. Section 4 – Adair County Conveyance to Truman State University Officials from the Office of Administration, Division of Facilities Management, Design and Construction state they do not make public the appraisal values for property that may be sold or conveyed because public knowledge of such information may hinder the State’s ability to gain the best value for the property. Additionally, since the terms of conveyances are yet to be determined, the fiscal impact, if any, cannot be calculated. Therefore, the fiscal impact is $0 to unknown. Officials from the Office of the Governor and the Attorney General’s Office each assume the proposal would not fiscally impact their respective offices. Officials from Truman State University did not respond to Oversight’s request for fiscal impact. L.R. No. 5588H.01I Bill No. HB 2719 Page 5 of March 7, 2022 KB:LR:OD FISCAL IMPACT – State Government FY 2023 (10 Mo.) FY 20234FY 2025GENERAL REVENUE FUND Sale Proceeds – conveyance proceeds of properties (if any) (Section 3) $0 or Unknown $0$0Property value – loss of FMV of properties (Section 3) (Unknown)$0$0 Savings – for annual maintenance / upkeep of properties (Section 3) $0 or Unknown $0 or Unknown $0 or Unknown ESTIMATED NET EFFECT TO THE GENERAL REVENUE FUND Unknown or (Unknown) $0 or Unknown $0 or Unknown TRUMAN STATE UNIVERSITY Cost - of acquiring the property from the state (Section 4) $0 or (Unknown) $0$0Property increase – acquired property’s value (Section 4) Unknown$0$0 ESTIMATED NET EFFECT TO TRUMAN STATE UNIVERSITY Unknown $0 $0 L.R. No. 5588H.01I Bill No. HB 2719 Page 6 of March 7, 2022 KB:LR:OD FISCAL IMPACT – Local Government FY 2023 (10 Mo.) FY 2024FY 20245KIRKSVILLE R-III SCHOOL DISTRICT Cost - of acquiring the property from the state (Section 3) $0 or (Unknown) $0$0Property increase – acquired property’s value (Section 3) Unknown$0$0ESTIMATED NET EFFECT TO KIRKSVILLE R-III SCHOOL DISTRICT Unknown $0 $0 FISCAL IMPACT – Small Business No direct fiscal impact to small businesses would be expected as a result of this proposal. FISCAL DESCRIPTION This proposal authorizes the conveyance of certain state property. This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space. L.R. No. 5588H.01I Bill No. HB 2719 Page 7 of March 7, 2022 KB:LR:OD SOURCES OF INFORMATION Attorney General’s Office Department of Natural Resources Missouri Department of Transportation Office of Administration Office of the Governor Department of Public Safety – Missouri National Guard Julie MorffRoss StropeDirectorAssistant DirectorMarch 7, 2022March 7, 2022