COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:0148H.01I Bill No.:HB 101 Subject:Contracts and Contractors; Liability; Political Subdivisions; Sovereign or Official
Immunity; State Departments
Type:Original Date:January 3, 2023Bill Summary:This proposal provides sovereign immunity for private contractors acting
within the scope of a government contract.
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2024FY 2025FY 2026Total Estimated Net
Effect on General
Revenue $0$0$0
ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTEDFY 2024FY 2025FY 2026Total Estimated Net
Effect on Other State
Funds $0$0$0
Numbers within parentheses: () indicate costs or losses. L.R. No. 0148H.01I
Bill No. HB 101
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ESTIMATED NET EFFECT ON FEDERAL FUNDSFUND AFFECTEDFY 2024FY 2025FY 2026Total Estimated Net
Effect on All Federal
Funds $0$0$0
ESTIMATED NET EFFECT ON FULL TIME EQUIVALENT (FTE)FUND AFFECTEDFY 2024FY 2025FY 2026Total 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 2024FY 2025FY 2026Local Government$0$0$0 L.R. No. 0148H.01I
Bill No. HB 101
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FISCAL ANALYSIS
ASSUMPTION
The proposed legislation will require the Office of Administration (OA) Purchasing to revise
the contractual language regarding contractor liability including rewriting other general
contractual language and provide such language to the state agencies for use and update OA’s
internal procurement documents.
OA-Purchasing believes that the impact of this bill is less than $10,000. However, until the
budget is finalized, specific funding sources cannot be identified.
At this time, it is believed that the additional staff time and resources can be absorbed by OA-
Purchasing. However, if there are multiple pieces of legislation passed where OA-Purchasing has
responded that the costs can be absorbed, OA-Purchasing would need to reevaluate to see if
additional staff and associated expenses would then be required.
Oversight does not have information to the contrary and therefore, Oversight will reflect a $0
fiscal impact for this proposal.
Officials from the Department of Commerce and Insurance and the Office of the State
Courts Administrator
organizations. Oversight does not have any information to the contrary. Therefore, Oversight
will reflect a zero impact in the fiscal note.
In response to similar legislation from 2022, SB 832, officials from the Attorney General’s
OfficeOffice of Administration - Budget and Planning 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.
FISCAL IMPACT – State GovernmentFY 2024
(10 Mo.)
FY 2025FY 2026$0$0$0FISCAL IMPACT – Local GovernmentFY 2024
(10 Mo.)
FY 2025FY 2026$0$0$0 L.R. No. 0148H.01I
Bill No. HB 101
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FISCAL IMPACT – Small Business
There could be a direct fiscal impact to small businesses who operate under a governmental
contract as a result of this proposal.
FISCAL DESCRIPTION
The proposed legislation appears to have no direct fiscal impact.
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
Office of Administration
Purchasing
Budget and Planning
Department of Commerce and Insurance
Office of the State Courts Administrator
Attorney General’s Office
Julie MorffRoss StropeDirectorAssistant DirectorJanuary 3, 2023January 3, 2023