COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:0846H.02C Bill No.:HCS for HB 207 Subject:Motor Vehicles; Roads and Highways Type:Original Date:March 9, 2023Bill Summary:This proposal modifies provisions relating to motor vehicle inspection
requirements prior to sale.
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 2026Highway Fund (0644)Unknown, Less than
$250,000
Unknown, Less than
$250,000
Unknown, Less than
$250,000
Highway Patrol
Inspection Fund
(0297)
Unknown, Less than
$250,000
Unknown, Less than
$250,000
Unknown, Less than
$250,000
Total Estimated Net
Effect on Other State
Funds
Unknown, Less than
$250,000
Unknown, Less than
$250,000
Unknown, Less than
$250,000
Numbers within parentheses: () indicate costs or losses. L.R. No. 0846H.02C
Bill No. HCS for HB 207
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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. 0846H.02C
Bill No. HCS for HB 207
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FISCAL ANALYSIS
ASSUMPTION
Officials from the Department of Revenue (DOR) assume the following regarding this
proposal:
Administrative Impact
To implement the proposed legislation the Department will be required to:
• Update procedures, correspondence letters and the Department website;
• Update the Missouri Titling Manual;
• Send Communications to License offices and other Contracted stakeholders; and
• Train Staff
FY 2024 - Motor Vehicle Bureau
Associate Research/Data Analyst 40 Hrs @ $19.90 = $796
Lead Admin Assistant 20 Hrs @ $17.05 = $341
Administrative manager 5 Hrs @ $26.96 = $135
FY 2024 - Strategy and Communications Office
Associate Research/Data Analyst 10 Hrs @ $19.90 = $199
Total Cost =$1,471
The Department anticipates that they will be able to absorb these costs. If multiple bills are
passed that require department resources, FTE may be requested through the appropriations
process.
Oversight assumes DOR is provided with core funding to handle a certain amount of activity
each year. Oversight assumes DOR could absorb the costs related to this proposal. If multiple
bills pass which require additional staffing and duties at substantial costs, DOR could request
funding through the appropriation process.
Officials from the Missouri Highway Patrol (MHP) assume the following regarding this
proposal:
The fiscal impact to the state of Missouri on vehicle inspections equates to $1.50 per each
additional used vehicle safety inspected prior to sale, with $1.00 deposited into the Highway
Fund (0644) and $0.50 deposited into Highway Patrol’s Inspection Fund (0297). It is unknown
how many additional inspections, per year, would be conducted with this proposed legislation. L.R. No. 0846H.02C
Bill No. HCS for HB 207
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Oversight notes, in current statute, all vehicles in Missouri must have an inspection prior to
being sold, unless the vehicle is sold for junk, salvage, or rebuilding, or for vehicles sold at
public auction or from dealer to dealer. This proposal requires a motor vehicle safety inspection
be provided to the purchaser, unless the vehicle has less than 40,000 miles within three years of
its model year. Oversight is unable to determine how many more vehicles will require a safety
inspection as a result of this proposal; therefore, Oversight will reflect an “Unknown, but less
than $250,000” fiscal impact to the Highway Fund and the Highway Patrol Inspection Fund.
Officials from the Missouri Department of Transportation assume 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 MoDOT.
FISCAL IMPACT – State GovernmentFY 2024
(10 Mo.)
FY 2025FY 2026HIGHWAY FUNDRevenue – MHP – increase in the
number of inspections ($1 per)
Unknown, Less
than $250,000
Unknown, Less
than $250,000
Unknown, Less
than $250,000
ESTIMATED NET EFFECT ON
THE HIGHWAY FUND
Unknown,
Less than
$250,000
Unknown,
Less than
$250,000
Unknown,
Less than
$250,000
HIGHWAY PATROL INSPECTION
FUND
Revenue – MHP – increase in the
number of inspections ($0.50 per)
Unknown, Less
than $250,000
Unknown, Less
than $250,000
Unknown, Less
than $250,000
ESTIMATED NET EFFECT ON
THE HIGHWAY PATROL
INSPECTION FUND
Unknown,
Less than
$250,000
Unknown,
Less than
$250,000
Unknown,
Less than
$250,000
FISCAL IMPACT – Local GovernmentFY 2024
(10 Mo.)
FY 2025FY 2026$0$0$0 L.R. No. 0846H.02C
Bill No. HCS for HB 207
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FISCAL IMPACT – Small Business
Small businesses that provide inspections could be impacted as a result of this proposal.
FISCAL DESCRIPTION
This bill requires that used motor vehicles get an inspection at the seller's expense no more than
60 days prior to a sale. The inspection is not required for vehicles having less than 40,000 miles
for the three-year period following the model year of manufacture. The seller must present the
buyer with the certificate of inspection and approval, who must then submit the certificate of
inspection when applying for a registration.
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 Revenue
Missouri Department of Transportation
Missouri Highway Patrol
Julie MorffRoss StropeDirectorAssistant DirectorMarch 9, 2023March 9, 2023