COMMITTEE ON LEGISLATIVE RESEARCH OVERSIGHT DIVISION FISCAL NOTE L.R. No.:0942H.02C Bill No.:HCS for HB 443 Subject:Highway Patrol; Fees Type:Original Date:March 9, 2023Bill Summary:This proposal establishes minimum fees for certain Missouri State Highway Patrol records requests. FISCAL SUMMARY ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTED FY 2024FY 2025FY 2026Fully Implemented (FY 2031) Total Estimated Net Effect on General Revenue $0$0$0$0 ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTED FY 2024FY 2025FY 2026Fully Implemented (FY 2031) Highway Patrol Traffic Records Fund (0758)*$0 to $250$0 to $25,250$0 to $30,250$0 to $120,250 Highway Fund (0644) Unknown, Less than $250,000 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 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 Unknown, Less than $250,000 *The MHP is allowed to increase certain fees by $1 every other year up to a maximum fee of ten dollars. The proposal is permissive (may); therefore, Oversight reflects the impact as “$0 to”. Numbers within parentheses: () indicate costs or losses. L.R. No. 0942H.02C Bill No. HCS for HB 443 Page 2 of March 9, 2023 DD:LR:OD ESTIMATED NET EFFECT ON FEDERAL FUNDSFUND AFFECTED FY 2024FY 2025FY 2026Fully Implemented (FY 2031) Total Estimated Net Effect on All Federal Funds $0$0$0$0 ESTIMATED NET EFFECT ON FULL TIME EQUIVALENT (FTE)FUND AFFECTED FY 2024FY 2025FY 2026Fully Implemented (FY 2031) Total Estimated Net Effect on FTE 000$0 ☐ 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 AFFECTED FY 2024FY 2025FY 2026Fully Implemented (FY 2031) Local Government$0$0$0$0 L.R. No. 0942H.02C Bill No. HCS for HB 443 Page 3 of March 9, 2023 DD:LR:OD FISCAL ANALYSIS ASSUMPTION §43.253 – Fees paid to the Missouri State Highway Patrol Officials from the Department of Public Safety - Missouri Highway Patrol (MHP) this legislation would add language to §43.253, RSMo, to allow the MHP to charge a minimum fee of $6 to disseminate records requests. The proposal does not mandate a minimum $6 fee be imposed; it simply allows for such. Allowing a minimum $6 fee for duplication of records disseminated upon request would authorize the Patrol to raise the crash report fee from the current price of $5.99 to $6.00. The Superintendent of the Missouri State Highway Patrol would be allowed to increase the minimum fee described in this section by not more than one dollar every other year following this section’s effective date, up to a maximum of ten dollars. The Patrol Records Division disseminates approximately 30,000 crash reports per year. Fees for this service are collected and deposited into the Traffic Records Fund (0758). Any funding increase realized by the Traffic Records Fund will be reinvested in an electronic report dissemination software. This enhancement will allow individuals to request, purchase, and receive records requests through an electronic portal. Oversight notes the increased revenue could be realized if fees are increased to their maximum allowable amount (every other year): FY24 Based on 10/12 rule Traffic Crash Reports (30,000 x .08333 =) 25,000 traffic crash reports x $.01 fee increase (fee at $6) = $250 FY25 Based on 10/12 rule Traffic Crash Reports (30,000 x .08333 =) 25,000 traffic crash reports x $1 increase (fee at $7) = $25,000 FY26 Traffic Crash Reports 30,000 x $1 increase (fee at $7) = $5,000 [Full year ($30,000 - $25,000)] FY27 Traffic Crash Reports 30,000 x $1 increase (fee at $8) = $30,000 FY29 Traffic Crash Reports 30,000 x $1 increase (fee at $9) = $30,000 FY31 Traffic Crash Reports 30,000 x $1 increase (fee at $10) = $30,000 L.R. No. 0942H.02C Bill No. HCS for HB 443 Page 4 of March 9, 2023 DD:LR:OD Oversight notes the increase in fees will result in the revenue from these fees compounding over the years from FY24 through FY31 as shown below: $250 (FY24) + $25,000 (FY25) + $5,000 (FY26) + 30,000 (FY27) + $30,000 (FY29) + $30,000 (FY31) = $120,250 (Traffic Fund) Oversight also notes the revenue presented for FY31 was determined under the assumption that the MHP will increase the minimum fee as outlined in this proposal (additional $1 every other year). However, because this proposal is permissive, Oversight will range the revenue from $0 (no increase in fees) to the estimate of $120,250 (fee not to exceed $10) to the Highway Patrol Traffic Records Fund for fiscal note purposes. §307.179 – Child safety seat requirements Officials from the Department of Revenue (DOR) assume the following regarding this proposal: Administrative Impact To implement the proposed legislation, the Department would be required to: • Update forms and website information; and • Inform staff FY24 – Driver License Bureau Research/Data Analyst 40 Hrs x $25.63 = $ 1,025 Administrative Manager 40 Hrs x $27.82 = $ 1,113 FY24 – Public Service Bureau Associate Research/Data Analyst 40 Hrs x $20.54 = $ 822 Total = $3,985 The Department anticipates they will be able to absorb these costs. If multiple bills pass that require Department resources, FTE will 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. In response to similar legislation from 2023 (HB 751), officials from the Department of Social ServicesKansas City Police Department, the St. Joseph Police Department assumed the L.R. No. 0942H.02C Bill No. HCS for HB 443 Page 5 of March 9, 2023 DD:LR:OD 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 these agencies. In response to similar legislation from 2023 (HB 751), officials from the Office of the State Courts AdministratorOversight’s request for fiscal impact for this proposal. §307.380 – Motor vehicle inspection requirements DOR assumes 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. MHP 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 L.R. No. 0942H.02C Bill No. HCS for HB 443 Page 6 of March 9, 2023 DD:LR:OD 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. 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. Bill as a Whole Officials from the Department of Health and Senior Services, the Missouri Department of Transportation, the St. Louis County Police Department, and the Phelps County Sheriff’s Department 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. Oversight only reflects the responses received from state agencies and political subdivisions; however, other local law enforcement were requested to respond to this proposed legislation but did not. A listing of political subdivisions included in the MOLIS database is available upon request. L.R. No. 0942H.02C Bill No. HCS for HB 443 Page 7 of March 9, 2023 DD:LR:OD FISCAL IMPACT – State Government FY 2024 (10 Mo.) FY 2025FY 2026Fully Implemented (FY 2031) HIGHWAY PATROL TRAFFIC RECORDS FUND (0758) Revenue – MHP (§43.253) Fees from records request p. 3-4$0 to $250$0 to $25,250$0 to $30,250$0 to $120,250 ESTIMATED NET EFFECT ON THE HIGHWAY PATROL TRAFFIC RECORDS FUND$0 to $250$0 to $25,250$0 to $30,250$0 to $120,250 HIGHWAY FUND (0644) Revenue – MHP (§370.380) Increase in the number of inspections ($1 per) p. 5-6 Unknown, Less than $250,000 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 Unknown, Less than $250,000 L.R. No. 0942H.02C Bill No. HCS for HB 443 Page 8 of March 9, 2023 DD:LR:OD FISCAL IMPACT – State Government (continued) FY 2024 (10 Mo.) FY 2025FY 2026Fully Implemented (FY 2031) HIGHWAY PATROL INSPECTION FUND (0297) Revenue – MHP (§370.380) Increase in the number of inspections ($0.50 per) p. 5-6 Unknown, Less than $250,000 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 Unknown, Less than $250,000 FISCAL IMPACT – Local Government FY 2024 (10 Mo.) FY 2025FY 2026Fully Implemented (FY 2031) $0$0$0$0 FISCAL IMPACT – Small Business Small businesses that provide inspections could be impacted as a result of this proposal. (Section 370.380) FISCAL DESCRIPTION HIGHWAY PATROL RECORDS FEES (Section 43.253) This bill provides that a minimum fee of $6 may be charged by the State Highway Patrol for any records request for a Missouri Uniform Crash Report or Marine Accident Investigation Report where there is an allowable fee of less than $6. Such $6 fee will be in place of the allowable fee L.R. No. 0942H.02C Bill No. HCS for HB 443 Page 9 of March 9, 2023 DD:LR:OD of less than $6. The fee may be increased by no more than $1 every other year starting August 28, 2024 but must not exceed $10. MOTOR VEHICLE INSPECTION REQUIREMENTS (Section 307.380) 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 Health and Senior Services Department of Revenue Department of Public Safety - Missouri Highway Patrol Department of Social Services Missouri Department of Transportation Office of the State Courts Administrator Kansas City Police Department St. Joseph Police Department St. Louis County Police Department Phelps County Sheriff’s Department Julie MorffRoss StropeDirectorAssistant DirectorMarch 9, 2023March 9, 2023