COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:1892H.02C Bill No.:HCS for HB 805 Subject:Roads and Highways; Business and Commerce; Department of Transportation Type:Original Date:March 8, 2023Bill Summary:This proposal modifies provisions relating to outdoor advertising.
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. 1892H.02C
Bill No. HCS for HB 805
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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. 1892H.02C
Bill No. HCS for HB 805
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FISCAL ANALYSIS
ASSUMPTION
Officials from the Department of Transportation (MoDOT) assume this proposal would waive
the permit fee and biennial fee for landowners, provided the landowner is the permit holder and
owns both the land the sign is located on and the business advertised on the sign.
This proposal is estimated to have a positive fiscal impact to MoDOT of $500 annually.
Language added under §226.540(4) may increase new permit fees and biennial inspection fees
collected in unzoned areas by $5,400 annually. In 2021, there were 30 billboard permits issued
in unzoned areas along a primary route. MoDOT estimates that language under §226.540(4)
would allow an additional 27 permits to be issued in unzoned areas along a primary route on the
opposite side of the travelway.
27 billboard permits x $200 new permit fee = $5,400
Biennial inspection fee of $100 x 27 billboard permits issued / 2 = $1,350
$5,400 + $1,350 = $6,750 annually
Language added under §226.550.1, 2, and 4 may decrease the biennial inspection fees for
landowners by $6,250 annually.
There are 125 (estimated) landowners that are also the permit holder and advertiser x $100
biennial inspection fee / 2 = $6,250.
Cumulative impact is $6,750 - $6,250 = $500
Oversight does not have any information to the contrary in regards to MoDOT’s estimates.
Oversight assumes the potential change in revenue and costs is not material; therefore, Oversight
will not reflect this on the fiscal note. L.R. No. 1892H.02C
Bill No. HCS for HB 805
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FISCAL IMPACT –
State Government
FY 2024
(10 Mo.)
FY 2025FY 2026$0$0$0FISCAL IMPACT –
Local Government
FY 2024
(10 Mo.)
FY 2025FY 2026$0$0$0
FISCAL IMPACT – Small Business
Certain small businesses would not have to pay a one-time permit fee and biennial inspection fee
for outdoor advertising.
FISCAL DESCRIPTION
This bill exempts from the current $200 outdoor advertising fee and biennial inspection fee for
certain highway signs under Section 226.550, RSMo, a sign displayed by a landowner who also
owns the business advertised on the sign if the business has a physical location within 750 feet of
the sign.
The bill, under section 226.540(1) would expand areas considered unzoned commercial or
industrial areas on nonfreeway primary highways, thus allowing additional signs.
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
Missouri Department of Transportation
Julie MorffRoss StropeDirectorAssistant DirectorMarch 8, 2023March 8, 2023