COMMITTEE ON LEGISLATIVE RESEARCH OVERSIGHT DIVISION FISCAL NOTE L.R. No.:5141H.01I Bill No.:HB 2380 Subject:Contracts and Contractors; Housing; Consumer Protection; Political Subdivisions Type:Original Date:January 16, 2024Bill Summary:This proposal prohibits political subdivisions from requiring a home inspection before the sale of residential property. FISCAL SUMMARY ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2025FY 2026FY 2027Total Estimated Net Effect on General Revenue $0$0$0 ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTEDFY 2025FY 2026FY 2027Total Estimated Net Effect on Other State Funds $0$0$0 Numbers within parentheses: () indicate costs or losses. L.R. No. 5141H.01I Bill No. HB 2380 Page 2 of January 16, 2024 NM:LR:OD ESTIMATED NET EFFECT ON FEDERAL FUNDSFUND AFFECTEDFY 2025FY 2026FY 2027Total Estimated Net Effect on All Federal Funds $0$0$0 ESTIMATED NET EFFECT ON FULL TIME EQUIVALENT (FTE)FUND AFFECTEDFY 2025FY 2026FY 2027Total 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 2025FY 2026FY 2027Local Government$0$0$0 L.R. No. 5141H.01I Bill No. HB 2380 Page 3 of January 16, 2024 NM:LR:OD FISCAL ANALYSIS ASSUMPTION Oversight was unable to receive some of the agency responses in a timely manner due to the short fiscal note request time. Oversight has presented this fiscal note on the best current information that we have or on prior year information regarding a similar bill. Upon the receipt of agency responses, Oversight will review to determine if an updated fiscal note should be prepared and seek the necessary approval to publish a new fiscal note. §436.337 – Home Inspection Requirements before the Sale of Residential Property Officials from the Department of Commerce and Insurance, the Department of Economic Development, the Office of the State Courts Administrator and the City of Kansas City 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. Oversight only reflects the responses received from state agencies and political subdivisions; however, other cities and counties were requested to respond to this proposed legislation but did not. A listing of political subdivisions included in the Missouri Legislative Information System (MOLIS) database is available upon request. FISCAL IMPACT – State GovernmentFY 2025 (10 Mo.) FY 2026FY 2027$0$0$0FISCAL IMPACT – Local GovernmentFY 2025 (10 Mo.) FY 2026FY 2027$0$0$0 FISCAL IMPACT – Small Business Small business home inspectors could be impacted by this proposal. L.R. No. 5141H.01I Bill No. HB 2380 Page 4 of January 16, 2024 NM:LR:OD 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 Department of Commerce and Insurance Department of Economic Development Office of the State Courts Administrator Kansas City Julie MorffRoss StropeDirectorAssistant DirectorJanuary 16, 2024January 16, 2024