COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:0459H.01I Bill No.:HB 171 Subject:Political Subdivisions; Taxation and Revenue - Sales and Use Type:Original Date:December 30, 2024Bill Summary:This proposal authorizes a transient guest tax upon voter approval for the
purposes of law enforcement and tourism.
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2026FY 2027FY 2028Total Estimated Net
Effect on General
Revenue $0$0$0
ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTEDFY 2026FY 2027FY 2028Total Estimated Net
Effect on Other State
Funds $0$0$0
Numbers within parentheses: () indicate costs or losses. L.R. No. 0459H.01I
Bill No. HB 171
Page 2 of
December 30, 2024
NM:LR:OD
ESTIMATED NET EFFECT ON FEDERAL FUNDSFUND AFFECTEDFY 2026FY 2027FY 2028Total Estimated Net
Effect on All Federal
Funds $0$0$0
ESTIMATED NET EFFECT ON FULL TIME EQUIVALENT (FTE)FUND AFFECTEDFY 2026FY 2027FY 2028Total 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 2026FY 2027FY 2028Local Government$0 or Unknown$0 or Unknown$0 or Unknown L.R. No. 0459H.01I
Bill No. HB 171
Page 3 of
December 30, 2024
NM:LR:OD
FISCAL ANALYSIS
ASSUMPTION
§67.1018 – Transient Guest Taxes in New Madrid County
Officials from the Office of Administration - Budget and Planning and the Department of
Revenue 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 assumes this proposal permits New Madrid County the ability to vote in a transient
guest tax (of not more than 5% per occupied room, per night) for the purposes of law
enforcement and tourism.
Oversight notes New Madrid County is not currently on-boarded with Oversight to receive
legislation for a response. The transient guest tax for New Madrid County would be used by the
county with 50% of the proceeds to fund law enforcement and the remaining 50% of the
proceeds to fund the promotion of tourism.
Oversight does not have enough information regarding sleeping rooms in New Madrid County
to provide an estimate of the additional revenue (if approved). Therefore, Oversight will reflect
a $0 (no voter approval) or unknown amount of revenue (ballot proposal passed by the voters) to
New Madrid County for this proposal.
FISCAL IMPACT – State GovernmentFY 2026
(10 Mo.)
FY 2027FY 2028$0$0$0FISCAL IMPACT – Local GovernmentFY 2026
(10 Mo.)
FY 2027FY 2028NEW MADRID COUNTYRevenue – transient guest taxes – if
approved by the voters §67.1018$0 or Unknown$0 or Unknown$0 or Unknown
ESTIMATED NET EFFECT ON
NEW MADRID COUNTY
$0 or
Unknown
$0 or
Unknown
$0 or
Unknown L.R. No. 0459H.01I
Bill No. HB 171
Page 4 of
December 30, 2024
NM:LR:OD
FISCAL IMPACT – Small Business
There could be a direct fiscal impact to New Madrid County small businesses who are in the
hotel/motel industry and would be subject to the transient guest tax upon voter approval as a
result of this proposal.
FISCAL DESCRIPTION
This proposal authorizes a transient guest tax upon voter approval for the purposes of law
enforcement and tourism.
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
Budget and Planning
Department of Revenue
Julie MorffJessica HarrisDirectorAssistant DirectorDecember 30, 2024December 30, 2024