COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:1179H.01I Bill No.:HB 246 Subject:Motor Vehicles; Licenses - Motor Vehicle; Department of Revenue Type:Original Date:January 23, 2025Bill Summary:This proposal modifies the motor vehicle biennial registration option so that
model year is not taken into consideration.
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2026FY 2027FY 2028General Revenue($186,363)$0$0Total Estimated Net
Effect on General
Revenue($186,363)$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. 1179H.01I
Bill No. HB 246
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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$0$0 L.R. No. 1179H.01I
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FISCAL ANALYSIS
ASSUMPTION
§301.147 – Motor Vehicle Registration Provisions
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, forms, and public correspondence letters.
• Update associated fee charts, and the Department website.
• Update the Dealer Operating Manual.
• Update the Missouri Titling Manual.
• Send communications to contracted license offices and other contracted stakeholders.
• Complete programming and user acceptance testing.
• Update the Missouri Transportation Accounting System (MTAS) tables.
• Train internal and contract license office staff.
FY 2026 – Motor Vehicle Bureau
Lead Administrative Support Assistant 60 hrs. @ $19.13 per hr. = $1,148
Associate Research/Data Analyst 100 hrs. @ $22.33 per hr. = $2,233
Research/Data Analyst 60 hrs. @ $27.87 per hr. = $1,672
Administrative Manager 30 hrs. @ $30.25 per hr. = $908
FY 2026 – Systems Analysis and Support
Associate Research/Data Analyst 506 hrs. @ $22.33/hr. =$11,299
Research/Data Analyst 127 hrs. @ $27.87/hr. =$3,539
Administrative Manager 64 hrs. @ $30.25/hr. =$1,936
FY 2026 – Strategy and Communications Office
Associate Research/Data Analyst 100 hrs. @ $22.33/hr. =$2,233
Research/Data Analyst 50 hrs. @ $27.87/hr. =$1,394
Total Costs = $26,362
The Department anticipates that they will be able to absorb these costs and that there will be
minimal impact. If multiple bills are passed that require department resources, FTE may be
requested through the appropriations process. L.R. No. 1179H.01I
Bill No. HB 246
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Oversight assumes DOR will use existing staff and will not hire additional FTE to conduct these
activities; therefore, Oversight will not reflect the administrative costs DOR has indicated on the
fiscal note.
DOR also notes OA-ITSD services will be required at a cost of $141,363 in FY 2026 (1,346.31
hours x $105 per hour).
FUSION Impact
Implementation Consultant $225/hour x 200 hrs = $45,000
Oversight does not have any information to the contrary in regards to DOR’s assumptions;
therefore, Oversight will reflect DOR’s OA-ITSD and FUSION costs on the fiscal note.
DOR notes, the fiscal impact estimated above is based on changes in the current Department’s
Motor Vehicle and Driver Licensing system environment. The implementation of this legislation
will be coordinated with the integration of the Department’s Motor Vehicle and Driver Licensing
software system approved and passed by the General Assembly in 2020 (SB 176). To avoid
duplicative technology development and associated costs to the state, it is recommended a
delayed effective date be added to this bill to correlate with the installation of the new system.
Revenue Impact
There could be some variance in revenue the first fiscal year as all vehicle registrants will be
eligible for biennial registration, but the department has determined this to be minimal and will
stabilize in the long term.
Oversight does not have information to the contrary and therefore, Oversight will not reflect any
increase in revenue as indicated by DOR.
FISCAL IMPACT – State GovernmentFY 2026
(10 Mo.)
FY 2027FY 2028GENERAL REVENUE FUNDCost – DOR – OA-ITSD costs($141,363)$0$0Cost – DOR – Fusion implementation
consultant($45,000)$0$0
ESTIMATED NET EFFECT ON
THE GENERAL REVENUE FUND($186,363)$0$0 L.R. No. 1179H.01I
Bill No. HB 246
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FISCAL IMPACT – Local GovernmentFY 2026
(10 Mo.)
FY 2027FY 2028$0$0$0
FISCAL IMPACT – Small Business
No direct fiscal impact to small businesses would be expected as a result of this proposal.
FISCAL DESCRIPTION
This bill repeals the provision of law which requires that vehicles manufactured as an even-
numbered model year must be renewed each even-numbered calendar year and that vehicles
manufactured as an odd-numbered model year must be renewed each odd-numbered calendar
year.
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
Julie MorffJessica HarrisDirectorAssistant DirectorJanuary 23, 2025January 23, 2025