COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:1859H.02C Bill No.:HCS for HB 661 Subject:Utilities; Roads and Highways; Telecommunications; Cities, Towns, and Villages;
Transportation; Missouri Department of Transportation
Type:Original Date:February 25, 2025Bill Summary:This proposal requires municipalities and the Department of Transportation
to reimburse non-rate regulated utilities for site relocation costs incurred due
to road maintenance.
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 2028State Road Fund(Up to $35,000,000)(Up to $35,000,000)(Up to $35,000,000)Total Estimated Net
Effect on Other State
Funds(Up to $35,000,000)(Up to $35,000,000)(Up to $35,000,000)
Numbers within parentheses: () indicate costs or losses. L.R. No. 1859H.02C
Bill No. HCS for HB 661
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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(Unknown)(Unknown)(Unknown) L.R. No. 1859H.02C
Bill No. HCS for HB 661
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FISCAL ANALYSIS
ASSUMPTION
§§67.1849, 67.2707, 71.340, 226.220, 226.224, 227.558, 227.559 & 229.360 – Reimbursement
of Relocation Expenses of Non-Rate-Regulated Utilities
Officials from the Missouri Department of Transportation (MoDOT) state currently, if a
utility sits in the state right-of-way without pre-existing land rights, the utility owner bears the
cost for adjustments to facilitate highway maintenance and construction. The proposed bill
would render all utility adjustments reimbursable, potentially incurring millions in annual costs
to the State Road Fund. Based on relocation information from previous years statewide, MoDOT
estimates annual negative impact to the State Road Fund of $30 to $35 million.
Oversight does not have information to the contrary and therefore, Oversight will reflect a fiscal
impact of “Up to $35 million” to MoDOT per fiscal year.
Officials from the City of Kansas City assumed this proposal has a negative fiscal impact of an
indeterminate amount.
Officials from the City of O’Fallon state the provisions being added to sections 71.340, 226.200
and 226.224 will cause the cities and counties to pay for relocating certain utilities for road
projects. The estimated costs to the City of O’Fallon will vary from $100,000 to $250,000 each
year. With the increase in utilities located in the ROW (like fiber optics) costs will grow ever
higher for cities in the future.
Oversight assumes local political subdivisions could incur costs related to this proposal;
therefore, Oversight will reflect a fiscal impact of “Unknown” to local political subdivisions.
Officials from the Metropolitan St. Louis Sewer District, Morgan County PWSD #2, and the
South River Drainage District 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 local political subdivisions 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. L.R. No. 1859H.02C
Bill No. HCS for HB 661
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FISCAL IMPACT – State GovernmentFY 2026
(10 Mo.)
FY 2027FY 2028STATE ROAD FUNDCost – MoDOT – reimbursing costs of
non-rate regulated utility providers for
facility relocation
(Up to
$35,000,000)
(Up to
$35,000,000)
(Up to
$35,000,000)
ESTIMATED NET EFFECT ON
THE STATE ROAD FUND
(Up to
$35,000,000)
(Up to
$35,000,000)
(Up to
$35,000,000)
FISCAL IMPACT – Local GovernmentFY 2026
(10 Mo.)
FY 2027FY 2028LOCAL POLITICAL
SUBDIVISIONS
Cost – reimbursing costs of non-rate
regulated utility providers for facility
relocation(Unknown)(Unknown)(Unknown)
ESTIMATED NET EFFECT ON
LOCAL POLITICAL
SUBDIVISIONS(Unknown)(Unknown)(Unknown)
FISCAL IMPACT – Small Business
Small non-rate regulated utility providers could be positively impacted as a result of this
proposal.
FISCAL DESCRIPTION
This bill requires municipalities and the Missouri Department of Transportation to reimburse
non-rate regulated utility providers, including telecommunications, Internet, and cable providers,
for facility relocation due to road maintenance or construction.
This legislation is not federally mandated, would not duplicate any other program and would not
require additional capital improvements or rental space. L.R. No. 1859H.02C
Bill No. HCS for HB 661
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SOURCES OF INFORMATION
Missouri Department of Transportation
City of Kansas City
City of O’Fallon
Metropolitan St. Louis Sewer District
South River Drainage District
Julie MorffJessica HarrisDirectorAssistant DirectorFebruary 25, 2025February 25, 2025