SB 0538 - Fiscal Note

Fiscal Note - SB 0538 - Jt. Munic. Util. Comm. May Contract Re: Sewer Districts

L.R. NO.  1960-05
BILL NO.  HCS for SCS for SB 538
SUBJECT:  Joint Municipal Utility Commissions
TYPE:     Original
DATE:     May 6, 1996



                              FISCAL SUMMARY
                    ESTIMATED NET EFFECT ON STATE FUNDS


FUND AFFECTED              FY 1997             FY 1998           FY 1999

None

Total Estimated
Net Effect on All
State Funds                     $0                  $0                $0


                   ESTIMATED NET EFFECT ON FEDERAL FUNDS


FUND AFFECTED              FY 1997             FY 1998           FY 1999

None

Total Estimated
Net Effect on All
Federal Funds                   $0                  $0                $0


                    ESTIMATED NET EFFECT ON LOCAL FUNDS


FUND AFFECTED              FY 1997             FY 1998           FY 1999

Local Government                $0                  $0                $0



                              FISCAL ANALYSIS

ASSUMPTION

Officials of the Departments of Economic Development - Public Counsel assume
that this proposal would have no fiscal impact to their agency.

Officials of the Department of Natural Resources (DNR) and the City of Mexico
assumed in response to a similar proposal that there would be no fiscal
impact to their agencies.

Officials of the DNR stated that currently the only  joint municipal water
utility corporation regulated by the PSC is the Clarence Cannon Wholesale
Water Commission.

Officials of the Department of Economic Development - Public Service
Commission (PSC) stated that they have no data available to estimate the
number of complaints that would be filed.  For the purpose of this fiscal
note it was assumed that there would be a minimal number of complaints filed
and those complaints could be processed by existing FTEs and within current
appropriations.

Should the number of complaints filed and the workload generated by
implementation of this proposed legislation be greater than the assumed
minimal level,  additional resources would be required to ensure the
complaints would be processed and ruled on in a timely manner.


FISCAL IMPACT - State Government FY 1997   FY 1998   FY 1999
                                (10 Mo.)

                                       0         0         0


FISCAL IMPACT - Local Government FY 1997   FY 1998   FY 1999
                                (10 Mo.)

                                       0         0         0



DESCRIPTION

This proposal would make numerous changes which would remove water works and
water corporations from the regulatory purview of the Public Service
Commission.  It would also permit the establishment of joint municipal
utility commissions by municipalities and sewer districts.  Currently, only
two municipalities or a municipality  and a public water supply district may
enter into a contract to establish a joint municipality utility commission.

This proposal would only become effective upon passage of a constitutional
amendment removing water works from Public Service Commission jurisdiction.

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 Economic Development - Public Service Commission
Department of Economic Development - Public Counsel
Department of Natural Resources
Sewer District of Mexico