This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SB 0723 - Miscellaneous Powers of County Government
L.R. NO.  2362-17
BILL NO.  HCS for SS for SCS for SB 723 and 891
SUBJECT:  Cities, Counties: Neighborhood Improvement Districts
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

*Provisions in this proposal are permissive.


                              FISCAL ANALYSIS


ASSUMPTION

City of Fulton officials assume that this proposal is permissive and would
have no fiscal impact without a vote of the people.

City of Columbia officials assume that this proposal is permissive and would
have no fiscal impact to their city.

Officials from the cities of Mexico and Springfield assume no local fiscal
impact.

Oversight assumes that this proposal is permissive.  Fiscal impact would not
occur without action by the governing body with voter approval.

FISCAL IMPACT - State Government    FY 1997   FY 1998   FY 1999

                                         $0        $0        $0

FISCAL IMPACT  - Local Government   FY 1997   FY 1998   FY 1999

                                         $0        $0        $0

DESCRIPTION

Any member of the salary commission who is absent from a commission meeting
without permission of a majority of the commission's members would be counted
as voting with the majority at any meeting.

The salary commission would be required to meet at least once before November
thirtieth of every fourth year after 1993 and could meet otherwise if either
on a motion approved by the commission at a previous meeting or upon a call
by the chair or by a majority of the commission members.

This proposal would prohibit the commission from voting a salary increase for
county officials who are currently serving in office.  This proposal would
allow county officials to receive a gradual salary increase over a six year
period.  The compensation for county officers could be adjusted by the County
Commission on January first of each year, not to exceed the percentage
increases given to other county employees.  The compensation would be
expressed as a percentage of the compensation being paid during the term of
office when the vote is taken.

This proposal would allow the governing body of any county of the first class
with a charter form of government which contains all or part of a city with a
population of three hundred fifty thousand or more inhabitants (Jackson
County), to adopt orders or an ordinance to require out of state landlords to
register himself or his agent with the County Clerks of said county.  The
agent would be a Missouri resident.  The registration would contain a list of
each parcel of rental property owned by the landlord, the parcel's location,
the name and address of the person who manages the property, and the name of
the agent for the out-of-state landlord.  The agent would be authorized to
accept service of process for the landlord.

Any landlord or agent of the landlord who violates these provisions is guilty
of a class A misdemeanor and would be subject to a fine of up to five hundred
dollars for the first offense and up to one thousand dollars for the second
or any subsequent offense.  The provisions of this subsection 4 and 5 of
section 535.185 would expire on August 28, 2001.

This act makes the following changes to the Neighborhood Improvement District
(NID) law:

(1)  Bonds issued pursuant to section 67.455 would be based on a competitive
selection process for projects up to and including one million dollars.
Bonds for projects costing more than $1,000,000 would be based on competitive
bids.  The phrase "competitive selection process" is defined as a formal
written request for proposals and would require the establishment of
selection criteria, such as, experience, fees, and interest rates.
Improvement would include new improvements, maintenance of existing
improvements or replacement of partially or totally destroyed improvements.
The governing body would advertise for bids on bond proposals in at least one
newspaper of general circulation in the area served by the NID at least ten
days before bids would be opened or the proposals would be due.  The
governing body could reject any bid and could advertise for new bids.

(2)  Allows for a levy against property in the district to pay maintenance
costs prior to the retirement of the bonds which were issued for the original
improvements.  Currently,  maintenance costs may only be recouped through an
annual assessment after the bonds are retired.  The levy could not exceed
twenty cents per one hundred dollars of assessed valuation.

(3)  Requires that the petition to form a NID be signed by at least 2/3 of
the owners of record and 2/3 of the owners of property by area in the
proposed NID, exclusive of property owned by the State or a political
subdivision.  Currently, the owners of record of at least 2/3 by area must
sign the petition.  The petition shall be the exclusive procedure to form a
district which proposes to improve a county road in an unincorporated area of
a second, third or fourth classification county.

(4)  Removes the "per front foot or per square foot" language.  This would
not prohibit the use of  a per foot measurement, but it clarifies that
whatever plan the governing body adopts must result in imposing substantially
equal burdens upon the property in the district.

(5)  Requires the notice of the public hearing to be published at least three
times with at least one notice being not more the 20 days and not less than
10 days before the hearing.  Currently, the notice must be published only
once.  Individual notices must still be mailed to all property owners in the
proposed district.  The neighborhood improvement district would reimburse the
city or county clerk for advertisement costs.

(6)  Allows the option to finance a NID through an annual levy against the
assessed valuation of the property in the NID.  The levy could not exceed
twenty cents per one hundred assessed value and would require voter approval.

(7)  This act authorizes the governing body of any city, town or village or
county to enact ordinances providing for the demolition of buildings which
have been declared to be a public nuisance.  Farm buildings and structures
are exempted from this section.  Only first class counties could enact orders
or ordinances to provide for the vacation and demolition of abandoned farm
buildings.

(8)  Farm buildings and structures are defined as any building or structure
located on a tract of land in an unincorporated area consisting of three or
more acres.

(9)  This act also authorizes the county commission of any county  to replace
any member of any board over which the commission has authority to appoint
members for failing to attend meetings of the board.

(10)  Notice of a public hearing on redevelopment and urban renewal projects
would have to be published in a newspaper of general circulation in the
community once each week for three consecutive weeks.  Current law requires
publication for two consecutive weeks.  The governing body would be required
to post a notice at the main entrance to any commercial building, any
residential street or in other public areas within the area covered by the
plan.  The notice would be posted at least fifteen days prior to the hearing.

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

City of Mexico
City of Fulton
City of Springfield
City of Columbia

NOT RESPONDING:  Timing would not allow for additional responses.