SB 0787 - Fiscal Note

Fiscal Note - SB 0787 - Veterans' Commission Volunteers Deemed Unpaid

L.R. NO.  2956-01
BILL NO.  Truly Agreed To and Finally Passed SB 787
SUBJECT:  Veterans:  Liability
TYPE:     Original
DATE:     May 16, 1996



                              FISCAL SUMMARY
                    ESTIMATED NET EFFECT ON STATE FUNDS


FUND AFFECTED              FY 1997             FY 1998           FY 1999

Legal Expense Fund        ($2,036)            ($2,565)          ($2,694)

Total Estimated
Net Effect on All
State Funds               ($2,036)            ($2,565)          ($2,694)

 *  does not include possible liability claims.



                   ESTIMATED NET EFFECT ON FEDERAL FUNDS


FUND AFFECTED              FY 1997             FY 1998           FY 1999

None                            $0                  $0                $0

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 Department of Insurance, Missouri Veterans' Commission,
Department of Labor and Industrial Relations and the Office of the Attorney
General assume this proposal would not fiscally impact their agency.

Officials of the Office of Administration (COA) assume that this proposal
would impact the Legal Expense Fund.  The Veterans Commission stated that the
number of volunteer hours used in 1995 were 82,832.  Using that number for a
base, COA officials translated the number of hours into approximately 40
persons.  For protection under the Legal Expense Fund there is a cost of
$55.66/FTE.  Therefore, COA officials assume that this proposal would result
in a cost of $2,036 in FY97, $2,565 in FY98, and $2,694 in FY99.  COA
officials noted that it was difficult to estimate the costs that could result
from this proposal due to the nature of the exposure.  Such claims tend to be
of low frequency; however, there could be a high cost per claim.



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

Cost-Office of Administration (COA)
  Volunteer coverage              ($2,036)  ($2,565)  ($2,694)

ESTIMATED NET EFFECT ON
LEGAL EXPENSE FUND*               ($2,036)  ($2,565)  ($2,694)

*  does not include possible liability claims


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

                                         0         0         0



DESCRIPTION

This proposal would extend certain state employee benefits to unpaid
Veterans' Commission volunteers.  Those benefits would include the State
Legal Expense Fund and automobile liability provisions.  The proposal would
allow for travel expense reimbursement for those volunteers working under the
authority of the Commission.  The volunteers would be authorized to utilize
state vehicles if necessary.  All expenses related to this bill would be paid
from the regular appropriation of the Commission.

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 Insurance
Office of Administration
Department of Labor and Industrial Relations
Missouri Veterans' Commission
Office of the Attorney General