This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SB 0833 - Certain DNR Rules to be No Stricter Than Federal Regulations

L.R. NO.  3033-01
BILL NO.  SB 833
SUBJECT:  Environmental Rules
TYPE:     Original
DATE:     February 12, 1996



                              FISCAL SUMMARY
                    ESTIMATED NET EFFECT ON STATE FUNDS


FUND AFFECTED              FY 1997             FY 1998           FY 1999
General Revenue          (Unknown)           (Unknown)         (Unknown)

DNR Dedicated            (Unknown)           (Unknown)         (Unknown)

Total Estimated
Net Effect on All
State Funds              (Unknown)           (Unknown)         (Unknown)


                   ESTIMATED NET EFFECT ON FEDERAL FUNDS


FUND AFFECTED              FY 1997             FY 1998           FY 1999
EPA Federal Funds        (Unknown)           (Unknown)         (Unknown)

Total Estimated
Net Effect on All
Federal Funds            (Unknown)           (Unknown)         (Unknown)


                    ESTIMATED NET EFFECT ON LOCAL FUNDS


FUND AFFECTED              FY 1997             FY 1998           FY 1999
Local Government         (Unknown)           (Unknown)         (Unknown)


                              FISCAL ANALYSIS

ASSUMPTION

The Department of Natural Resources assumes when promulgating rules not
addressed by federal law, the DNR would be required to prove a significant
adverse impact to the public health, welfare, or the environment.  DNR rules
would have to be based upon reasonably available scientific data, and must,
at a minimum include consideration of health, welfare, economics, pollution
prevention, and the effectiveness and cost of available control methods.  DNR
assumes because the interpretation of significant adverse impact and
reasonably available scientific data may be broad, the DNR is unable to
estimate the fiscal impact of this legislation.

DNR assumes, at a minimum, extensive staff time and resources would be
required to document and substantiate (to the level in this legislation)
existing rules which are stricter than the federal rule.  Depending upon the
interpretation of  "stricter than" the department may have up to 130 rules
considered "stricter than" federal law.  Depending upon the interpretation of
the definition of "significant adverse impact" and "reasonably available
scientific data" the department estimates it would take between 120 hours and
450 hours per rule to review, document, substantiate, and possibly promulgate
revised state rules.  DNR assumes it would take approximately 8 FTE (assuming
120 hours per rule) or approximately 30 FTE (assuming 450 hours per rule) to
implement this legislation.

In addition, the DNR assumes additional staff time and resources would be
required when promulgating new rules which would be stricter than the federal
rule because the DNR would be responsible for proving a significant adverse
impact and providing documentation to substantiate with reasonably available
scientific data the necessity of such rules.  The DNR is unable to determine
the number of rules which would be promulgated in later years which would be
considered stricter than the federal law.

Also, the DNR is unable to determine the legal costs associated with
challenges to existing rules from the passage of this legislation.

The DNR also assumes there could be unknown costs to the Solid Waste
Management Districts due to this proposal as the DNR's current rules relating
to Solid Waste are would likely be considered stricter than federal rules.

Oversight assumes the DNR will be required to conduct some level of review of
the estimated 130 rules that may be stricter than federal rules.  Oversight
assumes after such a review, necessary rule changes or deletions could result
in unknown savings, costs or losses of revenue.

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

Costs - DNR
  Personal Services                      (Unknown) (Unknown) (Unknown)

DNR DEDICATED FUNDS

Costs - DNR
  Personal Services                      (Unknown) (Unknown) (Unknown)


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

Costs - Solid Waste Management Districts (Unknown) (Unknown) (Unknown)


DESCRIPTION

This act imposes or amends an existing requirement that rules of several
programs within the Department of Natural Resources be no stricter than
applicable federal regulations.

This proposal would allow DNR to establish rules in areas where federal
standards did not exist or were found insufficient to protect public health,
welfare or the environment, under certain conditions.  It would require DNR
to establish procedures and criteria for rulemaking which considered
reasonably available scientific data and would not include consideration of
health, welfare, economics, pollution prevention and available control
methods.  The act pertains to the following programs: solid waste management,
hazardous waste management, underground storage tanks, metallic minerals
waste, surface mining, air pollution control and water pollution control.

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

Missouri Department of Natural Resources