This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SB 0923 - State Highway System to Include Routes in St. Louis City
L.R. NO. 3461-01
BILL NO. SB 923
SUBJECT: Roads & Highways: St. Louis
TYPE: Original
DATE: February 28, 1996
FISCAL SUMMARY
ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED FY 1997 FY 1998 FY 1999
State Road Fund (Unknown) (Unknown) (Unknown)
Total Estimated
Net Effect on All
State Funds* (Unknown) (Unknown) (Unknown)
*Expected to exceed ($1,000,000) annually.
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
City of St. Louis Unknown Unknown Unknown
FISCAL ANALYSIS
ASSUMPTION
Officials of the Department of Highways & Transportation (DHT) assume that
they would incur costs totalling approximately $19,000,000 in rehabilitating
bridges to bring them in conformity with federal standards. Officials
indicated that there are eleven bridges included in the roads being brought
under the state highway system by this proposal, and they determined that
nine of those are considered deficient under federal guidelines. Estimates
to rehabilitate each of those nine bridges were based on factors including
federal rehabilitation cost rates and statewide average costs. DHT officials
indicate that they are unable to provide an annual estimate of these costs,
since it is unknown when the work would be done and the costs incurred.
Also, there would be a possibility of federal reimbursement of some of these
costs, but any such amount is also unknown.
DHT officials also estimate costs of $1,290,000 in FY 1997 for the
resurfacing of the 60 miles of roadway involved. Officials assume that the
roads have an eight-year life. Routine maintenance costs on the additional
mileage is estimated at $1,728,000 per year, based on a standard cost per
mile for the department.
In response to a similar proposal, officials of the City of St. Louis
indicate that there are a total of 62 miles of roads in the St. Louis area
that would become part of the state highway system. However, City officials
also indicate that there is currently a Memorandum of Understanding between
the City and DHT covering 28 of those miles that provides for the surface
maintenance of the roads by DHT. City officials estimate that on those 28
miles the City would save a total of approximately $215,000 annually in costs
for signals, stripes, signs, lighting, cleaning and snow removal. On the
remaining 34 miles not currently covered in the agreement with DHT, the City
would save approximately $500,000 annually in costs for signals, stripes,
signs, lighting, cleaning, snow removal, patching and resurfacing. City
officials assume that roads are resurfaced every ten years at a cost of
$1,500,000, and therefore assumed an annual resurfacing cost of $150,000,
which is included in the $500,000 cost savings. The total cost savings
estimated by the City of St. Louis is approximately $715,000 annually. City
officials did not attempt to estimate cost savings for bridge work, as they
indicated an accurate assessment would require physical examination of the
bridges in question.
Oversight assumes that DHT's estimate for routine maintenance includes all
additional roads and that the estimate is reasonable since DHT does not
presently provide routine maintenance on the roads covered by its agreement
with the City of St. Louis. Oversight also assumes that DHT will incur
significant costs in replacing or rehabilitating bridges, but also has no
means of determining which, if any, of the bridges would be replaced during
the fiscal note period, and how much the resulting costs would be on an
annual basis. Oversight also assumes that the cost of resurfacing all roads
included in the proposal would likely not be incurred only in FY 1997.
Annual costs assuming an eight-year life would approximate $161,250.
However, Oversight assumes that the estimate provided by DHT for resurfacing
includes costs for roads already maintained in part by the department under
its agreement with the City of St. Louis, but cannot determine how much of
the total represents costs of surface maintenance only for those miles.
Consequently, Oversight has reflected unknown annual costs to the State Road
Fund. Annual costs for bridge repair and resurfacing are expected to exceed
$1,000,000.
FISCAL IMPACT - State Government FY 1997 FY 1998 FY 1999
(10 Mo.)
STATE ROAD FUND
Costs-Department of Highways & Transportation
Costs of ordinary maintenance for additional roads
in state highway system ($1,440,000) ($1,728,000) ($1,728,000)
Costs of resurfacing additional roads in the state
highway system and rehabilitating bridges on the
additional roads * (Unknown) (Unknown) (Unknown)
ESTIMATED NET EFFECT ON STATE
ROAD FUND * (Unknown) (Unknown) (Unknown)
* Expected to exceed ($1,000,000).
FISCAL IMPACT - Local Government FY 1997 FY 1998 FY 1999
(10 Mo.)
CITY OF ST. LOUIS
Savings
Costs of maintaining and resurfacing
roads added to the state highway system $595,833 $715,000 $715,000
Costs of maintaining and/or rehabilitating
bridges included in roads added to state
highway system Unknown Unknown Unknown
ESTIMATED NET EFFECT ON
CITY OF ST. LOUIS Unknown Unknown Unknown
DESCRIPTION
This legislation would add certain roads in the City of St. Louis to the
state highway system.
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 Highways and Transportation
City of St. Louis