This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SB 0147 - Provides Employers Who Give Employee References With Immunity

L.R. NO.  0398-04
BILL NO.  SCS for SB 147
SUBJECT:  Employer Immunity
TYPE:     Original
DATE:     April 2, 1997



                              FISCAL SUMMARY

                    ESTIMATED NET EFFECT ON STATE FUNDS


FUND AFFECTED              FY 1998             FY 1999           FY 2000


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


                   ESTIMATED NET EFFECT ON FEDERAL FUNDS


FUND AFFECTED              FY 1998             FY 1999           FY 2000


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


                    ESTIMATED NET EFFECT ON LOCAL FUNDS


FUND AFFECTED              FY 1998             FY 1999           FY 2000
Local Government                $0                  $0                $0


                              FISCAL ANALYSIS

ASSUMPTION

The following agencies do not expect to be fiscally impacted:  Tax
Commission, Secretary of State, Attorney General, Department of Corrections,
House of Representatives, Department of Agriculture, Office of Lt. Governor,
Highway & Transportation Employees' and Highway Patrol Retirement System,
State Public Defender, Senate, Coordinating Board for Higher Education,
Department of Conservation, State Auditor, Department of Mental Health,
Office of Administration, Lottery Commission, Missouri Consolidated Health
Care Plan, Department of Revenue, Department of Health, Office of the
Governor, Department of Social Services, State Treasurer, Department of
Elementary & Secondary Education, Department of Public Safety and Department
of Economic Development.

The Department of Insurance (INS) does not expect this proposal to have a
significant fiscal impact.  However, the enactment of more than one similar
proposal resulting in minimal fiscal impact to the INS could require an
increase in the INS's appropriation for such purposes.

The Department of Transportation (DHT) assumes that, if it were considered an
employer under this proposal, there would be incidental expenses associated
with disclosing information and an undetermined, but significant fiscal
impact relating to civil damage awards against employer representatives who
do not act in good faith. Oversight assumes that any costs incurred could be
absorbed with existing resources.  In response to a similar proposal from the
1996 session, DHT assumed that it could absorb the incidental expenses and
any additional work resulting.

The Office of State Courts Administrator (CTS) would expect one or more cases
to test the parameter of the law, but a significant increase in its' caseload
would not be anticipated.  Oversight assumes the fiscal impact would be zero.

The Department of Natural Resources (DNR) assumes that the proposal would
create no significant increase in its' workload, but it could have a positive
impact by improving response time to inquiries, resulting in more informed
hiring decisions and reduced costs associated with bad hires.


FISCAL IMPACT - State Government   FY 1998   FY 1999   FY 2000
                                  (10 Mo.)

                                        $0        $0        $0


FISCAL IMPACT  - Local Government  FY 1998   FY 1999   FY 2000
                                  (10 Mo.)

                                        $0        $0        $0

FISCAL IMPACT - Small Business

This proposal will have no direct fiscal impact on small businesses.


DESCRIPTION

The proposal would define employer to mean any individual, organization,
partnership, corporation or other legal entity, including legal
representatives or agents, which has or had in its employ one or more
individuals performing services within this state.

Employees would be allowed to request letters of dismissal if discharged or
voluntarily quits and the request is made in writing and sent by certified
mail.  The letter must reference the specific statute allowing the request
and be within a reasonable period of time, but not later than one year.

The proposal would allow former employers to release certain information
pertaining to a former employee to a prospective employer.  Unless the lack
of good faith would be shown, the employer or designee releasing the
information would be immune from civil liability.

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

Coordinating Board for Higher Education
Office of Administration
Office of State Courts Administrator
Department of Economic Development
Department of Elementary & Secondary Education
Department of Mental Health
Department of Natural Resources
Department of Corrections
Department of Health
Department of Revenue
Department of Social Services
Department of Transportation
Missouri Consolidated Health Care Plan
State Highway Employees & Patrol Retirement System
Department of Insurance
Missouri Lottery Commission
Department of Agriculture
Department of Conservation
Missouri House of Representatives
Missouri Senate
State Public Defender
Missouri Tax Commission
Office of the Lieutenant Governor
State Auditor
Secretary of State
State Treasurer
Office of the Governor
Attorney General

NOT RESPONDING:  Department of Labor & Industrial Relations and Gaming
Commission