Fiscal Note - SB 0372 - Sets Requirements Which Must Be Met By An Agency Before It Promulgates Rules
L.R. NO. 1455-01
BILL NO. SB 372
SUBJECT: Administrative Law
TYPE: Original
DATE: February 19, 1997
FISCAL SUMMARY
ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED FY 1998 FY 1999 FY 2000
All State Funds (Unknown) (Unknown) (Unknown)
Total Estimated
Net Effect on All
State Funds (Unknown) (Unknown) (Unknown)
ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED FY 1998 FY 1999 FY 2000
Total Estimated
Net Effect on All
Federal Funds (Unknown) (Unknown) (Unknown)
ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED FY 1998 FY 1999 FY 2000
Local Government $0 $0 $0
FISCAL ANALYSIS
ASSUMPTION
Officials of the following agencies stated they would not be affected
fiscally by this proposal: Lieutenant Governor, Attorney General, Tax
Commission, Chief Clerk of the House, Secretary of the Senate, Auditor,
University of Missouri, Truman State University, and Office of Prosecution
Services.
Officials of the following agencies indicated that they were uncertain about
the fiscal effects of the proposal: Department of Agriculture and Department
of Revenue.
Officials of the Department of Insurance note that the proposal would require
agencies promulgating rules to issue them only on the basis of substantial
evidence on the record after a public hearing. They would request a Legal
Counsel to conduct about 140 hearings per year (four per proposed rule) to
gather evidence on the record for proposed rules. Expenses would include
costs for transcribing and recording evidence. Estimated costs to the
Insurance dedicated Fund would be $85,752, $95,780 and $98,430 in FY's 98, 99
and 00, respectively.
Oversight assumes that the requirement for public hearings and the
requirement that agencies determine the effectiveness and cost of rules to
public or private entities affected by proposed rules would affect all state
agencies which would promulgate rules. Oversight can not estimate the fiscal
impact of the proposal for state government until it has responses from more
affected agencies.
FISCAL IMPACT - State Government FY 1998 FY 1999 FY 2000
(10 Mo.)
ALL STATE AND FEDERAL FUNDS
Cost - Rules hearings and necessity
determinations (Unknown) (Unknown) (Unknown)
FISCAL IMPACT - Local Government FY 1998 FY 1999 FY 2000
(10 Mo.)
0 0 0
FISCAL IMPACT - Small Business
It is possible that small businesses would have less state agency rules due
to this proposal.
DESCRIPTION
This proposal would set requirements which would be met by officials of state
agencies before they could promulgate administrative rules. Officials could
not issue rules except upon substantial evidence on the record after public
hearing and a finding by agency officials that a proposed rule would be
significant and necessary to carry out the purpose of the statute which
granted rules authority.
This legislation is not federally mandated, would not duplicate any other
program, would not require additional capital improvements or rental space,
and would not affect total state revenue.
SOURCES OF INFORMATION
Department of Agriculture
Department of Insurance
Department of Higher Education
Department of Revenue
State Tax Commission
State Prosecutor
House of Representatives
Senate
Attorney General
Lieutenant Governor
Truman State University
Linn State Technical College
University of Missouri
This Fiscal Note is not an official copy and should not be quoted or cited.