SB 0730 - Fiscal Note

Fiscal Note - SB 0730 - Revises Missouri's pawnbroker laws

COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION

FISCAL NOTE

L.R. NO. 3160-01

BILL NO. SB 730

SUBJECT: Pawnbrokers

TYPE: Original

DATE: January 26, 1998

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FISCAL SUMMARY

ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED	FY 1999	FY 2000	FY 2001
None	$0	$0	$0
Total Estimated Net Effect on All State Funds	$0	$0	$0

ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED	FY 1999	FY 2000	FY 2001
None	$0	$0	$0
Total Estimated Net Effect on All Federal Funds	$0	$0	$0

ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED	FY 1999	FY 2000	FY 2001
Local Government	$0	$0	$0

Numbers within parentheses: ( ) indicate costs or losses

This fiscal note contains 3 pages.

FISCAL ANALYSIS

ASSUMPTION

Officials of the Department of Economic Development-Division of Finance assume that the proposal would have no fiscal impact on their agency.

Officials of the Office of the State Courts Administrator indicate that they have no basis on which to estimate the number of small claims filings to recover stolen property from pawnbrokers there may be in a typical year, although they indicate that small claims filings are very time-consuming. Officials assume it is unlikely that costs would increase as much as $100,000 in any year. Oversight assumes that the number of filings in any one year would not likely be significant.

Oversight assumes that this legislation could have fiscal impact on counties which impose confinement penalties on pawnshop licensees convicted of violation of the law, since current law allows for punishment by fine only, or on counties assessing increased fines as allowed by the proposal. Any net fiscal impact on counties is expected to be minimal.

FISCAL IMPACT - State Government	FY 1999	FY 2000	FY 2001
	(10 Mo.)
	0	0	0
FISCAL IMPACT - Local Government	FY 1999	FY 2000	FY 2001
	(10 Mo.)
	0	0	0
FISCAL IMPACT - Small Business

The proposal could result in additional duties and costs to pawnshops which are classified as small businesses. Additional costs could include unreimbursed legal costs or increased fines for violating state laws.

DESCRIPTION

This legislation establishes provisions for resolving issues of ownership of allegedly stolen goods which are pawned. It establishes misdemeanor and felony classes for fraudulently pledging or selling property. It also includes provisions pertaining to property used by law enforcement officers in investigations and pertaining to holds placed on the property by officers. Penalties

DESCRIPTION (continued)

against pawnshop licensees for violating state law are increased to a maximum fine of $5,000 and/or confinement in county jail for a maximum of six months and possible revocation of the pawnshop license.

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 Economic Development - Division of Finance

Office of the State Courts Administrator

Jeanne Jarrett, CPA

Director

January 26, 1998