SJR 032 - Fiscal Note

Fiscal Note - SJR 032 - Requires amount equal to amount of any tobacco settlement to be refunded under Hancock Amendment

COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION

FISCAL NOTE

L.R. NO. 3616-01

BILL NO. SJR 32

SUBJECT: Constitutional Amendments: Tobacco Settlement

TYPE: Original

DATE: April 27, 1998

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FISCAL SUMMARY

ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED	FY 1999	FY 2000	FY 2001
General Revenue	($34,500)	$0 or (Unknown)	$0 or (Unknown)
Total Estimated Net Effect on All State Funds	($34,500)	$0 or (Unknown)	$0 or (Unknown)

ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED	FY 1999	FY 2000	FY 2001
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 Office of Administration stated the proposal would not affect their agency administratively.

Officials of the Department of Revenue stated that the cost of making article X distributions has been approximately $700,000 per year in which a distribution has been made. Assuming there would be no distribution made in FY 2000 and assuming there would be a settlement by FY 2000, there would be a cost of $700,000 for a distribution.

Oversight notes that there has been no Congressionally approved settlement, the amount Missouri might realize is not known, and that there might be an article X distribution even in the absence of a settlement; therefore, for fiscal note purposes, a cost of $0 or unknown is shown for years after FY 1999.

Advertisement costs for the proposal would be $3,990 per newspaper column inch for three publications of the text of the proposal, the introduction, title, fiscal note summary, and affidavit. The proposal would be on the ballot for the November 1998 general election.

FISCAL IMPACT - State Government	FY 1999	FY 2000	FY 2001
Cost to General Revenue Fund
Secretary of State
Newspaper Advertisements	($ 34,500)	$0	$0
		or	or
		(Unknown)	(Unknown)
FISCAL IMPACT - Local Government	FY 1999	FY 2000	FY 2001
	$0	$0	$0

FISCAL IMPACT - Small Business

Small businesses which have income tax liability would be affected by this proposal.

DESCRIPTION

This proposal would specify that any monies received by Missouri from any Congressionally approved tobacco settlement be distributed according to article X, section 18(b).

DESCRIPTION

This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space. This legislation would not affect Total State Revenue.

SOURCES OF INFORMATION

Department of Revenue

Office of Administration - Division of Budget and Planning

Secretary of State

Jeanne Jarrett, CPA

Director

April 27, 1998