This Fiscal Note is not an official copy and should not be quoted or cited.
This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SB 0118 - Revises motor vehicle emissions inspections for certain areas
1COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. NO.: 0361-01
BILL NO.: SB 118
SUBJECT: Enhanced Inspection and Maintenance Program
TYPE: Original
DATE: January 25, 1999
FISCAL SUMMARY
|
ESTIMATED NET EFFECT ON STATE FUNDS | |||
| FUND AFFECTED | FY 2000 | FY 2001 | FY 2002 |
| None | $0 | $0 | $0 |
| Total Estimated
Net Effect on All State Funds |
$0 | $0 | $0 |
|
ESTIMATED NET EFFECT ON FEDERAL FUNDS | |||
| FUND AFFECTED | FY 2000 | FY 2001 | FY 2002 |
| None | $0 | $0 | $0 |
| Total Estimated
Net Effect on All Federal Funds |
$0 | $0 | $0 |
|
ESTIMATED NET EFFECT ON LOCAL FUNDS | |||
| FUND AFFECTED | FY 2000 | FY 2001 | FY 2002 |
| Local Government | $0 | $0 | $0 |
Numbers within parentheses: ( ) indicate costs or losses
This fiscal note contains 5 pages.
FISCAL ANALYSIS
ASSUMPTION
The Department of Agriculture (AGR) assumes they would not be fiscally impacted by this proposal.
The Department of Revenue (DOR) assumes they would incur costs of $5,351 for revisions to the title manuals, forms, and postage.
Oversight assumes the DOR will send out revisions regarding all law changes at one time. Therefore, there would be no additional costs as a result of this particular proposal.
The Missouri Highway Patrol (MHP) assumes that 1.2 million emission stickers at $.75 each will not be sold. The MHP assumes this will reduce revenue to the Patrol's Motor Vehicle Inspection Fund an estimated $900,000. The number of vehicles registered in the affected areas is estimated to be 1.2 million.
The MHP Motor Equipment Division states that the Patrol has approximately 125 vehicles that may be subject to the new Emissions inspections at a cost of $24 per vehicle. Therefore, the cost to this division will be $3,000.
Oversight assumes the costs and loss of revenue assumed by the MHP are not the result of this proposal. Although the Enhanced Inspection and Maintenance Program has not yet been implemented, the fiscal impact to the MHP are a result of SB 590 which passed in 1994.
The Department of Transportation (DOT) assumes the fiscal impact on the DOT cannot be determined.
Oversight assumes this proposal would not have any fiscal impact on the DOT.
The Department of Natural Resources (DNR) assumes an enhanced inspection and maintenance program has not yet been implemented but the Request for Proposals (RFP) has been released. Two items in the bill could potentially delay or stop current contract negotiations. The bill sets the emission credit reduction limit for clean screening at 5% of the I/M and the contract or license period at up to 7 years. The RFP has a contract period of 8 ½ years (includes start up and 7 operational years) and more than 5% of the I/M for emission credit reduction limit for clean screening. The Environmental Protection Agency has been sued recently because they have not enacted the federal Clean Air Act Amendments of 1990 (CAAA) with regard to Missouri. Any
ASSUMPTION (continued)
delay in the contract progress may cause the EPA to "bump up" the classification of the St. Louis area that will require more control on existing or new sources or put the state in jeopardy of sanctions required under the CAAA.
The proposed legislation also would allow for either contracting or licensing agreements. The department currently has an RFP that would require contracting. The department assumes the RFP meets the requirements of the proposed legislation and we would not be impacted by this provision. However, if the department had to rebid the RFP, implementation of the program would be delayed.
The enhanced I/M contract already includes clean screening and the department is committed to conducting it. The department would not request additional resources for these activities.
| FISCAL IMPACT - State Government | FY 2000 | FY 2001 | FY 2002 |
| (10 Mo.) | |||
| 0 | 0 | 0 | |
| FISCAL IMPACT - Local Government | FY 2000 | FY 2001 | FY 2002 |
| (10 Mo.) | |||
| 0 | 0 | 0 | |
| FISCAL IMPACT - Small Business | |||
| If this proposal would delay the implementation of the existing enhanced inspection maintenance program, emission reductions would be required for businesses. This would require the state to seek additional air pollutant reductions from businesses already regulated or the state may be required to regulate smaller businesses. | |||
DESCRIPTION
This act modifies the motor vehicle emission inspection program for the greater St. Louis metropolitan area. The inspections were mandated in SB 590, from 1994, but have not been implemented.
DESCRIPTION (continued)
The act requires the Department of Natural Resources and the Missouri Highway Patrol to enter into an interagency agreement covering all aspects of the administration and enforcement of any enhanced emissions inspection implemented under Chapter 643, RSMo.
The Department may license or contract to provide inspections stations and shall be exempted from state laws regarding site procurement. Service management, coordination and data processing may be provided by the Department or another person. Licenses shall be for up to seven years and shall be annually reviewed. A license may be suspended or revoked if the licensee is not meeting the requirements of the applicable law and rules.
The act removes authorization for the Department to purchase the inspection station facilities and lease the facilities to the licensees. When establishing the number and location of inspection stations, public convenience shall be given first priority and financial viability of stations shall be considered.
The act requires that at least three inspection stations shall be capable of testing vehicles which are four-wheel-drive only. The act provides that the pressure and purge tests shall be nonintrusive and prohibits a vehicle from failing the inspection based solely on the visual inspection.
The inspection program shall include a remote sensing testing and approval program, also known as Clean Screen, if allowed by USEPA and if such program causes no more than a five percent reduction in total emissions reductions credits for the inspection program.
Existing law allows an organization of motor vehicle dealers to establish one or more inspection stations for inspecting only vehicles owned by members of the organization. The act broadens this provision to allow any person or organization to establish stations for inspecting only vehicles owned by the person or members of the organization. The minimum size of fleet for which the fleet operator may establish an inspection station for such fleet is lowered from five hundred to one hundred vehicles.
A motor vehicle dealer may sell a vehicle with prior inspection and approval within 120 days preceding the date of sale. A dealer may also sell a vehicle without prior inspection and approval. The act allows such a vehicle, if returned by the buyer for failing the emissions inspection, to be inspected and approved without the option for a waiver and then be returned to the buyer. The requirement for a dealer to provide a full refund if the vehicle is not returned with inspection and approval in five days is removed by the act.
Inspectors must meet all training requirements established by the Department. Emission repair technicians must be certified by the Air Conservation Commission.
DESCRIPTION (continued)
Repair costs may be applied toward reaching the waiver amount only if the repairs are performed by a certified repair technician.
The twenty dollar emissions inspection fee reduction for persons required to wait more than one hour for an inspection is removed by the act, and the maximum fee reduction shall be ten dollars for any person required to wait more than thirty minutes for an inspection. The waiting time shall begin when the vehicle is on the premises of the inspection station and available for inspection.
The Highway Patrol may assign personnel who are not highway patrol officers, known as "brown shirts", to investigate and enforce all emissions inspection programs.
The unincorporated portion of Franklin Co. shall not be subject to open burning rules until the county reaches a population of 100,000.
Reformulated gas (RFG) shall not be required for a distributor who has a bulk plant in the non-attainment area and services agricultural business outside the non-attainment area.
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 Natural Resources
Department of Agriculture
Department of Public Safety - Missouri Highway Patrol
Department of Transportation
Department of Revenue
Jeanne Jarrett, CPA
Director
January 25, 1999