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 0288 - Creates Missouri Settlement Trust Fund for deposit of tobacco settlement proceeds
COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. NO.: 1279-11
BILL NO.: HCS for SS#2 for SB 288 with HA 1 and HSA 2 for HA 2
SUBJECT: Appropriations: Tobacco Products
TYPE: Original
DATE: May 4, 1999
FISCAL SUMMARY
|
ESTIMATED NET EFFECT ON STATE FUNDS | |||
| FUND AFFECTED | FY 2000 | FY 2001 | FY 2002 |
| Missouri Tobacco Settlement Trust | $0 | $200,000,000 | $200,000,000 |
| General Revenue* | $0 | ($200,000,000) | ($200,000,000) |
| Total Estimated
Net Effect on All State Funds |
$0 | $0 | $0 |
*Foregone anticipated revenues (deposited in Missouri Tobacco Settlement Trust Fund instead of the General Revenue Fund)
|
ESTIMATED NET EFFECT ON FEDERAL FUNDS | |||
| FUND AFFECTED | FY 2000 | FY 2001 | FY 2002 |
| 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 3 pages.
FISCAL ANALYSIS
ASSUMPTION
Officials of the Department of Revenue, the Department of Social Services, the Department of Health, the Department of Mental Health, the Office of the Governor and the State Treasurer stated, in response to similar proposals, that their agencies would not be directly affected by the proposal or that their duties under this proposal could be accomplished with existing resources.
Oversight assumes that tobacco settlement funds would be deposited into the General Revenue Fund in the absence of this proposal. Settlement payments are expected, initially, to be about $200,000,000 per year. The first payment is expected in FY 2001. Oversight notes that the proposal specifies program areas for which the settlement would be spent but assumes that the proposal does not allow any expenditures from the Settlement Fund without specific appropriations by the General Assembly.
| FISCAL IMPACT - State Government | FY 2000 | FY 2001 | FY 2002 |
| (10 Mo.) | |||
| MISSOURI TOBACCO SETTLEMENT | |||
| TRUST FUND | |||
| Income - tobacco settlement funds | $0 | $200,000,000 | $200,000,000 |
| NET EFFECT ON MISSOURI TOBACCO | |||
| SETTLEMENT TRUST FUND | $0 | $200,000,000 | $200,000,000 |
| GENERAL REVENUE FUND | |||
| Foregone Revenues - tobacco settlement funds | $0 | ($200,000,000) | ($200,000,000) |
| NET EFFECT ON GENERAL | |||
| REVENUE FUND | $0 | ($200,000,000) | ($200,000,000) |
| FISCAL IMPACT - Local Government | FY 2000 | FY 2001 | FY 2002 |
| (10 Mo.) | |||
| $0 | $0 | $0 | |
| FISCAL IMPACT - Small Business | |||
| No direct fiscal impact to small businesses would be expected as a result of this proposal. | |||
DESCRIPTION
This proposal would create the "Missouri Tobacco Settlement Trust Fund". The State Treasurer would deposit all moneys received under terms of the master settlement agreement of November 23, 1998, by the state and leading United States tobacco product manufacturers to the credit of the Fund.
Moneys deposited into the Fund would be used for tobacco-related health care and anti-smoking education; however, no money would be spent without specific appropriations by the legislature.
This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space. The proposal would not affect Total State Revenues.
SOURCES OF INFORMATION
Department of Health
Department of Mental Health
Department of Revenue
Department of Social Services
Governor
State Treasurer
Jeanne Jarrett, CPA
Director
May 4, 1999