Colorado Legislative Council Staff

STATE

REVISED FISCAL NOTE

(Replaces Fiscal Note dated April 2, 1998)

No State General Fund Impact

Cash Fund Revenue and Expenditure Impact


Drafting Number:

Prime Sponsor(s):

LLS 98-797

Sen. Norton

Rep. Anderson

Date:

Bill Status:

Fiscal Analyst:

April 18, 1998

House Transportation

Scott Nachtrieb (866-4752)

 

TITLE:            CONCERNING THE CONTINUED OPERATION OF THE AIR PROGRAM, AND, IN CONNECTION THEREWITH, IMPLEMENTING A CLEAN SCREEN REMOTE SENSING SYSTEM IN THE BASIC EMISSIONS PROGRAM AND A DENVER REMOTE SENSING PILOT STUDY, EXTENDING THE AUTHORITY FOR THE OPERATION OF THE AIR PROGRAM, AND MAKING AN APPROPRIATION.



Summary of Legislation


STATE FISCAL IMPACT SUMMARY

FY 1998/99

FY 1999/2000

State Revenues

General Fund

AIR Account (Emission Stickers)



($2,725)



($5,450)

State Expenditures

General Fund

AIR Account

AIR Account (Emission Stickers)



$90,000

(2,725)



$90,000

(5,450)

FTE Position Change

None

None

Local Government Impact — None



            The reengrossed bill would continue the AIR program until January 1, 2020, with performance audits required in 3-year intervals. Any contract for inspection services in the program area would be limited to five years. The bill would create a clean screen remote sensing program as part of the AIR program in the Weld County portion of the basic emissions program. The remote system may be expanded to El Paso and Larimer counties, if the lead air quality planning agencies in each county requests the program be implemented in their county. Any motor vehicle passing the clean screen program would be deemed to have complied with the basic AIR program auto emissions inspection requirement for the next inspection cycle. A Denver remote sensing pilot study would be authorized in the enhanced emissions program and a report on the results of the study would be submitted to the General Assembly by December 31, 1999. The Department of Public Health and Environment may purchase equipment or contract for the operation of the Weld County clean screen program and the Denver remote sensing pilot study, or both. The Department of Revenue would have to integrate data from the clean screen program into motor vehicle registration activities.


            A lead air quality planning agency may demonstrate to the Air Quality Control Commission that a portion of the AIR program area meets ambient air quality standards and transportation conformity requirements. The Commission may remove that portion of the program area from the AIR program. The provision that eliminated the requirement that vehicles in the AIR program be inspected upon transfer was removed. The reengrossed bill also appropriates $90,000 from the AIR account in the Highway Users Tax Fund for contracting the Denver Remote Sensing Pilot Program. The bill would become effective upon the Governor’s signature.



State Revenues


            The bill would eliminate certain vehicles from obtaining emissions stickers that are posted on a vehicle’s windshield after passing an emissions test. The remote sensing program would reduce revenues by approximately $5,450 from reduced sticker purchases. It is assumed that one-third of the vehicles in the Weld County emissions program area will pass the remote sensing program and not be required to obtain an emissions sticker. This would reduce 20,000 vehicles from purchasing the $0.25 sticker. The amount of estimated revenue lost to the AIR Account would be $5,000 (20,000 X $0.25). In addition, the number of persons licensed to provide emissions tests in the area would be reduced by approximately one-third. This would reduce license fees by approximately $450 to the AIR Account. These provisions would not become effective until January 1, 1999. The fiscal impact in FY 1998-99 is a half year impact estimated to be $2,725 and in FY 1999-00 the fiscal impact would be approximately $5,450.



State Expenditures


            The Department of Revenue (DOR) would have a reduced expenditure level from the reduced number of emissions sticker purchases. The DOR would no longer purchase the stickers and supply them to the emissions testers. This would reduce expenditures to the DOR from the AIR Account by approximately $2,725 in FY 1998-99 and $5,450 in FY 1999-00.


              The Department of Public Health and Environment may purchase equipment to operate in the remote sensing program. This fiscal note assumes that the department would not purchase such equipment. Should they decide to purchase this equipment, they would need to seek a budget request for the purchase. The department would require $90,000 in AIR Account funds to contract for a Denver Remote Sensing Study.


Spending Authority


            The bill contains an appropriations clause $90,000 in AIR Account spending authority for the Department of Public Health and Environment and a reduced spending authority for the Department of Revenue of $2,725 in FY 1998-99.


Departments Contacted


State Auditor  Law    Public Health and Environment         Revenue