COMMONWEALTH OF KENTUCKY
STATE FISCAL NOTE STATEMENT
GENERAL ASSEMBLY LEGISLATIVE RESEARCH COMMISSION
2009 REGULAR SESSION 2008-2010 INTERIM
(x) 2009 BR No. 1694 (x) House Bill No. 493
( ) Resolution No. ( ) Amendment No.
SUBJECT/TITLE AN ACT relating to state traffic school and making an appropriation therefor.
SPONSOR Sannie Overly
Fiscal Analysis: X Impact No Impact Indeterminable Impact
Level(s) of Impact: X State Local Federal
Budget Unit(s) Impact
Fund(s) Impact: General X Road Federal
Restricted Agency (Type) (Other)
Fiscal Estimates 2008-2009 2009-2010 2010-2011 Rate of Change
Revenues (+/-) +2,800,000 +2,800,000
Net Effect +$2,800,000 +$2,800,000
The proposed legislation increases the fee that must be paid by persons attending traffic school from $15 to $50,
with the extra revenues being appropriated to the Department of Public Advocacy.
The proposed legislation amends KRS 186.574 to increase the fees imposed against persons attending the state
traffic school from $15 to $50, with the additional revenues being appropriated to the Department of Public
In FY 2007, the $15 fee imposed against individuals attending traffic school generated approximately $1.2 million.
Based on this information, the increase in the fee from $15 to $50 should generate an additional $2.8 million,
assuming roughly the same number of people choose to attend traffic school. It is possible that the increase in the fee
may result in fewer people choosing to attend traffic school, however information is not available to determine
whether there will be a reduction in attendees, and if so, the magnitude of the reduction.
The proposed legislation provides that the additional revenues generated shall be allocated to the Department of
Public Advocacy. It should be noted that these funds are road fund revenues, and pursuant to Section 230 of the
Constitution of Kentucky, “…no moneys derived from fees, excise or licenses taxation relating to registration,
operation, or use of vehicles on public highways shall be expended for other than the cost of administration, for
construction, reconstruction, rights-of-way, maintenance, and repair of public highways and bridges, and the
expense of enforcing state traffic and motor vehicle laws.” Thus, it is possible that the proposed use of the state
traffic school fees could be subject to challenge on constitutional grounds.
DATA SOURCE(S) LRC Budget Review Staff
NOTE NO. 97 PREPARER Pam Thomas REVIEW LBH DATE 3/3/09