Fiscal Note & Local Impact Statement
127 th General Assembly of Ohio
BILL: |
DATE: |
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STATUS: |
SPONSOR: |
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LOCAL IMPACT
STATEMENT REQUIRED: |
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STATE FUND |
FY 2008 |
FY 2009 |
FUTURE YEARS |
Highway
Operating Fund (Fund 002) – Department of Transportation |
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Revenues |
- 0 - |
- 0 - |
- 0 - |
Expenditures |
(1) Minimal decrease in
administrative costs to alter township speed limits; (2) costs to
install new speed limit signs |
(1) Minimal decrease in
administrative costs to alter township speed limits; (2) costs to
install new speed limit signs |
(1) Minimal decrease in
administrative costs to alter township speed limits; (2) costs to
install new |
·
Reduced requests to alter speed limit. Under the bill, the Department of Transportation will no longer
receive requests from a township to declare a reasonable and safe prima-facie
speed limit for any highway running through the township's jurisdiction. Any fiscal impact, such as a reduction in
staff time and resources associated with these responsibilities, is expected to
be minimal.
·
Signage costs. The
Department of Transportation may experience an increase in expenditures of $500
more or less to install a new set of speed limit signs in each established
speed transition zone. Currently, the
number of new signs that may be posted is unknown. If several transition zones are established signage costs could
be in the thousands of dollars.
LOCAL
GOVERNMENT |
FY 2007 |
FY 2008 |
FUTURE YEARS |
|
Counties |
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Revenues |
- 0 - |
- 0 - |
- 0 - |
|
Expenditures |
Increase of $1,000 for a
basic traffic count, or $5,000 - $10,000 for a traffic and engineering study |
Increase of $1,000 for a
basic traffic count, or $5,000 - $10,000 for a traffic and engineering study |
Increase of $1,000 for a
basic traffic count, or $5,000 - $10,000 for a traffic and engineering study |
|
Townships |
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Revenues |
- 0 - |
- 0 - |
- 0 - |
|
Expenditures |
Increase of about $500 to
install or modify signs; potential cost to pay for traffic studies |
Increase of about $500 to install or modify signs; potential cost to pay for traffic studies |
Increase of about $500 to
install or modify signs; potential cost to pay for |
|
Note: For most local governments, the fiscal year is the calendar year. The school district fiscal year is July 1 through June 30.
·
Engineering and traffic investigations. County engineers that receive a request from a board of trustees
to conduct an engineering and traffic investigation may incur minimal costs
less than $1,000 for a traffic count, or between $5,000 to $10,000 for a more
sophisticated traffic and engineering study.
In some cases, townships may reimburse the county engineer for these
costs.
·
Signage costs. Townships
may experience costs to manufacture and install new speed limit signs or to
modify existing ones. Such costs are
estimated to be $500 more or less per sign.
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The bill
The bill permits a board of
township trustees to alter the prima-facie speed limit on any township
highway under its jurisdiction without any action by the Director of
Transportation. Consult the section "Speed
limits on township highways" in the LSC bill analysis for
detail on which highways townships currently can alter the speed limit. The bill also requires the county engineer
to conduct an engineering and traffic investigation when a township seeks to
alter the speed limit on these highways.
Upon concluding the investigation, the county engineer may make a
written recommendation of a reasonable and safe speed limit. Further, the bill requires the Ohio Department of Transportation
(ODOT) to
establish speed transition zones on state highways at locations where the
posted speed limit decreases by 20 or more miles per hour.
State fiscal impact
Administrative savings. Under the bill, ODOT will no longer receive requests from a
township to declare a reasonable and safe prima-facie speed limit for any
highway running through the township's jurisdiction. This change may reduce some of the Department's administrative
costs associated with this responsibility.
Speed
transition zones. In areas
along state highways where ODOT is required to establish speed transition
zones, ODOT is likely to incur signage costs of $500 more or less to install a set of new
speed limits. Currently, it is unknown
how many transition zones will be established.
If several are established ODOT is likely to incur signage costs of
several thousand dollars.
Local fiscal impact
Signage costs. Since the bill allows a board of township trustees, instead of
the Department of Transportation, to alter the prima-facie speed limit, townships
may incur permissive costs to manufacture or modify speed limit signs. The costs to manufacture and install a speed
limit sign or modify an existing sign is estimated to cost $500, more or less. Currently, it is unknown what the total
signage costs may be for townships choosing to alter speed limits in their
jurisdictions.
Traffic and engineering
costs. The bill requires county
engineers to conduct an engineering and traffic investigation when a township seeks to alter
the speed limit on these highways. The County Engineer's
Association of Ohio estimates a traffic and engineering investigation may be as
simple as a traffic count, which is estimated to cost less than $1,000, or
between $5,000 to $10,000 for a more detailed traffic and engineering
study. The estimate of $5,000 is for a
rural township study and the estimate of $10,000 is for an urban township
study. However, the Ohio Township
Association states that some townships may pay the cost of these studies or
request the counties themselves to pay for them, depending on the township's
financial situation.
Indirect fiscal effects
Enforcement/fine revenue. It is reasonably foreseeable that if townships choose to alter
speed limits in their jurisdictions, there is the possibility that additional
costs may be incurred to enforce the new speed limits, as well as the
possibility of capturing additional revenue from speeding tickets. Any additional costs are likely to be offset
from additional ticket revenue. In some
cases, the township may contract with the county sheriff's office for these
services in which the county would likely keep the ticket revenue. The actual amount of ticket revenue a
township or county may receive will depend on the level of enforcement and
driver awareness of the speed limit change.
Court costs. Also, as a consequence of
raising or lowering the speed limits and the issuance of speeding tickets,
local county courts may experience an increase in cases related to contested
speeding violations. Some, if not all,
of the courts' administrative costs are likely to be offset by court fees.
LSC fiscal staff: Jonathan Lee, Senior Budget Analyst
HB0102IN.doc/lb