FISCAL NOTE

Senate Bill 107 as substituted, amended and reported by the Committee on County and Municipal Government (1) limits the police jurisdiction of certain municipalities; (2) allows municipalities to eliminate its police jurisdiction by ordinance; (3) limits the territorial jurisdiction of a municipal planning commission; (4) revises the regulation of building construction within the police jurisdiction of municipalities; (5) prohibits the levy of business license tax or other municipal fees in the police jurisdiction of municipalities that did not have such an ordinance on January 1, 2021; and (6) allows the Legislative Council to direct the Examiners of Public Accounts to audit a municipality collecting taxes and fees in its police jurisdiction to ensure such funds were expended in the police jurisdiction.

These provisions could: (1) increase the obligations of counties to regulate the construction of subdivisions where municipalities previously provided the service by an undetermined amount, while correspondingly decreasing the obligations of the municipality; (2) increase the obligations of certain municipalities by an undetermined amount to report certain information to the Department of Examiners of Public Accounts; and (3) decrease revenues of any non-compliant municipality that fails to remedy the noncompliance within 12 months, by an undetermined amount, dependent upon the amount of licenses and taxes that otherwise would have been collected in their police jurisdictions.