COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:3668H.01I Bill No.:HB 1669 Subject:Education, Higher; Education, Elementary and Secondary Type:Original Date:January 18, 2022Bill Summary:This proposal prohibits discrimination in education.
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2023FY 2024FY 2025
General Revenue*
$0 or (Unknown) to
Unknown
$0 or (Unknown) to
Unknown
$0 or (Unknown) to
Unknown
Total Estimated Net
Effect on General
Revenue
$0 or (Unknown) to
Unknown
$0 or (Unknown) to
Unknown
$0 or (Unknown) to
Unknown
*Oversight assumes the funding withheld from school districts could exceed $250,000
depending on the number of districts that are not in compliance. Oversight does not anticipate
the costs as presented by DESE will exceed $250,000.
ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTEDFY 2023FY 2024FY 2025Total Estimated Net
Effect on Other State
Funds $0$0$0
Numbers within parentheses: () indicate costs or losses. L.R. No. 3668H.01I
Bill No. HB 1669
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ESTIMATED NET EFFECT ON FEDERAL FUNDSFUND AFFECTEDFY 2023FY 2024FY 2025Total Estimated Net
Effect on All Federal
Funds $0$0$0
ESTIMATED NET EFFECT ON FULL TIME EQUIVALENT (FTE)FUND AFFECTEDFY 2023FY 2024FY 2025General Revenue0 or 1 FTE0 or 1 FTE0 or 1 FTETotal Estimated Net
Effect on FTE0 or 1 FTE0 or 1 FTE0 or 1 FTE
☐ Estimated Net Effect (expenditures or reduced revenues) expected to exceed $250,000 in any
of the three fiscal years after implementation of the act or at full implementation of the act.
☒ Estimated Net Effect (savings or increased revenues) expected to exceed $250,000 in any of
the three fiscal years after implementation of the act or at full implementation of the act.
ESTIMATED NET EFFECT ON LOCAL FUNDSFUND AFFECTEDFY 2023FY 2024FY 2025Local Government$0 or (Unknown)$0 or (Unknown)$0 or (Unknown) L.R. No. 3668H.01I
Bill No. HB 1669
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FISCAL ANALYSIS
ASSUMPTION
Officials from Department of Elementary and Secondary Education (DESE) state by
“withholding 10% of the monthly state formula funding distribution until in compliance”, this
could have a significant expenditure impact, as well as require one possible FTE position.
Currently, this can be figured manually in PM, but if this went over a fiscal year or was for a
large quantity of LEA’s DESE would need to have something programed on the school finance
side. The actual expenditure impact is unable to be figured based on the information provided.
At the time this fiscal note was prepared, DESE did not provide the anticipated FTE salary,
fringe benefit, expense or equipment amounts. Oversight will show a range of impact of $0
(FTE not needed) to an unknown cost for an additional FTE.
Oversight will also show potential programming costs ranged from $0 (can be done manually)
to an unknown cost for programming changes.
Oversight assumes the funding withheld from school districts could exceed $250,000 depending
on the number of districts that are not in compliance. Oversight does not anticipate the costs as
presented by DESE will exceed $250,000.
Upon further inquiry, DESE stated the State Board is to institute disciplinary proceedings for
any certificate holder violating this section. Such disciplinary actions could require hearings.
Based on this proposed language, the Office of Governmental Affairs estimates costs of less than
$100,000.
Officials from the Kansas City Public Schools assumes there could be a penalty for a single
violation, but otherwise does not anticipate any costs.
Oversight assumes, if a school district fails to comply with this proposal, DESE is to withhold a
maximum of ten percent of the monthly distribution of state formula funding to the education
entity. Oversight is uncertain if any public schools are utilizing the concepts prohibited by the
proposal.
Oversight has presented this fiscal note on the best current information available. If school
districts respond with additional information, Oversight will review to determine if an updated
fiscal note should be prepared and seek approval to publish a new fiscal note.
Oversight only reflects the responses received from state agencies and political subdivisions;
however, over 200 school districts were requested to respond to this proposed legislation but did
not. A general listing of political subdivisions opting to participate in the Missouri Legislative
Information System (MOLIS) is available upon request. L.R. No. 3668H.01I
Bill No. HB 1669
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Rule Promulgation
Officials from the Joint Committee on Administrative Rules assume this proposal is not
anticipated to cause a fiscal impact beyond its current appropriation.
Officials from the Office of the Secretary of State (SOS) note many bills considered by the
General Assembly include provisions allowing or requiring agencies to submit rules and
regulations to implement the act. The SOS is provided with core funding to handle a certain
amount of normal activity resulting from each year's legislative session. The fiscal impact for
this fiscal note to the SOS for Administrative Rules is less than $5,000. The SOS recognizes that
this is a small amount and does not expect that additional funding would be required to meet
these costs. However, the SOS also recognizes that many such bills may be passed by the
General Assembly in a given year and that collectively the costs may be in excess of what the
office can sustain with its core budget. Therefore, the SOS reserves the right to request funding
for the cost of supporting administrative rules requirements should the need arise based on a
review of the finally approved bills signed by the governor. L.R. No. 3668H.01I
Bill No. HB 1669
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FISCAL IMPACT – State GovernmentFY 2023FY 2024FY 2025GENERAL REVENUERevenue Gain - from funding withheld
from school districts and charter
schools for violating section -
§170.348.5
$0 or
Unknown
$0 or
Unknown
$0 or
Unknown
Costs - DESE - FTE salary, fringe
benefits, expense & equipment -
§170.348
$0 or
(Unknown)
$0 or
(Unknown)
$0 or
(Unknown)
FTE Change – DESE0 or 1 FTE0 or 1 FTE0 or 1 FTECosts - DESE - school finance
programming - §170.348
$0 or
(Unknown)
$0 or
(Unknown)
$0 or
(Unknown)
Costs - DESE - disciplinary
proceedings - §170.348.4
(Less than
$100,000)
(Less than
$100,000)
(Less than
$100,000)
ESTIMATED NET EFFECT ON
GENERAL REVENUE
$0 or
(Unknown) to
Unknown
$0 or
(Unknown) to
Unknown
$0 or
(Unknown) to
Unknown
Estimated Net FTE Change on General
Revenue0 or 1 FTE0 or 1 FTE0 or 1 FTE
FISCAL IMPACT – Local GovernmentFY 2023FY 2024FY 2025SCHOOL DISTRICTS &
CHARTER SCHOOLS
Loss – potential for funding withheld
for violating section - §170.348.5
$0 or
(Unknown)
$0 or
(Unknown)
$0 or
(Unknown)
SCHOOL DISTRICTS &
CHARTER SCHOOLS
$0 or
(Unknown)
$0 or
(Unknown)
$0 or
(Unknown)
FISCAL IMPACT – Small Business
No direct fiscal impact to small businesses would be expected as a result of this proposal. L.R. No. 3668H.01I
Bill No. HB 1669
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FISCAL DESCRIPTION
This bill prohibits public schools from requiring students to engage in any form of mandatory
gender or sexual diversity training or counseling.
The bill also prohibits public school employees from requiring or making as a part of a course
specified concepts including but not limited to: one race or sex is inherently superior to another
race or sex; an individual's moral character is necessarily determined by the individual's race or
sex; and an individual should feel discomfort, guilt, anguish, or any other form of psychological
distress on account of the individual's race or sex.
The bill directs the State Board of Education (SBE) to begin discipline proceedings against any
individual holding a certificate of license to teach for a violation. For any local education agency
or online program in violation the SBE shall withhold a maximum of 10% from the monthly
distribution of state formula funding.
This bill contains an emergency clause.
This legislation is not federally mandated, would not duplicate any other program and would not
require additional capital improvements or rental space.
SOURCES OF INFORMATION
Department of Elementary and Secondary Education
Office of the Secretary of State
Joint Committee on Administrative Rules
Julie MorffRoss StropeDirectorAssistant DirectorJanuary 18, 2022January 18, 2022