COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:4274H.02C Bill No.:HCS for HB 2211 Subject:Education, Elementary and Secondary; Department of Elementary and Secondary
Education
Type:Original Date:April 20, 2022Bill Summary:This proposal modifies provisions relating to students qualified to participate
in the Missouri Empowerment Scholarship Accounts Program.
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2023FY 2024FY 2025
General Revenue*
$0 or
Unknown
$0 or
Unknown
$0 or
Unknown
Total Estimated Net
Effect on General
Revenue
$0 or
Unknown
$0 or
Unknown
$0 or
Unknown
*Oversight notes Section 163.036 states school districts may use an estimate of the weighted
ADA for the current year, or the weighted ADA for the immediately preceding year, or the
weighted ADA attendance for the second preceding year, whichever is greater. This could result
in the savings/losses reported to occur in future years, rather than the years reported.
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. 4274H.02C
Bill No. HCS for HB 2211
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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 2025Total Estimated Net
Effect on FTE 000
☐ 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 to
(Unknown)
$0 or Unknown to
(Unknown)
$0 or Unknown to
(Unknown) L.R. No. 4274H.02C
Bill No. HCS for HB 2211
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April 20, 2022
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FISCAL ANALYSIS
ASSUMPTION
Officials from Office of Administration - Budget and Planning assume this legislation
changes the definition of qualified student to include any county with at least one hundred
thousand inhabitants. As this does not change the cap on the existing program, there is no impact
to total state revenues or to the calculation under Article X, Section 18(e).
Officials from the Office of the State Treasurer, Department of Elementary and Secondary
Education and the Department of Revenue each assume the proposal will have no fiscal impact
on their respective organizations. Oversight does not have any information to the contrary.
Therefore, Oversight will reflect a zero impact in the fiscal note for these agencies.
Oversight assumes this proposal may increase the number of students eligible for an
empowerment scholarship; however, this proposal does not increase the dollars available for said
scholarships. Oversight assumes there would be no additional cost to the state. If the same
amount of dollars are distributed to more students, more students would be able to transfer to
private schools reducing the average daily attendance (ADA) of school districts. Depending on
how the scholarships amounts are distributed per qualified student, Oversight assumes there
could be a reduction in ADA and a subsequent savings to the foundation formula.
Oversight will show a range of impact of $0 (scholarship amounts are fixed and no additional
students receive scholarships) to a savings to General Revenue and a loss to school districts (if
more students receive scholarships).
Oversight notes Section 163.036 states school districts may use an estimate of the weighted
ADA for the current year, or the weighted ADA for the immediately preceding year, or the
weighted ADA attendance for the second preceding year, whichever is greater. This could result
in the savings/losses reported to occur in future years, rather than the years reported. However,
since Oversight is unable to determine which year each school district will use in future years to
determine the amount of state aid each school district is entitled to (weighted ADA), Oversight
will, for purposes of this fiscal note, assume the savings/losses will occur immediately. L.R. No. 4274H.02C
Bill No. HCS for HB 2211
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FISCAL IMPACT – State GovernmentFY 2023
(10 Mo.)
FY 2024FY 2025GENERAL REVENUESavings – possible decrease in
foundation formula call due to
expansion of students eligible for
scholarships - §166.700
$0 or
Unknown
$0 or
Unknown
$0 or
Unknown
ESTIMATED NET EFFECT ON
GENERAL REVENUE
$0 or
Unknown
$0 or
Unknown
$0 or
Unknown
FISCAL IMPACT – Local GovernmentFY 2023
(10 Mo.)
FY 2024FY 2025SCHOOL DISTRICTSSavings – potential savings of variable
costs if additional students
receive/utilize scholarships - §166.700
$0 or
Unknown
$0 or
Unknown
$0 or
Unknown
Loss – possible decrease in foundation
formula funding due to expansion of
students eligible for scholarships -
§166.700
$0 or
(Unknown)
$0 or
(Unknown)
$0 or
(Unknown)
ESTIMATED NET EFFECT ON
SCHOOLS DISTRICTS
$0 or
Unknown to
(Unknown)
$0 or
Unknown to
(Unknown)
$0 or
Unknown to
(Unknown)
FISCAL IMPACT – Small Business
No direct fiscal impact to small businesses would be expected as a result of this proposal.
FISCAL DESCRIPTION
This bill modifies the definition of "qualified student" as used for Sections 166.700 to 166.720,
RSMo in relation to empowerment scholarship accounts to include an elementary or secondary
school student who is a resident of any county with at least 100,000 inhabitants.
This will include the counties of Boone, Cass, Clay, Franklin, Greene, Jackson, Jasper, Jefferson,
Platte, St. Charles, and St. Louis upon enactment.
The proposal also removes “home school” from the definition of “Qualified school”. L.R. No. 4274H.02C
Bill No. HCS for HB 2211
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April 20, 2022
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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
Office of Administration - Budget and Planning
Department of Elementary and Secondary Education
Department of Revenue
Office of the State Treasurer
Julie MorffRoss StropeDirectorAssistant DirectorApril 20, 2022April 20, 2022