COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:4913H.02C Bill No.:HCS for HB 2445 Subject:Education, Elementary and Secondary; Department of Elementary and Secondary
Education
Type:Original Date:April 1, 2022Bill Summary:This proposal authorizes certain school districts in multiple counties to use
the county that yields the highest dollar value modifier under the school
foundation formula.
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2023FY 2024FY 2025
General Revenue$0 to ($2,165,902)$0 to ($2,165,902)$0 to ($2,165,902)
Total Estimated Net
Effect on General
Revenue
$0 to ($2,165,902)$0 to ($2,165,902)$0 to ($2,165,902)
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. 4913H.02C
Bill No. HCS for HB 2445
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April 1, 2022
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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 to $2,165,902$0 to $2,165,902$0 to $2,165,902 L.R. No. 4913H.02C
Bill No. HCS for HB 2445
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April 1, 2022
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FISCAL ANALYSIS
ASSUMPTION
Section 163.016 - Dollar Value Modifier
Officials from Department of Elementary and Secondary Education (DESE) state to
calculate the impact, the March 2022 formula calculation for Gasconade County R-II (037-037)
was calculated using the county they are located in that has the highest Dollar Value Modifier
(DVM) which is Franklin County at 1.093. If the formula is fully funded then it would be an
additional cost to the state of $1,076,986.67 per year. If the formula is not fully funded then the
additional money is going to be shifted from all other school districts.
To calculate the impact, the March 2022 formula calculation for Maries County R-II (063-067)
was calculated using the county they are located in that has the highest Dollar Value Modifier
(DVM) which is Osage County at 1.0310. If the formula is fully funded then it would be an
additional cost to the state of $150,436.88 per year. If the formula is not fully funded then the
additional money is going to be shifted from all other school districts.
To calculate the impact, the March 2022 formula calculation for Bismark R-V (094-076) was
calculated using the county they are located in that has the highest Dollar Value Modifier (DVM)
which is Washington County at 1.092. If the formula is fully funded then it would be an
additional cost to the state of $313,513.11 per year. If the formula is not fully funded then the
additional money is going to be shifted from all other school districts.
To calculate the impact, the March 2022 formula calculation for West St. Francois County (094-
087) was calculated using the county they are located in that has the highest Dollar Value
Modifier (DVM) which is Washington County at 1.092. If the formula is fully funded then it
would be an additional cost to the state of $624,964.84 per year. If the formula is not fully
funded then the additional money is going to be shifted from all other school districts.
In response to a similar proposal, Perfected HB 2493 (2022), officials from the Gasconade
County R-II School District stated the dollar value modifier will have no impact on other
districts as the DVM is based on the funding formula for education. However, allowing
Gasconade County R-II to claim the Higher Dollar Value Modifier would result in a Dollar
Value Modifier of 1.093 which adds $1,066,637.00 annually to our budget and allows us to
compete with our Franklin County Districts. This is important as they operate a building which is
located in Franklin County and all of our students who attend the Gerald Elementary School
located in Franklin County must attend middle and high school in Gasconade County. L.R. No. 4913H.02C
Bill No. HCS for HB 2445
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April 1, 2022
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Oversight will show a range of impact of $0 (not appropriated) to a total cost to General
Revenue of $2,165,902 ($1,076,987 + $150,437 + $313,513 + $624,965) as estimated by the
Department of Elementary and Secondary Education.
Oversight will show a range of impact as estimated by the Department of Elementary and
Secondary Education.
FISCAL IMPACT – State GovernmentFY 2023
(10 Mo.)
FY 2024FY 2025GENERAL REVENUETransfer Out - Increased formula funding
to Gasconade County R-II, Maries County
R-II, Bismarck R-V and the West St.
Francois County R-IV school districts -
§163.016
$0 to
($2,165,902)
$0 to
($2,165,902)
$0 to
($2,165,902)
ESTIMATED NET EFFECT ON
GENERAL REVENUE
$0 to
($2,165,902)
$0 to
($2,165,902)
$0 to
($2,165,902)
FISCAL IMPACT – Local GovernmentFY 2023
(10 Mo.)
FY 2024FY 2025SCHOOL DISTRICTSTransfer In - Increased formula funding to
Gasconade County R-II, Maries County
R-II, Bismarck R-V and the West St.
Francois County R-IV school district from
other school districts or GR - §163.016
$0 to
$2,165,902
$0 to
$2,165,902
$0 to
$2,165,902
ESTIMATED NET EFFECT ON
SCHOOL DISTRICTS
$0 to
$2,165,902
$0 to
$2,165,902
$0 to
$2,165,902
FISCAL IMPACT – Small Business
No direct fiscal impact to small businesses would be expected as a result of this proposal. L.R. No. 4913H.02C
Bill No. HCS for HB 2445
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April 1, 2022
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FISCAL DESCRIPTION
This bill specifies that the Gasconade County R-II, Maries County R-II, and the West St. Francis
County R-IV school districts which crosses county lines shall use the dollar value modifier for
the formula calculations for school funding from the county with the highest value.
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
Gasconade County R-II School District
Julie MorffRoss StropeDirectorAssistant DirectorApril 1, 2022April 1, 2022