COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:4671H.01I Bill No.:HB 2543 Subject:Education, Higher; Department of Higher Education and Workforce Development;
Veterans
Type:Original Date:February 4, 2022Bill Summary:This proposal changes provisions governing tuition rates for military service
members, discharged members, and dependents.
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2023FY 2024FY 2025Total Estimated Net
Effect on General
Revenue $0$0$0
ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTEDFY 2023FY 2024FY 2025College &
University*
(Unknown) to
Unknown
(Unknown) to
Unknown
(Unknown) to
Unknown
Total Estimated Net
Effect on Other State
Funds
(Unknown) to
Unknown
(Unknown) to
Unknown
(Unknown) to
Unknown
*This proposal allows for active service members, their spouses and dependents, as well as
members of any state’s National Guard, to be considered Missouri residents and qualify for in-
state tuition rates. It is unknown how many individuals may take advantage of these provisions
or the potential income from tuition that may come to Missouri colleges and universities. The
negative “(Unknown)” represents the loss of higher out-of-state tuition for these students who
are now considered in-state. The positive “Unknown” represents the changes in the proposal
possibly attracting more students to enroll in Missouri higher education institutions. Oversight
assumes the net fiscal impact could reach the $250,000 threshold.
Numbers within parentheses: () indicate costs or losses. L.R. No. 4671H.01I
Bill No. HB 2543
Page 2 of
February 4, 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$0$0 L.R. No. 4671H.01I
Bill No. HB 2543
Page 3 of
February 4, 2022
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FISCAL ANALYSIS
ASSUMPTION
§§41.890, 173.1150, and 173.1153 – Tuition rates for military services members, discharged
members, and dependents
Officials from the University of Missouri state the proposed legislation could have a financial
impact on the University of Missouri. The impact amount cannot be determined.
Officials from the University of Central Missouri
costs due to uncertainty of application.
Oversight assumes this proposal may have an impact on College & University Funds. The
provisions (in-state tuition) may reduce the amount of tuition received by colleges and
universities. However, it may entice military service members, discharged members, or their
dependents, and National Guard members from other states, to choose to attend Missouri
colleges for the in-state tuition rates.
Officials from the Department of Higher Education and Workforce Development, the
Department of Public Safety, Missouri National Guard and St. Charles Community College
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 only reflects the responses received from state agencies and political subdivisions;
however, other colleges and universities were requested to respond to this proposed legislation
but did not. A general listing of political subdivisions included in Oversight’s database is
available upon request. L.R. No. 4671H.01I
Bill No. HB 2543
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February 4, 2022
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FISCAL IMPACT – State
Government
FY 2023
(10 Mo.)
FY 2024FY 2025COLLEGE & UNIVERSITY
FUNDS
Income change – Colleges &
Universities – decrease in tuition
charged to military persons, with an
potential increase in tuition funds
received from induced additional
enrollment
(Unknown) to
Unknown
(Unknown) to
Unknown
(Unknown) to
Unknown
ESTIMATED NET EFFECT ON
COLLEGE & UNIVERSITY
FUNDS
(Unknown) to
Unknown
(Unknown) to
Unknown
(Unknown) to
Unknown
FISCAL IMPACT – Local GovernmentFY 2023
(10 Mo.)
FY 2024FY 2025$0$0$0
FISCAL IMPACT – Small Business
No direct fiscal impact to small businesses would be expected as a result of this proposal.
FISCAL DESCRIPTION
This proposal provides that active military personnel, including spouses and children, stationed
in Missouri under military orders who are accepted for admission into any Missouri college shall
be regarded as holding Missouri resident status for in-state tuition purposes. Any individual, or
eligible dependent of an individual, who is honorably discharged or separated from active
military service or who is in the process of separating from active military service shall have
student resident status for purposes of admission and in-state tuition at any Missouri institution
of higher education. L.R. No. 4671H.01I
Bill No. HB 2543
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February 4, 2022
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Any person who is serving in the National Guard of any state shall be considered a resident of
the state of Missouri for purposes of eligibility for in-state tuition at any approved public
institution in Missouri.
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 Higher Education and Workforce Development
Department of Public Safety –
Missouri National Guard
University of Missouri
University of Central Missouri
St. Charles Community College
Julie MorffRoss StropeDirectorAssistant DirectorFebruary 4, 2022February 4, 2022