COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:4671H.03C Bill No.:HCS for HB 2543 Subject:Education, Higher; Higher Education and Workforce Development; Veterans Type:Original Date:February 22, 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 additional active service members, their spouses and dependents to
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.03C
Bill No. HCS for HB 2543
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February 22, 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.03C
Bill No. HCS for HB 2543
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February 22, 2022
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FISCAL ANALYSIS
ASSUMPTION
§173.1150 – 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.
Oversight assumes this proposal may have an impact on Colleges & Universities. The
provisions (in-state tuition) may reduce the amount of tuition received by colleges and
universities. However, it also may entice additional military service members, discharged
members, or their dependents 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 the University of Central
Missouri 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 listing of political subdivisions included in the Missouri Legislative Information
System (MOLIS) database is available upon request.
FISCAL IMPACT – State
Government
FY 2023
(10 Mo.)
FY 2024FY 2025COLLEGES & UNIVERSITIESIncome 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
COLLEGES & UNIVERSITIES
(Unknown) to
Unknown
(Unknown) to
Unknown
(Unknown) to
Unknown L.R. No. 4671H.03C
Bill No. HCS for HB 2543
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February 22, 2022
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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 any individual in active military service or who was honorably
discharged or separated from active military service or who is in the process of separating from
active military service and who is accepted for admission by any degree program, training
program, or course of instruction, whether undergraduate or graduate, at any approved two-year
or four-year public institution shall not be charged a rate of tuition that exceed the in-state tuition
rate. These provisions include a dependent of said individual. If the dependent is not domiciled
in Missouri, the in-state tuition rate shall terminate upon the dependent’s completion of the
degree program, training program, or course of instruction.
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
Julie MorffRoss StropeDirectorAssistant DirectorFebruary 22, 2022February 22, 2022