COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:5664H.02C Bill No.:HCS for HB Nos. 2734, 2197 & 2461 Subject:Education, Elementary and Secondary; Education, Higher; Department of
Elementary and Secondary Education; Department of Higher Education and
Workforce Development
Type:Original Date:April 14, 2022Bill Summary:This proposal establishes guidelines for student participation in athletic
contests organized by sex.
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2023FY 2024FY 2025General Revenue*$0 or Unknown$0 or Unknown$0 or UnknownTotal Estimated Net
Effect on General
Revenue$0 or Unknown$0 or Unknown$0 or Unknown
*The fiscal note reflects the potential withholding of funds from school districts and institutions
of higher education if the financial penalty provisions of the bill are enacted. For simplicity,
Oversight will reflect the potential withheld payments coming from (remaining in) General
Revenue.
ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTEDFY 2023FY 2024FY 2025University Funds*$0 or (Unknown)$0 or (Unknown)$0 or (Unknown)Total Estimated Net
Effect on Other State
Funds$0 or (Unknown)$0 or (Unknown)$0 or (Unknown)
Numbers within parentheses: () indicate costs or losses. L.R. No. 5664H.02C
Bill No. HCS for HB Nos. 2734, 2197 & 2461
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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
☒ 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. 5664H.02C
Bill No. HCS for HB Nos. 2734, 2197 & 2461
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FISCAL ANALYSIS
ASSUMPTION
Officials from the Attorney General’s Office, the Department of Elementary and Secondary
Education and Department of Higher Education and Workforce Development each assume
the proposal will have no fiscal impact on their respective organizations.
Officials from the University of Central Missouri
fiscal impact. Specifically, if presentation of gender conflicts with biological gender, UCM could
lose state funds for allowing participation.
Officials from the University of Missouri System state this legislation could have a negative
fiscal impact on the University of Missouri System in an amount greater than $100,000. NCAA
policies provide that rules governing participation in each sport should be determined by the
national governing body for that sport. As a result, implementing separate policies could have a
negative impact on the University's athletic programs and associated economic activity.
Oversight notes transgender student participation in interscholastic sports is regulated by school
districts and the Missouri State High School Activities Association (MSHSAA); while
intercollegiate sports is regulated by National Collegiate Athletic Association (NCAA). Per the
by-laws of the MSHSAA and the NCAA:
female) may compete on women’s teams after completing one calendar year of
testosterone suppression treatment.
transition (female to male) are no longer eligible to compete on women’s teams.
Oversight assumes this proposal prohibits public or private schools and public or private
institutions of postsecondary education from allowing biological males as assigned at birth to
play on sports teams designated for women. Entities that violate this proposal are not eligible for
moneys appropriated by the general assembly.
Oversight notes the foundation formula payments for school districts is estimated at
$3,561,737,794 for FY 2023 per the DESE Budget Request for FY 2023. L.R. No. 5664H.02C
Bill No. HCS for HB Nos. 2734, 2197 & 2461
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Oversight notes the following appropriations to postsecondary institutions:
InstitutionAppropriationCommunity Colleges $143,570,515State Technical College of Missouri$6,060,371UCM $55,538,357Southeast Missouri State University $46,079,469Missouri State University$94,351,060Lincoln University$17,779,873Truman State University$41,860,322Northwest Missouri State University$31,386,117Missouri Southern State University$24,231,242Missouri Western State University$22,521,755Harris-Stowe State University$10,661,260University of Missouri System$417,911,876
*Source: DHEWD website. Actual appropriations amounts may differ based on withholds.
Oversight assumes there could be a loss to public schools, colleges and universities that fail to
comply with the requirements in the proposal. The penalty would be any moneys appropriated by
the general assembly. Based on amounts appropriated, Oversight assumes the loss could exceed
$250,000.
Oversight received a limited number of responses from school districts, colleges and universities
related to the fiscal impact of this proposal. Oversight has presented this fiscal note on the best
current information available. Upon the receipt of additional responses, Oversight will review to
determine if an updated fiscal note should be prepared and seek the necessary approval to
publish a new fiscal note.
Oversight only reflects the responses received from state agencies and political subdivisions;
however, other school districts, 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 database is available upon request. L.R. No. 5664H.02C
Bill No. HCS for HB Nos. 2734, 2197 & 2461
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FISCAL IMPACT – State GovernmentFY 2023
(10 Mo.)
FY 2024FY 2025GENERAL REVENUESavings - from funding withheld from
school districts and charter schools for
violating section §167.780$0 or Unknown$0 or Unknown$0 or Unknown
Savings - from funding withheld from
colleges and universities for violating
section §167.780
$0 or Unknown$0 or Unknown$0 or Unknown
Savings - from funding withheld from
community colleges for violating
section §167.780
$0 or Unknown$0 or Unknown$0 or Unknown
ESTIMATED NET EFFECT ON
GENERAL REVENUE
$0 or
Unknown
$0 or
Unknown
$0 or
Unknown
UNIVERSITY FUNDSLoss - funding withheld for violating
section §167.780
$0 or
(Unknown)
$0 or
(Unknown)
$0 or
(Unknown)
ESTIMATED NET EFFECT ON
UNIVERSITY FUNDS
$0 or
(Unknown)
$0 or
(Unknown)
$0 or
(Unknown) L.R. No. 5664H.02C
Bill No. HCS for HB Nos. 2734, 2197 & 2461
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FISCAL IMPACT – Local GovernmentFY 2023
(10 Mo.)
FY 2024FY 2025LOCAL POLITICAL
SUBDIVISIONS
Loss - School Districts & Charter
Schools - funding withheld for violating
section §167.780
$0 or
(Unknown)
$0 or
(Unknown)
$0 or
(Unknown)
Loss - Community Colleges - funding
withheld for violating section §167.780
$0 or
(Unknown)
$0 or
(Unknown)
$0 or
(Unknown)
ESTIMATED NET EFFECT ON
LOCAL POLITICAL
SUBDIVISIONS
$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.
FISCAL DESCRIPTION
No athletic team or sport designated for females, women, or girls shall be open to students of the
male sex, as assigned at birth.
No governmental entity, licensing or accrediting organization, or athletic association or
organization shall take any adverse action, as described in the act, against a school for
maintaining separate interscholastic or intramural athletic teams or sports for students of the
female sex.
No public or private middle school or high school or a public or private institution of
postsecondary education that has biological males as assigned at birth playing women's sports
shall be eligible for money appropriated by the General Assembly.
This legislation is not federally mandated, would not duplicate any other program and would not
require additional capital improvements or rental space. L.R. No. 5664H.02C
Bill No. HCS for HB Nos. 2734, 2197 & 2461
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SOURCES OF INFORMATION
Attorney General’s Office
Department of Elementary and Secondary Education
Department of Higher Education and Workforce Development
University of Missouri System
University of Central Missouri
Julie MorffRoss StropeDirectorAssistant DirectorApril 14, 2022April 14, 2022