COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:1031H.01I Bill No.:HB 403 Subject:Agriculture; Veterinarians; Department of Higher Education and Workforce
Development; Education, Higher
Type:Original Date:February 24, 2023Bill Summary:This proposal modifies the Large Animal Veterinary Student Loan Program.
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2024FY 2025FY 2026Total Estimated Net
Effect on General
Revenue $0$0$0
ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTEDFY 2024FY 2025FY 2026Lottery Proceeds
Fund (0291)
Up to
($240,000)
Up to
($240,000)
Up to
($240,000)
Veterinary Student
Loan Payment Fund
(0803)*
$0$0$0
Total Estimated Net
Effect on Other State
Funds
Up to
($240,000)
Up to
($240,000)
Up to
($240,000)
*Transfer In (from Lottery Proceeds Fund) and additional expenditures net to zero. L.R. No. 1031H.01I
Bill No. HB 403
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February 24, 2023
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ESTIMATED NET EFFECT ON FEDERAL FUNDSFUND AFFECTEDFY 2024FY 2025FY 2026Total Estimated Net
Effect on All Federal
Funds $0$0$0
ESTIMATED NET EFFECT ON FULL TIME EQUIVALENT (FTE)FUND AFFECTEDFY 2024FY 2025FY 2026Total 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 2024FY 2025FY 2026Local Government$0$0$0 L.R. No. 1031H.01I
Bill No. HB 403
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February 24, 2023
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FISCAL ANALYSIS
ASSUMPTION
Officials from the Missouri Department of Agriculture (MDA)
no fiscal impact on their organization. MDA notes six students have been awarded $20,000 each
(per academic year) for the past three years.
Oversight notes this proposal increases the number of students awarded from six to 12 per
academic year. In addition, the proposal increases the amount of award from $20,000 per
academic year to $30,000 per academic year, not to exceed $120,000 total (per student).
Oversight assumes MDA may award the maximum number of students allowed; therefore,
Oversight will reflect an increased cost to MDA of $240,000 ((6 new x $30,000) + (6 existing x
($30,000 - $20,000)) per year.
Oversight notes this proposal allows MDA to award more than 12 applicants if additional
moneys from private grants, gifts, donations, devises, or bequests of moneys, funds, real or
personal property, or other assets are deposited in the Veterinary Student Loan Payment Fund;
therefore, Oversight will reflect the increase as “Could exceed $240,000”.
Oversight notes there was a $5 balance in the Veterinary Student Loan Payment Fund (0803) as
of January 31, 2023.
Oversight notes actual expenditures for this program over the past three years have been:
Expenditures Applicants Recipients
FY 2021 $116,400 13 6
FY 2020 $116,348 11 6
FY 2019 $116,318 12 6
Oversight notes this program has a transfer from the Lottery Proceeds Fund to fund the program.
With the small balance of the Veterinary Student Loan Payment Fund, Oversight will assume the
additional proceeds needed for a program expansion will be transferred in from the Lottery
Proceeds Fund (0291). L.R. No. 1031H.01I
Bill No. HB 403
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February 24, 2023
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FISCAL IMPACT – State GovernmentFY 2024
(10 Mo.)
FY 2025FY 2026LOTTERY PROCEEDS FUND
(0291)
Transfer Out – to the Veterinary
Student Loan Payment Fund for
expansion of the program
Up to
($240,000)
Up to
($240,000)
Up to
($240,000)
ESTIMATED NET EFFECT TO
THE LOTTERY PROCEEDS FUND
Up to
($240,000)
Up to
($240,000)
Up to
($240,000)
VETERINARY STUDENT LOAN
PAYMENT FUND (0803)
Transfer In – from the Lottery Proceeds
fund
Up to
($240,000)
Up to
($240,000)
Up to
($240,000)
Income – MDA – private grants, gifts,
donations, devises or bequests$0 or Unknown$0 or Unknown$0 or Unknown
Cost – MDA – increase in number and
amount of awards for veterinary
students
Could exceed
($240,000)
Could exceed
($240,000)
Could exceed
($240,000)
ESTIMATED NET EFFECT ON
THE VETERINARY STUDENT
LOAN PAYMENT FUND
$0$0$0
FISCAL IMPACT – Local GovernmentFY 2024
(10 Mo.)
FY 2025FY 2026$0$0$0 L.R. No. 1031H.01I
Bill No. HB 403
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FISCAL IMPACT – Small Business
No direct fiscal impact to small businesses would be expected as a result of this proposal.
FISCAL DESCRIPTION
This bill renames the "Dr. Merrill Townley Large Animal Veterinary Student Loan Program" to
the "Dr. Merrill Townley and Dan Brown Large Animal Veterinary Student Loan Program".
This bill expands the sources of funding for the Veterinary Student Loan Payment Fund to
include any private grant, gift, donation, devise, or bequest of moneys, funds, real or personal
property, or other asset.
This bill increases the number of qualified applicants who may be awarded loans under the Large
Animal Veterinary Student Loan Program from six to 12 per academic year and provides that the
Department of Agriculture may increase this number beyond 12 if the amount of any additional
moneys from private grants, gifts, donations, devises, or bequests of moneys, funds, real or
personal property, or other assets deposited in the Fund allows the full funding of such increase
in the number of applicants.
Further, the loan amount each student may receive is increased from $20,000 to $30,000 for each
academic year, and from $80,000 to $120,000 in total.
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
Missouri Department of Agriculture
Julie MorffRoss StropeDirectorAssistant DirectorFebruary 24, 2023February 24, 2023