COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:4258H.03C Bill No.:HCS for HB 1830 Subject:Mental Health; Drugs and Controlled Substances; Veterans Type:Original Date:April 15, 2024Bill Summary:This proposal creates provisions relating to alternative therapies.
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2025FY 2026FY 2027
General
$0 to ($2,000,000)
($7,000,000 to
$10,000,000)$0
Total Estimated Net
Effect on General
Revenue$0 to ($2,000,000)
($7,000,000 to
$10,000,000)$0
ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTEDFY 2025FY 2026FY 2027Total Estimated Net
Effect on Other State
Funds $0 $0 $0
Numbers within parentheses: () indicate costs or losses. L.R. No. 4258H.03C
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ESTIMATED NET EFFECT ON FEDERAL FUNDSFUND AFFECTEDFY 2025FY 2026FY 2027Total Estimated Net
Effect on All Federal
Funds $0$0$0
ESTIMATED NET EFFECT ON FULL TIME EQUIVALENT (FTE)FUND AFFECTEDFY 2025FY 2026FY 2027Total 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 2025FY 2026FY 2027Local Government –
School Districts *
$0 to (Unknown)$0 to (Unknown)$0 to (Unknown)
Local Government –
School Districts
$0 to (Unknown)$0 to (Unknown)$0 to (Unknown)
* Due to the conditions required for exemption from civil fines, penalties, or sanctions,
Oversight assumes an Unknown negative fiscal impact of less than $250,000 annually. L.R. No. 4258H.03C
Bill No. HCS for HB 1830
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FISCAL ANALYSIS
ASSUMPTION
§§191.479, 191.480 and 630.1170– Alternative therapies
Officials from the Department of Mental Health (DMH) state the proposed legislation
modifies provisions relating to alternative therapies and treatments. This bill adds sections
191.479, and 630.1170, and modifies §191.480.
Section 191.479.4: Subject to appropriations, DMH shall provide grants totaling two million
dollars for research on the use and efficacy of psilocybin.
Oversight notes the provisions of §191.479.4 allows DMH to provide grants for $2,000,000,
subject to appropriation. For fiscal note purposes, Oversight assumes costs of $0 to ($2,000,000)
to the General Revenue Fund for the research grants in FY 2025 only. Oversight notes that the
proposal specifies a total of $2,000,000 for grants.
Section 630.1170: DMH states, they in collaboration with a hospital operated by an institute of
higher learning or contract research organizations conducting trials approved by the U.S. Food
and Drug Administration (USFDA), to conduct a study on the efficacy of using alternative
medicine and therapies. These therapies shall be studied on individuals who suffer from
posttraumatic stress disorder, major depressive disorder, substance abuse disorders, or patients
who require end-of life care. Subject to appropriations, DMH shall prepare and submit reports on
any information collected by DMH on implementation and outcomes of the use of psilocybin.
DMH would contract this service out to be conducted in collaboration with a hospital operated
by an institute of higher education in Missouri. The costs for this study would include treatment
costs, therapists, research time, indirect rate for the institution of higher education, storage and
tracking of medications, and other study related costs. Costs for DMH to conduct a three to
five year study would be $0 for FY25, $7 million to $10 million dollars for FY26, and $0 for
FY27 in General Revenue funding.
Oversight does not have information to the contrary and therefore, Oversight will reflect the
estimates as provided by the DMH.
Officials from the Office of Administration, Budget and Planning (B&P) state §191.479
provides that, under certain conditions, individuals may acquire, use, produce, possess transfer,
or administer psilocybin without violating state or local laws and shall not be subject to civil
fines, penalties, or sanctions. To the extent that these provisions reduce the number of
psilocybin-related criminal or civil penalties, total state revenue may decrease by an unknown
amount.
Oversight notes that §191.479 could result in certain individuals not paying fines or penalties.
Oversight also notes per Article IX Section 7 of the Missouri Constitution fines and penalties L.R. No. 4258H.03C
Bill No. HCS for HB 1830
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collected by counties are distributed to school districts. Fines vary widely from year to year and
are distributed to the school district where the violation occurred. Oversight will reflect a
negative fiscal impact of $0 to Unknown to local school districts. For simplicity, Oversight will
not reflect the possibility that fine revenue paid to school districts may act as a subtraction in the
foundation formula.
Responses regarding the proposed legislation as a whole
In response to a previous version, officials from the Office of Attorney General (AGO)
assumed any additional litigation costs arising from this proposal can be absorbed with existing
personnel and resources. However, the AGO may seek additional appropriations if there is a
significant increase in litigation.
Oversight does not have any information to the contrary. Therefore, Oversight assumes the
AGO will be able to perform any additional duties required by this proposal with current staff
and resources and will reflect no fiscal impact to the AGO for fiscal note purposes.
Officials from the Department of Commerce and Insurance, the Department of Health and
Senior Services, the Department of Public Safety – Missouri Veterans Commission, the
Office of the State Courts Administrator, the Missouri State University, the Northwest
Missouri State University 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.
Officials from the University of Missouri System did not respond to Oversight’s request for a
statement of fiscal impact. L.R. No. 4258H.03C
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FISCAL IMPACT – State GovernmentFY 2025
(10 Mo.)
FY 2026FY 2027GENERAL REVENUE FUNDCosts – DMH (§191.479) grants for
research on use/efficacy of psilocybin p.3
$0 to
($2,000,000)$0 $0
Costs – DMH (§630.1170) – Study on the
efficacy of using alternative medicine p. 3$0
($7,000,000 to
$10,000,000)$0
ESTIMATED NET EFFECT ON THE
GENERAL REVENUE FUND
$0 to
($2,000,000)
($7,000,000 to
$10,000,000)$0
FISCAL IMPACT – Local GovernmentFY 2025
(10 Mo.)
FY 2026FY 2027LOCAL GOVERNMENT – SCHOOL
DISTRICTS
Losses – School Districts (§191.479)
Reduction of fines or penalties collected p.
3-4
$0 to
(Unknown)
$0 to
(Unknown)
$0 to
(Unknown)
ESTIMATED NET EFFECT ON
LOCAL GOVERNMENT – SCHOOL
DISTRICTS
$0 to
(Unknown)
$0 to
(Unknown)
$0 to
(Unknown)
FISCAL IMPACT – Small Business
No direct fiscal impact to small businesses would be expected as a result of this proposal.
FISCAL DESCRIPTION
As specified in this bill, any person who acquires, uses, produces, possesses, transfers, or
administers psilocybin for the person's own therapeutic use will not be in violation of state or
local law and will not be subject to a civil fine, penalty, or sanction so long as the person meets
the certain conditions.
grants totaling two million dollars for research on the use and efficacy of psilocybin. L.R. No. 4258H.03C
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The DMH must prepare and submit to the Governor, Lieutenant Governor, and the General
Assembly annual reports on any information collected by the Department on the implementation
and outcomes of the use of psilocybin. (§191.479)
This bill also requires the Department, in collaboration with a hospital operated by the an
institution of higher education in this state or contract research organizations conducting trials
approved by the United States Food and Drug Administration in Missouri, to conduct a study on
the efficacy of using alternative medicines and therapies, including, but not limited to, the use of
psilocybin for the treatment of patients suffering from post-traumatic stress disorder, major
depressive disorder, substance use disorders, or who require end-of-life care. The bill specifies
that such study shall include a clinical trial of psilocybin, as well as a literature review and the
submission of various reports. No person participating in the clinical trial shall be subjected to
criminal or civil liability or sanction for the participation in the clinical trial, except in cases of
gross negligence or willful misconduct. (§630.1170)
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
Attorney General’s Office
Department of Commerce and Insurance
Department of Health and Senior Services
Department of Mental Health
Department of Public Safety – Missouri Veterans Commission
Office of Administration - Budget and Planning
Office of the State Courts Administrator
Missouri State University
Northwest Missouri State University
University of Central Missouri
Julie MorffRoss StropeDirectorAssistant DirectorApril 15, 2024April 15, 2024