COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:1667H.01I Bill No.:HB 950 Subject:Department of Revenue; Licenses - Driver's Type:Original Date:February 9, 2025Bill Summary:This proposal prohibits the Department of Revenue from requiring
applicants to provide a social security number and allows applicants to
provide their own photographs when applying for a non-REAL ID-compliant
driver's license or nondriver's identification cards.
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2026FY 2027FY 2028
General Revenue*
Could exceed
($67,500)
$0 to (Unknown)$0 to (Unknown)Total Estimated Net
Effect on General
Revenue
Could exceed
($67,500)$0 to (Unknown)$0 to (Unknown)
*Oversight assumes the potential cost to DOR to implement this proposal could exceed
$250,000.
ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTEDFY 2026FY 2027FY 2028Highway Fund*$0 to ($2,120,887)$0 to ($2,120,887)$0 to ($2,120,887)Total Estimated Net
Effect on Other State
Funds$0 to ($2,120,887)$0 to ($2,120,887)$0 to ($2,120,887)
*Potential loss of funds collected from commercial transactions and testing programs if
Missouri’s CDL program is decertified.
Numbers within parentheses: () indicate costs or losses. L.R. No. 1667H.01I
Bill No. HB 950
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February 9, 2025
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ESTIMATED NET EFFECT ON FEDERAL FUNDSFUND AFFECTEDFY 2026FY 2027FY 2028Federal Highway
Funds*$0 to (Unknown)$0 to (Unknown)$0 to (Unknown)
Total Estimated Net
Effect on All Federal
Funds$0 to (Unknown)$0 to (Unknown)$0 to (Unknown)
*Oversight assumes the potential loss of federal highway funds will exceed $250,000.
ESTIMATED NET EFFECT ON FULL TIME EQUIVALENT (FTE)FUND AFFECTEDFY 2026FY 2027FY 2028Total 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 2026FY 2027FY 2028Local Government*$0 to ($706,962)$0 to ($706,962)$0 to ($706,962)
*Potential loss of funds collected from commercial transactions and testing programs if
Missouri’s CDL program is decertified. L.R. No. 1667H.01I
Bill No. HB 950
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February 9, 2025
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FISCAL ANALYSIS
ASSUMPTION
§§302.171, 302.181, 302.735& 304.351 – Driver License Provisions
Officials from the Department of Revenue (DOR) assume the following regarding this
proposal:
§302.171.1
Removes Social Security number (SSN) from the list of primary personal information data
elements required for collection as part of driver license and nondriver identification card
application requirements.
Adds language prohibiting the department from requiring applicants to provide SSN or
documentation of such when applying for non-REAL ID compliant driver licenses or nondriver
licenses.
Collection of the SSN has been part of the licensing application or form of license provisions
requiring collection as a record keeping element, identifier, and fraud deterrent measure under
§302.181 RSMo as of 1971, and later within §302.171 application requirements.
Use of the SSN, is a key element in secure record management in Missouri and across all U.S.
licensing agencies in accordance with federal laws, policies and best practices for secure identity
management, SSN restriction of use and privacy protection laws. Collection and verification of
the SSN is an identify fraud prevention measure within Missouri records and when determining
fraud that could impact other state licensing agencies. Use of the SSN, which is a common
unique identifier for eligible persons is key to mitigating risks of multiple credentials and records
that may have suspensions or revocations that remove driving privileges.
§302.181.1
Adds a provision exempting applicants from being photographed when applying for a non-REAL
ID compliant driver license or nondriver license. The applicant “..may instead submit an
alternative photograph or digitized image of the applicant, provided that the photograph or
digitized image is: in color; size such that the head is between one inch and one and three-eighths
inches; taken within the last six months to reflect the applicants current appearance; taken in
front of a plain white or solid color background; and taken in full face view directly facing the
camera with a neutral expression with both eyes open and visible” L.R. No. 1667H.01I
Bill No. HB 950
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Prohibits applicants from wearing a hat or head covering that obstructs hair or hairline in the
alternative photograph provided unless such is worn daily for a religious purpose. Proposed
language adds further prohibitions on wearing headphones or other similar devices in the
alternative photograph.
Any collection or use of alternate photos must comply with card security and design standards to
ensure the credential formats meet Federal and state credential format requirements. If the
alternate photo collection cannot be standardized to provide consistent quality, public entities,
other state licensing agencies and others may choose to no longer accept Missouri’s non-REAL
ID credential for identification purposes.
If the photo standards for the non-REAL ID with alternate photo cannot be maintained, the
Department may be required to consider two distinct credential formats. One that is secure and
meets ICAO standards and security provisions for REAL ID and AAMVA Card Design
Standards as referenced in the regulations defining state licensing agency provisions for
compliance with the REAL ID Act of 2005 and subsequent amendments.
There is an unknown system and administrative cost impact if the Driver License Bureau is
required to increase quality assurance evaluations of collected images and printed credentials that
may result in applicant recalls retaking or resubmitting acceptable photos. The volume of such
reviews would have to be determined upon implementation based on initial evaluations of
contract office service transaction compliance.
§302.735.1
Proposes to restrict the collection of SSN as part of an application for commercial driver license
to REAL ID-compliant licenses only.
The collection of an SSN as part of a commercial learner’s permit to commercial driver license
application is mandated by the Federal Motor Carrier Safety Regulations defined in 49 CFR 383
and as it ties to recordkeeping for commercial drivers further defined in 49 CFR 384. Failure to
meet the data collection and recordkeeping provisions may result in a noncompliance finding as
defined in 49 CFR 384.301. The first year of noncompliance may result in a withholding of 4%
of Federal Highway aid funding apportioned to the state and an amount of up to 8% for second
and subsequent years of noncompliance.
Further, under 49 CFR 384.405 the Administrator may prohibit a State found to be in
noncompliance from performing commercial license or permit transactions.
Decertification of Missouri’s commercial learner’s permit and commercial driver license
issuance program would have far reaching impacts to citizens, the Missouri trucking industry,
commercial drivers, Commercial Driver License Third Party Testers, entry level driver training
programs administered in Missouri, businesses that rely on commercial carriers and others. Loss
of funding will impact DPS-MSHP, MoDOT services and other programs and services supported
by federal aid highway funds or Missouri commercial driver license fee collections. L.R. No. 1667H.01I
Bill No. HB 950
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In addition to a loss of federal appropriations, commercial transactions and testing programs
collected, approximately $2,827,849 in monies, which are distributed to the Hwy Fund, and
Cities and Counties during FY 2024, may be lost if program decertification occurred.
Oversight will reflect a $0 to “Unknown” loss of federal highway funds if Missouri is found to
be out of compliance with federal regulations regarding data collection and recordkeeping
provisions. Oversight assumes the potential loss of federal highway funds will exceed $250,000
per fiscal year.
Oversight will also reflect the loss of $0 to $2,827,849 in funds collected from commercial
transactions and testing programs if Missouri’s CDL program is decertified to the Highway Fund
(75%), Cities (15%) and Counties (10%).
Administrative Impact
DOR notes to implement the proposed legislation, the Department will be required to:
• Review rules and regulations and initiate changes through JCAR and SOS as applicable.
• Develop project documentation development and oversight of project.
• Work with FAST, the MVDL System vendor to develop requirements for changes to the MO
driver license system (internally referred to as FUSION) to:
record system.
Service/Driver History Record Exchange/Problem Driver Pointer System and other
data exchange applications mandated for commercial and noncommercial driver
programs.
applicable and post to the record offenses of driving with expired registration; and
upon notification of compliance of registration renewal and request for removal and
allow for system updates to remove the offense from the active driver record
information.
transaction applicants to submit an alternate photo for scanning or by digital file
submission to be used for issuance of driver license, permit or nondriver ID.
• Update policies.
• FAST complete changes and user testing for FUSION.
• Update procedures, forms, and the Department website.
• Update internal procedures.
• Update the Missouri Driver Guide (on-line and printed versions).
• Update the Missouri CDL Manual.
• Modify internal training programs and train staff. L.R. No. 1667H.01I
Bill No. HB 950
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• Public information releases regarding any impacts to DOR programs and any other state or
federal programs that may be reliant on driver record verifications that may be hindered by
the SSn collection prohibitions proposed.
• Work with FMCSA regarding possible noncompliance findings and potentially program
decertification which would require program changes to stop issuance or renewal of
commercial permit and license documents.
• Work with licensing program partners and other State license agencies to communicate any
changes to Missouri’s record keeping processes and problem resolutions for management of
potential duplicate records between states and requirements to meet REAL ID compliance
provisions to ensure only one REAL ID compliant card is issued.
FY 2026 - Driver License Bureau
Research/Data Assistant 300hrs. @ $19.29 per hr. =$5,937
Research/Data Analyst 400 hrs. @ $28.75 per hr. =$11,500
Administrative Manager 200 hrs. @ $31.21 per hr. =$6,242
FY 2026 - Communications Office
Associate Research/Data Analyst 100 hrs. @ $23.04 per hr. = $2,304
Total = $25,983
Oversight assumes DOR will use existing staff and will not hire additional FTE to conduct these
activities; therefore, Oversight will not reflect the administrative costs DOR has indicated on the
fiscal note.
DOR notes there is an undetermined impact for costs that may be incurred by the Driver License
Bureau and Communications Office to change programs and work with state and federal agency
partners to resolve CDL program noncompliance findings or take action to stop commercial
license and permit issuance and testing programs and all related functions if the Missouri CDL
program is decertified after continued noncompliance.
Manual Printing
Due to the significant change in testing requirements, additional costs may be incurred by DOR
and MSHP to reprint the non-commercial driver guide and commercial driver license manual and
destroy any unused outdated materials. Currently MSHP incurs the cost for printing of the
manuals. Potential loss is unknown and will be based on the number of printed manuals in stock
at the time of distribution of the new manuals.
FUSION Impact
FY 2026
Estimate of change order cost to amend application requirements to remove SSN collection from
non-REAL ID noncommercial and commercial driver license applications and amend programs
for service transaction provision to collect an alternate photo for use on the issued credential. L.R. No. 1667H.01I
Bill No. HB 950
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$225 x 300= $67,500
There may be a future vendor cost incurred if commercial program noncompliance findings
result in state decertification which prevents issuance of commercial driver licenses or permits
and related transactions and testing programs. The determination of such action after continued
noncompliance would be made by the Federal Motor Carrier Safety Administration.
Oversight does not have information to the contrary and therefore, Oversight will reflect the
FUSION estimates as provided by DOR.
In addition, Oversight will reflect a $0 to “Unknown” cost to DOR for potential increased costs
to implement the provisions of this proposal. Oversight assumes these costs could exceed
$250,000.
Officials from the Missouri Department of Transportation and Department of Public Safety
- Missouri Highway Patrol
respective organizations.
FISCAL IMPACT – State GovernmentFY 2026
(10 Mo.)
FY 2027FY 2028GENERAL REVENUE FUND*Cost – DOR – potential costs to
implement provisions of the proposal*
$0 to
(Unknown)
$0 to
(Unknown)
$0 to
(Unknown)
Cost – DOR – FUSION impact($67,500)$0$0ESTIMATED NET EFFECT ON
THE GENERAL REVENUE FUND
Could exceed
($67,500)
$0 to
(Unknown)
$0 to
(Unknown)
HIGHWAY FUNDLoss – potential loss of funds collected
from commercial transactions and
testing centers
$0 to
($2,120,887)
$0 to
($2,120,887)
$0 to
($2,120,887)
ESTIMATED NET EFFECT ON
THE HIGHWAY FUND
$0 to
($2,120,887)
$0 to
($2,120,887)
$0 to
($2,120,887) L.R. No. 1667H.01I
Bill No. HB 950
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February 9, 2025
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FISCAL IMPACT – State GovernmentFY 2026
(10 Mo.)
FY 2027FY 2028FEDERAL HIGHWAY FUNDS**Loss – potential loss of funding due to
Missouri being found out of compliance
with federal regulations
$0 to
(Unknown)
$0 to
(Unknown)
$0 to
(Unknown)
ESTIMATED NET EFFECT ON
FEDERAL HIGHWAY FUNDS
$0 to
(Unknown)
$0 to
(Unknown)
$0 to
(Unknown)
*Oversight assumes the potential cost to DOR to implement this proposal could exceed
$250,000.
**Oversight assumes the potential loss of federal highway funds will exceed $250,000.
FISCAL IMPACT – Local GovernmentFY 2026
(10 Mo.)
FY 2027FY 2028LOCAL POLITICAL
SUBDIVISIONS
Loss (Cities 15%) – potential loss of
funds collected from commercial
transactions and testing centers
$0 to
($424,177)
$0 to
($424,177)
$0 to
($424,177)
Loss (Counties 10%) – potential loss of
funds collected from commercial
transactions and testing centers
$0 to
($282,785)
$0 to
($282,785)
$0 to
($282,785)
ESTIMATED NET EFFECT ON
LOCAL POLITICAL
SUBDIVISIONS
$0 to
($706,962)
$0 to
($706,962)
$0 to
($706,962)
FISCAL IMPACT – Small Business
Small commercial driving companies, testing centers and training programs could be impacted as
a result of this proposal.
FISCAL DESCRIPTION
This bill prohibits the Department of Revenue from requiring an applicant for a non-REAL ID
compliant driver's license or nondriver's license to provide a Social Security number or be L.R. No. 1667H.01I
Bill No. HB 950
Page 9 of
February 9, 2025
KB:LR:OD
photographed. Instead of being photographed, an applicant may provide an alternative
photograph or digital image provided that the photograph or image meets criteria specified in the
bill.
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 Revenue
Missouri Highway Patrol
Missouri Department of Transportation
Julie MorffJessica HarrisDirectorAssistant DirectorFebruary 9, 2025February 9, 2025