Missouri 2025 2025 Regular Session

Missouri Senate Bill SB11 Introduced / Fiscal Note

Filed 01/21/2025

                    COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:1191S.01I Bill No.:SB 11  Subject:Department of Higher Education and Workforce Development; Higher Education Type:Original  Date:January 21, 2025Bill Summary:This proposal repeals provisions relating to the authority to confer degrees at 
public institutions of higher education. 
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2026FY 2027FY 2028Total Estimated Net 
Effect on General 
Revenue $0$0$0
ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTEDFY 2026FY 2027FY 2028Colleges and 
Universities*$0 to (Unknown)$0 to (Unknown)$0 to (Unknown)
Total Estimated Net 
Effect on Other State 
Funds$0 to (Unknown)$0 to (Unknown)$0 to (Unknown)
*This proposal allows other universities to confer degrees currently conferred only by the 
University of Missouri (UM). It is assumed if other universities decide to offer degrees in 
programs currently only conferred by UM that the administrative costs could exceed $250,000 
annually and that revenue (tuition and fees) would move from one university to another and 
would net to $0.
Numbers within parentheses: () indicate costs or losses. L.R. No. 1191S.01I 
Bill No. SB 11  
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January 21, 2025
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ESTIMATED NET EFFECT ON FEDERAL FUNDSFUND AFFECTEDFY 2026FY 2027FY 2028Total Estimated Net 
Effect on All Federal 
Funds $0$0$0
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$0$0 L.R. No. 1191S.01I 
Bill No. SB 11  
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FISCAL ANALYSIS
ASSUMPTION
§§172.280, 173.005 & 174.160 – Authority to confer degrees at colleges/universities
Officials from the Department of Higher Education and Workforce Development assume the 
proposal will have no fiscal impact on their organization. Oversight does not have any 
information to the contrary. Therefore, Oversight will reflect a zero impact in the fiscal note for 
this agency.  
Officials from the University of Missouri System (UM) state the fiscal impact on the UM 
System is difficult to predict but could be significant. It is reasonable to believe that starting new 
PhD programs, professional degrees, and engineering degrees will significantly increase 
expenditures at other institutions. These cost increases would require a significant increase in 
state funding for these institutions, causing a corresponding loss of state funding to the UM 
System and its four universities. 
Oversight assumes UM could experience a negative fiscal impact as a result of this proposal 
since students could opt to attend another university to obtain their desired degree and that other 
universities in Missouri would incur additional administrative expenses starting up/adding new 
programs. The administrative expenses may or may not be offset by an increase in enrollment. 
Therefore, for fiscal note purposes, Oversight assumes this proposal will have a $0 to unknown 
negative fiscal impact on universities. 
In addition, the net effect on tuition/fees lost by UM and received by other universities will not 
be significantly different. Lastly, Oversight assumes the impact could be greater than $250,000 if 
even one university decided to create a new graduate, professional and/or engineering program at 
their institution.  Oversight will range the impact from $0 to an unknown amount.
Officials from Southeast Missouri State University 
positive impact on Southeast Missouri State University. 
Officials from the University of Central Missouri (UCM) assume the proposal will have no 
fiscal impact on their organization. 
In response to similar legislation, SB 479 (2024), officials from the Northwest Missouri State 
University assumed the proposal would have no fiscal impact on their organization 
Oversight only reflects the responses received from state agencies and political subdivisions; 
however, other 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. L.R. No. 1191S.01I 
Bill No. SB 11  
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FISCAL IMPACT – State GovernmentFY 2026
(10 Mo.)
FY 2027FY 2028COLLEGES AND UNIVERSITIESCosts – Colleges & Universities 
(§§172.280, 173.005 & 174.160) – 
increased administrative costs p.3
$0 to 
(Unknown)
$0 to 
(Unknown)
$0 to 
(Unknown)
ESTIMATED NET EFFECT ON 
COLLEGES AND UNIVERSITIES
$0 to 
(Unknown)
$0 to 
(Unknown)
$0 to 
(Unknown)
FISCAL IMPACT – Local GovernmentFY 2026
(10 Mo.)
FY 2027FY 2028$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 act repeals the following provisions of law:
(1) That the University of Missouri shall be the state's only public research university and the 
exclusive grantor of research doctorates and first-professional degrees, including dentistry, law, 
medicine, optometry, pharmacy, and veterinary medicine (Section 172.280);
(2) That degrees in podiatry and chiropractic and osteopathic medicine may be conferred only by 
the University of Missouri or by a public institution of higher education in collaboration with the 
University of Missouri, with the University of Missouri being the degree-granting institution, 
unless the University of Missouri declines to collaborate with such institution (Section 173.005); 
and
(3) That degrees in engineering may be conferred only by the University of Missouri or by a 
public institution of higher education in collaboration with the University of Missouri, with the 
University of Missouri being the degree-granting institution, unless the University of Missouri 
declines to collaborate with such institution (Section 174.160).
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. 1191S.01I 
Bill No. SB 11  
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SOURCES OF INFORMATION
Department of Higher Education and Workforce Development
University of Missouri System
Northwestern Missouri State University
University of Central Missouri
Southeast Missouri State University
Julie MorffJessica HarrisDirectorAssistant DirectorJanuary 21, 2025January 21, 2025