COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:0642S.01I Bill No.:SB 266 Subject:Education, Elementary and Secondary; Department of Elementary and Secondary
Education
Type:Original Date:February 23, 2025Bill Summary:This proposal establishes provisions relating to assessment of virtual school
students.
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2026FY 2027FY 2028
General Revenue*
More or less than
($829,822)
More or less than
($658,822)
More or less than
($658,822)
Total Estimated Net
Effect on General
Revenue
More or less than
($829,822)
More or less than
($658,822)
More or less than
($658,822)
*Oversight notes that the proposal states that any virtual school or program may administer any
statewide assessment required pursuant to the provisions of section 160.518 in a virtual setting
that aligns with the student’s regular academic instruction.
ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTEDFY 2026FY 2027FY 2028Total Estimated Net
Effect on Other State
Funds $0$0$0
Numbers within parentheses: () indicate costs or losses. L.R. No. 0642S.01I
Bill No. SB 266
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February 23, 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. 0642S.01I
Bill No. SB 266
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February 23, 2025
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FISCAL ANALYSIS
ASSUMPTION
Section 161.670 - Statewide assessment of students enrolled in virtual school
Officials from Department of Elementary and Secondary Education (DESE) state Section
161.670 would allow the virtual administration of the statewide assessment of students enrolled
in virtual school.
The Missouri Technical Advisory Committee for Assessment recommends that the Department
of Elementary and Secondary Education (DESE) create a separate test form to meet the
requirements as outlined and to limit the exposure of the item bank used for all assessments.
Data Recognition Corporation (DRC) currently is contracted to do similar work and DESE
assumes would be responsible for the development of forms (tests), scoring, and reporting either
through a contract amendment or a new contract. Based on the current contract costs, fourteen
forms will need to be developed for grade levels: 3-8 English Language Arts, 3-8 Mathematics, 5
& 8 Science ($73,941 year one) and ten forms will need to be developed for end-of-course
English 1 & 2, Algebra 1 & 2, Geometry, Government, Biology, Physical Science, American
History, and Personal Finance ($69,978 year one).
This development includes the creation of forms dedicated to virtual administration, online
administration, reporting, dedicated IT services, psychometric services, validity study of virtual
administration, program coordination and manual production for virtual administration. Annual
costs for this would be:
1. $443,822, plus;
2. $200,000 annually for data forensics and test security.
3. $214,800 for camera and communication devices necessary for remote test administration.
DESE assumes the state would be responsible for providing these to vendors with an estimated
cost per camera = $30 per x 6,200 unduplicated count of students enrolled in MoCAP 203-24
academic year = $186,000. This equipment would be returned to vendors with an estimated
annual need to replace a minimum number. Annual replacement cost is estimated at $15,000.
Oversight notes after further inquiry with DESE the assumed total stated in their response was
incorrect. Oversight notes the total cost for cameras and communication devices for remote test
administration should be $186,000 as calculated by DESE.
Oversight notes that the proposal states that any virtual school or program may administer any
statewide assessment required pursuant to the provisions of section 160.518 in a virtual setting
that aligns with the student’s regular academic instruction. Oversight is unable to determine how
many virtual schools or programs will decide to administer virtual assessments. L.R. No. 0642S.01I
Bill No. SB 266
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In addition, the cost of camera and communication devices necessary for remote test
administration could potentially vary depending on compatibility with specific devices as well as
the required wide degree angle of view in order to meet the requirements of the proposal.
Therefore, Oversight will reflect a $0 (no participation in virtual assessment) to a fiscal impact
that could exceed the estimate provided by DESE in the fiscal note.
In response to similar legislation, HB 220 (2025), officials from Hume R-VIII School District
assumed MOCAAP already cost their district a lot of money.
In response to similar legislation SB 1049 (2024), officials from the Concordia R-II School
District assumed the proposal would have no fiscal impact on their organization.
In response to similar legislation SB 1049 (2024), officials from the Henry County R-1 School
District assumed the proposal would have a fiscal impact on their organization.
Oversight does not anticipate a fiscal impact to school districts. However, Oversight received
limited responses from school districts 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 approval to publish a new fiscal note.
Oversight only reflects the responses received from state agencies and political subdivisions;
however, school districts 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. 0642S.01I
Bill No. SB 266
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FISCAL IMPACT – State GovernmentFY 2026
(10 Mo.)
FY 2027FY 2028GENERAL REVENUE
Costs – DESE – Student technology for
test administration §161.670 p.3
$0 or Could
exceed
($186,000)
$0 or Could
exceed
($15,000)
$0 or Could
exceed
($15,000)
Costs – DESE – Data Forensics/Test
Security §161.670 p.3($200,000)($200,000)($200,000)
Costs – DRC for
development/scoring/reporting
§161.670 p.3($443,822)($443,822)($443,822)
ESTIMATED NET EFFECT ON
GENERAL REVENUE
More or less
than
($829,822)
More or less
than
($658,822)
More or less
than
($658,822)
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 provides that any virtual school or program that is part of the Missouri Course Access
and Virtual School Program may administer any statewide assessment virtually. The act outlines
requirements for such virtual assessments, including the monitoring of students via a camera and
the maintaining of a student-to-proctor ratio that is targeted at 10-1 or lower.
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. 0642S.01I
Bill No. SB 266
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SOURCES OF INFORMATION
Department of Elementary and Secondary Education
Henry County R-1 School District
Concordia R-II School District
Hume R-VIII School District
Julie MorffJessica HarrisDirectorAssistant DirectorFebruary 23, 2025February 23, 2025