COMMITTEE ON LEGISLATIVE RESEARCH OVERSIGHT DIVISION FISCAL NOTE L.R. No.:2542S.01I Bill No.:SB 635 Subject:Dentists; Department of Health and Senior Services; Health Care; Health Care Professionals; Marital and Family Therapists; Medical Procedures and Personnel; Nurses; Pharmacy; Physicians; Psychologists; Social Workers Type:Original Date:March 31, 2025Bill Summary:This proposal modifies the "Health Professional Student Loan Repayment Program". 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 2028Total Estimated Net Effect on Other State Funds $0$0$0 Numbers within parentheses: () indicate costs or losses. L.R. No. 2542S.01I Bill No. SB 635 Page 2 of March 31, 2025 KP:LR:OD 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. 2542S.01I Bill No. SB 635 Page 3 of March 31, 2025 KP:LR:OD FISCAL ANALYSIS ASSUMPTION § 191.600 to § 191.615 - Missouri State Loan Repayment Program (MOSLRP) Officials from Department of Health and Senior Services (DHSS) state the Proposed legislative changes to 191.600-191.615 would update the list of eligible profession types to include all professions allowable under the federal Health Resources and Services Administration (HRSA) state loan repayment program (SLRP) grant, expanding the eligible professions that Missouri can offer loan repayment to under the SLRP grant. The expansion of the eligible health professions in the proposed legislation would allow the Department of Health and Senior Services (DHSS), Office of Rural Health and Primary Care (ORHPC) to request additional federal funds for the SLRP program. The maximum award under the federal SLRP grant is $1,000,000. Because the grant requires a 1:1 state match, ORHPC has historically only been able to apply for a maximum of $425,000 in SLRP funds under the match requirement, utilizing donated funds to meet the match requirement. Under the proposed legislation, health professions eligible under the state SLRP statutes would align with HRSA eligible health professions, allowing state funding received for the HPLRP program to be used to meet the HRSA SLRP match requirement. ORPHC could then receive up to an additional $575,000 in federal funding to award loans to health professionals under the SLRP program, increasing the number of health professionals providing services in underserved areas. The HPLRP eligible professions are chosen by the Director of DHSS in consultation with the Office of Workforce Development in the Department of Higher Education and Workforce Development and the Department of Mental Health. In further discussions with DHSS regarding similar legislation from the current session (HB 720), officials from the DHSS stated they can absorb the state match requirement for this federal program due to existing funding that can be used as match. Oversight does not have any information to the contrary. Therefore, Oversight assumes the DHSS will be able to absorb the funding requirements of this proposal with current resources and will reflect no fiscal impact to the DHSS for fiscal note purposes. Officials from the Department of Commerce and Insurance, the Department of Higher Education and Workforce Development, the Department of Revenue and the Office of the State Treasurer 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. L.R. No. 2542S.01I Bill No. SB 635 Page 4 of March 31, 2025 KP:LR:OD FISCAL IMPACT – State GovernmentFY 2026 (10 Mo.) FY 2027FY 2028$0$0$0FISCAL 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 modifies the "Health Professional Student Loan Repayment Program" to be the "Missouri Student Loan Repayment Program" or "MOSLRP". MOSLRP shall be for persons who practice in areas of defined need after graduating from an accredited graduate training program in the following disciplines: allopathic medical doctor, osteopathic medical doctor, general dentist, dental hygienist, registered nurse, physician assistant, psychologist, licensed clinical social worker, licensed professional counselor, marital and family therapist, or pharmacist. MOSLRP shall not include chiropractic college graduates, unlike the current "Health Professional Student Loan Repayment Program". The standards the Department of Health and Senior Services may establish shall not include enrollment as a full-time student in certain courses of study as in the current program, but shall include authorization to practice certain types of health professions. (§ 191.600 to § 191.615) 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. 2542S.01I Bill No. SB 635 Page 5 of March 31, 2025 KP:LR:OD SOURCES OF INFORMATION Department of Commerce and Insurance Department of Higher Education and Workforce Development Department of Health and Senior Services Department of Revenue Office of the State Treasurer Julie MorffJessica HarrisDirectorAssistant DirectorMarch 31, 2025March 31, 2025