COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:0592S.01I Bill No.:SB 95 Subject:Tax Credits; Taxation and Revenue - Income; Taxation and Revenue - Sales and
Use
Type:Original Date:February 25, 2025Bill Summary:This proposal modifies provisions relating to tax incentives for certain
hygiene products.
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2026FY 2027FY 2028General Revenue
Fund*
Could Exceed
($21,032,531)
Could Exceed
($27,993,581)
Could Exceed
($27,993,581)
Total Estimated Net
Effect on General
Revenue
Could Exceed
($21,032,531)
Could Exceed
($27,993,581)
Could Exceed
($27,993,581)
*Oversight notes the totals above represent extension of the sunset for Section 135.621 (Diaper
Bank Tax Credit), as a continuation of full potential impact in FY 2026, and Section 144.030
allowing for a sales tax exemption for all sales of diapers, incontinence products, and feminine
hygiene products.
ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTEDFY 2026FY 2027FY 2028School District Trust
Fund (0688)
Could Exceed
($6,961,050)
Could Exceed
($9,281,400)
Could Exceed
($9,281,400)
Parks and Soils State
Sales Tax Fund(S)
(0613 & 0614)
Could Exceed
($696,105)
Could Exceed
($928,140)
Could Exceed
($928,140)
Conservation
Commission Fund
(0609)
Could Exceed
($868,698)
Could Exceed
($1,158,265)
Could Exceed
($1,158,265)
Total Estimated Net
Effect on Other State
Funds
Could Exceed
($8,525,853)
Could Exceed
($11,367,805)
Could Exceed
($11,367,805) L.R. No. 0592S.01I
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Numbers within parentheses: () indicate costs or losses.
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 2028
Local Government
Could Exceed
($31,046,283)
Could Exceed
($41,395,043)
Could Exceed
($41,395,043)
*Oversight uses the DOR’s projected impact to the local funds. L.R. No. 0592S.01I
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FISCAL ANALYSIS
ASSUMPTION
Section 135.621 Diaper Bank Tax Credit
Officials from the Department of Revenue (DOR) assume this proposal modifies the Diaper
Bank tax credit program. The credit sunset December 31, 2024.
DOR notes this program was adopted in 2018 and had a cap of $500,000 annually. No changes
have been made to the program since it started. For informational purposes, DOR is showing the
issuances and redemptions over the course of the tax credit.
YearAuthorizedIssued
FY 2024$173,152.90$173,152.90
FY 2023$136,018.86$136,018.86FY 2022$182,018.00$182,018.00FY 2021$189,453.90$189,453.90FY 2020$189,628.19$189,628.19FY 2019$0.00$0.00FY 2018$0.00$0.00
This proposal would be restarting the program which would result in a cost of $500,000
annually. Additionally, it would require us to update their computer program at a cost of $1,832.
Officials from the Office of Administration – Budget & Planning (B&P) assumethis proposal
makes various definition changes but does not change the total amount of tax credits that may be
redeemed. This proposal also extends the sunset to December 31, 2031.
B&P notes that this provision will not impact TSR.
Oversight notes the following for the Diaper Bank Tax Credit:
YearAuthorizedIssuedRedeemedFY 2024$173,153$173,153$175,525FY 2023$136,019$136,016$150,010FY 2022$182,018$182,018$122,611FY 2021$189,454$189,454$137,331FY 2020$189,628$189,628$40,082
*Source: Tax Credit Analysis Forms – January 2025 submission
Oversight notes this proposal extends the sunset date for this program. The average, based on
the three-year tax credit redemption, was $149,382 ($175,525+$150,010 + $122,611) / 3),
rounded to nearest dollar, for FY 2022 to FY 2024. L.R. No. 0592S.01I
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Oversight notes this section currently allows sunset as of December 31, 2024; however, this
proposal extends the sunset to December 31, 2031 (FY 2032). Therefore, Oversight will reflect
the potential full impact of the tax credit cap, as an average of $149,382, in continued costs to
general revenue in FY 2026 and thereafter. (FY 2024 & FY 2025 Tax Credit analysis)
Section 144.030 – Diaper and Feminine Hygiene Sales Tax Exemption
Officials from the Department of Revenue (DOR) note:
Sales Tax Law Changes
DOR notes Section 144.030.2(1) changes the reference from the Missouri pesticide registration
law to the Missouri pesticide registration act. It also expands the sections covered by this act
from 281.220 to 281.310 to 281.210 to 281.310, RSMo. These changes will not fiscally impact
DOR.
Section 144.030.2(18) updates an out-of-date statutory reference. This will not fiscally impact
DOR.
Section 144.030.2(25) removes the sectional reference 4091, which was repealed by Congress.
This will not fiscally impact DOR.
Diaper Sales Tax Exemption
DOR notes beginning August 28, 2025, the tax levied and imposed under Chapter 144 (Section
144.030.2(47)) on all retail sales of kid’s diapers and adult diapers shall be exempt from taxation.
This exemption extends to the local sales tax rate as well as the state sales tax rate. The current
state sales tax rate of is 4.225%. The current state tax rate is distributed as:
General Revenue is 3%
School District Trust Fund is 1% (Section 144.701)
Conservation Commission Fund is .125% (Article IV, Section 43(a))
Parks, Soil & Water Funds .1% (Article IV, Section 47(a))
In an effort to more accurately reflect the estimated local impact, B&P and DOR have moved
from a population weighted average local sales tax rate to a location weighted average local sales
tax rate. This change was made to reflect where sales actually occur, rather than exclusively
where people live. For fiscal note purposes, the local sales tax rate will be 4.46%.
Kid Diapers
DOR notes that the average child wears diapers for three years before becoming fully toilet
trained. DOR found the price of diapers vary from $0.16 per diaper for generics to $0.60 for
name brand. Prices of diapers also depend on the size of the diaper. Estimates by various L.R. No. 0592S.01I
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children’s organizations indicate that an infant in the first year of life goes through 2,500 diapers.
The next two years as toddlers they go through 1,500 diapers annually.
Wearing DiaperHow Many
Low Price
per Diaper
High Price
per Diaper
Total Cost
Low
Total Cost
High
First Year (Size 1)2,5000.160.31400775Second Year (Size 3)1,5000.180.38270570Third Year (Size 5)1,5000.290.60435900
Based on information from the MO Dept of Health & Senior Services, the average number of
children born in the last three years was 69,167. Given that 3 years’ worth of children are
wearing diapers in any one year (1 set of infants and 2 sets of toddlers) the DOR estimate the
following:
Births Annually69,167# of kids in Diapers Annually207,500# of Diapers Annually infant172,916,667 toddler (2yrs)207,500,000 total (kids * diapers)380,416,667
Since this would start on August 28, 2025, and sales tax is remitted one month behind collection,
this would result in 9 months collected in FY 2026. This would result in a loss to the state sales
tax funds and local funds as follows:
State FundsFY 2026 (9 months)FY 2027+ LowHighLow HighGeneral Revenue($1,719,656)($3,493,781)($2,292,875)($4,658,375)School Districts($573,219)($1,164,594)($764,292)($1,552,792)Conservation ($70,219)($142,663)($93,626)($190,217)Park, Soil &
Water($57,322)($116,459)($76,429)($155,279)
Local Funds($2,556,556)($5,194,088)($3,408,741)($6,925,451)
Adult Diapers
DOR notes that approximately one third of adults aged 65 and older have moderate to severe
urinary incontinence and 6 percent had moderate to severe bowl incontinence. According to the
United State Census Bureau 2020 population report, 1,077,757 individuals residing in Missouri
were 65 or over. The Department notes that it is estimated that people with minor to moderate
incontinence wear approximately 4 diapers per day while those with those with full urinary or
fecal incontinence wear 6 diapers per day. The Department estimates that approximately 290,994 L.R. No. 0592S.01I
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individuals aged 65 and over would utilize the four adult urinary incontinence diapers while
64,665 would wear 6 adult diapers daily.
The average cost for urinary incontinence diapers is $1.33 per diaper.
Number of
people
# of
Diapers
Days per
year
Total
Diapers
per personPrice per diaperTotal Sales
290,994436514601.33565,052,90764,665636521901.33188,350,969 753,403,875
Since this would start on August 28, 2025, and sales tax is remitted one month behind
implementation, this would result in 9 months collected in FY 2026. This would result in a loss
to the state sales tax funds and local funds as follows:
State Funds
FY 2026 (9
months)FY 2027+
General
Revenue($16,951,587)($22,602,116)
School Districts($5,650,529)($7,534,039)Conservation ($706,316)($941,755)Park, Soil &
Water($565,053)($753,404)
Local Funds($25,201,360)($33,601,813)
Feminine Hygiene Sales Tax Exemption
DOR notes that information from numerous sources indicates that a woman menstruates 500
times in her lifetime, usually between the ages of 12-51. The average length of a period is 3-7
days. Sources indicate that a woman uses the following:
Number per
cycle
Number per
year
Number
in BoxBoxes per year
Tampons 20260367.22Pads/Panty
Liners 565361.81
Note a woman has 13 cycles a year (28-day cycle) / 352 days a year.
The price per tampons and pads varies. The DOR used a low and high price when determining
the fiscal impact. L.R. No. 0592S.01I
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Price LowPrice HighTotal Cost LowTotal Cost HighTampons$7.00 $10.00 $50.56 $72.22 Pads/Panty Liners$7.00 $10.00 $12.64 $18.06 $63.19 $90.28
Using information from the US Census Bureau (2020), DOR calculated the number of women
having a period in Missouri (those between 12-51) as 1,555,626.
Total Cost
Low
Total Cost
High
Total estimated cost per year$98,306,921 $140,438,458
This proposal begins August 28, 2025 (FY 2026). Sales tax is remitted one month behind
collection and therefore, this will impact state and local revenue for only 9 months in FY 2026.
FY 2026 (9 months)FY 2027 + Tax Rate LowHigh LowHighTSR4.225%($3,115,101)($4,450,144)($4,153,467)($5,933,525)General Revenue3.00%($2,211,906)($3,159,865)($2,949,208)($4,213,154)School1.00%($737,302)($1,053,288)($983,069)($1,404,385)Conservation0.125%($92,163)($146,290)($122,884)($175,548)Park, Soil & Water0.100%($73,730)($105,329)($98,307)($140,438) $0 $0 $0 $0 Locals*4.46%($3,288,367)($4,697,666)($4,384,489)($6,263,555)
Summary of All Sales Tax Exemptions
DOR concludes that this proposal will result in the need for DOR to do one time computer
programming changes ($1,832) and form changes ($2,200). Therefore, this is estimated to cost
$4,032. Notification through various means will have to occur to notify the vendors to stop
collecting tax on diapers. L.R. No. 0592S.01I
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This will reduce state and local revenues by the following:
State FundsFY 2026 (9 months)FY 2027+ LowHighLowHighGeneral Revenue($20,883,149)($23,605,234)($27,844,199)($31,473,645)School Districts($6,961,050)($7,868,411)($9,281,400)($10,491,215)Conservation($868,698)($980,640)($1,158,264)($1,307,520)Park, Soil &
Water($696,105)($786,841)($928,140)($1,049,122)
Local Funds($31,046,282)($35,093,114)($41,395,042)($46,790,819)
These changes will require the DOR modify forms ($2,200), website, and the DOR computer.
Oversight notes DOR requests a one-time cost for website income-tax changes and updates to
comply with the proposed language; however, Oversight notes that DOR receives appropriation
for routine website updates and will not show those costs in the fiscal note.
Officials from the Office of Administration – Budget & Planning (B&P) note:
Section 144.030 – Diaper and Feminine Hygiene Sales Tax Exemption
B&P assumes that this proposal would exempt all sales of diapers, incontinence products, and
feminine hygiene products from sales tax beginning August 28, 2025.
B&P notes that it is unclear whether the language in subdivision 144.030.2(47) is attempting to
only exempt these purchases from state sales tax and not local sales tax. However, all items
under subsection 144.030.2 are exempted from both local and state sales tax. Therefore, B&P
will reflect both a state and local revenue loss from the proposed sales tax exemptions.
Feminine Hygiene Products
B&P assumes that tased on information from multiple sites, B&P estimates that women purchase
an average of 6.8 to 7.2 boxes of tampons (average price $7 to $15) and 1.7 to 1.8 boxes
(average price $6 to $15) of pads and liners per year (using the average cycle length of 28 to 30
days). B&P was also able to determine that the average age for menstruation is 12-51 and based
on data provided by the United State Census 2023 population estimates (the most recent
complete year available), there are approximately 1,565,677 woman between those ages residing
in Missouri.
Therefore, B&P estimates total sales of $89,953,942 ($57.45 cost per year x 1,565,677 women)
to $212,601,230 ($135.79 cost per year x 1,565,677 women) may be impacted by this proposal. L.R. No. 0592S.01I
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B&P estimates that this provision could reduce TSR by $3,800,554 to $8,982,402 annually.
Using the sales location weighted average local sales tax rate of 4.46% for 2024, B&P further
estimates that this provision could reduce local sales tax collections by $4,011,946 to $9,482,015
annually.
Table 1: Estimated Loss by Fund - Feminine Hygiene ProductsState FundFY26FY27+General Revenue($2,023,964)($4,783,528)($2,698,618)($6,378,037)Education($674,655)($1,594,509)($899,539)($2,126,012)Conservation($84,332)($199,314)($112,442)($265,752)DNR($67,465)($159,451)($89,954)($212,601)Total TSR Loss($2,850,416)($6,736,801)($3,800,554)($8,982,402)
Local Funds($3,008,959)($7,111,511)($4,011,946)($9,482,015)
Diaper (Child) Sales Tax Exemption
B&P assumes that based on research, B&P found that the average amount spent on diapers was
$1,000 during the first year and then $500 to $900 per year until toilet trained. Based on
information from the University of Michigan Hospital, the average age until children are toilet
trained is 2.5 years. Based on information provided by the United State Census 2023 population
estimates (the most recent complete year available), there were approximately 206,138 children
living in Missouri ages 0-2 years old, with 67,996 being less than one year old.
Therefore, B&P estimates total sales of $137,067,000 [(67,996 infants x $1,000 cost per year) +
(138,142 toddlers x $500 cost per year)] up to $184,035,280 [(67,996 infants x $1,000 cost per
year) + (138,142 toddlers x $900 cost per year)] may be impacted by this proposal.
B&P estimates that this provision could reduce TSR by $5,791,081 to $7,775,491 annually.
Using the sales location weighted average sales tax rate of 4.46% for 2024, B&P further
estimates that this provision could reduce local sales tax collections by $6,113,188 to $8,207,973
annually. L.R. No. 0592S.01I
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Table 2: Estimated Loss by Fund - Child Diapers
State FundFY26FY27+General Revenue(3,084,008)(4,140,794)(4,112,010)(5,521,058)Education(1,028,003)(1,380,265)(1,370,670)(1,840,353)Conservation(128,500)(172,533)(171,334)(230,044)DNR(102,800)(138,026)(137,067)(184,035)Total TSR Loss($4,343,311)($5,831,618)($5,791,081)($7,775,491)
Local Funds(4,584,891)(6,155,980)(6,113,188)(8,207,973)
Diaper (Adult) Sales Tax Exemption
B&P assumes that according to research completed by the CDC, approximately 25% of adults
age 65 and up had moderate to severe urinary incontinence and 8% had moderate to severe
bowel incontinence. B&P notes that according the United State Census 2023 population (the
most recent complete year available) estimates there were approximately 1,136,615 individuals
residing in Missouri age 65 and over.
Based on these numbers, B&P estimates that approximately 284,154 (1,136,615 x 25%)
individual age 65 and over would utilize adult urinary incontinence diapers. B&P further
estimates that approximately 90,929 (1,136,615 x 8%) individuals residing in Missouri age 65
and over would utilize adult bowel incontinence diapers.
Based on information from a budgeting website, the average cost for urinary incontinence
diapers is $100 to $240 per month, for a yearly cost of $1,200 to $2,880. Further information
from the budgeting website lists the average monthly bowel incontinence diapers is $70 to $210
per month, for a yearly cost of $840 to $2,520.
B&P estimates that total annual sales for urinary incontinence adult diapers could be
approximately $340,984,500 (284,154 people x $1,200 annual cost) up to $818,362,800 (284,154
people x $2,880 annual cost).
B&P further estimates that the total annual sales for bowel incontinence adult diapers could be
$76,380,528 (90,929 people x $840 annual cost) up to $229,141,584 (90,929 people x $2,520
annual cost).
Therefore, B&P estimates total sales of $417,365,028 ($340,984,500 urinary incontinence +
$76,380,528 bowl incontinence) up to $1,047,504,384 ($818,362,800 urinary incontinence +
$229,141,584 bowl incontinence) may be impacted by this proposal. L.R. No. 0592S.01I
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B&P estimates that this provision could reduce TSR by $17,633,672 to $44,257,060 annually.
Using the sales location weighted average sales tax rate of 4.46% for 2024, B&P further
estimates that this provision could reduce local sales tax collections by $18,614,480 to
$46,718,696 annually.
Table 3: Estimated Loss by Fund - Adult DiapersState FundFY26FY27+General Revenue(9,390,713)(23,568,849)(12,520,951)(31,425,132)Education(3,130,238)(7,856,283)(4,173,650)(10,475,044)Conservation(391,280)(982,035)(521,706)(1,309,380)DNR(313,024)(785,628)(417,365)(1,047,504)Total TSR Loss($13,225,254)($33,192,795)($17,633,672)($44,257,060) Local Funds(13,960,860)(35,039,022)(18,614,480)(46,718,696) L.R. No. 0592S.01I
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Summary
B&P estimates that this proposal may reduce TSR by $20,418,980 to $45,761,215 during FY26.
Once fully implemented in FY27, this proposal may reduce TSR by $27,225,307 to $61,014,953
annually. In addition, this proposal could reduce local sales taxes by $28,739,614 to
$64,408,684 annually once fully implemented. Table 1 shows the estimated impact by provision
and fund.
Table 1: Total Estimated Loss by Provision and FundState FundFY26FY27+General RevenueLowHighLowHighFeminine Hygiene(2,023,964)(4,783,528)(2,698,618)(6,378,037)Diapers - Child(3,084,008)(4,140,794)(4,112,010)(5,521,058)Diapers - Adult(9,390,713)(23,568,849)(12,520,951)(31,425,132)Total GR Loss(14,498,684)(32,493,170)(19,331,579)(43,324,227) Education Feminine Hygiene(674,655)(1,594,509)(899,539)(2,126,012)Diapers - Child(1,028,003)(1,380,265)(1,370,670)(1,840,353)Diapers - Adult(3,130,238)(7,856,283)(4,173,650)(10,475,044)Total Education Loss(4,832,895)(10,831,057)(6,443,860)(14,441,409) Conservation Feminine Hygiene(84,332)(199,314)(112,442)(265,752)Diapers - Child(128,500)(172,533)(171,334)(230,044)Diapers - Adult(391,280)(982,035)(521,706)(1,309,380)Total Conservation Loss(604,112)(1,353,882)(805,482)(1,805,176) DNR Feminine Hygiene(67,465)(159,451)(89,954)(212,601)Diapers - Child(102,800)(138,026)(137,067)(184,035)Diapers - Adult(313,024)(785,628)(417,365)(1,047,504)Total DNR Loss(483,289)(1,083,106)(644,386)(1,444,141) Total TSR Loss(20,418,980)(45,761,215)(27,225,307)(61,014,953) Local Funds Feminine Hygiene(3,008,959)(7,111,511)(4,011,946)(9,482,015)Diapers - Child(4,584,891)(6,155,980)(6,113,188)(8,207,973)Diapers - Adult(13,960,860)(35,039,022)(18,614,480)(46,718,696)Total Local Loss(21,554,711)(48,306,513)(28,739,614)(64,408,684) L.R. No. 0592S.01I
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Oversight notes officials from B&P and DOR have conducted independent research and both
assume the proposal will have a direct fiscal impact on state revenues. Oversight does not have
any information to the contrary. Therefore, Oversight will reflect a fiscal impact that could
exceed DOR’s estimated impacts in the fiscal note.
Lastly, notes this proposal includes a sales tax exemption for incontinence products
“designed specifically for hygiene matters related to urinary incontinence”. Oversight assumes
there could be additional exempt items aside from the diapers included in the estimates provided
by DOR and B&P. Therefore, Oversight will show an unknown loss of sales tax revenue for the
sales tax exemption of “incontinence products” for state and local funds beginning in FY 2026.
Officials from the Department of Health and Senior Services and the Department of Social
Services 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 both respective organizations.
Officials from the City of Kansas City assume this proposal would have a negative fiscal impact
on the City of Kansas City.
Oversight notes the above local political subdivisions stated this proposal would have a negative
fiscal impact on their respective city/county of an indeterminate amount. Therefore, Oversight
will note the DOR’s estimates for all local political subdivisions on the fiscal note.
Oversight notes that the Conservation Sales Tax funds are derived from one-eighth of one
percent sales and use tax of the Missouri Constitution, thus MDC’s sales taxes are constitutional
mandates. Oversight notes the proposed sales tax exemption would decrease the amount of sales
tax revenue distributed to the Conservation Sales Tax Fund. Therefore, Oversight will reflect the
B&P’s and DOR’s fiscal impact estimates for MDC’s funds.
Officials from the Department of Natural Resources defer to the Department of Revenue for
the potential fiscal impact of this proposal.
Oversight notes the Park, Soil, and Water Sales Tax funds are derived from the one-tenth of one
percent sales and use tax pursuant to Article IV Section 47 (a) thus DNR’s sales taxes are
constitutional mandates. Oversight notes the proposed sales tax exemption would decrease the
amount of sales tax revenue distributed to the Park, Soil, and Water Sales Tax Fund. Therefore,
Oversight will reflect the DOR’s fiscal impact estimates for DNR’s funds.
Officials from the Oversight Division
pursuant to Section 23.253 RSMo; however, Oversight is able to absorb the cost with the current
budget authority. L.R. No. 0592S.01I
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Rule Promulgation
Officials from the Joint Committee on Administrative Rules assume this proposal is not
anticipated to cause a fiscal impact beyond its current appropriation.
Officials from the Office of the Secretary of State (SOS) note many bills considered by the
General Assembly include provisions allowing or requiring agencies to submit rules and
regulations to implement the act. The SOS is provided with core funding to handle a certain
amount of normal activity resulting from each year's legislative session. The fiscal impact for
this fiscal note to the SOS for Administrative Rules is less than $5,000. The SOS recognizes that
this is a small amount and does not expect that additional funding would be required to meet
these costs. However, the SOS also recognizes that many such bills may be passed by the
General Assembly in a given year and that collectively the costs may be in excess of what the
office can sustain with its core budget. Therefore, the SOS reserves the right to request funding
for the cost of supporting administrative rules requirements should the need arise based on a
review of the finally approved bills signed by the governor.
FISCAL IMPACT – State GovernmentFY 2026
(9 Mo.)
FY 2027FY 2028GENERAL REVENUECosts - §§135.621 – Diaper Bank Tax
Credit p.3
Could Exceed
($149,382)
Could Exceed
($149,382)
Could Exceed
($149,382)
Revenue Reduction - §144.030
Exemption on child diapers p.5,9
Could Exceed
($1,719,656)
Could Exceed
($2,292,875)
Could Exceed
($2,292,875)
Revenue Reduction - §144.030
Exemption on adult diapers p.6,10
Could Exceed
($16,951,587)
Could Exceed
($22,602,116)
Could Exceed
($22,602,116)
Revenue Reduction - §144.030
Exemption on adult incontinent
products p.11,12(Unknown)(Unknown)(Unknown)
Revenue Reduction - §144.030
Exemption on feminine hygiene
products p.6,7,8
Could Exceed
($2,211,906)
Could Exceed
($2,949,208)
Could Exceed
($2,949,208)
ESTIMATED NET EFFECT ON
GENERAL REVENUE
Could Exceed
($21,032,531)
Could Exceed
($27,993,581)
Could Exceed
($27,993,581) L.R. No. 0592S.01I
Bill No. SB 95
Page 15 of 17
February 25, 2025
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FISCAL IMPACT – State GovernmentFY 2026
(9 Mo.)
FY 2027FY 2028SCHOOL DISTRICT TRUST FUNDRevenue Reduction - §144.030
Exemption on child diapers p. 5,9
Could Exceed
(573,219)
Could Exceed
($764,292)
Could Exceed
($764,292)
Revenue Reduction - §144.030
Exemption on adult diapers p.6,10
Could Exceed
($5,650,529)
Could Exceed
($7,534,039)
Could Exceed
($7,534,039)
Revenue Reduction - §144.030
Exemption on adult incontinent
products p.11,12(Unknown)(Unknown)(Unknown)
Revenue Reduction - §144.030
Exemption on feminine hygiene
products p.6,7,8
Could Exceed
($737,302)
Could Exceed
($983,069)
Could Exceed
($983,069)
ESTIMATED NET EFFECT ON
SCHOOL DISTRICT TRUST FUND
Could Exceed
($6,961,050)
Could Exceed
($9,281,400)
Could Exceed
($9,281,400)
PARKS AND SOILS STATE SALES
TAX FUNDS
Revenue Reduction - §144.030
Exemption on child diapers p.5,9
Could Exceed
($57,322)
Could Exceed
($76,429)
Could Exceed
($76,429)
Revenue Reduction - §144.030
Exemption on adult diapers p.6,10
Could Exceed
($565,053)
Could Exceed
($753,404)
Could Exceed
($753,404)
Revenue Reduction - §144.030
Exemption on adult incontinent
products p.11,12(Unknown)(Unknown)(Unknown)
Revenue Reduction - §144.030
Exemption on feminine hygiene
products p.6,7,8
Could Exceed
($73,730)
Could Exceed
($98,307)
Could Exceed
($98,307)
ESTIMATED NET EFFECT ON
PARKS AND SOILS STATE SALES
TAX FUNDS
Could Exceed
($696,105)
Could Exceed
($928,140)
Could Exceed
($928,140) L.R. No. 0592S.01I
Bill No. SB 95
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February 25, 2025
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FISCAL IMPACT – State GovernmentFY 2026
(9 Mo.)
FY 2027FY 2028CONSERVATION COMMISSION
FUND
Revenue Reduction - §144.030
Exemption on child diapers p.5,9
Could Exceed
($70,219)
Could Exceed
($93,626)
Could Exceed
($93,626)
Revenue Reduction - §144.030
Exemption on adult diapers p.6,10
Could Exceed
($706,316)
Could Exceed
($941,755)
Could Exceed
($941,755)
Revenue Reduction - §144.030
Exemption on adult incontinent
products p.11,12(Unknown)(Unknown)(Unknown)
Revenue Reduction - §144.030
Exemption on feminine hygiene
products p.6,7,8
Could Exceed
($92,163)
Could Exceed
($122,884)
Could Exceed
($122,884)
ESTIMATED NET EFFECT ON
CONSERVATION COMMISSION
FUND
Could Exceed
($868,698)
Could Exceed
($1,158,265)
Could Exceed
($1,158,265)
FISCAL IMPACT – Local GovernmentFY 2026
(9 Mo.)
FY 2027FY 2028LOCAL GOVERMENTRevenue Reduction - §144.030
Exemption on adult incontinent
products p.11,12(Unknown)(Unknown)(Unknown)
Revenue Loss - §144.030 Diaper &
Feminine Hygiene Product Sales Tax
Exemption* p.7
Could Exceed
($31,046,283)
Could Exceed
($41,395,043)
Could Exceed
($41,395,043)
ESTIMATED NET EFFECT ON
LOCAL GOVERMENT
Could Exceed
($31,046,283)
Could Exceed
($41,395,043)
Could Exceed
($41,395,043)
*Oversight reflects DOR’s totals L.R. No. 0592S.01I
Bill No. SB 95
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February 25, 2025
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FISCAL IMPACT – Small Business
Certain small businesses that sell feminine hygiene products and/or diapers could be impacted by
this proposal.
FISCAL DESCRIPTION
DIAPER BANK TAX CREDIT
Current law authorizes a tax credit for contributions made to diaper banks. This act modifies the
definition of "diaper bank" to require such entities to be a member of a national network
organization serving all fifty states through which certification demonstrates nonprofit best
practices, data-driven program design, and equitable distribution.
The tax credit sunsets on December 31, 2024. This act extends the sunset until December 31,
2031. (Section 135.621)
HYGIENE PRODUCTS SALES TAX EXEMPTION
This act authorizes a state sales tax exemption for the sale of diapers, incontinence products, and
feminine hygiene products, as such terms are defined in the act. (Section 144.030)
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
Office of Administration - Budget and Planning
Department of Health and Senior Services
Department of Revenue
Department of Natural Resources
Department of Social Services
City of Kansas City
Julie MorffJessica HarrisDirectorAssistant DirectorFebruary 25, 2025February 25, 2025