Fiscal impact reports (FIRs) are prepared by the Legislative Finance Committee (LFC) for standing finance
committees of the Legislature. LFC does not assume responsibility for the accuracy of these reports if they
are used for other purposes.
F I S C A L I M P A C T R E P O R T
SPONSOR Campos
LAST UPDATED
ORIGINAL DATE 2/25/2025
SHORT TITLE
Pre-K Through 3
rd
Grade Online Math and
Reading
BILL
NUMBER Senate Bill 416
ANALYST Klundt
APPROPRIATION*
(dollars in thousands)
FY25 FY26
Recurring or
Nonrecurring
Fund
Affected
$1,000.0 Recurring General Fund
Parentheses ( ) indicate expenditure decreases.
*Amounts reflect most recent analysis of this legislation.
ESTIMATED ADDITIONAL OPERATING BUDGET IMPACT*
(dollars in thousands)
Agency/Program
FY25 FY26 FY27
3 Year
Total Cost
Recurring or
Nonrecurring
Fund
Affected ECECD $160.0 $160.0 $320.0 Recurring General Fund
Parentheses ( ) indicate expenditure decreases.
*Amounts reflect most recent analysis of this legislation.
Sources of Information
LFC Files
Agency Analysis Received From
Early Childhood Education and Care Department (ECECD) Public Education Department (PED)
SUMMARY
Synopsis of Senate Bill 416
Senate Bill 416 (SB416) appropriates $1 million from the general fund to the Early Childhood
Education and Care Department (ECECD) for the purpose of online math and reading support
for students in prekindergarten through third grade.
This bill does not contain an effective date and, as a result, would go into effect 90 days after the
Legislature adjourns if enacted, or June 20, 2025.
FISCAL IMPLICATIONS
The appropriation of $1 million contained in this bill is a recurring expense to the general fund.
Any unexpended or unencumbered balance remaining at the end of FY26 shall revert to the
general fund. Although Senate Bill 416 does not specify future appropriations, establishing a Senate Bill 416Senate Bill 416 – Page 2
new grant program could create an expectation the program will continue in future fiscal years;
therefore, this cost is assumed to be recurring.
ECECD notes the department would need 2 FTE at an estimated cost of $160 thousand annually
to implement the purpose of this bill. LFC assumes a portion of the appropriation in this bill
would be used for this administrative cost.
SIGNIFICANT ISSUES
ECECD notes kindergarten through third grade is under the administration of the Public
Education Department (PED). A memorandum of understanding or agreement (MOU or MOA)
would need to be developed to transfer funds to support online reading and math support,
including professional development and materials. The department also believes a formula would
need to be determined to allocate a cost per child to ensure equitable distribution of the funds
between ECECD and PED. The MOU or MOA would also need to address any data sharing,
reporting, and management or any other information that might be required to measure and
demonstrate outcomes.
KK/hj/SL2