This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SB 0498 - Mandatory School Attendance to Age Eighteen
L.R. NO.  2171-01
BILL NO.  SB 498
SUBJECT:  Schools, Elementary and Secondary:  Children and Minors
TYPE:     Original
DATE:     January 22, 1996

                              FISCAL SUMMARY


FUND AFFECTED                 FY 1997         FY 1998        FY 1999

General Revenue           ($44,538 to     ($70,939 to    ($72,769 to
                         $24,614,538)    $25,869,439)   $27,161,194)

Total Estimated
Net Effect on All         ($44,538 to     ($70,939 to    ($72,769 to
State Funds              $24,614,538)    $25,869,439)   $27,161,194)


FUND AFFECTED                 FY 1997         FY 1998        FY 1999

None                               $0              $0             $0

Total Estimated
Net Effect on All
Federal Funds                      $0              $0             $0


FUND AFFECTED                 FY 1997         FY 1998        FY 1999

Local Government               ($0 to          ($0 to            ($0
                         $15,904,000)    $16,699,200)   $17,534,160)

                              FISCAL ANALYSIS


Officials from the Department of Elementary and Secondary Education (DESE)
assume the proposal would result in no fiscal impact to the department.
However, they assume there could be an increase in the cost to fully fund the
foundation formula due to an increase in attendance.  Based on the 1990
census, about 13,000 students would be affected by increasing the compulsory
attendance age to eighteen.  The increased cost to fully fund the formula was
estimated by DESE as follows:

     13,000 x $3,500 (average cost per eligible pupil) x .90 (attendance) =

DESE states $3,500 is the cost of the formula per pupil when local deductions
are not increased.

At the local level, DESE assumes that 13,000 students would be affected by
increasing compulsory school attendance to age eighteen.   The instructional
cost for high school students is about $870 million or $3,500 per student.
Support services cost about $1,680 per student.  Therefore, DESE estimates
the added cost for keeping 13,000 high school students in school with no
decrease in spending per pupil for the 1993-94 school year would be:

     13,000 x ($3,500 + 1,680) = $67 million

DESE states some of the costs would be paid through increased state aid.  For
example, increased foundation formula funds (if the formula would be fully
funded) and redistribution of Proposition C, Fair Share, and Free Textbook
funds would help pay a portion of the increased local cost.  On average, DESE
assumes state aid (including Proposition C) accounts for 53.9% of school
district revenues according to the 1993-94 Report of the Public Schools of

DESE assumed in a response to similar legislation, the corresponding costs
would increase by 5% per year.  They state the increase includes not only
inflation, but also an increase in students.

Based on a response to previous, similar legislation, DESE assumed raising
the age of compulsory school attendance would affect approximately 7,800
students.  Based on the Oversight Division's review of the 1992-93 Report of
the Public Schools of Missouri, approximately 3,000 to 4,000 students drop
out by grade (for those in grades 9-12).   Increasing the age of school
attendance from 16 to 18 could impact approximately two grade levels of
dropouts (approximately 2 times 3,000 to 4,000).  The Oversight Division used
7,800, rather than 13,000 to estimate the increase in students required to
attend school and has ranged the total costs from zero, since the increase in
attendance would depend on the reduction in dropouts for this age group.

     Increase in Foundation Formula:
     7,800x$3,500(average cost per pupil)x.90(attendance)=$24,570,000
     Total Costs to School Districts:

Officials at the Department of Social Services (DOSS) - Research and
Evaluation Services assume that some children would be reported to the child
abuse/neglect hotline for educational neglect, since a parent's failure to
send children to school for as long as the law requires is a reportable
condition for a child abuse/neglect (CA/N) hotline call.

DOSS used the following staffing formulas to prepare the fiscal impact for
this fiscal note:

     -1 clerk typist for every 3 professional staff
     -1 supervisor I for every 6 children's services workers
     -CA/N investigations amount to 20 per month, 240 reports per year for
      each worker
     -Protective service cases are allocated 20 per month per worker

DOSS estimates the number of additional educational neglect hotline reports
that would result from the proposed legislation by looking at the number of
reports for 1994, which they state is the last available year of total
reports.  There were 2,188 reports of educational neglect received, of which
72 were for children age 5; 1,078 were for children ages 6-11; and 1,038 were
for children ages 12-17 (although 16 and 17 year olds were not included as
current law does not require them to be in school).  To estimate the number
of 16 and 17 year olds upon whom educational neglect hotline reports would be
received, DOSS used 1,038 divided by 4 to get 259.5 children per each year
group.  Two (for the 16 and 17 year old groups) times 259.5 equals 519
additional educational neglect hotline reports that would be received.
Assuming there are 1.2 children per family, 432.5 families would be
investigated (519/1.2).  432.5 family reports divided by 240 reports per year
per worker = 1.80 children services workers needed to do 519 additional
hotline reports.

DOSS states that families are offered protective services when a report is
investigated and found  to have "probable cause", and also when the
investigative conclusion is "unsubstantiated- preventive services indicated"
(PSI).  1994 data indicates that the Division found probable cause in 22% of
the investigations, and PSI in another 9%, for a total of 31%  in which
services are  offered.  31% x 432.5 families equals 134.08 cases in which
protective services would be provided.  DOSS assumes for the purpose of this
fiscal note that these educational neglect protective service (PS) cases
would be open for six months.  Therefore, 3.352 children services workers
would be needed to provide protective services (134.08 PS cases divided by 20
cases per  worker divided by 2 (cases left open for 6 months) = 3.352).  They
assume that none of the cases would be so serious as to warrant placement in
foster care.

DOSS assumes .858 FTE social services supervisor I would be needed (1.80 +
3.352 workers divided by 6) and 2.00 FTE clerk typists (6.01/ 3 = 2.00) to
support the additional professional staff of 6.01 (1.8+3.352+.858).

DOSS  assumes truancy would be another aspect to consider.  They state
truancy is a status offense, for which the Juvenile Court could give the
Division custody for purposes of foster placement and services.  However, the
Division has no way of knowing how many 16 and 17 year olds would be
determined truant under the proposed legislation.  The Juvenile Court would
be unable to take jurisdiction over 17 year olds, as its statutory authority
only extends through age 16.   DOSS believes that it would be a rare
situation in which a 16 year old's truancy would warrant a child's removal
from parents for the purpose of foster care placement.  Therefore, the
Division assumes that the fiscal impact regarding truancy would be
negligible.  If that assumption would be in error, or if the decision would
be made for the Division to provide services to 16 and 17 year old truants
without a court order, the Division would need an increased appropriation to
support the proposed legislation.

DOSS assumes total staff needed to implement the proposed legislation would
     5.152 Children's Services Workers ($22,260, each, annually)
     .858 Social Services Supervisor I ($23,148, annually)
     2.0 Clerk-Typists ($15,624, annually)

The Oversight Division assumes that since the proposal provides exemptions
for children in the military or marriage with at least one child, the
caseload could be significantly reduced.  Therefore, only two Children
Services Workers are included in the fiscal impact ($22,260).  The clerical
work and supervisory work could be absorbed by the department's existing

Officials from the Department of Social Services-Division of Youth Services
(DYS) assume, on the optimistic side, the bill could cause more youth to
graduate from school, and thus reduce the state's dropout rate.  They assume,
on the pessimistic side, the Division deals with a large number of youth who
have extreme difficulties with education, and the bill could impact the
number of youth who would be revoked due to non-school attendance, and could
increase commitment to the Division of Youth Services.  They state that in FY
1995, twenty-eight youths under age 16 were committed to DYS for truancy.
The dropout rate increases with age, as stated in the DESE 1994-95 annual
report on dropouts.  The Division therefore believes that between  15 and 20
additional 16 year old youth could be committed annually if the proposal
would become law.

DYS assumes that in order to accommodate the additional 15-20 youth, they
would need 1 FTE Youth Group Leader ($23,148), 2 FTE Youth Specialists
($21,468, each, annually), 1 FTE Special Education Teacher II ($27,072), .50
FTE Clerk Steno III ($18,036, annually) and .50 Cook II ($16,164, annually).

In addition, DYS assumes they would need the following equipment in FY 97:
     start-up education equipment per site   $21,574
     van                                      21,200
     car                                      16,400
     telephone installation                    1,350
     office equipment (prof. staff)            2,860
     office equipment (clerical staff)         1,405
     computer equipment                        4,140
     modem/controller                          8,425
     Total Equipment                         $77,354

DYS also assumes they would incur costs for operations, food,
textbooks/school supplies, training for new staff, office supplies,
utilities/trash, food for evenings and weekends, activity money, student
transportation, and rent.

The Oversight Division assumes the 15-20 youths would be spread over the 33
facilities that offer education programs by DYS.  Therefore, any costs for
new facilities (all FTE and equipment totalling $77,354) would be eliminated.
Oversight also assumes since the DYS education facilities obtain state aid
through the state foundation formula based on students and attendance, they
would receive approximately $3,500 per additional student in state aid,
assuming full funding of the state foundation formula.  Oversight Division
understands from DESE that DYS facilities are already included in DESE's
estimate of the cost to fully fund the foundation formula.  Therefore, the
Oversight Division assumes the DYS costs are included in DESE's estimate, and
Oversight has not included any additional costs in the fiscal impact for
DYS.  The Oversight Division has broken out the DYS portion from DESE's costs
in the state fiscal impact based on 20 students at $3,500 per student in
state aid ($70,000).

FISCAL IMPACT - State Government    FY 1997        FY 1998        FY 1999
                                   (10 Mo.)

  Fully-Funded Foundation Formula       ($0            ($0            ($0
                                         to             to             to
                               $24,500,000)    25,725,000)   $27,011,250)
 Cost-DOSS-Division of Youth Services
  Instructional Costs-Foundation
     Formula                             (0             (0               0
                                         to             to              to
                                    70,000)        73,500)         77,175)
Cost-DOSS-Division of Family Services
  Personal Service (2 FTE)         (22,260)       (45,633)        (46,774)
  Fringe Benefits                   (6,843)       (14,028)        (14,378)
  Expense and Equipment            (15,435)       (11,278)        (11,617)
Total Cost-Division of
     Family Services               (44,538)       (70,939)        (72,769)

GENERAL REVENUE                    ($44,538       ($70,939        ($72,769
                                         to             to              to
                               $24,614,538)   $25,869,439)    $27,161,194)

FISCAL IMPACT - Local Government    FY 1997        FY 1998         FY 1999
                                   (10 Mo.)
Income-School Districts
  Fully-Funded Foundation Formula        $0             $0              $0
                                         to             to              to
                                $24,500,000    $25,725,000     $27,011,250
Cost-School Districts
  Instructional and Support Services    ($0            ($0             ($0
                                         to             to              to
                               $40,404,000)   $42,424,200)    $44,545,410)
LOCAL GOVERNMENT                        ($0            ($0             ($0
                                         to             to              to
                               $15,904,000)   $16,699,200)    $17,534,160)


The proposal would require children not more than age eighteen to be enrolled
in and regularly attend a program of academic instruction, unless the child
graduated from high school.

The proposal would permit a child at least fourteen years of age to be
excused from school attendance upon joining a branch of the military or
marriage with at least one child.

Children under eighteen years of age, lawfully employed, could attend classes
part-time, at least four hours per week (current law applies to children
under sixteen years of age).

The proposal would allow school boards to establish an alternative school or
one or more classes for students disruptive in school.  The school board
could require the students to attend the alternative school or classes.  The
school boards from one or more districts could cooperate to operate the
alternative school or classes.  The school boards would operate the schools
or classes with the primary objectives of basic education, graduation and
return to the regular school system of the students.

This legislation is not federally mandated, would not duplicate any other
program and would not require additional capital improvements or rental


Department of Elementary and Secondary Education
Department of Social Services