COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION



FISCAL NOTE



L.R. No.: 0574-10

Bill No.: Perfected SS for SCS for SB 265

Subject: Teachers; Education, Elementary and Secondary; Education, Higher; Elementary and Secondary Education Dept

Type: Original

Date: February 27, 2003




FISCAL SUMMARY



ESTIMATED NET EFFECT ON GENERAL REVENUE FUND
FUND AFFECTED FY 2004 FY 2005 FY 2006
Total Estimated

Net Effect on

General Revenue

Fund

$0 $0 $0



ESTIMATED NET EFFECT ON OTHER STATE FUNDS
FUND AFFECTED FY 2004 FY 2005 FY 2006
Excellence in Education Revolving Fund ($199,370 to $318,992) $0* $0*
Total Estimated

Net Effect on Other

State Funds

($199,370 to $318,992) $0 $0

*Offsetting costs and income expected to be in excess of $100,000



Numbers within parentheses: ( ) indicate costs or losses.

This fiscal note contains 4 pages.











ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED FY 2004 FY 2005 FY 2006
Total Estimated

Net Effect on All

Federal Funds

$0 $0 $0



ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED FY 2004 FY 2005 FY 2006
Local Government $0 $0 $0




FISCAL ANALYSIS



ASSUMPTION



Officials from the Department of Higher Education and the Department of Public Safety - Missouri State Highway Patrol stated that this proposal would have no fiscal impact on their agencies.



The Department of Elementary and Secondary Education (DESE), in response to a similar proposal from this session, estimated that 51,000 teachers would be eligible for the career continuous professional certification the first year following passage of the proposal. DESE now charges $10 for a replacement certificate and estimates a cost of $15-$18 for replacing the certificate. In FY 2004, DESE plans to charge $10 for the new career continuous professional certification and will therefore incur a cost to DESE estimated from $255,000 to $408,000. DESE estimates that there will be approximately 8,000 teachers newly eligible for the career continuous professional certification annually after the initial year. Income and costs will be offsetting, but are expected to exceed $100,000.



Oversight assumes, based on the additional level of certification provided for in this proposal and a summary of teacher tenure and experience (2000-2001) provided by DESE, the number of eligible teachers for the career continuous professional certification would be reduced. Of the 64,817 teachers employed as of the 2000-2001 school year, 25,943 had between 1-4 years of experience. Although there could be eligible candidates not currently teaching, Oversight ASSUMPTION (continued)



assumes, for fiscal note purposes, that the maximum number of teachers that might pursue career continuous professional certification would be 39,874. Based on this number, DESE costs above the $10 fee collected would be between $199,370 and $318,992 for FY 2004.



FISCAL IMPACT - State Government FY 2004

(10 Mo.)

FY 2005 FY 2006
EXCELLENCE IN EDUCATION REVOLVING FUND
Income - Fees for Certificates







$398,740
(Unknown - Expected to Exceed $100,000) (Unknown - Expected to Exceed $100,000)
Cost - Department of Elementary and Secondary Education - Costs of issuing Certificates







($598,110 to $717,732)




(Unknown - Expected to Exceed $100,000)




(Unknown - Expected to Exceed $100,000)
ESTIMATED NET EFFECT ON EXCELLENCE IN EDUCATION REVOLVING FUND



($199,370 to $318,992)






$0






$0


FISCAL IMPACT - Local Government FY 2004

(10 Mo.)

FY 2005 FY 2006
$0 $0 $0



FISCAL IMPACT - Small Business



No direct fiscal impact to small businesses would be expected as a result of this proposal.









DESCRIPTION



This proposal provides for three levels of professional certification for teachers: an initial four year professional certificate, a renewable professional certificate, and a career continuous profession certificate. A fee, not to exceed cost of issuance, shall be charged for the career continuous professional certificate.



The proposal adds reactivation procedures for teachers who have not been in an educational position for three years or more.



The proposal also mandates that the State Board issue a professional certificate classification most closely aligned to applicant's current areas of certification to any person, upon an appropriate background check, who is hired to teach in a public school in this state and who possesses a valid teaching certificate from another state. The certificate-holder must annually complete requirements for that level of certification.



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

Department of Elementary and Secondary Education

Department of Higher Education

Department of Public Safety

Missouri State Highway Patrol

Mickey Wilson, CPA

Director

February 27, 2003