COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION

FISCAL NOTE

L.R. No.:         3377-01

Bill No.:          SB 751

Subject:           Federal-State Relations; Immigration, Public Assistance

Type:              Original

Date:               February 5, 2008

Bill Summary:            This legislation requires applicants to prove citizenship, permanent residence, or lawful presence in order to receive state or local public benefits.

FISCAL SUMMARY

Numbers within parentheses: ( ) indicate costs or losses.

This fiscal note contains 6 pages.

☐ Estimated Total Net Effect on All funds expected to exceed $100,000 savings or (cost).

☐ Estimated Net Effect on General Revenue Fund expected to exceed $100,000 (cost).

FISCAL ANALYSIS

ASSUMPTION

Officials from the Office of the State Courts Administrator, Department of Economic Development, Linn State Technical College, Department of Higher Education, Office of Administration, Lincoln University, Department of Revenue, Department of Public Safety, Office of the Secretary of State, Department of Labor and Industrial Relations, Metropolitan Community College, Department of Social Services and the Department of Insurance, Financial Institutions & Professional Registration each assume the proposal would have no fiscal impact on their respective agencies.

Officials from the Office of the Attorney General assume any potential costs arising from this proposal can be absorbed with existing resources.

Officials from the Missouri State University assume no major financial impact on their agency. Students pay out of state tuition and are generally not eligible for aid. The cost of monitoring would be minimal.

Officials from the Truman State University states that Truman State University is unable to determine a fiscal impact.

Oversight assumes the Truman State University could absorb the additional caseload that may result from this proposal within existing resources.

Officials from the University of Central Missouri (UCM) assume the proposal would have a fiscal impact of $51,984 in order to hire 2 office professionals to screen applicants. This new staffing would be necessary in order to adequately screen all applicants to the University; UCM's current system is already set up to screen before financial aid is granted, but not before scholarships, graduate assistantship or other aid resulting solely from the application process, is awarded.

Oversight assumes the UCM could absorb the additional caseload that may result from this proposal within existing resources. Therefore, oversight assumes the UCM could absorb two FTE.

ASSUMPTION (continued)

Officials from the University of Missouri (UM) assume to require each applicant to the UM to submit the proofs of citizenship would not be possible. International students do not get their verification for admission to the United States until after they have been accepted at a college or university. UM currently check all of our international students to make sure they have the proper documentation, but this is done when they arrive on campus.

Adding proof of citizenship to the application processing will cause a decrease in our yield of enrolled students because it will increase processing time and because the requirement will be viewed as intrusive. Further, UM will no longer be able to accept electronic applications. Some individuals will not want to mail documents such as a birth certificate or passport.

UM estimates the cost to the UM for a significant decrease in enrollment and cost of processing to be over $40,000,000.

UMC – new employees (3) – 2 @ 20,000 plus benefits = $51,600

                                               1 @ 18,000 plus benefits = $23,220

UMKC – new employees (3) – 2 @ 20,000 plus benefits = $51,600

                                                 1 @ 18,000 plus benefits = $23,220

UMR – new employees (3) – 2 @ 20,000 plus benefits = $51,600

                                               1 @ 18,000 plus benefits = $23,220

UMSL – new employees (3) – 2 @ 20,000 plus benefits = $51,600

                                                 1 @ 18,000 plus benefits = $23,220

Material usage $6,730

Oversight assumes, because the potential for a decrease in student enrollment is speculative, that the UM will not incur significant costs related to this proposal. If a fiscal impact were to result, the UM may request additional funding through the appropriations process.

Oversight assumes the UM could absorb the additional caseload that may result from this proposal within existing resources. Therefore, oversight assumes the UM could absorb the requested FTE.

ASSUMPTION (continued)

Officials from the Department of Health and Senior Services (DHSS) state this proposal requires applicants to prove citizenship, permanent residence, or lawful presence in order to receive state or local public benefits. The DHSS has four General Revenue funded programs, Alternatives to Abortion, State Only In-Home Program, Non-MO HealthNet Eligible (Non-Medicaid) Program, and the Naturally Occurring Retirement Communities Program, that would be impacted by this legislation. The Department assumes the program contractors will be required to verify lawful presence to all recipients prior to administering services, therefore there is no impact to the department.

FISCAL IMPACT - Small Business

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

FISCAL DESCRIPTION

The proposed legislation appears to have no fiscal impact.

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 the Attorney General

Department of Higher Education

Office of Administration

Office of the State Courts Administrator

Department of Economic Development

Department of Insurance, Financial Institutions & Professional Registration

Department of Labor and Industrial Relations

Department of Revenue

Department of Public Safety

Office of the Secretary of State

Linn State Technical College

Lincoln University

Missouri State University

Truman State University

University of Central Missouri

Metropolitan Community College

Department of Social Services

University of Missouri

Department of Health and Senior Services

                                                                                                Mickey Wilson, CPA

                                                                                                Director

                                                                                                February 5, 2008