SB 0770 - Fiscal Note

Fiscal Note - SB 0770 - Requires national accreditation for religious organizations claiming a child care license exemption

COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION

FISCAL NOTE

L.R. NO. 3350-01

BILL NO. SB 770

SUBJECT: Children and Minors: Licenses - Miscellaneous

TYPE: Original

DATE: February 2, 1998

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FISCAL SUMMARY

ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED	FY 1999	FY 2000	FY 2001
None
Total Estimated Net Effect on All State Funds	$0	$0	$0

ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED	FY 1999	FY 2000	FY 2001
None
Total Estimated Net Effect on All Federal Funds	$0	$0	$0

ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED	FY 1999	FY 2000	FY 2001
Local Government	$0	$0	$0

Numbers within parentheses: ( ) indicate costs or losses

This fiscal note contains 3 pages.

FISCAL ANALYSIS

ASSUMPTION

Officials from the Department of Health and the Department of Mental Health assume this proposal would not fiscally impact their agencies.

Department of Social Services (DOS) officials state there is no fee for a potential Residential Child Care Agency throughout the licensing process. DOS states that Residential Child Care Agency accreditation by an accrediting agency is, typically, very expensive. DOS states the Missouri Child Care Association estimates that there are four hundred to five hundred emotionally disturbed children residing in a minimum of seven to eight religiously exempt Residential Child Care Agencies. DOS anticipates that most and possibly all of the unlicensed Residential Child Care Agencies would opt for the licensure program. DOS further states that it is possible that a few may opt for both licensure and accreditation by an accrediting agency. DOS also anticipates that there would be new agencies in the future that would otherwise have had a religious exemption that would need to go through with the accreditation or licensure program or would opt for both. DOS assumes one (1) FTE Regional Licensing Consultant ($36,528) would be needed to seek out the current Residential Child Care Agencies that have had religious exemption and discuss the options with the same. DOS states the Consultant would need to provide technical services throughout the initial licensure process. DOS states the Consultant would then provide technical assistance in the supervisory and license renewal process, visiting the Residential Child Care Agencies a minimum of of two times per year, conducting on-site inspections, monitoring compliance with DOS rules, and providing technical consultation on an as needed basis. Expenses ($11,793) would include travel expenses, office and communication expenses, and rent and utilities for one FTE. Equipment ($7,783) would include office furniture and a computer for one FTE.

Oversight assumes no additional FTE would be needed for the initial license application and future renewal applications of seven or eight exempt facilities. Oversight assumes that the DOS' current licensing and inspection program could absorb these additional license applications and future renewal applications.

FISCAL IMPACT - State Government	FY 1999	FY 2000	FY 2001
	(10 Mo.)
	$0	$0	$0
FISCAL IMPACT - Local Government	FY 1999	FY 2000	FY 2001
	(10 Mo.)
	$0	$0	$0
FISCAL IMPACT - Small Business

Small businesses would be expected to be fiscally impacted to the extent that they would incur additional administrative costs for licensing and/or additional accreditation costs due to the requirements of this proposal.

DESCRIPTION

This proposal would require national accreditation for religious organizations claiming an exemption from care facility licensure. Foster homes, residential care facilities, and child placement agencies would need to be operated by a religious order accredited by a national accrediting agency in order to claim a church related exemption.

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 Health

Department of Social Services

Department of Mental Health

Jeanne Jarrett, CPA

Director

February 2, 1998