SCS/HCS/HBs 1519 & 1165 - This act: (1) would change the calculation of reenlistment pay for National Guard members; (2) would modify educational assistance requirements for National Guard members; (3) would include honorably discharged National Guardsmen for the purposes of admittance to veterans' homes and burial in veterans' cemeteries; (4) would establish a "Missouri National Guard Trust Fund", a portion of which is to be funded by part of the net proceeds from the Gaming Commission Fund; (5) allows for a Uniformed Honor Detail to attend and render services for anyone entitled to military honors at their burial, internment or memorial service; (6) authorizes the Veterans' Commission Capital Trust Improvement Fund to transfer funds for veterans homes and cemeteries, to maintain the solvency of the Missouri Veterans' Homes Fund and to restore the Kansas City Liberty Memorial and other Missouri War memorials; (7) establishes an "Early Childhood Development, Education and Care Fund" which is funded by part of the net proceeds from the Gaming Commission Fund; (8) establishes the Missouri College Guarantee Program, which is funded by part of the net proceeds from the Gaming Commission Fund; and (9) makes other modifications to who receives transfers of net proceeds from the Gaming Commission Fund.

DISTRIBUTION OF THE GAMING COMMISSION FUND. Currently, through July 1, 2000, unencumbered funds of the Gaming Commission Fund are transferred to the Veterans' Commission Capital Improvement Trust Fund.

This act provides that, for Fiscal Year 1998 and prior years, remaining net proceeds (total revenues less total expenditures and total transfers) shall be distributed to the Veterans' Commission Capital Improvement Trust Fund. Beginning with Fiscal Year 1999, remaining net proceeds in the Gaming Commission Fund shall be distributed as follows:

$3 Million to the Veterans' Commission Capital Improvement Trust Fund;

$3 Million to the Missouri National Guard Trust Fund;

$3 Million to the Missouri College Guarantee Fund;

All remaining net proceeds go to the Early Childhood Development, Education and Care Fund. If such remaining net proceeds exceed $27 Million, $1.5 Million shall be transferred, subject to appropriation to the Missouri College Guarantee Fund.

VETERANS' COMMISSION CAPITAL IMPROVEMENT TRUST FUND. For fiscal years 1998 and prior years, remaining net proceeds (total revenues less total expenditures and total transfers) shall be distributed to the Veterans' Commission Capital Improvement Trust Fund. The Veterans' Commission Capital Improvement Trust Fund is authorized to make fund transfers for construction, maintenance, renovation or equipment needs of veterans' homes and veterans' cemeteries, to the Missouri Veterans' Homes Fund to maintain the solvency of that fund, and to the Kansas City Liberty Memorial Fund for the restoration, renovation and maintenance of the Liberty Memorial and museum. Transfers to the Liberty Memorial Fund shall not exceed $5 million as a one-time match. Additionally, up to $2 million is authorized for other Missouri War memorials and applications are due no later than July 1, 2000.

The General Assembly may appropriate moneys in the Veterans' Commission Capital Improvements Trust Fund to the Missouri National Guard Trust Fund for burial, internment and memorial services performed by the uniformed honor detail, upon request of the Veterans' Commission.

Additionally, under current law, unencumbered funds transferred to the Veteran's Commission Capital Improvement Trust Fund may be used only for construction, maintenance or renovation of veterans homes and cemeteries. This act allows such funds to be used also for equipment needs of veterans' homes and cemeteries, and for the operation of the cemeteries.

NATIONAL GUARD. The maximum payment for the reenlistment bonus and gratuity would be changed from set dollar amounts to amounts equivalent to a designated number of months' pay. The gratuity would be available only to members extending their initial enlistment.

Provisions regarding GPA are modified and "educational assistance" replaces all references to "scholarships". Currently, a National Guard member must have had a GPA of 2.5 or higher in secondary school and be a National Guard member for at least one year to be eligible for a scholarship. This act removes such provision and instead requires the 2.5 GPA to be maintained at the institution the member is attending, with probation provisions for educational assistance. Residency and financial need requirements for National Guard scholarships would be removed. Part-time students would be eligible for educational assistance. National guard educational assistance grants may be pro-rated subject to appropriations in an amount no less than 50% of the limits provided.

This act would establish a "Missouri National Guard Trust Fund" which would receive state and federal funds, as well as funding from private sources. Missouri taxpayers could designate a minimum of $2 on their state income tax returns to be credited to the Fund, and such moneys shall be placed in a sub-account to be used solely for uniformed honor details. Names and addresses of persons who credit money from their tax returns may be provided to the Office of the Adjutant General for acknowledgment purposes only (Class C felony to use for other purposes). Money appropriated from the General Assembly shall be used only the purposes of Chapter 41, RSMo (military forces) by Office of the Adjutant General. Until the Fund exceeds $1 million, only one- half of money deposited in the fund may be disbursed.

EARLY CHILDHOOD. This act would establish an "Early Childhood Development, Education and Care Fund", which, subject to appropriation, would be funded by part of the net proceeds in the Gaming Commission Fund, beginning in Fiscal Year 1999. This newly established Fund would be used to prepare children to enter school. Funding is distributed as follows:

-No less than 60% of such funds shall be appropriated for competitive grants and contracts program with governmental and private agencies. The Department of Elementary and Secondary Education and the Department of Social Services shall each administer the program. 80% of such grant funds shall be appropriated to the Department of Elementary and Secondary Education, and additional moneys as appropriated by the General Assembly. The remaining 20% of such grant funds shall be appropriated to the Department of Social Services. Minimum requirements for grants and grant applications are detailed. The Department of Elementary and Secondary Education and the Department of Social Services shall conduct a four-year study on early childhood development, education and care. Public schools applying for the early childhood development, education and care program shall establish a parent advisory committee within each public school program.

-No less than 10% of the Early Childhood Development, Education and Care Fund shall be appropriated to the Department of Social Services to fund childhood development, education and care programs by providing certificates to eligible families whose income is less than or equal to 185% of the federal poverty level. The certificates are set at a minimum value per child, based on a sliding parental fee schedule determined by income. On February first of every year, the Department certifies the total amount of certificates applied for and the remaining balance shall be released to supplement the competitive grants and contracts program detailed in the paragraph above.

-No less than 10% of the Early Childhood Development, Education and Care Fund shall be appropriated to the Department of Social Services to increase reimbursements to accredited child care facilities for low income children.

-No less than 10% of the Early Childhood Development, Education and Care Fund shall be appropriated to the Department of Social Services to provide assistance through certificates to eligible parents who care for their children under three years of age in the home, whose family income is less than or equal to 185% of the federal poverty level. The certificates are set at a minimum value per child, based on a sliding parental fee schedule determined by income. The Department shall provide assistance to such parents in using effective Early Childhood Development, Education and Care tools and methods.

The value of parental certificates awarded through the Early Childhood Development, Education and Care Fund may be increased if the following requirements are met: (1) The adult caretaker successfully participates in the Parents as Teachers Program, a training program provided by the Department of Social Services, the home-based Head Start Program, or a similar program approved by the Department; (2) The adult caretaker consents to and clears a child abuse or neglect screening; and (3) the degree of economic need shown.

The Department of Elementary and Secondary Education and the Department of Social Services shall each establish guidelines by rule for the implementation of the early childhood development, education and care programs. Any rule promulgated under this authority shall become effective only if the agency has fully complied with the requirements of Chapter 536, RSMo. All rulemaking authority delegated prior to the effective date of this act has no force and effect and is repealed, however, the validity of any rule adopted and promulgated prior to the effective date of this act is not interpreted to be repealed. The General Assembly has authority under Section 536.028, RSMo, to review, delay, or disapprove and annul any rule or part of a rule held unconstitutional or invalid.

MISSOURI COLLEGE GUARANTEE PROGRAM. This act establishes the Missouri College Guarantee Program. Beginning with Fiscal Year 1999, funds from distributions from the Gaming Commission Fund and additional moneys as appropriated by the General Assembly shall be placed in the Missouri College Guarantee Fund, created by this act. Moneys placed in the fund shall be used to provide Missouri College Guarantee Scholarships.

The scholarships shall begin in the Fall 2000 school term. Any part of these funds may also be appropriated each year to fund Graduate Bright Flight scholarships in areas of need under Section 173.727, RSMo. Upon a recommendation by the Coordinating Board for Higher Education, some of the funds may be given as grants to institutions which apply and demonstrate how the institution will provide a mentoring program to ensure that scholarship recipients who are at risk have a positive educational experience.

To receive a scholarship, an applicant shall satisfy the following requirements:

1) Financial need test using the standards for the Missouri Student Grants Program, 2) GPA of 2.5 or higher on high school core curriculum, 3) High school curriculum must be college or technical preparatory, 4) Minimum ACT test score of 20 or SAT composite of 950, 5) No criminal record, 6) Participation in extracurricular activities, 7) Enrollment and acceptance within two years of graduation, 8) Maintain satisfactory progress (to maintain scholarship), 9) Maintain a GPA of 2.5 or higher while attending the institution, with probation provisions if the GPA falls below 2.5.

The scholarships may be used at public or private institutions in Missouri. The amount of the scholarship shall be for tuition, books and materials, but the maximum amount of the scholarship shall be equal to the cost of tuition, books and materials for attending the largest enrollment campus of the University of Missouri if a more expensive school. The scholarship shall and shall be reduced by the amount of other federal and state scholarship funds received by the student which can be used for the same purposes.

The portion of this act addressing the Missouri College Guarantee Program is nearly identical to SB 397 (1997).

This act is similar to SB 767 (1998).
MARGARET J. TOALSON