FISCAL NOTE
Date Requested: January 29, 2015 Time Requested: 12:01 PM |
Agency: |
Legislative Auditor |
CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
2208 |
Introduced |
HB2514 |
|
CBD Subject: |
Boards and Commissions |
---|
|
FUND(S):
Sources of Revenue:
General Fund
Legislation creates:
Neither Program nor Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The bill organizes all state actuary services under the Office of the Legislative Auditor. Currently, the State employs one actuary and 2 actuary analysts. In FY 2014, those employees received $288,946 in salary and benefits. Additionally, in FY 2013, the State contracted out at least $321,000 in actuarial services.
It is assumed that those employees will be transferred to the Office of the Legislative Auditor. Additionally, the Office of the Legislative Auditor will employ an additional actuary for a total of 2 actuaries and 2 actuary analysts.
Fiscal Note Detail
Effect of Proposal |
Fiscal Year |
2015 Increase/Decrease (use"-") |
2016 Increase/Decrease (use"-") |
Fiscal Year (Upon Full Implementation) |
1. Estmated Total Cost |
0 |
-100,270 |
-100,270 |
Personal Services |
0 |
288,946 |
288,946 |
Current Expenses |
0 |
-287,668 |
-287,668 |
Repairs and Alterations |
0 |
0 |
0 |
Assets |
0 |
0 |
0 |
Other |
0 |
0 |
0 |
2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
Currently, the State pays approximately $609,946 in actuarial services for 3 employees (1 actuary and 2 actuary analysts) and contractual arrangements with vendors. It is estimated that the Bureau of Actuarial Services would have 2 actuaries at a salary of $136,824 each and 2 actuary analysts at a salary of $46,123 each. Salary and benefits would total $476,344. Expenses for the employees are estimated to be $33,332. Total increased expenses to the Joint Committee on Government and Finance are estimated to be approximately $509,675. Estimates are based on the fact that all actuarial services will be conducted by Office of the Legislative Auditor employees and would not have to be contracted out.
Memorandum
The actuary and actuary analyst salaries were based on the current salaries of the employees at the Consolidated Public Retirement Board. While expenses will increase to the Joint Committee on Government and Finance, expenses would decrease for the Consolidated Public Retirement Board and other agencies utilizing actuarial services. It is estimated that expenses to the State would decrease by $100,270.
Current expenses in the Fiscal Note Detail were calculated by taking the FY 2013 estimated costs for contracted actuarial services ($321,000) and subtracting the Office of the Legislative Auditor's estimated expenses for 4 employees ($33,332).
Person submitting Fiscal Note: Denny Rhodes
Email Address: denny.rhodes@wvlegislature.gov