Date Requested: March 23, 2017
Time Requested: 09:59 AM
Agency: Insurance Commission
CBD Number: Version: Bill Number: Resolution Number:
3331 Originating Bill HB3108
CBD Subject:


7162, 7169

Sources of Revenue:

Special Fund

Legislation creates:

Neither Program nor Fund

Fiscal Note Summary

Effect this measure will have on costs and revenues of state government.

If enacted, House Bill 3108 will decrease the Worker's Compensation Old Fund revenues by an estimated $35,250,000 during fiscal year 2018. House Bill 3108 will permit the redirection, by Executive Order, of seventy-five percent (75%) of surcharges and assessments on workers' compensation policies, surcharges from self-insured employers and proceeds derived from net terminal income funds to the General Revenue Fund during fiscal year 2018.

Fiscal Note Detail

Effect of Proposal Fiscal Year
Fiscal Year
(Upon Full
1. Estmated Total Cost 0 0 0
Personal Services 0 0 0
Current Expenses 0 0 0
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 0 0
2. Estimated Total Revenues 0 -35,250,000 0

Explanation of above estimates (including long-range effect):

Total Estimated WC Old Fund Revenues FY2018: Video Lottery $11,000,000 Self-insured Debt Reduction Surcharge $ 9,000,000 Debt Reduction Surcharge* $27,000,000 Total FY2018 Revenues $47,000,000 75% of Revenue Redirected to General Revenue: Video Lottery $ 8,250,000 Self-Insured Debt Reduction Surcharge $ 6,750,000 Debt Reduction Surcharge $20,250,000 Total Redirected Revenue $35,250,000 * FY2016 debt reduction revenues for fully insured employers yielded $31.6 million, however FY2017 y-t-d revenues show decreased collections, due to a decrease of 14.7% in loss costs for employer premium rates which became effective on Nov. 1, 2016 and due to reduced payroll in some employer classifications.


If enacted, HB3108 will decrease Worker's Compensation Old Fund revenues in fiscal year 2018 by an estimated $35,250,000.

    Person submitting Fiscal Note: Melinda Ashworth Kiss
    Email Address: