FISCAL NOTE
Date Requested: January 15, 2024
Time Requested: 04:51 PM |
| Agency: |
Highways, Division of |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 1153 |
Introduced |
HB4730 |
|
|---|
| CBD Subject: |
|
|---|
|
FUND(S):
State Road Fund
Sources of Revenue:
Special Fund
Legislation creates:
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
Summarize in a clear and concise manner what impact this measure will have on costs and revenues of state government.
House Bill 4730 is requiring the West Virginia Division of Highways (DOH) to develop a formula for the allocation and distribution of road funds to each county. The bill defines "Road Funds" as federal or state funds appropriated or otherwise available to the DOH for new construction, maintenance and new capacity improvements. The DOH utilizes both federal and state revenues for construction, operation and maintenance of the State Road Network. Federal monies used by the DOH have restrictions to certain activities and asset management goals. These are not amenable to county specific goals. DOH State Funds for maintenance are distributed based on a formula that accounts for some of the parameters identified in the Bill.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2024
Increase/Decrease
(use"-") |
2025
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 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 |
0 |
0 |
Explanation of above estimates (including long-range effect):
Please explain increases and decreases in personal services, current expenses, repairs and alterations, assets, other costs and revenues, including assumptions and data sources and delineation between start-up and ongoing costs. Please also include a long-range schedule of costs and revenues if fiscal impact is expected to vary in future years.
House Bill 4730 has no effect on existing revenue or costs. It would alter how monies are allocated. The bill would change how construction and operational monies are allocated. House Bill 4730 would greatly reduce the flexibility to conduct major initiatives, by distributing all monies to each county each year. Larger more costly projects would require many years for a county allocation to fund the project. In summary, larger projects that may have been scheduled for completion in a matter of years could take decades to complete.
Memorandum
Please identify any areas of vagueness, technical defects, reasons a bill would not have a fiscal impact, and/or any special issues not captured elsewhere on this form.
The bill uses measures such as population to distribute funds. However, population and economic activity are not direct measures of road impacts. The DOH formula accounts for direct measures such as traffic, truck traffic, climate, material costs, etc. to distribute funds. DOH believes these direct measures are more appropriate. It also recognizes certain fixed costs required for Snow Removal and Ice Control (SRIC) activities.
Person submitting Fiscal Note: Jonathan W Schaffer
Email Address: Jonathan.w.schaffer@wv.gov