FISCAL NOTE
Date Requested: February 13, 2021 Time Requested: 02:24 PM |
Agency: |
Insurance Commission |
CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
2607 |
Introduced |
SB275 |
|
CBD Subject: |
Courts |
---|
|
FUND(S):
7152 OIC Operating Fund
Sources of Revenue:
Special Fund
Legislation creates:
Decreases Existing Expenses
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
Senate Bill 275 if enacted, would reduce the operating costs of the Offices of the Insurance Commissioner by an estimated $2,025,776- by Fiscal Year 2024 and annually thereafter.
Senate Bill 275, if enacted, would create an Intermediate Court of Appeals. SB 275 would transfer the duties of the Worker's Compensation Office of Judges to the Worker's Compensation Board of Review. Senate Bill 275 would expand the Board of Review effective July 1, 2022 and would also terminate the Office of Judges on or before October 1, 2022.
Fiscal Note Detail
Effect of Proposal |
Fiscal Year |
2021 Increase/Decrease (use"-") |
2022 Increase/Decrease (use"-") |
Fiscal Year (Upon Full Implementation) |
1. Estmated Total Cost |
0 |
0 |
-2,025,776 |
Personal Services |
0 |
0 |
-1,337,057 |
Current Expenses |
0 |
0 |
-688,719 |
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):
FY2021 and FY2022 are projected at current level costs as the implementation of SB275 is July 1, 2022 (fiscal year 2023).
FY2023 includes 3 months of Office of Judge's expenditures $875,000 and the increased costs for the expanded Board of Review (BOR) at 5 BOR members.
FY2024 estimates reflect the elimination of the Office of Judges and the expanded Board of Review and are the estimated costs for fiscal year 2024 and annually thereafter.
Agency FY2022 FY2023 FY2024 and thereafter Savings
BOR $1,025,105.17 $2,499,329.00 $2,499,329.00
OOJ $3,500,000.00 $875,000.00 $-
Total $4,525,105.17 $3,374,329.00 $2,499,329.00 $2,025,776.17
Memorandum
If enacted, Senate Bill 275 would, in part, expand the Worker's Compensation Board of Review beginning July 1, 2022 (fiscal year 2023) and terminate the Worker's Compensation Office of Judges on or before October 1, 2022 (fiscal year 2023). The fiscal note assumes five (5) Judges at the Board of Review level as indicated in SB275. This fiscal note assumes 24 total full-time BOR positions beginning in 2023 and going forward.
The Office of the Insurance Commissioner (OIC) estimates that the fiscal impact of SB275 would be a reduction in expenses of $2,025,776 in fiscal year 2024 and annually thereafter.
The agency has only estimated the fiscal impact on the OIC, and this fiscal note does not include any estimates for other agencies or governmental entities that may also be impacted by the implementation of SB275.
Person submitting Fiscal Note: Melinda Kiss
Email Address: Melinda.A.Kiss@wv.gov