FISCAL NOTE

Date Requested: February 24, 2021
Time Requested: 01:45 PM
Agency: Motor Vehicles, WV Division of
CBD Number: Version: Bill Number: Resolution Number:
2614 Introduced HB2719
CBD Subject: Motor Vehicles


FUND(S):

Road 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.


The purpose of this bill is to allow the DMV to use electronic means to provide notice to licensees and vehicle owners with the expectation that actual notice will be provided more frequently and efficiently using modern technology for delivery. The Division spends approximately $600,000 per year for certified mail and estimate this could be reduced by 25 % in the first year for a savings of $150,000 ($600,000 x 25%). The Division also has expenses of approximately $731,582 for the production and mailing of renewal notices. The Division estimates this cost can be reduced by 18.09%, or $132,366 ($731,582 * 18.09%) in the first year. The Division further estimates the savings will grow by 10% per year for several years.



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 -282,366 -310,603
Personal Services 0 0 0
Current Expenses 0 -282,366 -310,603
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):


-$150,000 Certified Mail -$132,366 Renewal Notice -$282,366 Total Current Expense -$165,000 Certified Mail -$145,603 Renewal Notice -$310,603 Total Current Expense



Memorandum






    Person submitting Fiscal Note: Raeann Kriner
    Email Address: raeann.k.kriner@wv.gov