FISCAL NOTE
Date Requested: January 31, 2022
Time Requested: 03:43 PM |
| Agency: |
Insurance Commission |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 1913 |
Introduced |
HB4434 |
|
|---|
| CBD Subject: |
Health |
|---|
|
FUND(S):
7152 Insurance Commission Fund
Sources of Revenue:
Special Fund
Legislation creates:
Creates New Revenue, Creates New Expense, Increases Existing Expenses, Creates New Program, Creates New Fund: Family and Medical Leave Insurance Account Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
House Bill 4434, if enacted, would create a new program known as the Family and Medical Leave Insurance Benefits Act. The new program would be administered by the Offices of the Insurance Commissioner.
The entitlement to benefits created under HB 4434 appear to be available to every employee in the State of WV who has met the requirements for unemployment benefits under section ยง21A-6-1(5) or an individual who is self-employed and meets the requirements set forth in the proposed legislation.
Participation by employers appears to be mandatory.
The Offices of the Insurance Commissioner (OIC) is unable to estimate the costs of the enactment of HB 4434, but we believe that they would be significant to the OIC, to all agencies of the State, to all counties and municipalities of the State, and to all employers operating in the State of WV.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2022
Increase/Decrease
(use"-") |
2023
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.
Memorandum
The Offices of the Insurance Commissioner is unable to accurately estimate the costs of the proposed legislation at this time, as we do not possess data regarding all of the many aspects of House Bill 4434.
If enacted, HB 4434 would significantly increase the operational expenses of the OIC. The OIC can reasonably estimate the costs of the approximately 15 to 20 additional FTEs that would be required to administer the program, and we could reasonably estimate the advertising and educational outreach costs, but we are unable to reasonably estimate the technology component of the program. Currently, the OIC has no existing technology that could be utilized to perform the administrative functions required under HB 4434.
As the OIC has no technology, infrastructure or personnel with which to administer this new program, it is unlikely that the OIC could meet the January 1, 2023 effective date.
We are also unable to reasonably estimate the costs of participation in the program for any WV employer.
It may be beneficial to contact Workforce WV in order to obtain information on the number of eligible employees in the state. As workforce WV already administers the unemployment insurance program through payroll reports from employers, they may have additional information and data that would provide insight into the potential costs of the proposed program.
Person submitting Fiscal Note: Melinda Kiss
Email Address: Melinda.A.Kiss@wv.gov