FISCAL NOTE
Date Requested: February 09, 2022
Time Requested: 03:10 PM |
| Agency: |
Insurance Commission |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 2265 |
Introduced |
HB4597 |
|
|---|
| CBD Subject: |
Workers Compensation |
|---|
|
FUND(S):
7162, 7163, 7164, 7165, 7173
Sources of Revenue:
General Fund
Legislation creates:
Increases Revenue From Existing Sources, Creates New Expense, Increases Existing Expenses, Creates New Program, Creates New Fund: West Virginia Black Lung Program
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
House Bill 4597, if enacted, would create a new program and new Fund known as the West Virginia Black Lung Program. The new program would grant entitlement benefits for pain and suffering from occupational pneumoconiosis (OP) and establish a presumption of OP based on years of employment. HB 4597 also would allow those receiving benefits from the program to claim the amount of benefits received as a credit against personal income tax, impose additional severance taxes on coal and natural gas and impose new taxes on the generation of electricity by wind and solar devices. HB 4597 would also require that the Governor and the Legislature cooperate with other states in an attempt to recoup the federal excise tax imposed on coal in order to help fund the state program.
The Offices of the Insurance Commissioner is unable to estimate the fiscal impact of House Bill 4597.
Please see the memorandum section of this fiscal note for additional information.
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
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.
House Bill 4597, if enacted, would create a new program and Fund called the WV Black Lung Program, which would create entitlement benefits and a presumptive award for those benefits for occupational pneumoconiosis.
The Offices of the Insurance Commissioner is unable to estimate the potential cost of HB 4597.
The OIC did note some technical issues with HB 4597.
§23-4D-1 requires that the Insurance Commissioner propose rules for the legislative approval by July 1, 2021. That date is in the past. Additionally, the provision requires that the Commissioner present the proposed rules for Legislative approval, as opposed to the Worker's Compensation Industrial Council.
§23-4D-2 grants the presumptive benefit to anyone who has worked in WV for a period of 10 years during the 15 years immediately preceding the DLE. The language does not limit the exposure to coal dust, so any type of minute dust particle would appear to qualify.
The benefit to be granted is a fixed amount and is to be paid in addition to any disability state or federal award.
HB 4597 creates a new general revenue fund, but does not clearly identify who is to administer the Fund.
The State Tax Department should be consulted regarding the increased severance taxes and the creation of the new taxes on energy producing activities.
Person submitting Fiscal Note: Melinda Kiss
Email Address: Melinda.A.Kiss@wv.gov