FISCAL NOTE

Date Requested: January 14, 2023
Time Requested: 03:48 PM
Agency: Education, WV Department of
CBD Number: Version: Bill Number: Resolution Number:
1423 Introduced HB2167
CBD Subject:


FUND(S):

0317

Sources of Revenue:

General Fund N/A

Legislation creates:

Increases Existing Expenses



Fiscal Note Summary


Effect this measure will have on costs and revenues of state government.


This proposed legislation has fiscal impact on the WVDE at an estimated amount of $2,472,294 under the Public School Support Plan (PSSP) for the 2023-24 school year and each subsequent year.



Fiscal Note Detail


Effect of Proposal Fiscal Year
2023
Increase/Decrease
(use"-")
2024
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 0 2,472,294 2,472,294
Personal Services 0 0 0
Current Expenses 0 2,472,294 2,472,294
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):


The total estimated cost to the WVDE under the Public School Support Plan (PSSP) for the this proposed legislation is $2,472,294 for the 2023-24 year and each subsequent year. Certified enrollment data as of October 1, 2022 for school year 2022-23 was used to calculate the estimated costs associated with the enactment of this proposed legislation. The 2022-23 school year data revealed the total number of students for year-round and alternative placement schools was 741. Since these students are currently included in net enrollment utilized in the calculation for PSSP, an additional 370.50 students (741 * 0.5) were added to net enrollment to incorporate a “one and one-half times the number of students enrolled” as stated in the bill. This method prevented duplication of student enrollment. The estimated cost for the proposed legislation for the 2023-24 year is $2,472,294. This consists of an increase in Step 1 (Allowance for Professional Educators) of $1,291,466 due to an additional 26.78 funded positions, Step 2 (Allowance for Service Personnel) of $434,523 due to an additional 16.35 funded positions, Step 5 (Allowance for Student Support Personnel) of $90,591 due to an additional 1.85 funded positions, Step 3 (Allowance for Fixed Charges) of $150,048, Steps 6b & 6c (Allowance for Substitutes) of $45,420, Retirement of $134,796 and PEIA of $300,121. There is also an increase in Step 6a (Allowance for Current Expense) of $24 due to a redistribution of the funding among counties derived from the change in enrollment proposed in this legislation. There is a remaining increase of $14,442 that is attributable to the local share change which is a result of the reallocation of funds among the counties under the statutorily prescribed calculations in certain steps, which impacted the local share cap on the one county board of education that receives zero state aid funding.



Memorandum


Enrollment data calculated at “the annual date of maximum enrollment for that school in a school year” as stated in this proposed legislation is not available. Year-round school and alternative placement school enrollment are currently included in the calculation for the state aid funding formula as of the October 1st certification date. WVDE collects student enrollment data on the October 1st date every year to prevent any duplication of enrollment, i.e., to ensure that each student is included only one time in one location for enrollment counts. Enrollment data is reviewed and certified by local county leaders to ensure completeness and accuracy. Also, the October 1st date is consistent with Federal guidelines. The estimated cost for the proposed legislation would vary as a result of student enrollment fluctuation.



    Person submitting Fiscal Note: Sam Pauley
    Email Address: sepauley@k12.wv.us