FISCAL NOTE
Date Requested: February 13, 2023
Time Requested: 01:06 PM |
| Agency: |
Athletic Commission, WV State |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 3718 |
Introduced |
HB3424 |
|
|---|
| CBD Subject: |
Education (K12) |
|---|
|
FUND(S):
State Athletic Commission
Sources of Revenue:
Special Fund
Legislation creates:
Creates New Revenue, Creates New Expense
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
Summarize in a clear and concise manner what impact this measure will have on costs and revenues of state government.
The State Athletic Commission would increase revenue by receiving a 3% gate fee from the gross proceeds of ticket sales and a 1.5% gate fee from the gross proceeds from live-streaming, pay-per-view, video rights, and rebroadcasting rights. The commission and support staff estimate that the revenue from the gate fees combined would total approximately $70,000. The commission and support staff estimate the revenue for the 3% gate fee from the gross proceeds for ticket sales based upon the 37 events held by the commission in 2022. The commission estimates the 3% gate fee for ticket sales would bring in an annual revenue of approximately $45,000 - $50,000. The commission is not able to specifically anticipate the revenue to be generated from a 1.5% gate fee from the gross proceeds from live-streaming, pay-per-view, video rights, and rebroadcasting rights as the commission has never received numbers regarding the gross revenue of such events. The commission’s estimate of revenue to be generated for the 1.5% gate fee is $ 15,000 - $20,000 annually. The commission would incur additional administrative expenses as a result of the proposed revenue increases in the amount of approximately $19,000.
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 |
19,000 |
0 |
| Personal Services |
0 |
13,000 |
0 |
| Current Expenses |
0 |
6,000 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
70,000 |
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.
The State Athletic Commission would increase revenue by receiving a 3% gate fee from the gross proceeds of ticket sales and a 1.5% gate fee from the gross proceeds from live-streaming, pay-per-view, video rights, and rebroadcasting rights. The commission and support staff estimate that the total revenue from the gate fees combined would total approximately $70,000. The commission ad support staff estimate the revenue for the 3% gate fee from the gross proceeds for ticket sales based upon the 37 events held by the commission in 2022. The commission estimates the 3% gate fee for ticket sales would bring in an annual revenue of approximately $45,000 - $50,000. The commission is not able to specifically anticipate the revenue to be generated from a 1.5% gate fee from the gross proceeds from live-streaming, pay-per-view, video rights, and rebroadcasting rights as the commission has never received numbers regarding the gross revenue of such events. The commission’s estimate of revenue to be brought in for the 1.5% gate fee is $ 15,000 - $20,000 annually. The commission would incur additional administrative expenses as a result of the proposed revenue increases in the amount of approximately $19,000. This $19,000 would include the addition of administrative support and additional office expenses incurred including printing costs of gate tickets and other expenses.
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.
The State Athletic Commission is proposing an amendment to fees paid to officials of events. This proposal would amend the fees to be paid to officials from $50 and $75 to $100 and $150, respectively. But the proposed amendments would not require promoters to incur any additional expenses as the amendment changes the statute to reflect the current pay rate charged by third-party officials and accepted by promoters. Any amendment to change the fee would only reflect the current rates received by third-party officials.
Person submitting Fiscal Note: Lauren D. Mahaney
Email Address: lauren.d.mahaney@wvago.gov