FISCAL NOTE
Date Requested: February 09, 2017
Time Requested: 11:18 AM |
| Agency: |
Lottery Commission, WV |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 1494 |
Introduced |
HB2067 |
|
|---|
| CBD Subject: |
Finance and Administration |
|---|
|
FUND(S):
Excess Lottery Fund
Sources of Revenue:
Special Fund
Legislation creates:
Neither Program nor Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
This bill restores funding to the Racetrack Modernization Fund and Infrastructure Fund to the 2013 rates, and essentially repeals all changes made to Excess Lottery Fund Distributions to protect debt service coverage ratios and bond ratings by HB 101 during the 2013 first special session. Changes to Racetrack Modernization and the Infrastructure Fund have no impact on projected revenue, but undoing the remaining changes from HB 101 [enacted in the first special session of 2013] would decrease revenue to the Excess Lottery Fund by $39,146,132 for Fiscal Year 2018 and projected debt service coverage would drop from 4.6 times to 3.9 times.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2017
Increase/Decrease
(use"-") |
2018
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 |
-39,146,132 |
-39,146,132 |
Explanation of above estimates (including long-range effect):
Changes to Racetrack Modernization and the Infrastructure Fund have no impact on projected revenue, but undoing the remaining changes from HB 101 [enacted in the first special session of 2013] would decrease revenue to the Excess Lottery Fund by $39,146,132 for Fiscal Year 2018 and projected debt service coverage would drop from 4.6 times to 3.9 times.
The drop in projected debt service coverage could have a negative impact on the state's bond ratings.
Memorandum
See above.
Person submitting Fiscal Note: Danielle Boyd, Managing General Counsel
Email Address: dboyd@wvlottery.com