FISCAL NOTE
Date Requested: January 09, 2019
Time Requested: 05:39 PM |
| Agency: |
Natural Resources, WV Division of |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 1134 |
Introduced |
HB2151 |
|
|---|
| CBD Subject: |
Natural Resources |
|---|
|
FUND(S):
3200
Sources of Revenue:
Special Fund
Legislation creates:
Decreases Existing Revenue, Increases Existing Expenses
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The stated purpose of this bill is to require that all licenses and permits be valid for one year starting from the last month in which the licensee was born, as opposed to starting with the date of purchase and lasting through the end of the calendar year.
This would result in a permanent reduction of licensing revenues in the amount of $606,000 to $1.8 million annually. In addition, we estimate $150,000 in initial costs to reprogram the Electronic License System and retrain our license agents.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2019
Increase/Decrease
(use"-") |
2020
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
150,000 |
0 |
| Personal Services |
0 |
25,000 |
0 |
| Current Expenses |
0 |
25,000 |
0 |
| Repairs and Alterations |
0 |
100,000 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
-606,261 |
-606,261 |
Explanation of above estimates (including long-range effect):
The estimated loss in revenue is based on a 2015 study by the State of California that surveyed states that had switched to 365-day license (valid from date of sale) and found a 10 to 30% loss in sales in the 3-years following conversion. Based on the Division of Natural Resource’s 2017 license sales, this would result in an estimated decrease of $756,261 to $1.9 million over the first year which includes implementation costs and lost Federal matching funds. The annual lost revenue for each year afterward would be between $606,000 and $1.8 million. The lost revenue would result in a significant decrease in the level of service within the Division of Natural Resources, including Law Enforcement, Wildlife Resources Section and Administration. The anticipated reduction in revenue would result in the need to reduce the number of Natural Resource Police Officers by at least 3 full time officers.
Memorandum
The way this bill is written may present difficulty in implementation especially on the first year of the proposed changes.
As written this bill would require a person who was born in December to buy their hunting license for the following year before the end of December of the current year. Otherwise their license would not be valid until the end of December of the following year.
The West Virginia Division of Natural Resources staff has made the assumption that the intent of this bill is to have a license be valid from the date of purchase if the birth month has already past in the current year and only be valid for the remainder of the year until the birth month is once again encountered.
Having expiration dates at the end of birth months may cause confusion for license holders and potentially result in greater hunting and fishing violations.
For additional information concerning this fiscal note, please contact: Zack Brown
zack.j.brown@wv.gov
Person submitting Fiscal Note: Jennifer Snow
Email Address: jennifer.l.snow@wv.gov