FISCAL NOTE
Date Requested: January 09, 2019
Time Requested: 05:27 PM |
| Agency: |
Agriculture, WV Department of |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 1496 |
Introduced |
SB14 |
|
|---|
| CBD Subject: |
Agriculture |
|---|
|
FUND(S):
New Fund (WV Farm-to-School Grant Program Fund)
Sources of Revenue:
Special Fund
Legislation creates:
Creates New Revenue, Creates New Expense, Creates New Program, Creates New Fund: WV Farm-to-School Grant Program Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The bill proposed for the purpose of creating a Farm-To-School Grant Program (Program) and related activities, will incur costs to the state for the development, implementation, administration and review of the new Program. During the initial year, two (2) employees, utilizing thirty (30) percent of full time employment plus cost of fringe benefits, would be required to administer activities for the development and implementation phase of programming. During subsequent years, two (2) employees utilizing twenty (20) percent of full time employment plus cost of fringe benefits, would be required to administer activities for the implementation phase of programming. Additional costs for Program promotion, training, application processing, establishment and facilitation of a review committee and technical assistance would be required.
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 |
55,212 |
39,308 |
39,308 |
| Personal Services |
47,712 |
31,808 |
31,808 |
| Current Expenses |
0 |
0 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
7,500 |
7,500 |
7,500 |
| 2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
With the addition of new Program administration responsibilities, two (2) full time employees will be required to complete necessary Program activities with the costs noted below. Employees would be existing employees, or possibly new, depending on program implementation timeline and staff workload.
Program Development and Implementation Year 1 - (2) FTE x 30% effort + fringe rate brings us to a personnel total for Program management of $47,712. An additional $7,500 is estimated to be incurred for the promotion, training, application processing, establishment and facilitation of a review committee and technical assistance. The total Program management cost for Year 1 is estimated to be $55,212.
Program Implementation Year 2 and Fiscal Year - (2) FTE x 20% effort + fringe rate brings us to a personnel total for Program management of $31,808. An additional $7,500 is estimated to be incurred for the promotion, training, application processing, establishment and facilitation of a review committee and technical assistance. The total Program management cost for Year 2 is estimated to be $39,308.
Memorandum
The bill does not provide definitions as used in this article and thereby has areas of vagueness throughout. For example, the bill is missing a definition for "local foods" thereby does not provide a clear indication of who would be eligible to participate in this Program.
In addition, in ยง19-36-2 the bill does not establish an amount allocated for the Program and the revenue stream is unclear. With the omission of these directives, it is difficult to understand funding revenue or the size and scale of the Program that the state would be tasked with administering. In order to support effective administration of this program and fund, it is suggested that language be added to permit a percentage of annual fund revenue be used for administrative expenses. This would parallel other special programs and funds, such as the WV Spay Neuter Assistance Program established under WV Code 19-20C, which permits up to ten (10) percent of annual revenue be used for program oversight.
Lastly, the bill states that "all interest or other return earned from investment of the fund" be appropriated and designated for the Program by the Legislature, without granting the Commissioner of Agriculture the authority to invest said funds.
Person submitting Fiscal Note: Alan Clemans, on behalf of Sandra Gillispie, CFO
Email Address: sgillispie@wvda.us