FISCAL NOTE
Date Requested: January 10, 2020
Time Requested: 01:18 PM |
| Agency: |
Health and Human Resources, WV Department of |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 1685 |
Introduced |
HB4580 |
HCR2 |
|---|
| CBD Subject: |
|
|---|
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FUND(S):
5377 - Certifcate of Need Program Fund
Sources of Revenue:
Special Fund
Legislation creates:
Decreases Existing Revenue, Decreases Existing Expenses
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The purpose of this bill is to eliminate the certificate of need program.
The elimination of Certificate of Need Program would result in the elimination of the number of staff currently working for the program. The corresponding expenditure reduction is approximately $491,413 (5 year average) and a revenue reduction of $396,793 (5 year average).
Potential exists that this bill could increase health care costs and/or increase the chances of hospital closures due to less regulation.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2020
Increase/Decrease
(use"-") |
2021
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
-491,413 |
-491,413 |
| Personal Services |
0 |
-391,014 |
-391,014 |
| Current Expenses |
0 |
-100,399 |
-100,399 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
-396,793 |
-396,793 |
Explanation of above estimates (including long-range effect):
Total Personal Services is $391,014 (current annualized salaries of $281,030, $6,480 annual Increment, and $103,504 employee benefits). Total EB is estimated based on 36% of salaries. This consists of five full time employees.
The revenue is based on the following 5 years:
FY2015 - $626,203
FY2016 - $215,104
FY2017 - $319,300
FY2018 - $417,360
FY2019 - $406,000
This gives us the average of $396,793.
Memorandum
Person submitting Fiscal Note: Bill J. Crouch
Email Address: dhhrbudgetoffice@wv.gov