FISCAL NOTE
Date Requested: February 01, 2020
Time Requested: 09:07 AM |
| Agency: |
Motor Vehicles, WV Division of |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 2556 |
Introduced |
HB4512 |
|
|---|
| CBD Subject: |
Motor Vehicles |
|---|
|
FUND(S):
Road Fund
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.
The purpose of this bill is to provide an opportunity for certain drivers whose driver’s license has been suspended or revoked an opportunity to drive on a very specifically limited work permit driver’s license. This includes persons who have been convicted of DUI for drug offenses. These drivers would have to remain sober, install a test and lock devise, complete a treatment program and submit to periodic drug testing. Other offenses such as unpaid court costs and excessive points on a person’s license are also eligible to apply for a work permit driver’s license.
The Division estimates the legislation will increase the number of participants in the Division’s Interlock program by 40% in addition to an estimated 39,800 work permit applications. The increased workload will necessitate the addition of 8 new employees. The employees required will be a Manager 1 at a total cost of $61,666 ($41,111 salary and $20,555 benefits), a Customer Service Representative Lead at a cost of $42,848 ($28,565 salary and $14,283 benefits), and six (6) Customer Service Representatives at a cost of $235,507 (($26,167 salary and $13,084 benefits)*6) for a total increase to personal services of $340,021($61,666+$42,848+$235,507).
Operating expenses will consist of rent ($12,275), utilities ($2,151), supplies ($3,896), OASIS fee ($2,200), postage ($17,940), Misc. expenses ($1,010), and “Work Permit” card production of ($112,917) for a total of annual operating expenses of $152,389 ($12,275+$2,151+$3,896+$2,200+$17,940+$1,010+$112,917).
First year startup expenses will consist of cubicles $28,800 (8 x $3,600), Computers and monitors $5,624 ($703 x 8), and phones $2,464 ($308 x 8). Total one-time startup cost equal $36,888 ($28,800+$5,624+$2,464).
Total Current expense of $189,277 ($152,389 + $36,888)
The bill establishes a “Work Permit Application” fee of $20, and an optional “Penalty” fee of $200 (to be paid in lieu of revocation). The Division estimates there will be 39,900 applications for the work permit annually producing revenue of $798,000 (39,900 x $20). Additionally, the Division estimates there will be approximately 1,995 drivers who choose to pay the $200 penalty fee which will produce revenue of $399,000 ($200 x 1,995).
As of December 31, 2019, there were 4,074 participants in the Division’s Interlock program. The Division estimates there will be an increase of 1,630 participants (4,074 x 40%) producing revenue of $163,000 (1,630 x $100).
Total revenue increase of $1,360,000 ($798,000 + $399,000 + $163,000).
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 |
529,298 |
492,410 |
| Personal Services |
0 |
340,021 |
340,021 |
| Current Expenses |
0 |
189,277 |
152,389 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
1,360,000 |
1,360,000 |
Explanation of above estimates (including long-range effect):
Work Permit License
Estimated Costs
Personnel
$340,021 Manager, CSR Lead, & 6 CSRs Salary and Benefits
Other Operating Expenses
$152,389 Rent, Utilities, Supplies, etc.
Furniture and Equipment
$36,888 Computers, Cubicles, etc.
Total Cost
$529,298 Total Cost First Year
$492,410 Total Cost Upon Full Implementation
Estimated Revenue
$1,360,000 Total Revenue (Work Permit Fee, Penalty Fee, I-Lock Increase)
Memorandum
The current demand for technical expertise and support on the Division exceeds our current resource level. This bill will require additional technical expertise and support. Therefore, the Division needs to add an Information Systems Manager 1 position at an estimated annual cost of $79,500 (Salary and Benefits) and a Programmer Analyst 3 position at an estimated annual cost of $75,000 (Salary and Benefits).
Person submitting Fiscal Note: Raeann Kriner
Email Address: raeann.k.kriner@wv.gov