FISCAL NOTE
Date Requested: March 14, 2017
Time Requested: 01:28 PM |
| Agency: |
Puchasing Division |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 2965 |
Introduced |
HB3054 |
|
|---|
| CBD Subject: |
Military and Veterans |
|---|
|
FUND(S):
Various
Sources of Revenue:
Other Fund Various department funds
Legislation creates:
Neither Program nor Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
This legislation adds a preference for honorably discharged resident veterans. Currently, vendor preference is promulgated in a rule by the Department of Revenue. Specifically, West Virginia Code ยง5A-3-37(a)(5) & (6) provides an opportunity for qualifying resident vendors who are a veteran of the United States armed forces, the reserves or the National Guard to request, at the time of bid, preference for their residency status. Resident veterans who qualify may receive a preference of 3.5%.
It is uncertain how this bill could interface with existing vendor preference laws. In some cases, they may possibly offset one another.
Costs of this new legislation are uncertain; however, if the preference is used, it could result in a 5% increase when applied against the lowest qualified bid from a business not meeting this criterion.
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 |
0 |
0 |
Explanation of above estimates (including long-range effect):
There would most likely be limited fiscal impact to agencies. Only in cases where the honorably discharged resident veteran preference would apply, the amount of the cost of the purchased commodity or service would increase by 5%.
Memorandum
The bill will require the State to pay more for commodities or services in instances where the preference mandates award to an honorably discharged resident veteran over a lower bid, but it is very difficult to place a dollar amount on such awards with no prior history from which to compare.
Person submitting Fiscal Note: Diane Holley-Brown
Email Address: Diane.M.Holley@wv.gov