FISCAL NOTE
Date Requested: January 18, 2018
Time Requested: 02:48 PM |
| Agency: |
Agriculture, WV Department of |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 1857 |
Introduced |
HB4179 |
|
|---|
| CBD Subject: |
Health |
|---|
|
FUND(S):
Agriculture Fees Fund
Sources of Revenue:
Special Fund
Legislation creates:
Creates New Expense, Creates New Program
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
HB4179 amends WV Code 16-7-5 to place authority for Grade "A" pasteurized milk under the Department of Agriculture to regulate dairy farms, dairy plans, cheese manufacturers, or a combination of all three. Depending on the implementation plan and rules promulgated as a result of passage of this legislation, the expenses incurred could take various forms.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2018
Increase/Decrease
(use"-") |
2019
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):
Under the current Department of Health and Human Resources rule (64 CSR 34), there are no ongoing fees established for regulation activities aside from language regarding penalties. Since there are no active permitting or regulatory fees for this program, there is insufficient data to determine potential impact to state revenue as a result of transferring authority to the Department of Agriculture.
Since HB4179 does not address the transfer of any staff or existing funding sources which currently support this program under Health and Human Resources, existing Department of Agriculture resources would have to be utilized, which would require an initial investment of staff time and funding to survey existing producers, assess training and regulatory needs, and implement a proper permitting and compliance program. Additional time would be needed to develop a proper estimate of the additional cost of transferring this authority.
Alternatively, with sufficient time, other avenues could be reviewed to manage staff time and cost, such as use of third parties (such as dairy co-ops) to assist in inspection activities, with WVDA personnel providing follow-up inspections and technical assistance. Additional time and research would be needed to assess the cost and viability of this solution.
Memorandum
A preliminary review of HB4179 by the Department of Agriculture's Regulatory and Environment Affairs Division staff noted that, to properly support the regulatory authority for the Grade "A" Pasteurized Milk Rule, an existing memorandum of understanding with Health and Human Resources would have to be revised with expanded language to support a unified objective between agencies. Additionally, the existing rule would require extensive updates to achieve compliance with the most recent version of the Food and Drug Administration's Pasteurized Milk Ordinance.
Person submitting Fiscal Note: Alan Clemans, on behalf of Sandra Gillispie, CFO
Email Address: sgillispie@wvda.us