FISCAL NOTE
Date Requested: February 19, 2018
Time Requested: 09:16 AM |
| Agency: |
Agriculture, WV Department of |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 2694 |
Introduced |
SB572 |
|
|---|
| CBD Subject: |
Agriculture, Education (K12) |
|---|
|
FUND(S):
WV Farm-to-School Grant Program Fund
Sources of Revenue:
Special Fund
Legislation creates:
Creates New Expense, Creates New Program, Creates New Fund:
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
SB572 proposes creating a Farm-To-School Grant Program (Program) and related activities, and 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. The West Virginia Department of Agriculture would incur expenses in excess of the ten (10) percent of allowable administrative expenses outlined in §19-36-3(c) of the Bill.
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 |
55,212 |
39,308 |
| Personal Services |
0 |
47,712 |
31,808 |
| Current Expenses |
0 |
0 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
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 following costs:
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 - (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.
The ten (10) percent of allowable administrative expenses outlined in §19-36-3(c) of the proposed Bill would allow $27,500 for the administrative costs of the Program. According to the above schedule of expenses, this would result in a $27,712 deficit in Program Year 1 and a $11,808 deficit in Program Year 2 for the administration of the Program.
Memorandum
§19-36-2 defines "Local foods" as "fresh and nutritious fruits, vegetables, beef, poultry, pork, fish, milk, bread, or other edible product raised or grown in West Virginia that is appropriate for public food programs." This definition excludes any "value-added" products produced in West Virginia, such as honey, maple syrup, jams, jellies, etc. and therefore makes producers of these products ineligible to quality for this Program.
§19-36-4(1) and §19-36-4(2) specifies "Each of the top five public schools" and "Each of the top five county school districts" that purchase the largest percentage of local foods eligible for the grant award. This requirement does not specify the method of data collection, method of tracking and reporting or other determining factors qualifying eligibility.
Furthermore, the revenue stream for this Program is unclear and without a dedicated revenue stream, it is difficult to understand and estimate funding revenue for this Program.
Person submitting Fiscal Note: Alan Clemans, on behalf of Sandra Gillispie, CFO
Email Address: sgillispie@wvda.us