FISCAL NOTE
Date Requested: February 13, 2019
Time Requested: 10:04 AM |
| Agency: |
Highways, Division of |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 2802 |
Introduced |
SB522 |
|
|---|
| CBD Subject: |
Roads and Transportation |
|---|
|
FUND(S):
State Road Fund
Sources of Revenue:
Other Fund Special Road Repair Fund
Legislation creates:
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
Summarize in a clear and concise manner what impact this measure will have on costs and revenues of state government.
SB522 would significantly increase funds available to the Division of Highways (DOH) for road maintenance functions. Because a portion of the funding is a percentage of severance taxes, DOH is unable to determine how much funding would be available.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2019
Increase/Decrease
(use"-") |
2020
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 |
200,000,000 |
0 |
Explanation of above estimates (including long-range effect):
Please explain increases and decreases in personal services, current expenses, repairs and alterations, assets, other costs and revenues, including assumptions and data sources and delineation between start-up and ongoing costs. Please also include a long-range schedule of costs and revenues if fiscal impact is expected to vary in future years.
Estimated total costs are unknown. With the significant influx of funds for road maintenance functions DOH would be able to increase staffing (Personal Services) and contracting maintenance tasks. DOH notes minimal costs for administrating contracts by DOH staff.
SB522 provides severance tax revenues. DOH has no data to show future revenues.
Memorandum
Please identify any areas of vagueness, technical defects, reasons a bill would not have a fiscal impact, and/or any special issues not captured elsewhere on this form.
The intent of SB522 is clear, road repair and maintenance are to be substantially increased. It appears this Bill is acknowledging the maintenance shortfall identified in the report of the Governor's Blue Ribbon Commission on Highways. This is vital to allowing DOH to improve the condition of the state's roads. However, DOH currently has the ability to contract for labor and materials in an expedited manner and does not require additional legislation to carry out the intent of the bill. If adequate funds are available, DOH will be able to contract for road maintenance.
Person submitting Fiscal Note: Lorrie Hodges
Email Address: lorria.a.hodges@wv.gov