FISCAL NOTE

Date Requested: February 10, 2021
Time Requested: 04:07 PM
Agency: Natural Resources, WV Division of
CBD Number: Version: Bill Number: Resolution Number:
1328 Introduced HB2035
CBD Subject:


FUND(S):

3200, 8707

Sources of Revenue:

Special Fund

Legislation creates:

Decreases Existing Revenue



Fiscal Note Summary


Effect this measure will have on costs and revenues of state government.


The purpose of this bill is to allow resident lineal descendants (grandchildren and great-grandchildren) of a landowner to hunt, trap and fish on the landowner’s property without obtaining a license to do so. If the bill were to become law, an estimated 13,001 resident individuals would take advantage of this benefit. At current license fees, each resident license holder contributes an average of $45.21 to the hunting and fishing license fund. The fiscal impact of providing free hunting and fishing privileges to these 13,001 resident individuals would be to decrease hunting and fishing license revenue to the Division of Natural Resources’ Wildlife and Law Enforcement programs by an estimated $587,775 annually. Additionally, the Division of Natural Resources currently receives approximately $17 in federal revenue for each licensed hunter. The loss of these 13,001 resident individuals as paid license holders would reduce the State’s ability to capture federal aid revenue by an additional $221,017 annually, resulting in an estimated total revenue loss of $808,792 annually. License revenue and federal aid provide the bulk of the operating and capital improvements revenue for the agency’s wildlife and law enforcement programs. A reduction of revenue of this magnitude will result in the need to reduce payroll cost by eliminating at least 4 Natural Resources Police Officer positions.



Fiscal Note Detail


Effect of Proposal Fiscal Year
2021
Increase/Decrease
(use"-")
2022
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 0 808,792 808,792


Explanation of above estimates (including long-range effect):


Resident Data Sources WV Resident Hunters = 247,000. Source: 2011 US Fish & Wildlife Survey for West Virginia WV Deer hunters = 195,130. Source: 2020 WV Deer hunter Survey WV Deer hunters + landowners = 89,760. Source: 2016 WV Deer hunter Survey 46% hunt deer on own land. Estimated children of landowners who hunt = 29,621. Assume 33% of 89,760 are children of landowners who deer hunt. (Southwick Associates, Eric Olds, Pers. Comm.) Estimated grandchildren that hunt = 9,775. Assume 33% of grandchildren hunt. Estimated great-grandchildren = 3,226. Source: Assume 33% of great-grandchildren of landowners hunt Estimated grandchildren + great-grandchildren who hunt = 13,001 (9,775 great-grandchildren + 3,226 grandchildren). Average license revenue per resident licensee = $45.21. Source: 2020 License Sales. Average license costs of resident hunter Explanation of above estimates: Estimated number of resident individuals (grandchildren and great-grandchildren) who would take advantage of this benefit=13,001 Est. annual license revenue per licensed resident sportsman = $45.21 Est. annual license revenue loss from 13,001 resident exemptions = 13,001 X $45.21 = $587,775 Est. annual federal aid revenue per licensed resident hunter = $17.00 Est. annual federal aid revenue loss from 13,001 resident exemptions = 13,001 X $17.00 = $221,017 Est. annual resident license and federal aid revenue loss = $587,775 + $221,017 = $808,792



Memorandum


By law, all hunters and anglers in West Virginia must be served by the agency’s wildlife and law enforcement programs, including those who are not paid license holders. Currently, the agency estimates that 43 percent of all hunters and anglers do not purchase a hunting or fishing license, thus placing the total financial responsibility for supporting wildlife and law enforcement programs on those who do purchase licenses. This bill would increase the number of sportsmen who will not purchase a license, thus increasing the financial responsibility on paid license holders for providing agency services to all. Finally, any reduction in paid license holders hurts the agency’s ability to secure federal aid revenues that are used to help keep license fees low for everyone. More free hunting and fishing license privileges for some must inevitably result in higher license fees for others, thereby reducing participation and economic impact from sportsman expenditures in the state.



    Person submitting Fiscal Note: Amanda Morris
    Email Address: amanda.l.morris@wv.gov