FISCAL NOTE

Date Requested: March 09, 2021
Time Requested: 04:20 PM
Agency: Environmental Protection, Department of
CBD Number: Version: Bill Number: Resolution Number:
2267 Introduced SB404
CBD Subject:


FUND(S):

Oil and Gas Operating Permit and Processing Fund

Sources of Revenue:

Special Fund

Legislation creates:

Creates New Revenue



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. SB404 would require a fee of $2,500 for each horizontal well permit modification. DEP estimates that it will receive approximately 200 requests annually for permit modifications, increasing revenue to DEP by $500,000. DEP does not expect this new requirement to increase expenditures.



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 0 500,000 500,000


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. DEP is expected to receive approximately 200 requests for permit modifications annually. At $2,500 per request, this will generate $500,000 annually. As previously stated, there is not expected to be any significant increase in expenditures in implementing this new fee.



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. None.



    Person submitting Fiscal Note: Gary W Rogers
    Email Address: gary.w.rogers@wv.gov