FISCAL NOTE
Date Requested: March 03, 2023
Time Requested: 09:30 AM |
| Agency: |
Education, WV Department of |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 2906 |
Comm. Sub. |
SB423 |
|
|---|
| CBD Subject: |
Governor -- Bills Requested By |
|---|
|
FUND(S):
0317
Sources of Revenue:
General Fund N/A
Legislation creates:
Increases Existing Expenses
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
This proposed legislation, in its current form, has an estimated cumulative cost to the WVDE under the Public School Support Program (PSSP) for salary increases for school personnel in the amount of $84,709,525.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2023
Increase/Decrease
(use"-") |
2024
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
84,709,525 |
84,709,525 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
84,709,525 |
84,709,525 |
| 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):
The estimated cost to the State under the Public School Support Program (PSSP) for the equivalent of a $2,300 across the board increase in the basic teacher and service personnel salary schedules is $84,709,525 for 2023-24 and annually thereafter.
This cost estimate includes the estimated increases in Step 1 for professional educator salaries ($42,552,198), Step 2 for service personnel salaries ($25,967,384), Step 3 for fixed charges ($5,900,664), Step 5 for professional student support salaries ($2,917,021), Step 6 for substitute costs ($1,785,916), and retirement ($5,586,342).
The total portion of the overall additional cost attributable to professional educators is $50,458,397, the portion attributable to professional student support personnel is $3,459,004 and the portion attributable to service personnel is $30,792,124.
Please note, county boards of education will incur additional costs for personnel employed in excess of funded, personnel employed in positions not eligible for state aid funding, personnel employed using other funding sources such as state or federal grants, and extended employment terms for professional personnel. Those additional county costs are not include in the above estimates.
The West Virginia Consolidated Public Retirement Board (CPRB) should also be consulted to obtain information relating to the additional cost, if any, to the State due to the impact of the proposed salary increases on the unfunded retirement liability of the Teachers' Retirement System (TRS).
Finally, this cost estimate does not assume the passage of other legislation that may impact this the PSSP, resulting in an increased costs for the pay increases provided in this bill.
Memorandum
The service personnel basic pay tables input in the committee substitute are not fully inclusive of a $2,300 across the board raise. Beginning with 24 years of service forward, the service personnel basic pay tables need amended to the correct amounts. The fiscal note was prepared in accordance with the amounts that should be included in the service personnel basic pay tables in accordance with the stated purpose of the committee substitute.
Person submitting Fiscal Note: Samuel E. Pauley
Email Address: sepauley@k12.wv.us