FISCAL NOTE
Date Requested: January 31, 2022
Time Requested: 04:00 PM |
| Agency: |
Education, WV State Board of |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 1704 |
Introduced |
HB4467 |
|
|---|
| CBD Subject: |
Education (K12) |
|---|
|
FUND(S):
0317
Sources of Revenue:
General Fund
Legislation creates:
Increases Existing Expenses
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.
The estimated cost to the state for the proposed legislation is $60,191,407 and creates approximately 1,600 new jobs in WV. The full cost would be borne by the state due to the fact that the proposed legislation states that the school aid formula allowance for service personnel will be amended to increase the number of state funded positions per 1,000 students in net enrollment to provide state funding for the added positions.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2022
Increase/Decrease
(use"-") |
2023
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
60,191,407 |
60,191,407 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
60,191,407 |
60,191,407 |
| 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):
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.
Based on 2021-22 current class sizes, there are 834 first grade and 767 second grade classrooms with more than 12 students. Therefore, an additional 1,601 early childhood classroom assistant teachers (ECCAT) would be required statewide in order to meet the limits required under the proposed legislation for next fiscal year. Additionally, to fund the additional ECCAT positions, the service personnel ratios in W. Va. Code 18-9A-5 under the Public School Support Plan (PSSP) would need to be increased effective for the 2022-2023 funding year by 6.29. The estimated cost of $60,191,407 includes the estimated cost for the salaries, fixed costs, current expense/substitute costs, retirement and PEIA for these additional positions and is broken down as follows:
1st Grade:
Step 2 - Allowance for Service Personnel - $21,355,807;
Step 3 - Allowance for Fixed Charges - $1,770,396;
Step 6c - Allowance for Service Substitutes - $533,895;
Retirement - $1,693,516;
PEIA - $6,032,038
Total 1st Grade: $31,385,652
2nd Grade:
Step 2 - Allowance for Service Personnel - $19,600,968;
Step 3 - Allowance for Fixed Charges - $1,624,921;
Step 6c - Allowance for Service Substitutes - $490,024;
Retirement - $1,554,356;
PEIA - $5,535,486
Total 2nd Grade: $28,805,755
Total:
Step 2 - Allowance for Service Personnel - $40,956,775;
Step 3 - Allowance for Fixed Charges - $3,395,317;
Step 6c - Allowance for Service Substitutes - $1,023,919;
Retirement - $3,247,872;
PEIA - $11,567,524
Total 1st and 2nd Grades: $60,191,407
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 fiscal note was prepared with the assumption that the intent of the legislation is to fund only those positions not currently required by either WV State Code or WV State Board Policy. Currently, WV State Board Policy 2510 requires one ECCAT to be assigned to every kindergarten classroom with greater than 10 students and every pre-k classroom is required to have two adults at all times, one of whom can be an ECCAT. The cost estimate is a funding mechanism through the PSSP to provide funding to county boards for the originating requirements to employ ECCATs in 1st and 2nd grade classrooms.
Further, it was assumed in the cost estimate that the intent of the legislation is to increase the funding ratios for service personnel per 1,000 students to match the additional positions required for ECCATs in 1st and 2nd grade classrooms. The ratios currenty in the proposed legislation were provided by WVDE to the legislature prior to current year enrollment data availability. Based on data available for the current school year, the service personnel ratios should be increased by 6.29 positions to provide funding for the additional 1,601 positions statewide; therefore, the service personnel ratios in W. Va. Code 18-9A-5 should be revised to be the following: Sparse - 51.970, Low - 51.390, Medium - 50.820, and High - 50.260.
The expansion of the Early Childhood Classroom Assistant Teacher utilization in Grade 1 and 2 classrooms will assist to increase children's overall academic, as well as social and emotional, development in preparation for the upper elementary grades and beyond. A study conducted by the National Institute for Early Education Research (NIEER) between 2015-2020 in the state revealed instructional gaps in English language arts and mathematics, as well as social/emotional development, were already prevalent by Grades 1 and 2.
This legislation will also provide benefits to the state's workforce development efforts by creating over 1,600 new jobs. Options will exist for both high school graduates who have completed an ECCAT Career and Technical Education program of study, as well as citizens who aim to enter the education field, to have access to training that will provide them the opportunity to become an ECCAT.
The actual cost to the state will change annually depending on student enrollment.
While there may be an associated cost to be solely borne by county boards of education relating to the portion of the proposed legislation pertaining to the requirement for in-service training to be provided to ECCATs relating to their responsibilities and appropriate measures for exercising authority and control over students, the cost of implementation is indeterminable at this time.
Currently, legislation exists that requires an ECCAT in all WV Universal Pre-K classrooms and in all kindergarten classrooms with more than 10 pupils. To continue to raise the quality of the state's early learning programs through research-based best practices, high-quality early learning programs that are led by supportive and well-qualified adults can yield up to a 13 percent return on investment over time. This return on investment can lead to increased high school graduation rates, less reliance on public assistance, and even a lower likelihood of jail time as adults for children who attend these high-quality programs during their early years of schooling.
Person submitting Fiscal Note: Sam Pauley
Email Address: sepauley@k12.wv.us