FISCAL NOTE

Date Requested: February 09, 2022
Time Requested: 03:51 PM
Agency: Education, WV State Board of
CBD Number: Version: Bill Number: Resolution Number:
1081 Introduced SB21
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 total estimated cost to the State under the Public School Support Plan (PSSP) for the 2022-23 year and thereafter is $1,085,649.



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 1,085,649 1,085,649
Personal Services 0 0 0
Current Expenses 0 1,085,649 1,085,649
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. The total estimated cost to the State under the Public School Support Plan (PSSP) for the proposed legislation is $1,085,649 for the 2022-23 year and thereafter. Under the existing statute, county boards of education with less than 1400 students are provided additional students for state aid funding purposes, but only the most sparsely populated of the 12 county boards with less than 1400 students (Pocahontas) are funded at the 1400 level. The other 11 counties currently with enrollment of less than 1400 students are given additional students based on the difference between their actual enrollment and 1400 after consideration of their population density compared to that of Pocahontas. These counties are then provided an additional 10% increase in net enrollment capped at a maximum of 1400 students as provided by HB206 passed during the 2019 special legislative session. Under the proposed legislation, districts would be funded at a minimum 1200 student level, increasing the state aid funding and number of funded positions for applicable districts. There are 3 counties that would receive increased funding as a result of the proposed legislation: Calhoun, Gilmer, and Wirt. The estimated cost for the proposed legislation for the 2022-23 year is $1,085,649. This consists of an increase in Step 1 (Allowance for Professional Educators) of $579,124 due to an additional 12.11 funded positions , Step 2 (Allowance for Service Personnel) of $188,320 due to an additional 7.41 funded positions, Step 5 (Allowance for Student Support Personnel) of $37,968 due to an additional 0.81 funded positions, Step 3 (Allowance for Fixed Charges) of $66,769, Steps 6b & 6c (Allowance for Substitutes) of $20,136, Step 9 (Local Share) $381 due to a decrease in local share, Retirement of $58,882 and PEIA of $133,857. There is also an increase in Step 6a (Allowance for Current Expense) of $212 due to a redistribution of the funding among counties due to the change in enrollment. Note that the local share change is due to the reallocation of funds among the counties under the statutorily prescribed calculations in certain steps, which impacted the local share cap on the one county board of education that receives zero state aid funding: Doddridge. The estimated cost for the proposed legislation would vary each year depending on the changes in student enrollment. If actual student enrollment continues to decline, the cost to the state would increase accordingly.



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. N/A



    Person submitting Fiscal Note: Sam Pauley
    Email Address: sepauley@k12.wv.us