FISCAL NOTE

Date Requested: February 09, 2022
Time Requested: 03:10 PM
Agency: Motor Vehicles, WV Division of
CBD Number: Version: Bill Number: Resolution Number:
1336 Introduced HB4595
CBD Subject: Roads and Transportation


FUND(S):

Road Fund

Sources of Revenue:

Special Fund

Legislation creates:

Increases Revenue From Existing Sources, Creates New Expense



Fiscal Note Summary


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


The purpose of this bill is to establish a program for camera assisted speed enforcement in active work zones in this state, to be implemented by the West Virginia Department of Transportation. As a result of this bill the Division would need to add personnel in order to conduct administrative hearings. The Division estimates this will require two (2) hearing examiners at an average annual salary of $53,516 each, and two paralegals at an average annual salary of $35,451 each. Total cost of salary for these four positions would be $177,862 (($53,516,x 2)+($35,415 x 2)). The projected benefit cost is $87,152 which produces a total personal services cost of $265,014 ($177,862 + $87,152). Salary and benefits would be an annually recurring expense in future years. The employees will need to be outfitted with the following equipment and services; laptops $3,236 printer $400, Office of Technology charge to set up laptop $800, cell phone $120, data plan $1,260, vehicle rent $14,640, office supplies $800. The Division will incur mailing costs of approximately $450. The Division will also need to retain the services of an attorney, through the Attorney General’s office, to represent the Division in circuit court. The Division estimates this cost to be $91,000 per year. Total first year current expense would be $116,306 ($3,600 + $3,236 + $400 + $800 + $120 + $1,260 + $800 + $14,640 + $450 + $91,000). Recurring costs for future years include the data plan $1,260, office supplies $800, vehicle rental $14,640, mailing costs of $450, and attorney representation of $91,000 for a total of $108,150 ($1,260 + $800 + $14,640 + $450 + $91,000). The bill provides for the suspension of the registration for vehicles not complying with the fines for speeding in the work zone. This would invoke a registration reinstatement fee of $10. The Division estimates there will be 4,518 registrations suspended annually producing revenue of $45,180 (4,518 * $10). This fiscal note only estimates the fiscal impact on the Division of Motor Vehicles. This does not consider or address the fiscal impact on the Division of Highways. The estimates in this fiscal note are based upon the implementation of a similar plan in the state of Pennsylvania. In the first year of that program the revenue was $1,700,640 while the expenses totaled $3,438,361. This produces a net loss of $1,737,721. It should also be noted that while the bill implies the registration of out-of-state vehicles are also subject to its penalties, there is no mechanism to enforce such penalties.



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 0 381,320 373,164
Personal Services 0 265,014 265,014
Current Expenses 0 116,306 108,150
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 0 0
2. Estimated Total Revenues 0 45,180 45,180


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


$ 107,032 Salary for 2 hearing examiners $ 70,830 Salary for 2 paralegals $ 87,152 Benefits $ 265,014 Total Personal Services $ 3,600 Programming $ 800 Set up for PC $ 4,556 Supplies (laptop, printer, etc) $ 1,260 Data Plan $ 14,640 Vehicle Rent $ 450 Mailing and Postage $ 91,000 AG Cost $ 116,306 Total Current Expense 4,518 Suspensions $ 10 Reinstatement fee $ 45,180 Total Revenue $ 107,032 Salary for 2 hearing examiners $ 70,830 Salary for 2 paralegals $ 87,152 Benefits $ 265,014 Total Personal Services $ 800 Office Supplies $ 1,260 Data Plan $ 14,640 Vehicle Rent $ 450 Mailing and Postage $ 91,000 AG Cost $ 108,150 Total Current Expense 4518 Suspensions $ 10 Reinstatement fee $ 45,180 Total Revenue



Memorandum






    Person submitting Fiscal Note: Raeann Kriner
    Email Address: raeann.k.kriner@wv.gov