FISCAL NOTE
Date Requested: February 15, 2022
Time Requested: 05:34 PM |
| Agency: |
Occupational Therapy, WV Board of |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 2531 |
Introduced |
HB4731 |
|
|---|
| CBD Subject: |
Health |
|---|
|
FUND(S):
WV Board of Occupational Therapy
Sources of Revenue:
Special Fund
Legislation creates:
Decreases Existing Revenue, Creates New Expense
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.
This bill will allow Occupational Therapists and Occupational Therapy Assistants who
are out-of-state residents to practice in WV with a Compact Privilege in lieu of a WV
License. This will result in a loss of revenue from initial license fees and license
renewal fees for those practitioners who otherwise would have chosen to obtain a WV
License. The loss of revenue will be offset to an extent by allowable Compact
Privilege fees. This has been considered in the fiscal estimate.
There could possibly be revenue generated from out-of-state residents obtaining a Compact Privilege to practice in WV who wouldn't otherwise have obtained a WV License. This has not been considered in the fiscal estimate.
There will be an annual fee for the Board as a member state of the Licensure Compact.
The amount has not been determined as the Compact does not yet have the required number
of states to actively form the Commission, which will determine the fee.
As a member state, a representative will be required to participate in Commission
meetings, which may involve travel expense.
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 |
0 |
0 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
0 |
5,000 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
0 |
-20,000 |
Explanation of above estimates (including long-range effect):
There will be no impact in FY2022 or FY2023 as the Licensure Compact will not become
effective until the required number of states join, after which it will take
approximately one year for the Commission to be formed and implemented.
The annual decrease in revenue is based on two components, loss of initial licensure
fees and loss of license renewal fees, and is offset to an extent by a Compact
Privilege fee.
Assumptions for loss of initial licensure fees:
1) Based on FY2021 initial licenses issued to out-of-state residents, which represents
nearly 60% of total licenses issued.
2) Assumes ALL out-of-state residents choose a Compact Privilege in lieu of a WV
License.
3) Loss of revenue has been reduced by anticipated Compact Privilege fee.
Assumptions for loss of licensure renewal fees:
1) Based on the number of current licenses held by out-of-state residents due for
renewal in 2022, less the historical rate of non-renewals.
2) Assumes ALL out-of-state residents choose a Compact Privilege in lieu of renewing
their current WV License.
3) Loss of revenue has been reduced by anticipated Compact Privilege fee.
Increase in current expense includes estimated annual travel expense of $1,000 and an
estimated annual membership fee of $4,000.
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 Licensure Compact does allow out-of-state licensees to continue to hold a WV
License. It is unclear at this time how many will choose a Compact Privilege to
practice in WV in lieu of a WV license. It is also unknown how many out-of-state residents will obtain a Compact Privilege to practice in WV who wouldn't otherwise have obtained a WV License.
Person submitting Fiscal Note: Vonda Malnikoff
Email Address: vmalnikoff@wvbot.org