FISCAL NOTE
Date Requested: February 08, 2017
Time Requested: 04:30 PM |
| Agency: |
Natural Resources, WV Division of |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 1162 |
Introduced |
HB2066 |
|
|---|
| CBD Subject: |
Natural Resources |
|---|
|
FUND(S):
3200
Sources of Revenue:
Special Fund
Legislation creates:
Neither Program nor Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The purpose of this bill is to allow nonresidents who were born in West Virginia to purchase hunting and fishing licenses and privileges at a discounted rate. If the bill were to become law, an estimated 14,534 currently licensed individuals could purchase non-resident licenses at a 50% discount. At current license prices, we estimate the fiscal impact of providing discounted hunting and fishing privileges to these 14,534 individuals would be to decrease hunting and fishing license revenue to the Division of Natural Resources’ Wildlife and Law Enforcement programs by an estimated $771,799 annually. Finally, passage of the bill would require the Division to validate each buyer’s birth certificate and issue their license from the DNR Headquarters and well as maintain those records for future purchases of any additional stamps, thus increasing the Division’s operating costs by an estimated $139,600 annually.
Current fees for nonresident licenses in West Virginia, including a $16 Junior Sportsman License, are already among the lowest in the nation. Discounted hunting and fishing license privileges for some must inevitably result in higher license fees for others, thereby reducing participation and economic impact from hunter and angler expenditures in the state.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2017
Increase/Decrease
(use"-") |
2018
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
139,600 |
139,600 |
| Personal Services |
0 |
129,600 |
129,600 |
| Current Expenses |
0 |
10,000 |
10,000 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
-771,799 |
-771,799 |
Explanation of above estimates (including long-range effect):
58,134 non-resident licenses sold in 2016
% of WV natives living in adjacent states =25%
Estimated number of individuals who would take advantage of this benefit=14,533 = 58134 X 25% = 14,534
2016 non-resident license sales of $6,174,390 X 25% native non-resident X 50% discount =$771,799 loss in revenue
$139,600 cost increase results from hiring 4 new customer service representatives at $23,000 plus benefits and increased resulting current expenses in order to process birth-certificate validation, license issuance and record-keeping.
Memorandum
License revenue and federal aid provide the bulk of the operating and capital improvements revenue for the agency’s wildlife and law enforcement programs. By law, all hunters and anglers in West Virginia must be served by the agency’s wildlife and law enforcement programs, including those who are not fully paid license holders. Currently, the agency estimates that 43 percent of all hunters and anglers do not purchase a hunting or fishing license, thus placing the total financial responsibility for supporting wildlife and law enforcement programs on those who do purchase licenses. This bill would increase the number of sportsmen who will not purchase a full-fee license, thus increasing the financial responsibility on fully-paid license holders for providing agency services to all. More free or discounted hunting and fishing license privileges for some must inevitably result in higher license fees for others, thereby reducing participation and economic impact from hunter and angler expenditures in the state.
For additional information concerning this fiscal note, please contact: Randy Tucker
Person submitting Fiscal Note: Randy Tucker
Email Address: randy.l.tucker@wv.gov