FISCAL NOTE
Date Requested: January 10, 2020
Time Requested: 03:54 PM |
| Agency: |
State Police, WV |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 1655 |
Introduced |
HB4016 |
|
|---|
| CBD Subject: |
Motor Vehicles |
|---|
|
FUND(S):
6501
Sources of Revenue:
Special Fund
Legislation creates:
Decreases Existing Revenue
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 piece of legislation affects the motor vehicle inspection program in that it would require vehicle inspection every three years instead of every year. Expected revenues are listed below for FY2021 with additional projections in the explanation of estimates.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2020
Increase/Decrease
(use"-") |
2021
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
0 |
0 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
0 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
2,262,118 |
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.
Actual Revenues for the Motor Vehicle Inspection Program for FY2019 were $4,524,235. This piece of legislation doubles the fee for an inspection sticker and therefore roughly doubles the amount of revenue received in the second half of FY21, an increase of $2,262,118.
Because the proposed sticker price would double yet the sticker life would triple, the result would be a loss from current revenue receipts of approximately $4,524,235 every three years. When this piece of legislation has fully been implemented there will be an estimated loss of revenue from current revenues of $1,508,078 per year.
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.
Small businesses who perform the inspections would also be affected by this piece of legislation. An estimated $5,529,621 would be lost by inspection stations annually.
Approximately $331,777 in state revenue from sales tax will also be lost annually.
Revenue from additional/unknown taxes from cities may be lost as well.
Person submitting Fiscal Note: Connie E Gundy
Email Address: connie.e.gundy@wvsp.gov