FISCAL NOTE

Date Requested: January 10, 2020
Time Requested: 01:06 PM
Agency: Environmental Protection, Department of
CBD Number: Version: Bill Number: Resolution Number:
1346 Introduced HB4087
CBD Subject: Environment


FUND(S):

No funding specified in HB4087

Sources of Revenue:

Other Fund HB4087 does not provide a funding source

Legislation creates:

Creates New Expense, 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. This legislation requires DEP to maintain an electronic submission and approval system for permit application data. DEP currently maintains an ESS (Electronic Submission System) for many of its permits, however to fully implement 100% of the application forms into a submission, review, and approval ESS would be an arduous task at a significant cost to the agency. Although DEP does have some data on this subject, it is limited, and can only provide a reasonable estimate as to the total cost of fully implementing the proposed ESS. It is estimated that it would cost approximately $450,000 per year, for a minimum of two years (totaling $900,000), which would consist of hiring developers and additional staff to get the system in place and operational. In addition, it is estimated that a permitting system of this size and capability, specifically the Windsor program, would cost approximately $3,000,000. Future operational, maintenance, and upgrade costs beyond implementation would also need to be considered and factored into the overall projected costs. Funding the implementation and future operations of an ESS of this magnitude would have a negative impact on the agency's revenue.



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 225,000 3,450,000 375,000
Personal Services 150,000 300,000 300,000
Current Expenses 75,000 150,000 75,000
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 3,000,000 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. Personal Services - Implementation in FY2020 would require hiring a minimum of five new full time employees and up to five part time employees. This staff would be required to begin implementation and maintain the system once implementation has occurred. Current Expenses - Developers would need to be hired to develop the program to DEPs specifications and train IT staff on the use and programming of the system. It is estimated that a minimum of two developers would be needed. Other - The purchase of a program to meet the needs of the agency would be required. The program Windsor has been recommended to meet these needs at an estimated cost of $3,000,000.



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. None



    Person submitting Fiscal Note: Gary Rogers
    Email Address: gary.w.rogers@wv.gov