Date Requested:March 03, 2005
Time Requested:03:59 PM
Agency: Higher Education Policy Commission
CBD Number: Version: Bill Number: Resolution Number:
2005R1071 Intro HB2605
CBD Subject: Salary Increment
Sources of Revenue
General Fund
Legislation creates:
Neither Program nor Fund

Fiscal Note Summary

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

    This measure, if approved, would provide public higher education faculty with an annual experience increment. At present, only classified and non-classified public higher education employees (as well as other state employees) receive the annual experience increment.
    The total cost of this measure would be approximately $2,992,162 in FY 2006.
    At present, there are approximately 3,270 faculty members who would be eligible for the annual experience increment. These faculty members would receive approximately $2,579,450 in increment payments each year.
    In addition, higher education institutions would have to pay approximately $412,712 in additional benefit costs (estimated at 16% of increased wages), including Social Security and Medicare matching payments (7.65% of wages), retirement contributions (6% of wages), and workers’ compensation and unemployment compensation payments (estimated at 2.35%).
    The total cost may vary slightly from year to year, but should remain reasonably constant.

Fiscal Note Detail
Over-all effect
Effect of Proposal Fiscal Year
Fiscal Year
(Upon Full
1. Estmated Total Cost 0 2,992,162 2,992,162
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 0 0
3. Explanation of above estimates (including long-range effect):
    The total cost may vary slightly from year to year, but should remain reasonably constant. Variables that could affect the cost include: (1) staffing increases and decreases; and (2) employee turnover rates

Person submitting Fiscal Note:
Patricia Hunt, Director of Finance and Facilities
Email Address: