Date Requested:March 15, 2005
Time Requested:11:36 AM
Agency: Attorney General
CBD Number: Version: Bill Number: Resolution Number:
2005R1562 Intro SB545
CBD Subject: Establish Position of Insurance Advocate
FUND(S)
General Revenue and Special Revenue
Sources of Revenue
General Fund,Special Fund
Legislation creates:
Neither Program nor Fund

Fiscal Note Summary

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

    
    
    This legislation creats the Office of Insurance Consumer Advocate in the Attorney General's Office. The purpose of this office will be to represent consumers in all judicial and administrative proceedings involving insurance. The office will also have the authority to initiate judicial and administrative proceedings when it is determine to be in the best interest of the insurance consuming public.

Fiscal Note Detail
Over-all effect
Effect of Proposal Fiscal Year
2005
Increase/Decrease
(use"-")
2006
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 0 349,805 349,805
Personal Services 0 321,456 321,456
Current Expenses 0 28,349 28,349
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 0 0
2. Estimated Total Revenues 0 349,805 349,805
3. Explanation of above estimates (including long-range effect):
    
    
    PERSONAL SERVICES
    
    1 Insurance Advocate 125,000
    
    2 Attorneys 140,000
    
    1 Paralegal 40,000
    
    1 Secretary 35,000
    
    1 Investigator 42,000
    
    Current Staff 183,384
    
    Total 565,384
    
    Additional Staff Benefits 87,100
    
    Current Staff Benefits 98,192
    
    Total Personal Services 750,676
    
    Less Current Funding 331,028
    
     98,192
    
    Net Increase 321,456
    
    
    
    Current Expenses
    
    Rent 12,000
    
    West Law 30,000
    
    Utilities 5,600
    
    Office Supplies 20,000
    
    Vehicle Cost 3,600
    
    Travel 15,000
    
    Association Dues 20,000
    
    Miscellaneous 20,000
    
    Total 126,200
    
    Less Current Funding 97,851
    
    Net Increase 28,349
    
    Note: All increases will be recovered by a levy on the insurance industry. Net cost to the State is zero dollars.
    
    
    
    


Memorandum
Person submitting Fiscal Note:
Jerome K. Clay
Email Address:
Joe.Clay@WVAGO.GOV
    
    
    The bill requires the Office of Insurance Consumer Advocate to be funded by an appropriated special revenue account but all funds from the levy on the insurance companies goes to the general fund. There needs to be a mechanism to move the funding from the general fund back over to the appropriated special revenue account.