Date Requested:March 25, 2005
Time Requested:12:12 PM
Agency: Natural Resources, Division of
CBD Number: Version: Bill Number: Resolution Number:
2005R1430 Intro HB3272
CBD Subject: Upland Bird Population
FUND(S)
3200
Sources of Revenue
Special Fund
Legislation creates:
A New Fund

Fiscal Note Summary

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

    This bill establishes a new program for the Division of Natural Resources and a new hunting stamp as a funding vehicle for that program. The bill would generate license revenue in the first year and thereafter, but, because none of the revenue may be used to administer the program, the bill will greatly increase the Division’s unfunded costs at a time when its human and financial resources are already stressed. Because much of the new revenue must be spent for activities that will not demonstrably benefit hunters who would be required to purchase the stamp, participation rates in upland bird hunting and the accrual of hunting license revenue from those activities would decline in the future as a result of the bill. The net fiscal impact of the bill will be that the Division will be required to annually absorb $100,000 of additional costs at a time when its human and financial resources are already under stress.
    
    
    
    Estimated costs include:
    
    1 biologist + overhead = $50,000 annually
    
    Vehicle and other equipment = $30,000 first year, $5,000 thereafter
    
    Travel, supplies, and other current expenses = $20,000 annually
    
    Purchase of upland game birds = 4,000 birds X $25 = $100,000
    
    Development of a bird holding facility = $100,000 first year
    
    Repairs and alterations to holding facility = $10,000 annually thereafter
    
    Estimated revenue from stamp sales:
    
    First year = 10,000 hunters X $20 = $200,000
    
    Thereafter (because of participation rate declines) = $150,000
    
    
    The DNR’s major concern with the bill is it proposes to address a statewide problem of habitat loss for upland game birds with a dedicated hunting stamp for upland bird hunters that would fund a small-scale habitat improvement and propagation effort. Hunters buying these stamps will see little demonstrable effect of their stamp purchases. The probable result will be a decline in hunter participation in upland bird hunting with resulting declines in license revenue. Finally, because the bill prohibits the DNR from using any of the stamp revenues to administer the program, implementation of the habitat improvement and propagation activities will greatly increase the agency’s unfunded costs at a time when its human and financial resources are already stressed.
    
    
    
    
    
    
    
    

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 0 300,000 185,000
Personal Services 0 50,000 50,000
Current Expenses 0 120,000 120,000
Repairs and Alterations 0 0 10,000
Assets 0 30,000 5,000
Other 0 100,000 0
2. Estimated Total Revenues 0 200,000 150,000
3. Explanation of above estimates (including long-range effect):
     Estimated costs include:
    
    1 biologist + overhead = $50,000 annually
    
    Vehicle and other equipment = $30,000 first year, $5,000 thereafter
    
    Travel, supplies, and other current expenses = $20,000 annually
    
    Purchase of upland game birds = 4,000 birds X $25 = $100,000
    
    Development of a bird holding facility = $100,000 first year
    
    Repairs and alterations to holding facility = $10,000 annually thereafter
    
    Estimated revenue from stamp sales:
    
    First year = 10,000 hunters X $20 = $200,000
    
    Thereafter (because of participation rate declines) = $150,000
    
    
    
    


Memorandum
Person submitting Fiscal Note:
Keith Wilson
Email Address:
kwilson@dnr.state.wv.us
    The DNR’s major concern with the bill is it proposes to address a statewide problem of habitat loss for upland game birds with a dedicated hunting stamp for upland bird hunters that would fund a small-scale habitat improvement and propagation effort. Hunters buying these stamps will see little demonstrable effect of their stamp purchases. The probable result will be a decline in hunter participation in upland bird hunting with resulting declines in license revenue. Finally, because the bill prohibits the DNR from using any of the stamp revenues to administer the program, implementation of the habitat improvement and propagation activities will greatly increase the agency’s unfunded costs at a time when its human and financial resources are already stressed.