FISCAL NOTE
FUND(S):
0407 - Central Office General Administrative Fund, 5172 Health Facility Licensing Fund
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.
"The purpose of this bill is to establish the Hospital Infections Disclosure Act which requires hospitals to disclose hospital-infection rates for the public."
The bill calls for the Department's Bureau for Public Health (BPH) Commissioner to appoint an advisory committee, including representatives from public and private hospitals, hospital infection control departments, direct care nursing staff, physicians, epidemiologists with expertise in hospital-acquired infections, academic researchers, consumer organizations, health insurers, health maintenance organizations, organized labor and purchasers of health insurance, such as employers. The advisory committee shall have a majority of members representing interests other than hospitals.
The Department estimates the cost of this legislation to be $255,174 for FY 2008 and $240,714 for years upon full implementation. The cost consists of expenses of $250,739 for FY 2008 and $238,739 for years upon full implementation for the Office of Epidemiology and Health Promotion (OEHP) and expenses of $4,435 for FY 2008 and $1,975 for years upon full implementation for the Office of Health Facility Licensure and Certification (OHFLAC). The bulk of the costs are associated with the additional staff that will be required to fulfill the activities required under this legislation.
The Department estimates that it will realize revenues of $12,000 for FY 2008 and $4,000 for years upon full implementation. The revenues will stem from the $1,000 per day penalty for non-compliance.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2007
Increase/Decrease
(use"-") |
2008
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
255,174 |
240,714 |
| Personal Services |
0 |
198,784 |
198,784 |
| Current Expenses |
0 |
56,390 |
41,930 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
12,000 |
4,000 |
Explanation of above estimates (including long-range effect):
Personal Services- OEHP: $198,039 is based upon the following costs: 1.0 FTE Epidemiologist III @ $75,000; 1.0 FTE Nurse IV @ $50,000; 1.0 FTE Office Assistant III @ $25,000 for total salaries of $150,000. Benefits of $48,039 were calculated as follows: admin. fees and health insurance at $6,418 per FTE = $6,418 (3 * $6,418 = $19,254); FICA, retirement and workers' compensation at 19.19% of personal services = $28,785. OHFLAC: 1 Health Facility Surveyor @ $19.63 per hour X 10 hours, 1 Program Manager II @ $23.50 per hour X 1 hour, 1 Office Assistant @ $10.44 per hour X 2 hours, 1 Attorney II @ $26.44 per hour X 8 hours, 1 Secretary I @ $12.98 per hour X 4 hours, 1 Health Facility Surveyor @ $19.63 per hour X 3 hours = $563 x 32.24% Employee Benefits = $182 = $745
Current Expense Detail ($58,930)- OEHP: FY 2008 Advisory committee travel expenses and hospitality for meetings is estimated @ $19,020 (avg. 250 miles x .445 x12 x 12 = $16,020; hospitality 12 meetings x $250 = $3,000). Other current expense costs will include the costs for computers, printers, and related computer and office supplies for the three staff employees totaling $9,800; rent expense and related utilities totaling $6,420; staff travel and training related costs to attend annual conferences (Society for Health Care Epidemiology & Association of Professionals in Infection Control) Totaling 12,000 and in-state travel to visit with hospital and nursing home infection control staff totaling $5,460. Total Current expenses of $52,700. OHFLAC: Lodging 1 night @ $65, Mileage 100 miles @ 44.5 cents per mile, Meals 2 @ $30, Hearing Examiner 6 hours @ $100 per hour per hearing, Court Reporter @ $460 per hearing = $1,230 per hearing x 3 hearing in 2008 - $3,690, 1 hearing per year at full implementation = $1,230.
The above estimates are using calculations based on the assumption that BPH will be responsible for the facilitation of meetings for the advisory committee members and to reimburse them for associated travel expense incurred. The estimates include the costs associated with conducting monthly meetings of the advisory committee members.
Estimates for Fiscal Year (Upon full Implementation) exclude costs associated with the purchase of computers and printers for new staff that will be hired to administer the new program. In addition, less frequent meetings of the advisory committee is anticipated upon full implementation.
Memorandum
A technical flaw exists in the proposed legislation calling for the first quarterly reports from the hospitals to be submitted on January 31, 2007. This should read January 31, 2008.
Person submitting Fiscal Note: Martha Yeager Walker
Email Address: fnbudoff@wvdhhr.org