FISCAL NOTE



FUND(S):

7152

Sources of Revenue:

Special Fund

Legislation creates:

Neither Program nor Fund



Fiscal Note Summary


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


The projected cost for HB 3040 is $2,800,000. No additional revenues are designated in the bill. Assessment amounts collected by the Offices of the Insurance Commissioner to fund its operations may need adjusted to cover the additional costs.



Fiscal Note Detail


Effect of Proposal Fiscal Year
2009
Increase/Decrease
(use"-")
2010
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 0 2,800,000 2,800,000
Personal Services 0 2,100,000 2,100,000
Current Expenses 0 500,000 500,000
Repairs and Alterations 0 0 0
Assets 0 200,000 200,000
Other 0 0 0
2. Estimated Total Revenues 0 0 0


Explanation of above estimates (including long-range effect):


The proposal calls for the doubling of supervisory, legal and investigative personnel of the Offices of the Inspector General (fraud unit). Additional Personal Services & Benefits - $2,100,000 Supervisory (4) - $216,000 Investigative (27) - $1,076,000 Legal (5) - $264,000 Total Personal Services = $1,556,000 Total Employee Benefits = $1,556,000 * 0.35 = $544,600 Total PS & EB = $1,556,000 + $544,600 = $2,100,000 (rounded) Additional $700,000 has been allocated for equipment, rent, training, travel, computers, supplies, etc.



Memorandum






    Person submitting Fiscal Note: Michael D. Riley
    Email Address: Michael.Riley@wvinsurance.gov