FISCAL NOTE



FUND(S):

0131 Department of Agriculture

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 bill will increase the activities of the Department of Agriculture by expanding existing programs to increase public awareness of the availability of locally produced foods and related products made from locally grown ingredients. The expansion of current WVDA programs will also allow us to focus on improving distribution networks and promoting the health benefits of eating fresh products as well as providing the public a higher level of assurance of the safety of the foods they consume if they are locally produced. Expansion of locally grown product markets will result in increased income for the local producers, wholesalers, retailers, and numerous other "support" businesses that are a part of this supply chain. An increase in income for all of these participants translates into a boost to the economy and a substantial increase in tax revenues for the State. We anticipate that expanding coverage of the State by adding two new positions that will be located in two different areas of the State will improve coverage of those locations and maximize the economical benefits to be gained by the businesses in the local economies impacted as well as the State's tax revenues.



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 0 106,000 96,300
Personal Services 0 69,000 71,100
Current Expenses 0 37,000 25,200
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 0 0
2. Estimated Total Revenues 0 0 0


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


The increase in personal services is based upon adding two employees in FY 2010 at a starting salary of $25,000 plus benefits for each and anticipating the possibility of a 3% across-the-board increase in FY 2011. The increase in current expenses is based upon getting the two employees the necessary office furniture and equipment necessary to begin their operations in FY 2010 plus their anticipated travel expense to carry out their duties. The decrease in this category for the following fiscal year is based upon excluding the one-time costs involved in getting the offices set up to begin operations.



Memorandum






    Person submitting Fiscal Note: Sandra Gillispie, Director Administrative Services
    Email Address: sgillispie@ag.state.wv.us