FISCAL NOTE
FUND(S):
3041
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.
In the near term,this bill would have a de minimis impact on costs and no impact on revenues. It appears to require state-chartered banks to provide 10 year low interest loans to consumers who want to purchase solar photovoltaic panels. The Division would not expect to have to hire more staff or purchase more assets if the bill passes. However, the bill could have negative consequences of an uncertain nature as described in the Memorandum section, below.
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 |
0 |
0 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
0 |
0 |
| 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):
See below.
Memorandum
It is possible that the Division could suffer a decrease in revenues and some increase in costs if the bill passes in its present form.
A decrease of unknown amount could occur if state-chartered banks determine that the requirement to make loans at specific rates and for specific terms, regardlesss of their own underwriting standards, threatens profitability. In such a case, a bank may decide to convert to a national charter and thus the assessment base for the Division will shrink.
An increase in costs of an uncertain amount could occur if banks book many loans under questionable underwriting standards which could require the Division to spend more examination or oversight resources reviewing the status of such loans.
Person submitting Fiscal Note: Robert Lamont
Email Address: blamont@wvdob.org