|Date Requested:February 07, 2011
Time Requested:05:39 PM
| FUND(S) |
Sources of Revenue
Legislation creates:A New Fund
Effect this measure will have on costs and revenues of state government.
|The purpose of this legislation is to develop a matching grant program to foster the development of creative communities in West Virginia.The matching grants will be utilized to develop and enhance cities,towns and counties in West Virginia by developing planning strategies to help them to be more viable and better able to compete for economic investment.No funds currently exist in the Development Office to support this program.|
|Effect of Proposal||Fiscal Year|
|1. Estmated Total Cost||0||352,500||352,500|
|Repairs and Alterations||0||0||0|
|2. Estimated Total Revenues||0||0||0|
3. Explanation of above estimates (including long-range effect):
Since we are unsure how much the Legislature is going to appropriate to establish the Creative Communities Development Fund ,it is difficult for this office to determine how much it will cost to operate the program.The above estimate is based on $100,000 to pay the Per Diem and travel costs of the three public board members to attend the bi-monthly board meetings as the legislation requires.The remaining costs are based on the Development Office hiring three additional staff to operate the program.
|The legislation allows the Board to invest any funds received from the Legislature or other sources and keep the proceeds for Board operations. Normally state agencies are not allowed to invest general revenue funds and keep the proceeds.Most of the time the interest on general revenue funds goes to general state operations.Not to mention the prohibitions on investing federal funds.Also,in our experience it would be extremely difficult for the communities to come up with the required local matching funds.I don't know of any communities in the state with a population of less than 5,000 that could come up with $200,000 in local matching funds for one of these grants.The legislation as written seems to require the local community receiving one of these grants to match the grant dollar for dollar with local,federal or other funds.In kind contributions or state dollars from other sources are not an allowable source of matching funds.|