Date Requested:January 19, 2012
Time Requested:02:42 PM
Agency: Governor's Office
CBD Number: Version: Bill Number: Resolution Number:
2012R1210 Revised HB4015
CBD Subject: HERBERT HENDERSON OFFICE OF MINORITY AFFAIRS
FUND(S)
0101
Sources of Revenue
General Fund,Special Fund
Legislation creates:
A New Program,A New Fund

Fiscal Note Summary

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

    Original response has been amended to include only an Executive Director and 1 Administrative Assistant)
    
    Passage of this bill will cause an increase in general revenue expenditures for the cost of establishing the office, Executive Director and staff. Even though the bill creates a Special Revenue fund, the "Minority Affairs Fund", it does not establish a revenue stream. No fees, taxes or other source of new revenue is authorized or established under the bill. The source of funding for start-up costs is not identified, thus it must be assumed that a Legislative Appropriation would cover the initial operating expenses, and every year thereafter.
    
    The primary source of funding for any and all expenditures (for other than the Executive Director and Administrative Assistant) would be gift, grants, bequests, transfers, or donations from individuals, firms, foundations, or corporations. All funds received would be used as matching funds to obtain federal funds for the delivery of programs and services to minorities, to award grants, loans and/loan guaranties for minority affairs programs and activities. Consequently, all special revenue received would be used for program administration and thus have a net zero impact on State revenues.
    

Fiscal Note Detail
Over-all effect
Effect of Proposal Fiscal Year
2012
Increase/Decrease
(use"-")
2013
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 676,000 661,000 661,000
Personal Services 130,000 130,000 130,000
Current Expenses 29,000 29,000 29,000
Repairs and Alterations 0 0 0
Assets 15,000 0 0
Other 500,000 500,000 500,000
2. Estimated Total Revenues 676,000 661,000 661,000
3. Explanation of above estimates (including long-range effect):
    Original submission amended to reduce staff to Exec. Director plus 1 Admin. Secretary.
    
    Cost estimates assume effective date of July 1, 2012. First full year of implementation would be FY2013. FY2013 estimate reflects cost of 1 Executive Director @ 70,000, 1 Admin. Secretary @ 30,000, plus 30% Employee Benefits; plus cost of furniture and equipment, office space, travel & training for 2 employees. Year 2 costs are reduced by the estimated cost of furniture and equipment (incurred during start-up). "Other" expenditures include grants and/or loans to minority programs and activities, with the source of revenue being Special Revenue as defined in the bill.
    
    Total Estimated Revenues assumes $500,000 in Special Revenue to support programs, and remainder in General Revenue appropriation to support the office staff.


Memorandum
Person submitting Fiscal Note:
Cindy Smith
Email Address:
Cynthia.M.Smith@wv.gov