|Date Requested:February 06, 2012
Time Requested:04:03 PM
| FUND(S) |
Big Vertical Ski Resort
Sources of Revenue
Legislation creates:A New Fund
Effect this measure will have on costs and revenues of state government.
|House Bill 4437 seeks the authority to establish and operate limited gaming facilities in up to four (4) Big Vertical Ski Resorts in West Virginia. A Big Vertical Ski Resort is a ski resort that has a minimum of fifteen thousand feet of total vertical drop on no more than ten separate and distinct ski trails, has a minimum peak elevation of at least four thousand feet for a minimum of one ski lift, and no ski trail that has a deflection on a compass of the downhill pitch whose face is between ninety-one degrees and two hundred sixty-nine degrees will qualify as either of these two requirements. The bill requires a local option election in the county in which the Big Vertical Ski Resort is located and imposes similar restrictions in regards tow ho may enter and gamble at the Big Vertical Ski Resort similar to the law authorizing a limited gaming facility at a Historic Resort Hotel [West Virginia Code 29-25-1,et seq.]. As drafted, this bill will cost the State money because the expenses will exceed expected revenues.|
|Effect of Proposal||Fiscal Year|
|1. Estmated Total Cost||0||0||0|
|Repairs and Alterations||0||0||0|
|2. Estimated Total Revenues||-183,510||-289,605||-289,605|
3. Explanation of above estimates (including long-range effect):
1. Estimated Total Cost of Proposal: $1,096,491.00
Personal Services: $208,229.00
Current Expenses: $66,079.00
Repairs and Alterations: (-)
2. Estimated Total Revenue: $912,981.00
FY 2013 and FY Upon Full Implementation:
1. Estimated Total Cost of Proposal: $3,860,913.00
Personal Services: $595,316.00
Current Expenses: $36,795.00
Repairs and Alterations: $716.00
2. Estimated Total Revenue: $3,571,308.00
The line labeled "Other" reflects the estimated distribution of revenue to the County where the Big Vertical Ski Resort is located.
The above estimates are likely higher than any actual total revenue that will be generated at a Big Vertical Ski Resort limited gaming facility, however these are the only figures available to use as estimates for a limited gaming facility in West Virginia. The Greenbrier casino was used as a model to formulate the estimated effect of the bill.
| As drafted, this bill will cost the State money because the expenses will exceed expected revenues.
The revenue distribution proposed in the bill for the limited gaming facilities at Big Vertical Ski Resorts results in distribution of almost the entire revenue stream to the County in which the Resort is located and the Big Vertical Ski Resort itself. Only ten percent (10%) of the thirty-five percent (35%) share of the revenue placed into the Big Vertical Ski Resort Fund will be allocated to the Lottery as an administrative fee, which will not cover the administrative expenses and costs of regulating one of these limited gaming facilities. There will be no increase in revenue available for State-wide distribution from these limited gaming facilities. Only the County and facility benefit.
It is also important to note that the bill allows for up to four (4) limited gaming facilities to be built at a Big Vertical Ski Resort. If four (4) Big Vertical Ski Resorts qualify, then the figures expressed in the estimated effect and explanation of estimates must be quadrupled (multipled by four) to reflect the actual estimated effect.