|Date Requested:February 15, 2012
Time Requested:12:17 PM
| FUND(S) |
Sources of Revenue
Legislation creates:Neither Program nor Fund
Effect this measure will have on costs and revenues of state government.
| The purpose of this Committee Substitute bill is to provide honorably discharged veterans with a replacement driver’s license with no charge prior to the expiration of their current driver’s license for the purpose of receiving the veteran’s designation on the new license.
According to the West Virginia Department of Veteran’s Assistance, there are currently 185,000 honorably discharged veterans in the state of West Virginia. The current Driver’s License/ID Card Vendor has been contracted to provide the veteran’s designation as an option for the Driver’s License/ID Card. We reimburse the vendor on a transaction basis and with personal services the production cost for each driver’s license or ID card is approximately $7.60. A duplicate license, which is addressed in this legislation, will cost approximately $5.
With 185,000 honorably discharged veterans in the state, the potential cost to the West Virginia Division of Motor Vehicles (WVDMV) could be as much as $925,925 (185,000 x $5.005). There would be minimal revenue loss to calculate for issuance of duplicate licenses.
It takes approximately 5 minutes to issue a duplicate license according to WVDMV personnel which equates to 12 duplicate licenses processed per hour. Based on the average salary for a Customer Service Representative of $15.54 per hour, personnel services could cost as much as $239,575. With a per transaction material cost of $3.71, the potential cost of materials would be $686,350.
|Effect of Proposal||Fiscal Year|
|1. Estmated Total Cost||925,925||925,925||925,925|
|Repairs and Alterations||0||0||0|
|2. Estimated Total Revenues||0||0||0|
3. Explanation of above estimates (including long-range effect):
Personnel Services $1.295 x 185,000 $ 239,575
Material Cost $3.71 x 185,000 $ 686,350
Total Estimated Cost $ 925,925
Revenue loss would be minimal.