FUND(S):

State Road Fund 6700-16

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.


    
    The potential cost and income from the legislation are unknown but the bill itself is contrary to Federal law regarding advertising along highways.
    
    SEE MEMORANDUM



Fiscal Note Detail


Effect of Proposal Fiscal Year
2013
Increase/Decrease
(use"-")
2014
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):


    
    
    The potential cost and income are unknown.



Memorandum


     The legislation, while innovative, has flaws:
    
     1. It provides that the Division of Highways (DOH) allow a sponsor to install signage with the sponsor's name, logo and a safety message, if desired. Federal laws are very specific in preventing additional signage with sponsorships, logos, etc. Federal law also prevents the addition of new billboards along highways. The DOH must annually certify to the Federal Government that we are maintaining their requirements or suffer an approximate $18 Million annual loss until brought back into compliance.
    
     2. The DOH can and does already accept donations from private and public entities for highway improvements, maintenance and construction. Natural resource companies, major commercial and retail establishments and residential developments are already required to reach agreements for improvements and/or maintenance if it is determined that their activities will impact the highway. The CETA legislation, WV Code 17-28, allows counties and municipalities to also enter into agreements with the DOH for funding improvements and the Public Private legislation, WV Code 17-27, allows for corporations to do the same.
    
     3. The legislation would also require the DOH Commissioner to reach a goal of 10 sponsors within four years. Sponsorships would vary depending on the item and/or highway funded.
    
     4. The DOH does not feel that this legislation is needed.



    Person submitting Fiscal Note: Kathy J Holtsclaw
    Email Address: Kathy.J.Holtsclaw@wv.gov