FISCAL NOTE
FUND(S):
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.
Since inception of the mine subsidence program, the average cost per claim is approximately $6000. Only approximately two claims per year actually exceed the $75,000 maximum valuation. Should the coverage be increased to $125,000 per claim, using the same rationale, the two previous claims that exceeded the $75,000 limit might be paid out at $125,000 instead of $75,000 creating a potential shortfall of $100,000. Premiums would need to be adjusted upward to recover the $100,000 loss.
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 |
800,000 |
900,000 |
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 |
2,000,000 |
2,000,000 |
0 |
Explanation of above estimates (including long-range effect):
See summary above.
Memorandum
Person submitting Fiscal Note: Chuck Jones
Email Address: charles.e.jones@wv.gov