FISCAL NOTE



FUND(S):

3200

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 purpose of the bill is to require that fishing licenses be valid for one-year from the date of issuance, as opposed to the current situation where they are valid for the calendar year in which they are issued. The Division of Natural Resources’ license system cannot currently issue and administer licenses that would be effective for one year from the date of purchase. Paper licensing still accounts for approximately 25-30 percent of the agency’s license sales. Because many license agents often fail to complete all information, including the date of sale, the agency has no effective means to ensure a valid date of sale on paper licenses. Given that limitation, offering a license that is effective for one year from the date of sale would present significant obstacles to effective accounting and law enforcement. In addition, the agency’s $8 million annual federal aid revenue apportionment requires accurate annual certification of the number of paid licenseholders, a process whose integrity and revenue flow could be jeopardized by inaccurate data. For those reasons, administering a 365-day license will require a fully electronic licensing system that is capable of electronically time stamping the date of purchase at the point of sale. The agency has recently issued an RFP to acquire a fully electronic system which is estimated to cost the agency $1.25-1.75 million annually. While it is not possible at this time to estimate the additional cost of implementing the proposed license under the impending electronic licensing system, the Office of Technology has estimated that the reprogramming cost for such a license could exceed $100,000 for just the point-of-sale component of our current license system. Finally, having a fishing license that is valid for one-year from the date of issuance but is accompanied by stamps (e.g., trout stamp, conservation stamp) that are valid for a calendar year creates additional problems both for the agency and for the licenseholder.



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):






Memorandum


The purpose of the bill is to require that fishing licenses be valid for one-year from the date of issuance, as opposed to the current situation where they are valid for the calendar year in which they are issued. The Division of Natural Resources’ license system cannot currently issue and administer licenses that would be effective for one year from the date of purchase. Paper licensing still accounts for approximately 25-30 percent of the agency’s license sales. Because many license agents often fail to complete all information, including the date of sale, the agency has no effective means to ensure a valid date of sale on paper licenses. Given that limitation, offering a license that is effective for one year from the date of sale would present significant obstacles to effective accounting and law enforcement. In addition, the agency’s $8 million annual federal aid revenue apportionment requires accurate annual certification of the number of paid licenseholders, a process whose integrity and revenue flow could be jeopardized by inaccurate data. For those reasons, administering a 365-day license will require a fully electronic licensing system that is capable of electronically time stamping the date of purchase at the point of sale. The agency has recently issued an RFP to acquire a fully electronic system which is estimated to cost the agency $1.25-1.75 million annually. While it is not possible at this time to estimate the additional cost of implementing the proposed license under the impending electronic licensing system, the Office of Technology has estimated that the reprogramming cost for such a license could exceed $100,000 for just the point-of-sale component of our current license system. Finally, having a fishing license that is valid for one-year from the date of issuance but is accompanied by stamps (e.g., trout stamp, conservation stamp) that are valid for a calendar year creates additional problems both for the agency and for the licenseholder.



    Person submitting Fiscal Note: Steve Brown
    Email Address: Walter.S.Brown@wv.gov