Date Requested:February 22, 2013
Time Requested:01:18 PM
Agency: State Tax & Revenue Department
CBD Number: Version: Bill Number: Resolution Number:
2013R1697 Introduced HB2360
CBD Subject: PUBLIC SCHOOL SUPPORT LOCAL SHARE
FUND(S)
General Revenue, Local Governments
Sources of Revenue
General Fund,Other Fund Local Gevernments
Legislation creates:
Neither Program nor Fund

Fiscal Note Summary

Effect this measure will have on costs and revenues of state government.

     The purpose of this bill concerns public school support computation of local share. The bill removes provisions for using assumed assessed values for the purpose of computation. The bill removes provisions for increasing counties' local share responsibility for funding basic foundation education formula. The bill revises a definition. The bill makes legislative findings on the effect that under assessed property values has on school funding. The bill sets forth that it is the duty of county assessors to accurately assess property taxes. The bill establishes the duty of the Tax Commissioner to ensure a thorough and efficient education of the state's children is not diminished by the under assessment of property taxes.
    
     According to our interpretation passage of this bill would repeal WV Code §11-1C-5b and §18-9A-2a, relating to the calculation of the local share of the State’s education funding formula. This portion was set to be implemented July 1, 2013, however passage of this bill will result in a continuance of the present local share calculation formula. The code section repealed in this bill gave the State Tax Commissioner the authority to calculate the local share of the school funding formula that is currently calculated by the county assessors. This was originally passed to combat the apparent under-reporting of aggregate property values by assessors leading to the under-funding of the local share of schools by counties.
    
     Passage of this bill would have no effect on either the General Revenue Fund or local governments as this would simply repeal a provision of the code that was to be implemented July 1, 2013.
    
     There would be no additional administrative costs to the State Tax Department.

Fiscal Note Detail
Over-all effect
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
3. Explanation of above estimates (including long-range effect):
     According to our interpretation passage of this bill would repeal WV Code §11-1C-5b and §18-9A-2a, relating to the calculation of the local share of the State’s education funding formula. This portion was set to be implemented July 1, 2013, however passage of this bill will result in a continuance of the present local share calculation formula. The code section repealed in this bill gave the State Tax Commissioner the authority to calculate the local share of the school funding formula that is currently calculated by the county assessors. This was originally passed to combat the apparent under-reporting of aggregate property values by assessors leading to the under-funding of the local share of schools by counties.
    
     Passage of this bill would have no effect on either the General Revenue Fund or local governments as this would simply repeal a provision of the code that was to be implemented July 1, 2013.
    
     There would be no additional administrative costs to the State Tax Department.


Memorandum
Person submitting Fiscal Note:
Mark B. Muchow
Email Address:
Roger.D.Cox@wv.gov