FISCAL NOTE
FUND(S):
Sources of Revenue:
Other Fund N/A
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 is to allow county boards of education in low density counties to operate their schools on a four-day school week basis.
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 |
-481,973 |
-2,225,767 |
Explanation of above estimates (including long-range effect):
For FY 2014 and FY2015, the estimated net loss to low-population density County Boards of Education by moving to a four-day school week is $481,973. County boards are projected to lose $4,340,724 in revenue from the Child Nutrition Program, but that reduction in revenue is offset by a total estimated reduction in expenses of $3,858,751, resulting in a net loss of $481,973 combined for the 16 low-population density counties.
For FY 2016 and beyond, the estimated net loss to the County Boards of Education is $2,225,767. Because Step 4 (Transportation) of the Public School Support Program is based on the actual transportation expenses incurred by the County Boards of Education, the lower actual transportation expenses incurred during FY14 as the result of the four-day school week would result in a reduction of $1,743,794 of state aid revenue. Combined with the lost revenue of $4,340,724 for the Child Nutrition Program, County Boards of Education would have a total reduction in revenue of $6,084,518. This revenue reduction is offset by an estimated reduction of expenses of $3,858,751, resulting in an estimated net loss of $2,225,767 combined for the 16 low-population density counties.
Please note that this proposed legislation only allows low-population density counties to operate on a four-day school week. The same authority is not granted to the sparse-population density counties.
The reduction in Step 4 revenue for the County Boards of Education of $1,743,794 for FY16 and beyond would result in a savings in that amount to the State through the Public School Support Program.
Memorandum
Person submitting Fiscal Note: Brenda Freed
Email Address: bfreed@access.k12.wv.us