Date Requested:February 16, 2005
Time Requested:01:15 PM
Agency: State Tax Department
CBD Number: Version: Bill Number: Resolution Number:
2005R302 Intro SB103
CBD Subject: Emergency Medical Services Retirement Sy
FUND(S)
General Revenue Fund, West Virginia Emergency Services Retirement Fund
Sources of Revenue
General Fund,Other Fund
Legislation creates:
A New Program

Fiscal Note Summary

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

    The stated purpose of this bill is to enact a retirement system for Emergency Medical Services Personnel.
    
    According to our interpretation, passage of this bill would reduce General Revenue Fund collections by a minimal amount in the initial years of the program. However, as the number of eligible beneficiaries increases, the reduction to the General Revenue Fund could grow substantially. Additionally, the favored treatment of the potential beneficiaries in relation to other public employees may result in litigation where retired State employees will seek to be treated in the same manner.
    
    There would be a minimal increase in administrative costs to the State Tax Department associated with the administration of the new income exclusion. However, the Consolidated Public Retirement Board may experience an increase in administrative costs associated with this bill.

Fiscal Note Detail
Over-all effect
Effect of Proposal Fiscal Year
2005
Increase/Decrease
(use"-")
2006
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):
    Passage of the bill would create a retirement system for Emergency Medical Services Personnel.
    
    According to our interpretation, passage of this bill would reduce General Revenue Fund collections by a minimal amount in the initial years of the program. However, as the number of eligible beneficiaries increases, the reduction to the General Revenue Fund could grow substantially. Additionally, the favored treatment of the potential beneficiaries in relation to other public employees may result in litigation where retired State employees will seek to be treated in the same manner.
    
    There would be a minimal increase in administrative costs to the State Tax Department associated with the administration of the new income exclusion. However, the Consolidated Public Retirement Board may experience an increase in administrative costs associated with this bill.


Memorandum
Person submitting Fiscal Note:
Mark Muchow
Email Address:
kpetry@tax.state.wv.us
    The stated purpose of this bill is to enact a retirement system for Emergency Medical Services Personnel.
    
    The bill, as written, provides for the favored treatment of the potential beneficiaries in relation to other public employees. This favored status may result in litigation where retired State employees will seek to be treated in the same manner.