FISCAL NOTE
Date Requested: May 31, 2016
Time Requested: 04:25 PM |
| Agency: |
Administration |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 4031 |
Introduced |
HB107 |
|
|---|
| CBD Subject: |
Finance and Administration |
|---|
|
FUND(S):
Multiple
Sources of Revenue:
Other Fund Federal/Special/General
Legislation creates:
Neither Program nor Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
Fleet oversees the purchase of vehicles under 1 ton. Purchases are made with all funding sources, including General, Federal, and Special. In calendar year 2015, 40% of all cash vehicle purchases were made with Federal Appropriated dollars, 41% with Special Revenues, and 19% with General Revenues.
This measure could result in a decrease in expenditures of the State. The smallest funding source impacted would be General Revenues.
Federal Revenues received could decrease for those vehicles
purchased with Federal appropriations.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2016
Increase/Decrease
(use"-") |
2017
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):
The savings are difficult to quantify, as planned vehicle purchases in FY 2017 are unknown. Fleet has seen a decrease in vehicle purchases in FY 2016, possibly due to recent budget cuts.
Using historical data from calendar year 2015, approximately $22 million in new vehicles under 1 ton were purchased.
Approximately 1/2 ($11 million) of these vehicles were financed over a four year period. Of the remaining $11 million purchased with cash, approximately $2.1 million in purchases were made using General
Revenue dollars.
It is important to note this $2.1 million may not represent future savings, as the number of vehicles purchased has decreased in recent months.
Memorandum
The bill currently refers to vehicles purchased by the Secretary of Administration. The number of vehicles purchased by the Department of Administration would be immaterial compared to all vehicles overseen by the Fleet Division.
The information provided in this fiscal note is for all cars under 1 ton, as overseen by the Fleet Division.
Person submitting Fiscal Note: Susannah Carpenter
Email Address: susannah.g.carpenter@wv.gov