FISCAL NOTE

Date Requested: February 13, 2017
Time Requested: 01:31 PM
Agency: Highways, Division of
CBD Number: Version: Bill Number: Resolution Number:
1070 Introduced HB2365
CBD Subject: Real and Personal Property, Roads and Transportation


FUND(S):



Sources of Revenue:

Other Fund

Legislation creates:

Neither Program nor Fund



Fiscal Note Summary


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


In 2007, Division of Highways (DOH) requested an estimate from Federal Highways Administration (FHWA) of potential lost funding should DOH desire to withdraw from the Highway Beautification Act and Bonus Act agreements. It appears we stand to lose $2M in bonus payments and around $40M annually if we do not exercise effective Outdoor Advertising control in concert with these agreements. Numbers should not change dramatically.



Fiscal Note Detail


Effect of Proposal Fiscal Year
2017
Increase/Decrease
(use"-")
2018
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 0 42,000,000 42,000,000
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):


Please review above the Fiscal Note Summary.



Memorandum


Based on review by DOH by our Legal Division and Traffic Engineering Division Outdoor Advertising Section Head, and a representative from the FHWA the following information is provided: The proposed addition of the exception section ยง17-22-26 to the Outdoor Advertising statute appears to violate Federal law, as well as the DOH's January 6, 1969 agreement with FHWA. Specifically, this section would permit unlicensed signs regardless of location, sign size, spacing or lighting in violation of 23 CFR 750 and the agreement with the FHWA, which can be found at: https://www.fhwa.dot.gov/real_estate/oac/fsa/west_virginia_fsa.cfm. 23CFR 750 sets forth specific requirements for the erection and maintenance of outdoor advertising signs. In addition, non-compliance with the agreement would place DOH in the position of forfeiture of its eligibility to receive bonus payment "of the one-half of one percent increase in the federal share payable on account of any project on the Interstate System within the State of West Virginia." This of course is a preliminary review and FHWA has asked to have additional time to perform a fore thorough review.



    Person submitting Fiscal Note: Lorrie Hodges
    Email Address: lorrie.a.hodges@wv.gov