Date Requested: February 10, 2017
Time Requested: 01:33 PM
Agency: Tax & Revenue Department, WV State
CBD Number: Version: Bill Number: Resolution Number:
1074 Introduced SB241
CBD Subject: Public Safety


FUND(S):

General Revenue Fund

Sources of Revenue:

General Fund

Legislation creates:

Neither Program nor Fund



Fiscal Note Summary


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


    The stated purpose of this bill is to creating the West Virginia Volunteer Fire and Rescue Act of 2017. The bill establishes certification requirements for ambulance drivers, emergency medical technicians and paramedics.
    
    For tax years beginning after January 1, 2017, volunteer firefighters, EMTs, paramedics and drivers of volunteer fire departments and rescue squads who run or respond to twelve or more calls per calendar year are entitled to a $200 tax credit. Provisions of this bill would result in a loss to General Revenue of $1.2 million per year beginning in FY2019.
    
    Additional administrative costs to the State Tax Department would be roughly $19,000 per year beginning in FY2019.
    



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 0 19,000
Personal Services 0 0 10,000
Current Expenses 0 0 0
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 0 9,000
2. Estimated Total Revenues 0 0 -1,200,000


Explanation of above estimates (including long-range effect):


    For tax years beginning after January 1, 2017, volunteer firefighters, EMTs, paramedics and drivers of volunteer fire departments and rescue squads who run or respond to twelve or more calls per calendar year are entitled to a $200 tax credit. Provisions of this bill would result in a loss to General Revenue of $1.2 million per year beginning in FY2019.
    
    Additional administrative costs to the State Tax Department would be roughly $19,000 per year beginning in FY2019.
    
    



Memorandum


    The stated purpose of this bill is to creating the West Virginia Volunteer Fire and Rescue Act of 2017. The bill establishes certification requirements for ambulance drivers, emergency medical technicians and paramedics.
    
    The credit is described in such a way as to make it appear to be a “refundable” tax credit. Only a small portion of property taxes (real property and personal property) collected inure to the state’s general revenue as it is a function of local collection. Thus, it would not appear to be a true credit against a tax paid such that the credit is give locally. Rather, the state (general revenue) is giving credit for taxes paid locally and not to the state.
    
    



    Person submitting Fiscal Note: Mark Muchow
    Email Address: kerri.r.petry@wv.gov