FISCAL NOTE
Date Requested: January 11, 2024
Time Requested: 09:07 PM |
| Agency: |
School Building Authority, WV |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 2021 |
Introduced |
HB4338 |
|
|---|
| CBD Subject: |
Education (K12) |
|---|
|
FUND(S):
Special Revenue
Sources of Revenue:
Special Fund
Legislation creates:
Creates New Revenue
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
Summarize in a clear and concise manner what impact this measure will have on costs and revenues of state government.
The School Building Authority already has a fund set up for this funding source as it has been funded in the past. The fund is known as the School Access Safety Fund (Account 3516). There is currently no revenue stream tied to this fund, meaning this legislation would need to have some way to be funded in the future. The cost increase to State government would be higher in the beginning to get the volume of projects completed that are currently needed. However, a phased in approach could also be beneficial as there are several safety and security projects that are currently already being requested as a part of County CEFP (Continuing Educational Facilities Plan) projects. Since SBA grants are currently reimbursement based, most of the costs would occur at the County level, and the County would seek reimbursement from the awarded grant amount.
Based on a study of CEFP projects from FY2020-FY2030 that is the period of reporting for the Counties, we determined that approximately $85 million in only Safe School Entrance projects was needed overall. We understand that the entrances would be the most important of area of concern, so that will be the focus in the estimates below. However, we have identified other safety and security focused projects that may be needed in the future as well.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2024
Increase/Decrease
(use"-") |
2025
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
20,000,000 |
20,000,000 |
85,000,000 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
0 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
20,000,000 |
20,000,000 |
85,000,000 |
| 2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
Please explain increases and decreases in personal services, current expenses, repairs and alterations, assets, other costs and revenues, including assumptions and data sources and delineation between start-up and ongoing costs. Please also include a long-range schedule of costs and revenues if fiscal impact is expected to vary in future years.
The only real increases to personal services in this legislation would be the time necessary by the Safety Administrator, SBA and WVDEM to discuss plans for each school. Due to the current layout and blueprints of some schools, it would be hard to determine the overall cost for that as it could require a look at the layouts of all schools still needing these entrances rather than a cookie-cutter approach that can be applied to all or most.
With inflation, these cost estimates will most likely have changed since these CEFP projects were submitted around FY2019 - FY2022. In the example above, I assumed a $20,000,000 cost each year rather than having the full amount up front to fund all projects, but I put the costs in other, since they would relate more to construction projects than simple repairs.
We would most likely need to know a secure revenue source before being able to attribute the cost structure as this would still be a grant process if going through the SBA.
Memorandum
Please identify any areas of vagueness, technical defects, reasons a bill would not have a fiscal impact, and/or any special issues not captured elsewhere on this form.
The SBA agrees with HB4338. The area of code would be §18-9F-4, which is the best area of application. However, the original intent of this code section was to be an applied source to be generated and applied through the School Building Authority. While not vague in the request, and not incorrect in its current state, we believe the cleanest application of code would be to move the entire section into code §18-9D with the rest of the SBA coding.
Person submitting Fiscal Note: JORDAN KIRK
Email Address: JORDAN.L.KIRK@WV.GOV