FISCAL NOTE
Date Requested: February 14, 2024
Time Requested: 10:04 AM |
| Agency: |
Human Services, WV Department of |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 3814 |
Introduced |
HB5536 |
|
|---|
| CBD Subject: |
Human Services |
|---|
|
FUND(S):
0403 - DIV OF HUMAN SERVICES GENERAL ADMINISTRATION FUND; 8722 - CONS FEDERAL FUNDS DIV HUMAN SERVICES GEN ADMN FD
Sources of Revenue:
Other Fund General and Federal
Legislation creates:
Decreases Existing Expenses
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The purpose of this bill is to provide for the assessment of interest on overpayments by the Bureau for Medical Services; establishing an interest rate and method for accrual; and the retention of interest received.
The Department estimates reduced expenditures to the Bureau for Medical Services of $1,500,861 per year (State = $391,650/Federal = $1,109,211 using blended FMAP rate of 73.905%).
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 |
0 |
-1,500,861 |
-1,500,861 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
-1,500,861 |
-1,500,861 |
| 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):
Projected additional total funding to the Bureau of $1,500,861 per year is based on SFY2023 monthly Accounts Receivable balances. Monthly AR is between $15-$23M per month. Applying 8% per annum interest equates to $1.5M per year of interest.
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.
Person submitting Fiscal Note: Cynthia A. Persily, Ph.D.
Email Address: dhhrbudgetoffice@wv.gov