FISCAL NOTE
Date Requested: February 26, 2024
Time Requested: 02:35 PM |
| Agency: |
Division of Regulatory and Fiscal Affairs, WV |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 1910 |
Comm. Sub. |
HB5137 |
|
|---|
| CBD Subject: |
Education (K12) |
|---|
|
FUND(S):
General Revenue Fund
Sources of Revenue:
General Fund
Legislation creates:
Creates New Expense
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
House Bill 5137 would require the State Auditor to conduct audits on all county boards of education and their funds and income, regardless of source. Reports of possible fraud, misappropriation, mismanagement, or waste of state funds would be referred to the commission on special investigations, county prosecutors, and law enforcement agencies. The Division of Regulatory and Fiscal Affairs (RAFA) estimates the cost of HB 5137 to be $172,860.
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 |
172,860 |
172,860 |
| Personal Services |
0 |
172,860 |
172,860 |
| 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):
According to Deputy State Auditor, Anthony Woods, implementation of HB 5137 would require the State Auditor’s Office to hire three new staff at a salary of $43,000 per year. Using a multiplier of 34 percent for benefits (retirement, insurance, etc.) this would amount to $57,620 per year per employee ($43,000 *1.34 = $57,620). Three employees at $57,620 totals $172,860.
Memorandum
RAFA is unaware of what the State currently spends on audits of county school boards and is unsure if implementation of this legislation would result in any savings. It should also be noted that there are often other costs incurred with the conduction of audits (travel, per diem, lodging, etc.) that RAFA did not include in this calculation.
Additionally, funds that have found to be misspent that must be returned, most notably federal funds, could result in additional costs that RAFA is unable to accurately quantify.
Person submitting Fiscal Note: Peter Shirley
Email Address: peter.shirley@wvlegislature.gov