FISCAL NOTE
FUND(S):
0403 - Div of Human Services General Administration Fund, 8722 - Cons Federal Funds Div Human Services Gen Admn Fund
Sources of Revenue:
General Fund,Other Fund Federal
Legislation creates:
Neither Program nor Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The purpose of this bill is to provide for a $100 a day penalty for employers failing to withhold an employee's income for child support obligations.
Compliance will require the establishment of an Employer Compliance Unit (ECU) comprised of two Attorney II's, two Investigator II's and two Child Support Para Legal's. The Bureau would be required to track and investigate compliance/non-compliance of wage withholding requests sent to employer's pursuant to court ordered child support. In addition, each allegation of non-withholding made by a custodial parent or an interested third party or an allegation of a non-custodial parent being paid under the table would require an appropriate investigation. Enforcement of investigative results would require an ECU attorney initiated court action and appropriate followup. The total estimated first year cost of implementing HB 2114 is $387,973 ($131,911 state share and $256,062 federal share.) This cost is comprised of a one time equipment and furniture purchase of $24,660 and continued annual costs of $363,313. In addition, $235 (a court filing fee of $140, a court recording fee of $30 and a service of process cost of $65) would be required for each action initiated by the ECU.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2009
Increase/Decrease
(use"-") |
2010
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
387,973 |
363,313 |
| Personal Services |
0 |
314,836 |
314,836 |
| Current Expenses |
0 |
48,477 |
48,477 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
24,660 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
The Employer Compliance Unit will require six new employees (2 attorney's, 2 investigator's and 2 para legals) which will increase the personal services and benefits portion of the Bureau's budget by $314,836 and $48,477 respectivley. Full implementation will also require the acquisition of laptop computers, desk top computers, desks, chairs, file cabinets & credenza's which is a one time purchase of furniture and equipment. In addition, the Bureau's current expense budget will increase due to rent for office space, utilities, janatorial service and employee travel.
Memorandum
Currently the Bureau for Child Support Enforcement does not have the data or the ability to estimate how many employers are non compliant with wage withholding requests or how many non-custodial parents are receiving payment for work completed outside their employer's payroll system.
Actual court and filing fees and service of process costs as well as any potential income resulting from the provisions of this bill are impossible to determine at this time. However, any fines collected must be reported as program income on the quarterly federal reports and will result in a corresponding loss of federal money.
Person submitting Fiscal Note: Martha Yeager Walker
Email Address: dhhrbudgetoffice@wv.gov