FISCAL NOTE
FUND(S):
Fund 0101
Sources of Revenue:
General Fund,Special Fund
Legislation creates:
A New Program,A New Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
Implementation of this bill will cause an increase in general revenue expenditures for the cost of the establishing and maintaining the office and staff. Even though the bill creates a Special Revenue "Minority Affairs Fund", it does not establish a revenue stream. No fees, taxes or other sources of new revenue are authorized or established under the bill. The primary source of funding for any and all expenditures (for other than the Executive Director and staff) would be gifts, grants, bequests, transfers, or donations from individuals, firms, foundations, or corporations. All such funds received would be used as matching funds to obtain federal funds for the delivery of programs and services to minorities, to award grants, loans and/loan guaranties for minority affairs programs and activities. As presented, all special revenue generated would be used for programs and/or activities, with no funding for program administration. The net affect being a reduction of General Revenue of $316,500 in FY2012 and $219,500 in FY2013, and every year thereafter.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2011
Increase/Decrease
(use"-") |
2012
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
816,500 |
791,500 |
| Personal Services |
0 |
253,500 |
253,500 |
| Current Expenses |
0 |
38,000 |
38,000 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
25,000 |
0 |
| Other |
0 |
500,000 |
500,000 |
| 2. Estimated Total Revenues |
0 |
500,000 |
500,000 |
Explanation of above estimates (including long-range effect):
Cost estimates assume effective date of July 1, 2011. First Full Year of Implementation would be FY2012. FY2012 estimate reflects cost of 1 Executive Director @ $70,000, 1 Admin. Secretary @ $30,000, 1 Staff Attorney/Research Analyst @ $55,000, and 1 Minority Affairs Specialist @ $40,000, plus 30% Emp. Benefits; plus cost of furniture and equipment, office space, travel & training for 4 employees. Year 2 costs are reduced by the estimated cost of furniture and equipment (incurred during start-up).
"Other" expenditures include grants and/or loans to minority programs and activities, with the source of revenue being gifts, bequests, donations, etc. Net impact is an increase in General Revenue expenditures for the cost of the Office and staff, with a net zero impact on Special Revenue.
Memorandum
The bill does not clearly indicate any intent to establish a General Revenue Fund Appropriation to be used to support the Administration of this Office. As presented, a General Revenue Appropriation to support the administrative expenses associated with the Program would be necessary until private or federal funding could be identified.
Further, the Governor's Office has no Special Revenue Fund that could be used by/for this new Office, therefore as stated in the bill, a new "Minority Affairs Fund" would have to be established.
Person submitting Fiscal Note: Cindy Smith
Email Address: Cynthia.M.Smith@wv.gov