FISCAL NOTE
FUND(S):
New
Sources of Revenue:
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.
SB202 will add additional fees to two (2) categories of feed permits, Large Package Pet Food Over 10lbs. and Commercial Feed Under 10lbs. The >10lbs. permit fee is currently $50, but would increase to $75; the <10lbs. permit fee is $40, but would increase to $50 under proposed legislation. Additions to the fees would be placed in a special account, the Spay Neuter Assistance Fund. In order to properly track changes to the permit fees, a one-time upgrade to current registration computer software would be necessary. The cost is approximately $12,000. Implementation of this measure would require one (1) additional staff member, creating an ongoing expense. SB202 omits a $10 fee generated by a change to 61CSR5-5.3-a implemented in 2005. This rule requires companies registering large package feed to submit labels and the fee. Using fiscal year 2012 registration data, this omission will cause lost revenue in the amount of $39,200, reducing the net revenue generated by SB202 to $80,395/year.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2013
Increase/Decrease
(use"-") |
2014
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
76,520 |
54,520 |
| Personal Services |
0 |
47,520 |
47,520 |
| Current Expenses |
0 |
17,000 |
7,000 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
12,000 |
0 |
| 2. Estimated Total Revenues |
0 |
80,395 |
80,395 |
Explanation of above estimates (including long-range effect):
Start up costs will include one-time expenditures of $12,000 for enhancements to existing computer programs to accommodate the required tracking; $5,000 for the purchase of computer equipment plus $5,000 to furnish and equip an office for the program staff member. Ongoing costs will consist of $47,520 to cover personal services and benefits for the new employee plus $7,000 for consumable supplies and other routine operational expenses. The greatest component of ongoing cost is not included in these estimates: the reimbursements that will be due to the veterinarians who provide the surgical and immunization services. We do not have any data with which to develop an estimate of how many services may be provided or the cost of those services. We believe that this will be the largest component of expense to the program.
Memorandum
The amount and nature of the documentation required to operate the program in accordance with the proposed legislation is time consuming for both the participating veterinarians and the Department of Agriculture. It is uncertain whether there would be widespread participation by state vets due to the additional documentation that they would be required to collect and submit for reimbursement from the program. Also, given that we do not estimate that program revenue would be sufficient to fully cover reimbursement to the participating veterinarians, this could create ill-will with a valued component of the agricultural community.
Person submitting Fiscal Note: Bob Tabb, Senior Manager
Email Address: btabb@wvda.us