FISCAL NOTE
FUND(S):
Sources of Revenue:
Other Fund N/A
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 a $1,000 pay increase to all county board professional personnel and a two percent pay increase to all county board service personnel and to bring the state minimum pay scale pay grade for service personnel back within equity.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2014
Increase/Decrease
(use"-") |
2015
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
38,988,702 |
38,988,702 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
37,782,168 |
37,782,168 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
1,206,534 |
1,206,534 |
| 2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
The total estimated cost for the proposed legislation is $38,988,702, of which $37,037,002 is the estimated cost of the basic salary increase ($1,000 Professional and 2% Service) and $1,951,700 is the cost to increase state equity for service personnel by $12 per month ($152/month to $164/month) to keep the county salary schedules within equity, as defined in WVC 18A-5-4.
However, of the $37,037,002 estimated cost for the basic salary increase, $35,830,468 is the cost to the State through the Public School Support Program (PSSP), with $1,206,534 having to be absorbed by the county boards.
The reason is because the allowance for professional student support personnel (counselors and school nurses) (Step 5 of the PSSP) is fixed in Code (18-9A-8) at the allowance amount computed for the 2012-13 year. Since the total allowance for this step is fixed, there is no statutory authority to increase the amount to cover this, or subsequent salary increases, for these personnel, even though the personnel are authorized to be funded through the PSSP. The estimated costs for the remaining steps of the PSSP (steps 3 and 6), as well as the additional costs for the Teachers' Retirement System, are also costs to the county boards of education since those allowances are calculated using the fixed Step 5 allowance amount.
Note that the estimated cost of $1,206,534 for the county boards does not include the additional costs incurred by the local boards for personnel employed in excess of the number funded through the PSSP, those employed in positions not funded by the PSSP, or those employed with state or federal grant funds.
In summary, the total estimated cost of the legislation is $38,988,702, of which $37,782,168 will be the cost to the State through the PSSP and $1,206,534 will be the cost to the county boards. However, the county boards will incur additional costs for personnel whose salaries are not funded through the PSSP.
Memorandum
Person submitting Fiscal Note: Brenda Freed
Email Address: bfreed@access.k12.wv.us