FISCAL NOTE
Date Requested: February 23, 2016
Time Requested: 02:50 PM |
| Agency: |
Natural Resources, Division of |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 2870 |
Introduced |
HB4690 |
|
|---|
| CBD Subject: |
|
|---|
|
FUND(S):
3265
Sources of Revenue:
Special Fund
Legislation creates:
Neither Program nor Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
In FY2015, the Division of Natural Resources collected $20,993,704.00 in user fees at state parks, state forests, and other recreation facilities managed by the Parks and Recreation Section. Of this total, $5,160,148.67 came from cabin rentals. On average, cabins were rented by West Virginia residents 30.97% of the time. Therefore, $1,598,098.04 of the revenue generated from cabins came from West Virginia residents. If a 10% reduction was given to West Virginia residents, the loss in cabin revenue would be $159,809.80.
In addition, $1,962,243.98 was collected in campsite rental fees throughout the Parks and Recreation system. Campsites are rented by West Virginia residents 69.93% of the time. The revenue from camping fees paid by West Virginia residents is $1,372,198.77. A 10% reduction in this amount would result in a loss of $137,219.88.
A total of $5,328,456.00 was collected in lodge room sales. From the daily tabulation of folios, it is known that 29.94% of all lodge rooms are sold to West Virginia residents. Applying this percentage to the foregoing amount means that $1,595,339.73 was paid by West Virginia residents for lodge rooms. A 10% reduction would result in a loss of $159,533.97.
Subtracting the above amounts from the grand total revenue of $20,993.704.00 leaves a balance of $8,542,855.35. This represents the amount collected from day use recreational facilities such as golfing, swimming, picnic shelter rentals, horseback riding stables, etc. From attendance surveys, we know that 64.45% of all daily visits are by West Virginia residents; therefore, the amount received from them is $5,505,870.27. If this were reduced by 10%, the loss in revenue would be $550,587.02.
To summarize:
Revenue Source FY2015 Revenue from W. Va. Residents 10% Reduction if Bill were Enacted Total Loss of Revenue
Cabin Rentals $1,598,098.04 -$159,809.80 -$159,809.80
Camping $1,372,198.77 -$137.219.88 -$137,219.88
Lodge Room Rentals $1,595,339.73 -$159,533.97 -$159,533.97
Day Use Fees (golfing, swimming, etc.) $5,505,870.27 -$550,587.02 -$550,587.02
TOTAL -$1,007,150
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2016
Increase/Decrease
(use"-") |
2017
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
-1,007,150 |
-1,007,150 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
0 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
-1,007,150 |
1,007,150 |
Explanation of above estimates (including long-range effect):
Memorandum
For additional information concerning this fiscal note, please contact:
Samuel A. England, Chief
DNR Parks and Recreation Section
324 4th Avenue
South Charleston, WV 25303-1228
phone 304.558.2764
fax 304.558.0077
cell 304.613.9041
email Samuel.A.England@wv.gov
Person submitting Fiscal Note: Samuel.A.England
Email Address: Samuel.A.England@wv.gov