FISCAL NOTE

Date Requested: March 08, 2017
Time Requested: 01:17 PM
Agency: Education, WV Department of
CBD Number: Version: Bill Number: Resolution Number:
2838 Introduced SB553
CBD Subject: Education (K12), Salaries


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 raise the minimum salary for teachers by three percent. The estimated cost to the State under the Public School Support Program (PSSP) for the proposed increase is $32,922,589. The estimated cost to the County Boards of Education for the proposed increase is $1,242,842. The total estimated combined costs to the State and County Boards of Education for a 3% increase in the basic teacher salary schedule for the 2017-18 school year is $34,165,431.



Fiscal Note Detail


Effect of Proposal Fiscal Year
2017
Increase/Decrease
(use"-")
2018
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 0 34,165,431 34,165,431
Personal Services 0 0 0
Current Expenses 0 32,922,589 32,922,589
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 1,242,842 1,242,842
2. Estimated Total Revenues 0 0 0


Explanation of above estimates (including long-range effect):


The estimated cost to the State under the Public School Support Program (PSSP) for an across the board increase in the basic teacher salary schedule includes the estimated increases in Step 1 for professional salaries, Step 3 for fixed charges, Step 6 for operations and substitute costs, and retirement. The total estimated costs for a 3% across the board increase for the year 2017-18 is $32,922,589. The county boards of education would also incur additional costs for the salary increases for the counselors and nurses included in Step 5 of the PSSP since the allowance is fixed at the 2012-13 amount. The estimated cost to the County Boards of Education for the 2017-18 year for a 3% across the board increase for counselors and nurses is $1,242,842. The total estimated combined cumulative costs to the State and County Boards of Education for an across the board increase in the basic teacher salary schedule for a 3% proposed increase is $34,165,431. Note that the estimated cost to the county boards of education does not include the additional costs for personnel employed in excess of funded, personnel employed in positions not eligible for state aid funding, personnel employed using other funding sources such as state or federal grants, or the cost of extended employment terms for professional personnel.



Memorandum






    Person submitting Fiscal Note: Brenda Freed
    Email Address: bfreed@k12.wv.us