FISCAL NOTE

Date Requested: January 11, 2018
Time Requested: 01:53 PM
Agency: Medicine, WV Board of
CBD Number: Version: Bill Number: Resolution Number:
1393 Introduced HB4027
CBD Subject: Boards and Commissions


FUND(S):

Board of Medicine 9070

Sources of Revenue:

Special Fund

Legislation creates:

Creates New Revenue, Creates New Expense, Increases Existing Expenses



Fiscal Note Summary


Effect this measure will have on costs and revenues of state government.


    The proposed legislation would have an effect on both revenue and expenditures at the Board. Our estimates indicate that there are an estimated 900 active residents, state wide, for allopathic residency physicians and 109 fellowships. Some of the residents would become fully licensed after the second year of residency and therefore would not need to be included in our projections. Most residency programs are not operating ta capacity. Most fellowship programs require their fellows to be fully licensed. Therefore, our estimate is based upon 600 residents and 10 Fellows who would apply for a Resident Permit.
    Based upon the number of potential licensees the Board would have to increase the staffing in the licensure division, secure office equipment and provide administrative support accordingly. There would also be a cost associated with our data base provider associated with developing and maintaining another licensing category on the Boards internal system and on the website.
    



Fiscal Note Detail


Effect of Proposal Fiscal Year
2018
Increase/Decrease
(use"-")
2019
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 0 49,000 49,000
Personal Services 0 22,000 22,000
Current Expenses 0 0 0
Repairs and Alterations 0 7,000 7,000
Assets 0 0 0
Other 0 20,000 20,000
2. Estimated Total Revenues 0 60,000 60,000


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


    Based upon the estimated average of 6oo Resident Permits and 10 medical fellowship permits multiplied by $100 (the cost of the permit, mirroring the osteopathic charges) we estimate an increase in revenue of $60,000.00 annually revenue increase
    
    The agency would need to hire at least a ½ time employee to assist in processing the new permits at 22k annually.
    
    There will be a cost associated with data base design and maintenance in order to develop on-line applications. We estimate this cost to be $20,000 initially and approximately $3,500.00 maintenance each year thereafter. I have this listed in the "other" category above.
    
    The Board will also need to purchase office equipment and supplies in order to accommodate the employee assigned to the project at an estimated cost of $7,000.00
    
    



Memorandum


    The initiation of the Resident Permit would be a cost-effective measure that would reduce the burden of providing such programs on our state’s medical schools. The West Virginia Board of Osteopathic Medicine currently issues such a permit. Therefore, the development of a permit for the Board of Medicine would create parity in that regard.



    Person submitting Fiscal Note: Mark Spangler
    Email Address: mark.a.spangler@wv.gov