FISCAL NOTE

Date Requested: January 29, 2018
Time Requested: 02:28 PM
Agency: Education, WV Department of
CBD Number: Version: Bill Number: Resolution Number:
2396 Introduced HB2809
CBD Subject: Education (K12)


FUND(S):

0317

Sources of Revenue:

Other Fund N/A

Legislation creates:

Increases Existing Expenses



Fiscal Note Summary


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


    The total estimated cost to the State under the Public School Support Program for the 2018-19 school year is $2,758,708.



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 2,758,708 2,758,708
Personal Services 0 0 0
Current Expenses 0 2,758,708 2,758,708
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 0 0
2. Estimated Total Revenues 0 0 0


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


    The total estimated cost to the State under the Public School Support Program (PSSP) for the 2018-19 school year is $2,758,708. The original funding request under the PSSP for the 2018-19 included a reduction in total state aid funding of $2,758,708 for payments in lieu of property taxes (PILOT). Per a survey of the county boards of education with PILOT agreements, none of the amounts included in the WV State Tax Department report dated December 8, 2017 (which was utilized for the 2018-19 PSSP funding request) were from agreements entered into after July 1, 2016. Under the proposed language, the adjustment to state aid funding shall only be made for agreements entered into after July 1, 2016, so the full $2,758,708 would be an additional cost to the State for the 2018-19 year.
    
    The total amount of payments in lieu of property taxes varies annually. However, for fiscal note purposes, it is assumed that the $2,758,708 will also be an additional cost for future years. That additional cost for future years would be offset by any new payment in lieu of taxes agreements entered into after July 1, 2016.



Memorandum


    



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