Supplement: WV HB4703 | 2024 | Regular Session | Motor Vehicles, WV Division of
For additional supplements on West Virginia HB4703 please see the Bill Drafting List
Bill Title: Relating to vehicles exempt from payment of registration fees for certain veterans
Status: 2024-02-08 - To House Finance [HB4703 Detail]
Download: West_Virginia-2024-HB4703-Motor_Vehicles_WV_Division_of.html
The purpose of this bill is to modify certain vehicles exempt from payment of registration fees, by lowering the percentage of a service-connected disability required for exemption from 100 percent to 50 percent or greater. The bill also adds recipients of the Distinguished Service Cross, Navy Cross, or Air Force Cross, to the list of persons who may receive such exemption. The Division would incur programming costs for the cash register of approximately $8,280. Based upon statistics from the Pew Research Center the Division expects an additional 12,450 additional disabled veterans plates will be needed. The average cost of the Disabled Veterans plate is approximately $5 more than the standard class A plate. Therefore, the agency will incur additional plate costs of $62,250 (12,450 plates X $5). Total first year current expense will be $70,530 ($62,250 + $8,280). For future years it is assumed that the number of plates will remain constant with 5%, or 623 (12,450 X %5) of the drivers not renewing their plates, but the same number of new drivers acquiring the Disabled Veterans plate. Therefore, plate costs in future years would be $3,115 (623 X $5). There are currently 55 active plates which are either a Distinguished Service Cross, Navy Cross, or Air Force Cross. These plates would no longer be charged the annual $50 registration fee producing lost revenue of $2,750 (55 X $50). The additional disabled veteran plates will produce lost revenue of $622,500 (12,450 X $50) annually. For a total annual revenue reduction of $625,250 ($2,750 + $622,500).
FY 2025 $8,280 Cash Register Programming 12,450 Estimated New Disabled Veterans plates $5 Price Differential per plate $62,250 Additional Plate Cost $70,530 Total Current Expense 55 Current "Cross" Plates $50 Registration fee $2,750 Revenue Reduction 12,450 Estimated New Disabled Veterans plates $50 Registration fee $622,500 Revenue Reduction $625,250 Total Revenue Reduction UPON FULL IMPLEMENTATION 623 Estimated New Disabled Veterans plates $5 Price Differential per plate $3,115 Additional Plate Cost $3,115 Total Current Expense 55 Current "Cross" Plates $50 Registration fee $2,750 Revenue Reduction 12,450 Estimated New Disabled Veterans plates $50 Registration fee $622,500 Revenue Reduction $625,250 Total Revenue Reduction
Please identify any areas of vagueness, technical defects, reasons a bill would not have a fiscal impact, and/or any special issues not captured elsewhere on this form.
Person submitting Fiscal Note: Lisa D Nomar
Email Address: lisa.d.nomar@wv.gov
Bill Title: Relating to vehicles exempt from payment of registration fees for certain veterans
Status: 2024-02-08 - To House Finance [HB4703 Detail]
Download: West_Virginia-2024-HB4703-Motor_Vehicles_WV_Division_of.html
FISCAL NOTE
| Date Requested: January 15, 2024 Time Requested: 04:02 PM |
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FUND(S):
Road FundSources of Revenue:
Special FundLegislation creates:
Decreases Existing Revenue, Creates New ExpenseFiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The purpose of this bill is to modify certain vehicles exempt from payment of registration fees, by lowering the percentage of a service-connected disability required for exemption from 100 percent to 50 percent or greater. The bill also adds recipients of the Distinguished Service Cross, Navy Cross, or Air Force Cross, to the list of persons who may receive such exemption. The Division would incur programming costs for the cash register of approximately $8,280. Based upon statistics from the Pew Research Center the Division expects an additional 12,450 additional disabled veterans plates will be needed. The average cost of the Disabled Veterans plate is approximately $5 more than the standard class A plate. Therefore, the agency will incur additional plate costs of $62,250 (12,450 plates X $5). Total first year current expense will be $70,530 ($62,250 + $8,280). For future years it is assumed that the number of plates will remain constant with 5%, or 623 (12,450 X %5) of the drivers not renewing their plates, but the same number of new drivers acquiring the Disabled Veterans plate. Therefore, plate costs in future years would be $3,115 (623 X $5). There are currently 55 active plates which are either a Distinguished Service Cross, Navy Cross, or Air Force Cross. These plates would no longer be charged the annual $50 registration fee producing lost revenue of $2,750 (55 X $50). The additional disabled veteran plates will produce lost revenue of $622,500 (12,450 X $50) annually. For a total annual revenue reduction of $625,250 ($2,750 + $622,500).
Fiscal Note Detail
| Effect of Proposal | Fiscal Year | ||
|---|---|---|---|
| 2024 Increase/Decrease (use"-") |
2025 Increase/Decrease (use"-") |
Fiscal Year (Upon Full Implementation) | |
| 1. Estmated Total Cost | 0 | 70,530 | 3,115 |
| Personal Services | 0 | 0 | 0 |
| Current Expenses | 0 | 70,530 | 3,115 |
| Repairs and Alterations | 0 | 0 | 0 |
| Assets | 0 | 0 | 0 |
| Other | 0 | 0 | 0 |
| 2. Estimated Total Revenues | 0 | -625,250 | -625,250 |
Explanation of above estimates (including long-range effect):
FY 2025 $8,280 Cash Register Programming 12,450 Estimated New Disabled Veterans plates $5 Price Differential per plate $62,250 Additional Plate Cost $70,530 Total Current Expense 55 Current "Cross" Plates $50 Registration fee $2,750 Revenue Reduction 12,450 Estimated New Disabled Veterans plates $50 Registration fee $622,500 Revenue Reduction $625,250 Total Revenue Reduction UPON FULL IMPLEMENTATION 623 Estimated New Disabled Veterans plates $5 Price Differential per plate $3,115 Additional Plate Cost $3,115 Total Current Expense 55 Current "Cross" Plates $50 Registration fee $2,750 Revenue Reduction 12,450 Estimated New Disabled Veterans plates $50 Registration fee $622,500 Revenue Reduction $625,250 Total Revenue Reduction
Memorandum
Please identify any areas of vagueness, technical defects, reasons a bill would not have a fiscal impact, and/or any special issues not captured elsewhere on this form.
Person submitting Fiscal Note: Lisa D Nomar
Email Address: lisa.d.nomar@wv.gov
