Bill Summary – FastDemocracy

State of Alaska
                                                             Fiscal Note
                                                                                                Bill Version:                     SB 217
 2020 Legislative Session
                                                                                                Fiscal Note Number:               2
                                                                                                (S) Publish Date:                 2/21/2020
 Identifier:        LL-0064-4-DOR-PFD-2-20-20                                    Department:        Department of Revenue
 Title:             STATE LAND VOUCHER; PFDS                                     Appropriation: Taxation and Treasury
 Sponsor:           RLS BY REQUEST OF THE GOVERNOR                               Allocation:        Permanent Fund Dividend Division
 Requester: Governor                                                             OMB Component Number:               981
 Expenditures/Revenues
 Note: Amounts do not include inflation unless otherwise noted below.                                                                   (Thousands of Dollars)
                                                 Included in
                                    FY2021       Governor's
                                Appropriation      FY2021                                              Out-Year Cost Estimates
                                  Requested       Request
 OPERATING EXPENDITURES               FY 2021        FY 2021       FY 2022                        FY 2023           FY 2024             FY 2025        FY 2026
 Personal Services                        36.9                         2.9                            2.9               2.9                 2.9             2.9
 Travel
 Services                                 15.0                        10.0                            10.0                 10.0             10.0            10.0
 Commodities
 Capital Outlay
 Grants & Benefits
 Miscellaneous
 Total Operating                          51.9            0.0         12.9                            12.9                 12.9             12.9            12.9
 Fund Source (Operating Only)
 1005 GF/Prgm (DGF)                              51.9                              12.9               12.9                 12.9             12.9            12.9
 Total                                           51.9              0.0             12.9               12.9                 12.9             12.9            12.9
 Positions
 Full-time
 Part-time
 Temporary
 Change in Revenues
 None
 Total                                             0.0             0.0                  0.0             0.0                 0.0              0.0             0.0
 Estimated SUPPLEMENTAL (FY2020) cost:                                     0.0                (separate supplemental appropriation required)
 Estimated CAPITAL (FY2021) cost:                                          0.0                (separate capital appropriation required)
 Does the bill create or modify a new fund or account?       No
 (Supplemental/Capital/New Fund - discuss reasons and fund source(s) in analysis section)
 ASSOCIATED REGULATIONS
 Does the bill direct, or will the bill result in, regulation changes adopted by your agency?                   yes
 If yes, by what date are the regulations to be adopted, amended or repealed?                                   12/31/20
 Why this fiscal note differs from previous version/comments:
 Not applicable. Initial version.
 Prepared By:              Anne Weske, Director                                                                       Phone:          (907)465-4785
 Division:                 Permanent Fund Dividend Division                                                           Date:           02/20/2020 11:40 AM
 Approved By:              Brad Ewing, Administrative Services Director                                               Date:           02/20/20
 Agency:                   Office of Management and Budget
Printed 2/21/2020                                                         Page 1 of 2                                                          Control Code: pIMEQ
                                                                                                                 SB 217 - Fiscal Note 2
                                                 FISCAL NOTE ANALYSIS
STATE OF ALASKA                                                                  BILL NO. LL 0064-4
2020 LEGISLATIVE SESSION
Analysis
   This bill provides a method for Alaskans to utilize their Permanent Fund Dividend (PFD) to purchase State land through a
   voucher program. Applicants would have an option on their PFD application to choose to receive a land voucher instead
   of a monetary dividend. The value of the land voucher would be double the amount of the dividend but would only apply
   to the purchase of State land. The voucher does not expire and is transferable.
   The bill will require the Permanent Fund Dividend Division to add a land voucher option to the PFD application as well as
   develop a Voucher that can be issued to Alaskans. The PFD Division assumes that this will need to be a special order
   with extensive design work done. The Division will need to create and print vouchers. The Division estimates the
   administrative time to be roughly 60 hours at a rate of $25 per hour for the first year. Each additional year we anticipate
   20 hours for adjustments to the voucher, and procurement of printing services. We also estimate advertising costs for
   this new program at a cost of $10,000 for the first year and $5,000 annually after that first year. We are estimating
   roughly 50 vouchers to be printed per year. Depending on the quality and design of the vouchers, we anticipate the
   printing and postage to cost approximately $5,000 annually.
   Programming Work (standard programming rate of $120 per hour):
   -Add the single yes/no voucher participation question (web and paper) -- 100 hours
   No additional information will be collected for this program.
   -Change DAIS to recognize the new vendor and deduction type.  15 hours
   -Change the Payment Dashboard to calculate and pay the new deduction type.  60 hours
   -Change deduction expiration process to include the new deduction type.  15 hours
   -Change the payment reports to display the new vendor payments.  40 hours
   -Create a process to generate a payment file to send to DNR.  20 hours
   -Create the annual report as required by the bill.  15 hours
   -Change myInfo to display voucher status before and after payment.  30 hours
   Ongoing Programming Work:
   -Maintaining the question on the web and paper application. - 10 hours
   -Performing the monthly payment run data exchange with DNR. - 10 hours
   Total Costs for First Year:
   Administrative time - $1,500
   Advertising - $10,000
   Printing and Postage - $5,000
   Programming - $35,400
   Total Cost - $51,900
   Total Costs after First Year:
   Administrative time - $500
   Avertising - $5,000
   Printing and Postage - $5,000
   Programming - $2,400
   Total Cost - $12,900
(Revised 10/22/19 OMB/LFD)                                                                                         Page 2 of 2
LL-0064-4-DOR-PFD-2-20-20                                      Page 2 of 2                                              Control Code: pIMEQ
Statutes affected: 
SB0217A, AM SB 217, introduced 02/21/2020: 38.05.940, 43.23.018, 38.05.065, 38.05.067, 38.95.360, 38.04.022, 43.23.015, 43.23.025, 37.13.145, 38.95.350, 43.23.140, 43.23.045, 43.23.055, 43.23.011, 43.23.005, 43.23.048, 37.25.050, 25.27.010, 43.23.270, 43.23.130, 43.23.230, 43.23.240, 43.23.250
SB0217B, AM CSSB 217(RES), introduced 03/20/2020: 38.05.940, 43.23.018, 38.05.065, 38.05.067, 38.95.360, 38.04.022, 38.95.400, 38.95.350, 43.23.015, 43.23.025, 37.13.145, 43.23.140, 43.23.045, 43.23.055, 43.23.011, 43.23.005, 43.23.048, 37.25.050, 25.27.010, 43.23.270, 43.23.130, 43.23.230, 43.23.240, 43.23.250