Colorado Legislative Council Staff
STATE
FISCAL IMPACT
Drafting Number: Prime Sponsor(s): |
LLS 99-0503 Rep. McElhany Sen. Owen |
Date: Bill Status: Fiscal Analyst: |
February 11, 1999 House SVMA Will Meyer (303-866-4976) |
TITLE: CONCERNING THE APPRENTICE RATIO FOR ELECTRICIANS.
Fiscal Impact Summary |
FY 1999/2000 |
FY 2000/2001 |
State Revenues Cash Fund |
$24,705 |
$43,920 |
State Expenditures Cash Fund |
$20,884 |
$27,221 |
FTE Position Change |
0.5 FTE |
0.8 FTE |
Other State Impact: TABOR |
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Effective Date: October 15, 1999 unless a referendum petition is filed and approved by the voters |
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Appropriation Summary for FY 1999-2000: Department of Regulatory Agencies: Division of Registrations Cash Fund - $20,884 and 0.5 FTE |
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Local Government Impact: None |
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Summary of Legislation
This bill increases the ratio of electrician apprentices to licensed electrician from one per licensed electrician to three per licensed electrician.
State Revenues
The provisions of the bill could result in a threefold increase in the number of electrician apprentices registering during the next two years. Based on the number of electrician apprentices registered during the first six months of this fiscal year, it is estimated that under current law 4,392 electrician apprentices will register during FY 1998-99. Given the implementation date of October 1, 1999 for this bill, it is estimated that the number of electrician apprentices will increase by 4,941 in FY 1999-00 and 8,784 in FY 2000-01 for a total of 13,176 per year. This bill will generate $24,705 ($5 times 4,941 additional registrations) in FY 1999-00 and $43,920 ($5 times 8,784 additional registrations) in FY 2000-01 in revenues to the Division of Registrations Cash Fund.
State Expenditures
Assuming the current demand for electricians continues for the next two years, and based on the average amount of time of 10 minutes required by the board's staff to process an application for registration, the department will require an additional 0.5 FTE in FY 1999-00 and 0.8 FTE in FY 2000-01 for an administrative assistant to register the additional electrician apprentices. The additional staff is estimated to cost $20,884 in FY 1999-00 and $27,221 in FY 2000-01, the details of which are contained in Table 1.
Table 1. Administrative Costs to Register Additional Apprentices |
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FY 1999-2000 |
FY 2000/2001 |
Personal Services |
$11,484 |
$18,374 |
Operating Expenses |
3,227 |
4,894 |
Centralized Licensing @ $.45 per |
2,223 |
3,953 |
Non-recurring Expenses |
3,950 |
0 |
Total Expenses |
$20,884 |
$27,221 |
Expenditures Not Included
Pursuant to the Joint Budget Committee’s budget policies, the following expenditures totaling $10,685 for FY 1999-00 have not been included in this fiscal note:
• health and life insurance costs of $1,106;
• short-term disability costs $21; and
• indirect costs of $9,558.
As the result of the increase in the number of registered apprentices, the number of examinations for licensed electricians may increase in future years as apprentices complete the apprenticeship requirements and apply to become licensed electricians. In FY 1997-98, the board processed 1,740 applications for licensed electricians. The actual increase in the number of additional electrician apprentices who will register and ultimately seek licensure is to a great extent dependent on the continued strong demand in the construction sector of the Colorado economy and are not included in this fiscal note.
State Appropriations
This fiscal note implies that the Department of Regulatory Agencies should be appropriated $20,884 and 0.5 FTE in FY 1999-00 out of the Division of Registrations Cash Fund.
Departments Contacted Regulatory Agencies