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Fiscal Note - 5262 SB, Data Center Tax Incentive (Final 1/26/2021)

Summary

Fiscal note materials for 5262 SB, titled Data center tax incentive, with a Multiple Agency Fiscal Note Summary published as final on 1/26/2021. The Joint Legislative Audit and Review Committee note lists General Fund-State operating expenditures of 16,200 in FY 2022 and 4,100 in FY 2023. The Department of Revenue note describes current law under RCW 82.08.986 and 82.12.986 as a retail sales and use tax exemption for qualifying businesses operating data centers and qualifying tenants, and says the exemption expires January 1, 2026, or 12 years from date of the certificate of occupancy. It states that ongoing costs for the 2023-2025 Biennium equal $37,400.

Summary drafted by a model from the document's text below and checked by script against that text before publication. It is a navigation aid, not a reading of what the document proves. Where AI is used

Cite this document

“Fiscal Note - 5262 SB, Data Center Tax Incentive (Final 1/26/2021).” Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2021-02-02-a28432-d226466-5262-fn-final-1-26-21-2e6713dbc1/, SHA-256 d5b37b5f7ab468afd584617d5bc6f259bea5bb0805eb94f412eca3a76c2411b0.

Full text

                                        Multiple Agency Fiscal Note Summary
   Bill Number: 5262 SB                                             Title: Data center tax incentive

Estimated Cash Receipts
  Agency Name                                   2021-23                                                      2023-25                                               2025-27
                              GF-State         NGF-Outlook              Total            GF-State        NGF-Outlook           Total         GF-State         NGF-Outlook                  Total
  Department of               (12,380,000)       (12,380,000)         (12,400,000)       (31,350,000)         (31,350,000)   (31,400,000)    (92,600,000)          (92,600,000)        (92,800,000)
  Revenue

           Total $            (12,380,000)       (12,380,000)         (12,400,000)       (31,350,000)         (31,350,000)   (31,400,000)    (92,600,000)          (92,600,000)        (92,800,000)




Estimated Operating Expenditures
Agency Name                                  2021-23                                                     2023-25                                                          2025-27
                      FTEs        GF-State     NGF-Outlook             Total      FTEs        GF-State       NGF-Outlook      Total         FTEs        GF-State        NGF-Outlook                Total
Joint Legislative       .1            20,300           20,300            20,300          .0          8,200          8,200        8,200        .0             8,200                 8,200                8,200
Audit and Review
Committee
Department of           .5           138,300         138,300            138,300          .2         37,400         37,400       37,400        .2            37,400                37,400               37,400
Revenue

         Total $        0.6          158,600         158,600            158,600      0.2            45,600         45,600       45,600        0.2           45,600                45,600               45,600




Estimated Capital Budget Expenditures
 Agency Name                                       2021-23                                                 2023-25                                          2025-27
                                 FTEs            Bonds                   Total           FTEs            Bonds               Total          FTEs           Bonds                   Total
 Joint Legislative Audit              .0                     0                       0        .0                     0                 0           .0                   0                      0
 and Review Committee
 Department of Revenue                .0                     0                       0        .0                     0                 0           .0                   0                      0

                     Total $          0.0                       0                    0        0.0                    0                 0       0.0                       0                         0




 Estimated Capital Budget Breakout
           NONE




  Prepared by:       Ramona Nabors, OFM                                                                                       Phone:                       Date Published:
                                                                                                                              (360) 902-0547               Final 1/26/2021




       FNPID: 61355

  FNS029 Multi Agency rollup
                           Individual State Agency Fiscal Note

Bill Number:      5262 SB                Title:     Data center tax incentive                                Agency:      014-Joint Legislative Audit
                                                                                                                          and Review Committee

Part I: Estimates
      No Fiscal Impact

Estimated Cash Receipts to:

      NONE


Estimated Operating Expenditures from:
                                                       FY 2022               FY 2023              2021-23              2023-25              2025-27
 FTE Staff Years                                                  0.1                   0.0              0.1                      0.0                 0.0
 Account
 General Fund-State            001-1                          16,200                  4,100             20,300                 8,200               8,200
                                       Total $                16,200                  4,100             20,300                 8,200               8,200


Estimated Capital Budget Impact:

    NONE




   The cash receipts and expenditure estimates on this page represent the most likely fiscal impact. Factors impacting the precision of these estimates,
   and alternate ranges (if appropriate), are explained in Part II.

  Check applicable boxes and follow corresponding instructions:
      If fiscal impact is greater than $50,000 per fiscal year in the current biennium or in subsequent biennia, complete entire fiscal note
      form Parts I-V.
  X   If fiscal impact is less than $50,000 per fiscal year in the current biennium or in subsequent biennia, complete this page only (Part I).

      Capital budget impact, complete Part IV.

      Requires new rule making, complete Part V.


   Legislative Contact:     Kellee Gunn                                                       Phone: 786-7429               Date: 01/18/2021
   Agency Preparation:      Dana Lynn                                                         Phone: 360-786-5177           Date: 01/20/2021
   Agency Approval:         Keenan Konopaski                                                  Phone: 360-786-5187           Date: 01/20/2021
  OFM Review:               Gaius Horton                                                      Phone: (360) 819-3112         Date: 01/22/2021

Form FN (Rev 1/00) 162,844.00                                                                                                           Request # 8-1
FNS063 Individual State Agency Fiscal Note                              1                                                               Bill # 5262 SB
Part II: Narrative Explanation
II. A - Brief Description Of What The Measure Does That Has Fiscal Impact
Briefly describe by section number, the significant provisions of the bill, and any related workload or policy assumptions, that have revenue or
expenditure impact on the responding agency.

 This bill expands eligibility and extends the expiration date for the current sales and use tax exemption provided
 under RCW 82.08.986 and 82.12.986 for sales of eligible equipment and infrastructure at data centers and
 charges to install, repair, alter, or improve qualifying equipment and infrastructure for qualifying businesses and
 tenants of eligible computer data centers.

 Section 1: States the Legislature’s intent to encourage additional data technology facility investments in order to
 spur local economic development, and increase local tax revenues and rural construction and trade jobs.

 TAX PERFORMANCE STATEMENT DETAILS

 Section 2: Provides a new tax preference performance statement that categorizes the preference as intended to:
    • Induce certain designated behavior by taxpayers, as indicated under RCW 82.32.808(2)(a).
    • Improve industry competitiveness as indicated in RCW 82.32.808(2)(b).
    • Create or retain jobs as indicated in RCW 82.32.808(2)(c).
    • Reduce structural inefficiencies in the tax structure as indicated in RCW 82.32.808(2)(d).

 The Legislature’s specific public policy objective is stated to maintain and grow the existing data center sector in
 Washington, and encourage development of new data center facilities and refurbishment of existing data centers,
 thereby increasing the competitiveness of Washington’s tax structure, which will increase or maintain
 construction and trade job growth in rural areas, and increase local tax revenue.

 The Legislature intends to extend the expiration date of the preference if a review finds the preference is:
    • Generating capital investment in new computer data centers, refurbished data centers, and existing data
 centers.
    • Generating state and local tax collections from data center investment and operations, and
    • Generating construction and trade jobs in the state.
 The review must factor in changing economic conditions.

 To obtain data to perform the review, JLARC staff is directed to refer any available data source, including
 Department of Revenue (DOR) rural county property tax assessments and employment data available from the
 Employment Security Department.

 SALES AND USE TAX EXEMPTIONS

 Sections 3 and 4: These sections extend current sales and use tax exemptions under RCW 82.08 986 and
 82.12.986 for new exemption certificate issuance from January 1, 2026, to July 1, 2035, and note the exemptions
 expire fully on July 1, 2047.

 These sections also amend the current computer data center sales and use tax exemptions by:
    • Specifying the exemption certificate is effective on the date DOR receives the application, and only
 purchases on or after the issuance date qualify for exemption.
    • Clarifying the appropriate calculation for determining the net increase in family wage employment positions.
    • Defining “family wage employment positions” for exemption certificates issued before the effective date of
Data center tax incentive                                                                       014-Joint Legislative Audit and Review Committee
Form FN (Rev 1/00) 162,844.00                                                                                                      Request # 8-1
FNS063 Individual State Agency Fiscal Note                             2                                                           Bill # 5262 SB
 the section (new permanent jobs requiring 40 hours of weekly full time work at the data center and receiving a
 wage equivalent to or greater than 150% of the per capita personal income of the county where the facility is
 located) and exemption certificates issued on or after the effective date of the section (new permanent jobs
 requiring 40 hours of weekly full time work at the eligible data center and receiving a wage equivalent to or
 greater than 125% of the per capita personal income of the county where the facility is located).
    • Prohibiting a certificate holder from assigning or transferring a certificate without prior written consent of
 DOR and establishing requirements that must be met for DOR to allow such transfers.
    • Defining “certificate of occupancy” for both new and renovated data centers.
    • Amending the definition of “eligible computer data center” to:
        o Remove a prohibition that server space has not been used previously housing working servers.
        o Remove references to facilities in existence and expanded or renovated at certain qualifying windows of
 construction between April 1, 2010, and July 1, 2015.
    • Amending the definition of “eligible server equipment” to:
        o Include original server equipment installed in an eligible data center on or after July 1, 2015, and before
 July 1, 2035.
        o Include equipment that replaces existing server equipment that meets the following criteria: was
 ineligible for the exemptions before the effective date of the section as eligible server equipment, has been
 refurbished, and to which a valid exemption certificate applies.
        o Is installed and put into regular use no later than 12 years after the date of the certificate of occupancy or
 completion of data center refurbishment.
    • Defines “refurbished or refurbishment” as substantial improvement to an eligible computer data center for
 which a certificate of occupancy is not issued. Improvements must update or modernize servers, server space,
 ventilation, or power infrastructure in an eligible data center.

 The expiration date for the existing sales tax exemption is extended to July 1, 2047.
II. B - Cash receipts Impact
Briefly describe and quantify the cash receipts impact of the legislation on the responding agency, identifying the cash receipts provisions by section
number and when appropriate the detail of the revenue sources. Briefly describe the factual basis of the assumptions and the method by which the
cash receipts impact is derived. Explain how workload assumptions translate into estimates. Distinguish between one time and ongoing functions.

II. C - Expenditures
Briefly describe the agency expenditures necessary to implement this legislation (or savings resulting from this legislation), identifying by section
number the provisions of the legislation that result in the expenditures (or savings). Briefly describe the factual basis of the assumptions and the
method by which the expenditure impact is derived. Explain how workload assumptions translate into cost estimates. Distinguish between one time
and ongoing functions.

 JLARC staff would contact and work with the Department of Revenue, the Employment Security Department,
 and other appropriate agencies immediately after passage of the bill to ensure project contacts are established and
 any other necessary data for JLARC staff’s future evaluation needs are identified and collected.

 The expenditure detail noted reflects work conducted to prepare for the future review as well as costs for a tax
 performance review. Such a review would likely occur in 2031, 10 years after the changes in the bill become
 effective.

 This tax preference review may require additional resources. The audit will be conducted and presented to
 JLARC consistent with the processes used for other tax preference reviews. Based on all tax preference
 legislation that is passed, JLARC may subsequently determine that it can absorb the costs for this proposed bill in
 its base budget, if the workload of other enacted tax preference legislation does not exceed current staffing.
 JLARC will assess all of the tax preference reviews mandated in the 2021 legislative session.


Data center tax incentive                                                                        014-Joint Legislative Audit and Review Committee
Form FN (Rev 1/00) 162,844.00                                                                                                       Request # 8-1
FNS063 Individual State Agency Fiscal Note                              3                                                           Bill # 5262 SB
 This audit will require an estimated 2 audit months.

 JLARC Audit Months: JLARC calculates its staff resources in "Audit Months" to estimate the time and effort to
 undertake and complete its studies. An "Audit Month" reflects a JLARC analyst’s time for a month, together with
 related administrative, support, and goods/services costs. JLARC’s anticipated 2021-23 costs are calculated at
 approximately $20,300 per audit month.

Part III: Expenditure Detail
III. A - Operating Budget Expenditures
Account Account Title          Type                     FY 2022                   FY 2023              2021-23                2023-25           2025-27
 001-1      General Fund       State                         16,200                     4,100              20,300                   8,200            8,200
                                 Total $                     16,200                     4,100              20,300                   8,200            8,200

III. B - Expenditures by Object Or Purpose
                                                     FY 2022                  FY 2023            2021-23                 2023-25        2025-27
  FTE Staff Years                                                 0.1                                      0.1
  A-Salaries and Wages                                      10,200                      2,500           12,700                 5,000             5,000
  B-Employee Benefits                                        3,200                        800            4,000                 1,600             1,600
  C-Professional Service Contracts
  E-Goods and Other Services                                 2,600                       700             3,300                 1,400             1,400
  G-Travel                                                     200                       100               300                   200               200
  J-Capital Outlays
  M-Inter Agency/Fund Transfers
  N-Grants, Benefits & Client Services
  P-Debt Service
  S-Interagency Reimbursements
  T-Intra-Agency Reimbursements
  9-
                                 Total $                    16,200                      4,100           20,300                 8,200             8,200

 III. C - Operating FTE Detail: List FTEs by classification and corresponding annual compensation. Totals need to agree with total FTEs in
          Part I and Part IIIA

  Job Classification                               Salary               FY 2022            FY 2023       2021-23            2023-25         2025-27
  Research Analyst                                      113,827                   0.1                              0.1
  Support staff                                          77,705
                             Total FTEs                                           0.1                              0.1                                0.0



III. D - Expenditures By Program (optional)
NONE


 Part IV: Capital Budget Impact
 IV. A - Capital Budget Expenditures
      NONE

 IV. B - Expenditures by Object Or Purpose
        NONE

IV. C - Capital Budget Breakout
 Identify acquisition and construction costs not reflected elsewhere on the fiscal note and describe potential financing methods


Data center tax incentive                                                                            014-Joint Legislative Audit and Review Committee
Form FN (Rev 1/00) 162,844.00                                                                                                           Request # 8-1
FNS063 Individual State Agency Fiscal Note                                4                                                             Bill # 5262 SB
      NONE

 IV. D - Capital FTE Detail: List FTEs by classification and corresponding annual compensation. Totals need to agree with total FTEs in
          Part IVB

     NONE

Part V: New Rule Making Required




Data center tax incentive                                                                014-Joint Legislative Audit and Review Committee
Form FN (Rev 1/00) 162,844.00                                                                                               Request # 8-1
FNS063 Individual State Agency Fiscal Note                        5                                                         Bill # 5262 SB
                                Department of Revenue Fiscal Note

Bill Number:       5262 SB                Title:     Data center tax incentive                                   Agency:      140-Department of
                                                                                                                              Revenue

Part I: Estimates
       No Fiscal Impact

Estimated Cash Receipts to:
   Account                                                     FY 2022              FY 2023              2021-23             2023-25             2025-27
   GF-STATE-State                                                  (4,290,000)         (8,090,000)         (12,380,000)        (31,350,000)       (92,600,000)
    01 - Taxes 01 - Retail Sales Tax
   Performance Audits of Government                                  (10,000)              (10,000)             (20,000)             (50,000)       (200,000)
   Account-State
    01 - Taxes 01 - Retail Sales Tax
                                             Total $               (4,300,000)         (8,100,000)         (12,400,000)        (31,400,000)       (92,800,000)

Estimated Expenditures from:


                                                        FY 2022                  FY 2023              2021-23              2023-25              2025-27
  FTE Staff Years                                                  0.7                     0.4                  0.5                  0.2                  0.2
  Account
  GF-STATE-State           001-1                               98,600                39,700              138,300                37,400               37,400
                                        Total $                98,600                39,700              138,300                37,400               37,400

 Estimated Capital Budget Impact:
          NONE




    The cash receipts and expenditure estimates on this page represent the most likely fiscal impact. Factors impacting the precision of these estimates,
    and alternate ranges (if appropriate), are explained in Part II.

   Check applicable boxes and follow corresponding instructions:
       If fiscal impact is greater than $50,000 per fiscal year in the current biennium or in subsequent biennia, complete entire fiscal note
  X
       form Parts I-V.
       If fiscal impact is less than $50,000 per fiscal year in the current biennium or in subsequent biennia, complete this page only (Part I).

  X    Capital budget impact, complete Part IV.

       Requires new rule making, complete Part V.


   Legislative Contact:      Kellee Gunn                                                         Phone: 786-7429              Date: 01/18/2021
   Agency Preparation:       Marianne McIntosh                                                   Phone: 360-534-1505          Date: 01/24/2021
   Agency Approval:          Don Gutmann                                                         Phone: 360-534-1510          Date: 01/24/2021
   OFM Review:               Ramona Nabors                                                       Phone: (360) 902-0547        Date: 01/26/2021

                                                                                                                                      Request # 5262-1-1
 Form FN (Rev 1/00) 163,257.00                                           1                                                                 Bill # 5262 SB
FNS062 Department of Revenue Fiscal Note
Part II: Narrative Explanation
II. A - Brief Description Of What The Measure Does That Has Fiscal Impact
 Briefly describe, by section number, the significant provisions of the bill, and any related workload or policy assumptions, that have revenue or
 expenditure impact on the responding agency.

Note: This fiscal note reflects language in SB 5262, 2021 Legislative Session.

CURRENT LAW:
RCW 82.08.986 and 82.12.986 provide a retail sales and use tax exemption for qualifying businesses operating data centers,
and qualifying tenants of these data centers. The exemption includes purchases of eligible server equipment and power
infrastructure, and labor and services for installing eligible server equipment, and for constructing, installing, repairing,
altering, or improving eligible power infrastructure.

Requirements to qualify:
- Facility must meet employment and facility size criteria;
- Facility is located in a rural county as defined in RCW 82.14.370; and
- Commencement of construction must occur:
  1. After March 31, 2010, and before July 1, 2011 (“Window 1”); or
  2. After March 31, 2012, and before July 1, 2015 (“Window 2”); or
  3. After June 30, 2015, and before July 1, 2025 (“Window 3”).

This exemption is limited to eight data centers that begin construction between July 1, 2015, and July 1, 2019, and a total of 12
data centers that begin construction during Window 3.

This exemption expires January 1, 2026, or 12 years from date of the certificate of occupancy, as explained in the Department
of Revenue’s (Department) Excise Tax Advisory 3213.2019. Business or tenants claiming the exemption must file an annual
tax performance report.

PROPOSAL:
This proposal removes the limit on the number of eligible data centers as well as the requirement that qualifying server space
cannot be utilized previously for housing working servers. The exemption is extended to persons who have previously received
the benefit of the sales and use tax deferral under RCW 82.60. A definition of “certificate of occupancy” is added, along with
guidance on assigning or transferring exemption certificates. The definition of “replacement server equipment” is updated to
include replacing server equipment for data centers that did not qualify for this exemption previously if the data center is
refurbished. The bill defines “refurbished” broadly as any substantial improvement to an eligible computer data center for
which a certificate of occupancy is not issued, including improvements that update or modernize servers, server space,
ventilation, or power infrastructure.

For data centers that commenced construction during Window 1, the exemption for original server equipment purchased by
qualified businesses and qualified tenants is extended from January 1, 2026, to July 1, 2035. The exemption for replacement
server equipment purchased by qualified tenants is extended from April 1, 2024, to July 1, 2035.

For data centers that commenced construction during Window 2, the exemption for original server equipment purchased by
qualifying businesses and extended from January 1, 2026, to July 1, 2035. The exemption for replacement server equipment
purchased by qualifying businesses and qualifying tenants expires either 12 years after the issuance of a certificate of
occupancy or 12 years after the completion of a data center refurbishment.

The expiration date for purchases of eligible power infrastructure under RCW 82.08.986 is extended from January 1, 2026, to
July 1, 2047, for qualifying power infrastructure. The exemption for qualifying power infrastructure expires January 1, 2026
under RCW 82.12.986.

                                                                                                                                    Request # 5262-1-1
 Form FN (Rev 1/00) 163,257.00                                          2                                                                 Bill # 5262 SB
FNS062 Department of Revenue Fiscal Note
No new exemption certificates may be issued on or after July 1, 2035.

This exemption expires July 1, 2047.

EFFECTIVE DATE:
The bill takes effect 90 days after final adjournment of the session in which it is enacted.
II. B - Cash receipts Impact
 Briefly describe and quantify the cash receipts impact of the legislation on the responding agency, identifying the cash receipts provisions by section
 number and when appropriate the detail of the revenue sources. Briefly describe the factual basis of the assumptions and the method by which the
 cash receipts impact is derived. Explain how workload assumptions translate into estimates. Distinguish between one time and ongoing functions.

ASSUMPTIONS
- The earliest an application can be submitted to the Department is July 27, 2021. The date the Department receives the
application is the effective date of the approved certificate. Therefore, there are ten months of cash collections in Fiscal
Year 2022.
- The current data center program limits new data centers to 12. At this time, the limit has been met.
- The proposal removes the limit on the number of new data centers.
- It takes approximately 18 to 24 months to complete a data center. Twenty-five percent of the dedicated server space will
be filled each year and thereafter until full capacity is reached.
- Two new data centers will be completed each year starting in Fiscal Year 2024. Exempt server purchases and power
infrastructure installs for the data centers will be part of the build process and therefore the impact will begin in Fiscal
Year 2023.
- The average size of a new data center is approximately 215,000 square feet with an estimated 100,000 square feet of
dedicated server space.
- The average cost per square foot for equipment including power infrastructure is $1,000.
- Servers are refreshed every three years. This is due to cost savings and upgrading equipment.
- Previous owners whose exemption expired April 1, 2018, will reapply to refresh their server equipment.
- Owners and tenants whose exemption expire April 1, 2024, will have their certificates extended to July 1, 2035, or 12
years from their certificate of occupancy.
- Data centers that did not qualify previously, will qualify for refurbishment.

DATA SOURCES
- Department of Revenue - Annual tax performance reports
- United Sates Chamber of Commerce, Technology Engagement Center, Data Centers Report 2017,
https://www.uschamber.com/sites/default/files/ctec_datacenterrpt_lowres.pdf
- The Engineering Projects,
https://www.theengineeringprojects.com/2018/12/what-are-data-centers-and-how-much-do-they-cost.html
- Wenatchee World,
https://www.wenatcheeworld.com/deepdives/data-centers-a-flood-of-tax-revenue-but-constrained-by/article_47470dc2-71
04-11e9-b6ef-7b62ad67197b.html

REVENUE ESTIMATES
This bill decreases state revenues by an estimated $4.3 million in the 10 months of impacted collections in Fiscal Year
2022, and by $5.1 million in Fiscal Year 2023, the first full year of impacted collections. This bill also decreases local
revenues by an estimated $1.2 million in the 10 months of impacted collections in Fiscal Year 2022, and by $1.5 million in
Fiscal Year 2023, the first full year of impacted collections.

TOTAL REVENUE IMPACT:

     State Government (cash basis, $000):

                                                                                                                                     Request # 5262-1-1
 Form FN (Rev 1/00) 163,257.00                                          3                                                                  Bill # 5262 SB
FNS062 Department of Revenue Fiscal Note
         FY 2022 -        ($ 4,300)
         FY 2023 -        ($ 8,100)
         FY 2024 -        ($ 12,100)
         FY 2025 -        ($ 19,300)
         FY 2026 -        ($ 44,400)
         FY 2027 -        ($ 48,400)

     Local Government, if applicable (cash basis, $000):
       FY 2022 - ($ 1,200)
       FY 2023 - ($ 2,500)
       FY 2024 - ($ 3,500)
       FY 2025 - ($ 5,600)
       FY 2026 - ($ 12,600)
       FY 2027 - ($ 13,600)
 II. C - Expenditures
 Briefly describe the agency expenditures necessary to implement this legislation (or savings resulting from this legislation), identifying by section
 number the provisions of the legislation that result in the expenditures (or savings). Briefly describe the factual basis of the assumptions and the method
by which the expenditure impact is derived. Explain how workload assumptions translate into cost estimates. Distinguish between one time and
ongoing functions.

 ASSUMPTIONS:
 This bill affects 50 taxpayers.

 FIRST YEAR COSTS:
 The Department will incur total costs of $98,600 in Fiscal Year 2022. These costs include:

    Labor Costs – Time and effort equates to 0.68 FTEs.
    - Identify publications and information that need to be created or updated.
    - Respond to email inquiries and more difficult call backs from the telephone information center.
    - Review and prepare refunds and assessments.
    - System testing, implementation meetings, and assist in procedure development.

    Object Costs - $26,400.
    - Contract computer system programming.

 SECOND YEAR COSTS:
 The Department will incur total costs of $39,700 in Fiscal Year 2023. These costs include:

    Labor Costs – Time and effort equates to 0.4 FTEs.
    - Respond to email inquiries and more difficult call backs from the telephone information center.
    - Review and prepare refunds and assessments.

 ONGOING COSTS:
 Ongoing costs for the 2023-2025 Biennium equal $37,400 and include similar activities described in the second year costs.
 Time and effort equates to 0.2 FTEs.




                                                                                                                                      Request # 5262-1-1
  Form FN (Rev 1/00) 163,257.00                                          4                                                                 Bill # 5262 SB
FNS062 Department of Revenue Fiscal Note
Part III: Expenditure Detail
 III. A - Expenditures by Object Or Purpose
                                                        FY 2022             FY 2023                   2021-23                  2023-25             2025-27
     FTE Staff Years                                              0.7                       0.4                  0.5                   0.2                 0.2
     A-Salaries and Wages                                      43,700                   25,000                68,700                23,800              23,800
     B-Employee Benefits                                       15,800                    9,000                24,800                 8,600               8,600
     C-Professional Service Contracts                          26,400                                         26,400
     E-Goods and Other Services                                 8,100                 4,600                   12,700                 4,600               4,600
     J-Capital Outlays                                          4,600                 1,100                    5,700                   400                 400
                                    Total $                   $98,600               $39,700                 $138,300               $37,400             $37,400

  III. B - Detail: List FTEs by classification and corresponding annual compensation. Totals need to agree with total FTEs in Part I
                    and Part IIIA
     Job Classification                              Salary             FY 2022             FY 2023            2021-23            2023-25          2025-27
     EMS BAND 4                                           119,061                 0.0                                    0.0
     EMS BAND 5                                           139,090                 0.0                                    0.0
     EXCISE TAX EX 3                                       59,688                 0.2                 0.3                0.3                 0.2             0.2
     MGMT ANALYST4                                         70,956                 0.2                 0.1                0.2
     TAX INFO SPEC 4                                       64,332                 0.2                                    0.1
     TAX POLICY SP 2                                       72,756                 0.0                                    0.0
     TAX POLICY SP 3                                       82,344                 0.0                                    0.0
     TAX POLICY SP 4                                       88,644                 0.0                                    0.0
     WMS BAND 3                                           101,257                 0.0                                    0.0
                                Total FTEs                                        0.7                 0.4                0.6                 0.2             0.2



III. C - Expenditures By Program (optional)
       NONE



Part IV: Capital Budget Impact
 IV. A - Capital Budget Expenditures
    NONE

 IV. B - Expenditures by Object Or Purpose
      NONE

 IV. C - Capital Budget Breakout

   Identify acquisition and construction costs not reflected elsewhere on the fiscal note and dexcribe potential financing methods

    NONE

  None.

Part V: New Rule Making Required




                                                                                                                                              Request # 5262-1-1
 Form FN (Rev 1/00) 163,257.00                                          5                                                                          Bill # 5262 SB
FNS062 Department of Revenue Fiscal Note


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2021-02-02_a28432_d226466_5262-fn-final-1-26-21.pdf
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