Requiring that all state agency P-card rebates received must go toward stabilizing the PEIA fund
Summary
HB4856 would redirect the disposition of state purchasing card (P-card) rebate money so that, after specified existing transfers, all remaining rebate funds are deposited into the PEIA Rainy Day Fund. The bill amends the law governing the Purchasing Card Administration Fund and the distribution of rebate moneys received from state spending unit purchasing card purchases. It also repeals a separate local government purchasing card expenditure fund provision.
Under current law, P-card rebates are split among several funds, including the Purchasing Improvement Fund, the Entrepreneurship and Innovation Investment Fund, the Hatfield-McCoy Regional Recreation Authority, and the State Park Operating Fund. HB4856 preserves the initial transfers to those funds but changes the final destination of any remaining rebate money so it goes to the PEIA Rainy Day Fund. The stated purpose is to stabilize that fund, which supports the Public Employees Insurance Agency (PEIA).
Impact
The bill would amend §12-3-10d of the West Virginia Code to alter how P-card rebate revenue is allocated, increasing the flow of residual rebate dollars to the PEIA Rainy Day Fund. It would also repeal §6-9-2b, eliminating the local government purchasing card expenditure fund provision. The practical effect is to redirect a state revenue stream away from other uses and toward PEIA-related stabilization, while leaving the Auditor responsible for administering the Purchasing Card Administration Fund and making the required transfers within three days of receiving rebate moneys.
Sentiment
The bill’s stated goal suggests a generally supportive or problem-solving posture focused on strengthening PEIA’s financial position. The caption and note frame the measure as a stabilization tool for the PEIA fund, indicating an emphasis on fiscal support rather than expansion of spending. No committee transcript or recorded votes were provided, so there is no direct evidence of debate, amendment, or formal opposition in the available materials.
Contention
The main point of contention is likely the reallocation of rebate revenue among competing state priorities. Under the bill, funds that previously supported entrepreneurship, regional recreation, and state parks would continue to receive their existing shares, but any remaining rebate money would be diverted to PEIA instead of other potential uses. Stakeholders tied to PEIA may favor the change, while agencies or programs that rely on discretionary state revenue may be concerned about reduced flexibility or lost funding opportunities. The repeal of the local government purchasing card expenditure fund could also draw attention from local government interests, though the bill text does not provide details on its current use.