Bill Description: House Bill 152 would raise caps on occupational licensing fees and provide for fee holidays when fees have been over-collected.
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Does it directly or indirectly create or increase any taxes, fees, or other assessments? Conversely, does it eliminate or reduce any taxes, fees, or other assessments?
Occupational licensing and certification requirements are government-created barriers to market participation, which increase costs and limit consumer choice. Additionally, the existence of these mandates can create a false sense of safety and sufficiency based on compliance with government standards that may be inappropriate or outdated. Conversely, in a more competitive and less regulated market, providers of goods and services work to outclass each other in providing consumers more value.
Occupational licensing and certification requirements also involve fees imposed on professionals and/or their firms to fund the regulatory boards and bodies that oversee their respective professions.
House Bill 152 would amend 17 sections of Idaho Code related to occupational licensing and related fees. The bill would increase fee caps by 100% for many general fees. It would increase the cap for fees on "retired or inactive status licenses" from $100 to $200 and increase the cap on "firm registration" from $200 to $400. The cap on license renewal fees would also double from $250 to $500.
It may be argued that these increases are necessary because some fees are charged biennially rather than annually, but it must be noted that the fee caps apply regardless of the payment schedule adopted. This bill strikes several specific references to annual or biennial licensure and says, "The commission shall grant annual or biennial licenses in compliance with the rules prescribed by the commission. …"
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House Bill 152 would amend Section 67-2608, Idaho Code, to add two subsections requiring "quarterly reports regarding the revenues and expenditures of each board and commission" within the division of occupational and professional licenses.
It says, "If the year-end cash balance of any board or commission fund detail exceeds one hundred fifty percent (150%) of the five (5) year rolling average of expenditures, the division of occupational and professional licenses shall present a plan in the annual report to the legislature for reducing fund balances, including but not limited to fee reductions and holidays."
It also says, "If the year-end cash balance of any fund detail drops below thirty percent (30%) of the five (5) year rolling average of expenditures, the division of occupational and professional licenses shall present a plan to the legislature for rectifying the low fund balance."
One possible plan for rectifying a low fund balance, not mentioned in the bill, could be to repeal the associated licensing mandates.
These provisions could result in a reeducation in fees under certain circumstances.
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