Bill Description: House Bill 297 would require occupational licensing boards and commissions to submit a plan of rectification to the Legislature if their end-of-year fund balances are not between 10% and 125% of the five-year rolling average of their annual expenditures.
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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?
According to the statement of purpose for House Bill 297, "the most recent accountability report performed by Legislative Services Office Audit Division found several [occupational licensing] boards and commissions had excessive fund balances compared to normal operating cash needs."
House Bill 297 would rectify this problem by amending Section 67-2608, Idaho Code, to say, "If, at the end of any fiscal year, moneys in any fund detail of the occupational licenses fund exceed one hundred twenty-five percent (125%) of the five-year rolling average of annual expenditures of the board or commission associated with such fund detail, the division shall report that information to the joint finance-appropriations committee of the legislature and to the germane legislative committee responsible for such board or commission to determine a plan of rectification, including but not limited to fee reductions and holidays."
To make sure that these boards and commissions remain self-supporting, the bill would also add language stating, "If, at the end of any fiscal year, moneys in any fund detail of the occupational licenses fund fall below ten percent (10%) of the five-year rolling average of annual expenditures of the board or commission associated with such fund detail, the division shall report that information to the joint finance-appropriations committee of the legislature and to the germane legislative committee responsible for such board or commission to determine a plan of rectification, including but not limited to fee increases."
The bill would also require these boards and commissions to prepare and submit monthly and yearly revenue and expenditure reports.
In the case of shortfalls, belt-tightening measures would be a superior alternative to fee increases. In the case of funds with excessive balances, however, fee reductions are most certainly warranted.
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