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Senate Bill 1107

Senate Bill 1107

Phil Haunschild
February 28, 2017

Bill Description: This bill raises the cap on charges for skills tests by commercial driver schools.

Rating: 0

Analyst’s Note: This bill is an amended version of S 1073 from earlier this legislative session. The changes made are clerical adjustments to uphold the stated purpose of the bill.

Does it give government any new, additional, or expanded power to prohibit, restrict, or regulate activities in the free market? Conversely, does it eliminate or reduce government intervention in the market? 

This bill would raise the cap on fees from $60 to $200, without increasing the $10 cut taken by the government. This would allow companies to set a fee that better reflects their costs of operation and their profit margins. (+1)

This bill hurts the market because applicants will pay more for their testing. The current system creates an artificial demand and a surplus of individuals pursuing these licenses. There are only 57 companies with a license to offer testing services in Idaho. Raising the cap on this fee strengthens the oligopoly in this industry created by the state. (-1)

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