§308.6.  State government fees for services and activities; cost recovery

A.(1)  The division of administration shall establish a procedure for periodic review, analysis, and evaluation that ensures that fees established to fund specific activities are generating funding in direct proportion to expenditures associated with such activity.

(2)  The review, analysis, and evaluation shall be performed by House and Senate staff and shall include historical data and trends.  It shall specifically consider revenue generated through the fee, expenditures incurred for the activity, the ratio of revenue to expenditures, the units of service and annual cost per unit of service.  It may include any other information deemed relevant and appropriate by the commissioner of administration.

B.(1)  Beginning October 1, 2010, and every year thereafter, the division of administration shall develop a plan and schedule for the review of fees.  The plan and schedule shall be submitted to the Joint Legislative Committee on the Budget for its review and approval.  The plan may be adjusted annually as needed.

(2)  Each plan and schedule shall provide for the review of not more than twenty-five percent of the fees.  The plan and schedule shall specify the fees that are to be reviewed.  A fee shall be reviewed at least once in a time period of five years.

(3)  The Joint Legislative Committee on the Budget, hereinafter referred to as "the committee", shall conduct a review of the fees as specified in such plan and schedule.  Such review may include the division of administration's evaluation and any other information deemed appropriate by the committee.

(4)  No later than February 15, 2011, and every year thereafter, the committee shall report the findings of each review to the speaker of the House of Representatives, the president of the Senate, the governor, the commissioner of administration, and the chairman of the Commission on Streamlining Government.  Such report shall include findings regarding a policy determination as to the appropriate apportionment of funding between the general public and the user group for the activity and whether the fee is set at the appropriate amount to fund in whole, or in part, the activity.

(5)  In the event the committee finds that the fee is not set at the appropriate amount, the head of the agency shall have sixty days to provide a response to the committee on actions planned or taken to address the finding.

C.  Each agency that charges fees which are part of a budget unit's operating budget in the General Appropriation Bill shall post on its website the data and information used to calculate the fee and the method of calculation.  The agency shall also post any audits regarding the fee as well as any review and findings of the committee.

Acts 2010, No. 1001, §2, eff. July 1, 2010.