Fee reductions zip through Senate

A bill that would require the secretaries of the state Department of Health and state Department of Labor and Licensing to reduce one or more regulatory fees or charges of a state board or commission, whose administrative functions have been transferred to each department, under certain circumstances zipped through the Arkansas Senate on Wednesday.

The Senate voted 34-0 to send House Bill 1322 by Rep. Fran Cavenaugh, R-Walnut Ridge, to the governor.

Under the bill, each secretary would be required to implement a reduction of one or more regulatory fees or charges of a board or commission, whose administrative functions have been transferred to each department, if he or she determines the following:

■ The board or commission has a fund balance that is at least three times greater than its annual average operating expenses as determined by the secretary.

■ A reduction of regulatory fees and charges will not result in the fund balance of the board or commission dropping below a balance three times greater than its annual average operating expenses as determined by the secretary.

■ Valid reasons do not exist for allowing the board or commission to continue to charge its required amount of regulatory fees and charges while having a fund balance that is at least three times greater than its annual average operating expenses. Valid reasons would include accumulating funds for a future construction project or other capital project that the secretary deems necessary for the board or commission.

Spokespersons for both departments said their secretaries haven’t determined which fees would be cut under the measure.