FEE SUNSETS - OCCUPATIONAL LICENSES                                               H.B. 4381 (H-1):

                                                                               SUMMARY OF HOUSE-PASSED BILL

                                                                                                         IN COMMITTEE

 

 

 

 

 

 

 

 

 

House Bill 4381 (Substitute H-1 as passed by the House)

Sponsor:  Representative Chris Afendoulis

House Committee:  Appropriations

Senate Committee:  Appropriations

 

Date Completed:  5-4-15

 


CONTENT

 

The bill would amend the State License Fee Act to delay the sunset of license or registration fees paid by those seeking licensure or registration in various types of regulated occupations. These fees were last increased in 2003, and, after September 30, 2015, current law will roll back the amount of the 2003 increases. The bill would extend the current fees until September 30, 2019.

 

The bill would take effect October 1, 2015.

 

MCL 338.2213 et al.                                                                                                 

 

FISCAL IMPACT

 

The bill would have a positive fiscal impact on the Department of Licensing and Regulatory Affairs (LARA) and no fiscal impact on local units of government. The bill would prevent LARA from losing approximately $940,000 in fee revenue each year. Revenue from the fees affected by the bill is credited to the Licensing and Regulation Fund, and is used by the Corporations, Securities, and Commercial Licensing Bureau within LARA to offset the costs related to licensing and enforcement of regulated professions.

 

The fiscal year (FY) 2015-16 LARA budget as reported by the Senate Appropriations Committee assumes LARA will be able to collect these fees at their current levels. Table 1 provides additional detail on the fee sunsets that would be delayed by the bill.


 

 

Table 1

Fee Sunset Delayed Under Bill

Fee Type

Fee Amount (Current)

Fee Amount (Sunset)

Revenue Loss Prevented Under Bill

Professional Engineer Application

$35

$30

$5,035

Professional Engineer License

40

20

218,740

Land Surveyor Application

35

30

80

Barber - Student, Student Instructor, Instructor Application

20

15

2,375

Barbershop Application

50

40

1,490

Barber College Application

75

50

0

Barber, Student Barber/Instructor License

30

15

39,795

Barber Instructor License

40

25

308

Barbershop License

40

30

8,145

Demonstrator's/Demonstration Permit

15

10

0

Collection Agency Non-Owner Manager Application

35

25

1,240

Cosmetologist, Manicurist, Natural Hair Culturist, Esthetician, Electrologist, or Instructor Application

15

10

29,210

Cosmetologist, Manicurist, Natural Hair Culturist, Esthetician, Electrologist, or Instructor License

24

12

574,116

Cosmetology Student Registration

15

5

6,700

Employment or Consulting Agent License

40

30

420

Forester Registration

40

25

1,560

Hearing Aid Dealer Trainee License

40

20

1,920

Real Estate or Associate Broker Application

35

20

25,830

Real Estate Branch Office License

20

10

2,377

Appraisers - General, Residential, State-Licensed, or Ltd. Real Estate Application

35

25

2,670

Mortuary Science or Funeral Dir. License

40

30

14,245

Funeral Resident Trainee License

30

15

1,230

TOTAL

$937,486

 

 

                                                                                        Fiscal Analyst:  Josh Sefton

 

 

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.