DOPL moves to lower permit/license fees across boards; division to pursue fee-holiday legislation and statutory cash-balance limits

Katie Stewart, Bureau Chief for the Administration Bureau of the Division of Occupational and Professional Licenses (DOPL), presented multiple temporary rule dockets to the House Business Committee on Jan. 21 that implement fee decreases the division said were directed by intent language in Senate Bill 1442 (2024 session). The temporary dockets apply to several boards and aim to reduce licensees’ permit costs while moving boards toward healthier cash balances.

Stewart told the committee the building code board voted to reduce permit fees by 30% (exceeding the 20% in the division’s prior cash-balance plan) to lower costs for licensees amid high construction demand. The factory-built structures board reduced permit fees by 20%. The public-works contractor licensing board added “not to exceed” language in its rules so the board can decrease fees in the future without returning to the Legislature; it reduced fees by 20% at this time.

Stewart said DOPL has identified dozens of boards whose cash balances are below the division’s target (she cited 13 boards under the 30% threshold) and that some boards have been in the red for years. She explained several drivers of deficits, including costs related to rulemaking, administrative hearings, disciplinary processes and other board operations. To address these issues, Stewart said the division plans to introduce legislation this year with three components: (1) authority to implement a fee holiday for boards with very large cash balances; (2) codifying cash-balance floor/ceiling guidance from SB 1442 into DOPL statute; and (3) cleanup to complete biannual-renewal transitions for boards where that update was still outstanding.

Committee members asked for detail about how deficits arise and whether boards in surplus are subsidizing others; Stewart explained that boards incur costs from board meetings, rule publications, disciplinary hearings and other activities, and that some boards’ permit-driven revenue has grown because of construction volume. She said the division is considering a mix of fee reductions and potential fee holidays and will continue to monitor boards’ cash positions.

The committee approved the temporary dockets by voice vote.

Why this matters: the temporary rules reduce permit and licensing fees for regulated businesses and professionals across Idaho and signal the division’s broader plan to use administrative changes and proposed legislation to manage board cash balances and possible fee-relief mechanisms.

What’s next: DOPL will file implementing administrative materials and pursue legislation this session to provide statutory authority for fee holidays, cash-balance bands, and completion of biennial-renewal transitions.