Legislative record

Cost Recovery Cash Fund Consolidation

Current law allows the department of revenue (department) to retain an amount equal to its administrative costs in collecting, administering, and enforcing the production fees for clean transit and wildlife and land remediation, the enterprise per ride fees, the retail delivery fees, and the enterprise retail delivery fees. Current law also allows the department to retain 3% of the prepaid wireless trust cash fund to mitigate administrative costs. The money retained by the department is currently transmitted into multiple individual cost recovery cash funds that are used to mitigate the department's administrative costs of collecting those fees and charges. These cash funds include the oil and gas production fees collection fund, the enterprise per ride fees fund, and the retail delivery fees fund (cost recovery funds).     The act repeals each of these cost recovery funds and directs the state treasurer to transmit the money retained by the department to mitigate the department's administrative costs for all the programs into a single cost recovery cash fund, which is created in the act. The act also requires the department to submit an annual report starting November 1, 2027, to the joint budget committee with information about the costs associated with collecting, administering, and enforcing the fees and, where applicable, the specific tasks that contribute significantly to the fee collection workload.(Note: This summary applies to this bill as enacted.)