713
. (a) The changes in the Implicit Price Deflator for State and
Local Government Purchases of Goods and Services, as published by the
United States Department of Commerce, shall be used as the index to
determine an annual rate of increase or decrease in the fees for
licenses, stamps, permits, tags, or other entitlements issued by the
department.
(b) (1) The department shall determine the change in the Implicit
Price Deflator for State and Local Government Purchases of Goods and
Services, as published by the United States Department of Commerce,
for the quarter ending March 31 of the current year compared to the
quarter ending March 31 of the previous year. The relative amount of
the change shall be multiplied by the current fee for each license,
stamp, permit, tag, or other entitlement issued by the department.
(2) The product shall be rounded to the nearest twenty-five cents
($0.25), and the resulting amount shall be added to the fee for the
current year. The resulting amount shall be the fee for the license
year beginning on or after January 1 of the next succeeding calendar
year for the license, stamp, permit, tag, or other entitlement that
is adjusted under this section.
(c) Notwithstanding any other provision of law, the department may
recalculate the current fees charged for each license, stamp,
permit, tag, or other entitlement issued by the department, to
determine that all appropriate indexing has been included in the
current fees. This section shall apply to all licenses, stamps,
permits, tags, or other entitlements, that have not been increased
each year since the base year of the 1985-86 fiscal year.
(d) The commission, with respect to any license, stamp, permit,
tag, or other entitlement issued by the commission shall comply with
subdivisions (a) to (c), inclusive.
(e) The calculations provided for in this section shall be
reported to the Legislature with the Governor's Budget Bill.
(f) The Legislature finds that all revenues generated by fees for
licenses, stamps, permits, tags, and other entitlements, computed
under this section and used for the purposes for which they were
imposed, are not subject to Article XIII B of the California
Constitution.
(g) The department and the commission, at least every five years,
shall analyze all fees for licenses, stamps, permits, tags, and other
entitlements issued by it to ensure the appropriate fee amount is
charged. Where appropriate, the department shall recommend to the
Legislature or the commission that fees established by the commission
or the Legislature be adjusted to ensure that those fees are
appropriate.