Lawmakers consider fee hikes

By Ashley Speagle

Correspondent

ATLANTA -- Saying they're sticking to conservative principles and resisting tax increases, legislators asked state agencies Wednesday to consider bumping up fees to limit budget cuts.

"We're looking at ways to raise fees across the board," said Sen. Ross Tolleson, R-Perry.

The Senate and House appropriations subcommittees reviewed department budgets in preparation for cuts to the fiscal 2011 budget and to stem further cuts in the fiscal 2010 budget.

The House and Senate already have cut the 2010 amended budget, but with January revenues down by an unexpected 8.7 percent from January 2009, legislators may need to make additional cuts or find quick funds.

"As we stand here, with three days to go, it's OK," Georgia Revenue Commissioner Bart Graham said, estimating February revenues. "The last half of the last day of the month can determine it."

Legislators asked two questions to most agency representatives at the hearing: Do you have reserve funds? Where can you increase fees?

While several departments did not have reserve cash available, officials did offer some places to raise fees.

Mr. Graham said a 1 percent increase in local sales tax administration fees could generate $3.6 million, and some services could have fees added.

Legislators also discussed higher fees for amusement licenses, required for games, rides and entertainment machinery, and driver's licenses.

Sen. Tolleson acknowledged that raising fees adds pressure to already-tight family budgets.

"It's easy to say we need to go up on this, but we need to be very thoughtful about this," he said.

Chris Martin, of the state Department of Natural Resources, said that his department found that raising fees could actually result in less revenue.

"As we raised fees, in some cases, we started losing business," Mr. Martin said. "There's only so much you can charge for a campsite to sleep on the dirt."

Other avenues to save may include eliminating programs that use federal funds, which often require a state match, legislators said.

"I'd like us to take a look at our programs and see where we can untie ourselves from the federal government," Sen. Tolleson said.