Committee kills bill to triple cost of food licenses

The Idaho Senate Health and Welfare Committee killed a measure March 3 that would have tripled the cost of food license fees over the next two years.

Lawmakers on the committee also rejected a compromise proposal that would have doubled the fees for restaurants and grocery stores, while holding them steady for vendors who sell at fairs and farmers’ markets, saying there were still too many unanswered questions.

“I would like an opportunity for further study,” said Sen. Nicole LeFavour, D-Boise. “It seems like some of the smallest entities are being forced to bear the brunt of this.”

The directors of Idaho’s seven regional public health districts proposed the bill as a way to shift the costs of annual health inspections from taxpayers to the food industry. They say a typical inspection costs a little more than $300, while food establishments pay $65 for their licenses, which means that taxpayers cover more than 80 percent of the cost. That’s in contrast to other services where users pay, such as immunizations.

Russ Duke, director of the Central Health District Department in Boise, told the committee that budget constraints have already led the public health districts to eliminate 54 positions over the past three years, and another 20 staff cuts would be expected next year with no fee increases.

He also said the number of food establishments has grown by more than 2 percent so far in 2009 despite the recession, meaning the demand for inspections has increased.

Restaurant owners, farmers and other small vendors all spoke against the proposal during the hearing.

“We count every penny,” said John Berryhill, owner of Berryhill & Co. in Boise. “Costs are huge, and we’re getting hammered from every single angle.”

Michael Kane, a lobbyist for the Association of Health District Directors, said public health officials offered the compromise bill to address concerns about raising fees during tough economic times. It would have kept the fees at $65 for intermittent and temporary food vendors, and boosted them to $150 over two years for permanent establishments like restaurants, convenience stores and groceries.

Chairwoman Patti Anne Lodge, R-Huston, said she worried that even the compromise wasn’t fair. She pointed to the hot dog vendor who sets up her stand outside the Capitol Annex during the legislative session and noted that the woman would have to pay the $150 fee.

“She has to pay the same as some of the other retailers,” Lodge said. “She has to sell a lot of hot dogs to make up that additional $100.”

Lodge and others on the committee said they would be open to having public health officials bring another bill this session, since they believe it’s important to maintain public health services. However, Lodge said she believes reform of the system could take another year.