THE ARIZONA STATE AGENCY
The Arizona State Fee Commission (“Commission”) was established to review the suitability of administrative
charges and fees assessed by state agencies and submit an annual report to the Governor and the Legislature
(Laws 2011, Ch. 333 (H.B. 2314), codified at Arizona Revised Statutes § 41‐1008.01). The Commission shall
conduct meetings in order to analyze state agency fees and issue an annual comprehensive report regarding the
ARTICLE I ‐ FUNCTIONS
Pursuant to A.R.S. § 41‐1008.01, the functions of the Commission are as follows:
Section A. Review all state agencies, except those exempted in the Commission bylaws, at least once in each
five‐year period, beginning October 1, 2011 or whenever the Commission deems necessary.
Section B. Establish a fee review process of state agencies.
Section C. Submit an annual report to the Governor and Legislature on the Commission’s analysis and findings by
December 31 of each year.
ARTICLE II ‐ MEMBERSHIP
The Commission shall consist of six gubernatorial appointees, six legislative appointees, and the Director of the
Office of Strategic Planning and Budgeting. Gubernatorial appointees shall include two state agency executives
and four private sector professionals from diverse sectors whose companies are licensed or permitted by the
State of Arizona. Legislative appointees shall include three members of the House of Representatives and three
members of the Senate, with no more than two members from the same party from each legislative chamber.
ARTICLE III – ADMINISTRATION
Section A. Election of Officers ‐ The Commission’s Officers shall consist of a Chair and a Vice‐Chair. Prior to the
first meeting of the Commission and at such other times as there may be a vacancy in either office, the Governor
shall appoint a Chair who shall preside at meetings and a Vice‐Chair who shall preside in the Chair’s absence.
Section B. Term of Office ‐ Each member of the Commission shall serve at the pleasure of his or her appointing
Section C. Removal of Officers –In addition to each member of the Commission serving at the pleasure of his or
her appointing officer, by unanimous vote, the Commission may expel one of its members. The appointing
officer then must make the affirmative action to re‐appoint the person or select a new person.
Section D. Duties of Various Officers
1. Duties of the Chair ‐ The Chair shall, if present, preside at all meetings of the Commission, shall
prepare an agenda, provide overall direction on activities of the Commission and exercise and perform
such other powers and duties as may from time to time be assigned by the Commission or provided
2. Duties of the Vice‐Chair ‐ The Vice‐Chair shall perform the duties of the Chair in his or her absence
and when so acting, shall have all the powers of and be subject to all restrictions upon the Chair.
ARTICLE IV ‐ MEETINGS
Section A. Agenda ‐ Matters to be placed on the agenda for any regular meeting may be submitted to the Chair
and copies of the agenda shall be delivered to each member twenty‐four hours prior to the meeting date.
Section B. Quorum –A majority of the total membership of the Commission must be present to achieve quorum.
Section C. Open Meeting Law ‐‐ All meetings of the Commission shall be called, noticed, and conducted in the
manner prescribed by Arizona’s Open Meeting Law.
Section D. Motions ‐‐ Any member may make and second motions.
Section E. Actions of the Board ‐‐ All actions of the Commission shall pass by no less than a majority of the
ARTICLE V – CONFLICTS OF INTEREST
Section A. In General – A Commission member must disclose to the Commission if he or she is an employee of
either a state agency that collects fees or an organization that pays fees to a state agency.
Section B. State Agency Executives – A state agency executive who is a Commission member whose agency is
reviewed and whose fees are analyzed by the Commission shall not participate in any Commission analysis of
the fees of the state agency, in the preparation of the Commission’s annual report specifically pertaining to that
executive’s agency, or vote on any Commission action related to the agency. The state agency executive may
participate as a witness or presenter to the Commission.
ARTICLE VI – EXEMPTION OF AGENCIES FOR CONSIDERATION
Section A. In General – The following agencies are not subject to review by this Commission:
1. State agencies whose executive is an elected official;
2. The Arizona Supreme Court;
3. The Arizona Court of Appeals;
4. Professional and occupational regulatory agencies governed by a board that retain ninety percent (90%)
of the fees collected annually in separate agency fund accounts and deposit ten percent (10%) of the
fees collected into the state General Fund.
ARTICLE VII ‐ AMENDMENTS
Amendments to these Bylaws may be proposed by any member of the Commission. The amendment shall be
submitted to the Commission at a meeting at least thirty (30) days prior to the meeting at which the
amendment is voted upon. A vote of two‐thirds (2/3) of the total membership of the Commission is required to
adopt an amendment.
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