Mark Harmsworth suggests we take a look at these ridiculous license fees

Mark Harmsworth
Washington Policy Center

Governor Ferguson (D) signed executive order 25-03 on his first day in office and the latest data dump from state agencies in response to the order details hundreds of license, permit, and certification fees, just shows how out of control Washington agencies are.

It’s a stark reminder of how Olympia piles on costs, stifling innovation and economic growth under the guise of regulation.

One of the most outrageous license charges is the Camping Resort Company registration fee. Buried in the bureaucratic license morass, this gem requires camping resort operators to fork over a whopping $3,240 just for the privilege of registering their business. Before you can even pitch a tent or welcome families for a weekend getaway, you’re hit with a fee that could buy a REALLY nice tent and camping setup. And for what? To “ensure compliance” with vague standards that do little more than fund more red tape. In a state blessed with natural beauty and outdoor recreation, this fee disproportionately hammers small, family-run resorts already struggling with rising costs from inflation and post-pandemic recovery. The fees don’t provide any protection. It’s punishment for daring to operate in Washington’s great outdoors. The camping fee, however, is just the tip of the iceberg.

The fee schedule is riddled with charges exceeding $1,000 per business, turning entrepreneurship into a high-stakes gamble. Take the Fireworks Importer, Manufacturer, and Wholesaler license. Up to $2,000 annually for manufacturers and wholesalers. Celebrating Independence Day? Not without paying tribute to the state first.

Consider the Financial Assurance Program Enrollment Certificate for underground storage tanks, fees ranging from $1,000 to $2,500 per tank. Gas stations and small fuel providers, often mom-and-pop operations, get slammed with these costs, which cascade down to consumers at the pump. What does the fee do? It checks that there is financial assurance on the tanks – that’s it. The fee often exceeds the cost of the insurance on the tank.

Higher education isn’t spared either. Initial authorization for a degree-granting institution? That’s $2,000 plus $1,000 per program. Out-of-state schools seeking field placement authorization face $2,000 upfront. These barriers don’t foster quality education; they deter competition and limit options for students.

With all the revenue you would anticipate a good turnaround on your permit. Not so fast. Processing, for some permits, can be up to 90 days or more, leaving applicants in limbo.

Appeal a denied application? Good luck navigating the Administrative Procedures Act.

These fees aren’t about safety or equity; they are revenue generators that disproportionately burden small businesses. The data shows agencies like the Department of Licensing and Washington State Patrol raking in millions, often with “annual renewal” mandates that ensure perpetual payments.

At the Washington Policy Center, we believe in streamlining government to unleash prosperity. We appreciate Governor Ferguson’s efforts that have shown the agencies insatiable desire for more tax revenue. It clearly shows it’s time to slash fees, eliminate redundancies, and prioritize a digital and streamlined application process to cut wait times. Washington’s economy thrives when entrepreneurs aren’t drowned in fees.

It’s time for lawmakers to camp out in Olympia and fix this mess, if they can afford the $3,240 fee, before more businesses pack up and leave.

Mark Harmsworth is the director of the Small Business Center at the Washington Policy Center.

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