Proposed legislation would charge `convenience fee' for transactions

Journal Record, The (Oklahoma City), Feb 20, 2001 by Marie Price The Journal Record

A measure that would allow state agencies to charge online users a "convenience fee" for Internet transactions gained approval in the Oklahoma House Science and Technology Committee on Monday.

Upon application by a state agency, a new State Governmental Internet Applications Review Board would make recommendations as to the appropriateness of a particular fee. The agency would be required to justify the need for the fee.

"It's basically checks and balances," said Rep. Fred Perry, R- Tulsa, committee vice chair and author of House Bill 1662.

An amendment to the bill outlines the need for a state computer portal system, a collection of Web sites with a "common enterprise wide user interface" that allows for greater speed and ease of use.

Perry said that other states with portal systems use convenience fees to maintain them. A portion of each fee would be set aside for this purpose, with the remainder staying with the agency.

These are strictly user fees, Perry added, and are not paid by all taxpayers.

Rep. Tad Jones, R-Claremore, asked whether the ability to charge a fee would encourage more agencies to offer online services.

"They are much more likely to do it if they can recoup their costs," Perry replied.

The bill's author said he understands that the possibility of pay a fee may be problematical for some.

"I know the aspects of convenience fees could be very controversial," Perry said.

However, he pointed out that through convenience-fee revenue, the portal system would be self-funding.

Members discussed the possibility of adding language excluding online learning activities and the provision of basic information from payment of convenience fees.

House Bill 1322, also by Perry, sets up a procedure for the Office of the Secretary of State to register digital signature certification authorities. This is a system Perry said is needed to insure the highest level of security for electronic commerce.

The measure calls for an annual filing fee of $1,000, and insurance or evidence of other financial security in the amount of $250,000.

The bill also expands the Task Force on Electronic Commerce to 49 members.