California: report recommends that medical board lower fees or give refunds

The California State Auditor says the state medical board's fund balance is $18.5 million, or between three to four months of agency operating expenses. This is twice the reserve level permitted under state law. The auditor suggests that the board consider either seeking legislative approval to raise or lower licensing fees in order to maintain an appropriate fund balance or giving fee refunds. The medical board responds that it is premature to reduce its fund balance since there are plans for increased program expenditures that will absorb the excess monies by 2012. Read the full audit report.