HI SB2544

Increases fees for professional employer organizations effective January 1, 2017, with registration fee remaining at $500 and restoration fee at $1,500.

Establishes tiered biennial renewal fees based on covered employee count: $2,000 for fewer than 50 employees, $3,000 for 50-250 employees, $5,000 for 251-500 employees, and $7,000 for 501 or more employees.

Requires all professional employer organizations to report total covered employees annually to the Department of Labor and Industrial Relations by June 1, counting employees who worked any hours between May 1 of the prior year through April 30 of the reporting year.

Designates fee revenue to fully fund the cost of regulating professional employer organizations, including direct costs and fringe benefits, eliminating general fund subsidies for this regulatory function.