Requirement of application fees.

Allowing public agencies to collect application fees can help offset the costs of soliciting PPP proposals, reviewing unsolicited proposals, and managing the proposal process. Further, these fees likely increase the likelihood that the proposals offered to public agencies will be made in good faith. Eleven states grant public agencies the ability to charge application fees. Delaware is the only state to put a cap on its fee, a cap of $50,000. Nevada calls for a "reasonable" fee, a nebulous definition that leaves a lot of discretion to the public entity. Using such language is recommended, as it gives the public agency flexibility to charge more in fees for more involved projects, and also allows the amount charged for a fee to be indexed for inflation without needing to amend it through the legislative process.