(b) In determining the fee charges to be assessed, the department shall, on or before May first of each year, compute the costs for the preceding state fiscal year which were expended to operate and administer the duties of the department pursuant to this title. The department shall, at such time or times and pursuant to such procedure as it shall determine by regulation, bill and collect from each clinical laboratory and blood bank an amount computed by multiplying such total computed operating expenses of the department by a fraction the numerator of which is the gross annual receipts of such clinical laboratory or blood bank during such twelve month period preceding the date of computation as the department shall designate by regulation, and the denominator of which is the total gross annual receipts of all clinical laboratories or blood banks operating in the state during such period.

(c) Each such clinical laboratory and blood bank shall submit to the department, in such form and at such times as the department may require, a report containing information regarding its gross annual receipts for all activities performed pursuant to a permit issued by the department in accordance with the provisions of section five hundred seventy-five of this title. The department may require additional information and audit and review such information to verify its accuracy.

(d) Partial payments equal to one-quarter of the total amount billed, may be made on or before June thirtieth, September thirtieth, December thirty-first and March tenth of the fiscal year to which the billing relates.

(e) On or before September fifteenth of each year, the department shall reconcile its costs and expenses for the reference system for the preceding state fiscal year and shall, on or before October fifteenth send to each clinical laboratory and blood bank, a statement setting forth the amount due and payable by, or the amount computed to the credit of, such clinical laboratory or blood bank, computed on the basis of the above stated formula, except that for the purposes of such computation the fraction shall be multiplied against the total recomputed expenses of the department for such fiscal year. Any amount due shall be payable not later than thirty days following the date of such statement. Any credit shall be applied against any succeeding payment due.

(f) The commissioner may waive all or any part of such fee charges for clinical laboratories or blood banks operated by local governments and for nonprofit clinical laboratories or blood banks performing examinations and analyses or providing services under contract with the state or its local governments.

(g) Subject to the approval of the director of the budget, the commissioner shall charge adequate and reasonable fees for the periodic inspection of out-of-state clinical laboratories and blood banks, not exceeding the estimated additional costs incurred for out-of-state inspections under this title. 5. The department, within the amounts appropriated, may employ inspectors, investigators, assistants and other employees or may contract with the city of New York to carry out the provisions of this title, set the compensation of such employees, within limits provided by law, and prescribe the duties of such employees. 6. The commissioner may appoint one or more advisory committees of persons expert in the major categories of clinical laboratory procedures to advise the commissioner in connection with the qualifications of technical personnel employed and the use of appropriate procedures. Each such advisory committee shall include at least one designee of the commissioner of the department of health of the city of New York. 7. The department may adopt rules or regulations applicable only to or in the city of New York which are designed to address special needs or circumstances existing in such city. The department shall consider the recommendations of the city of New York, or the department or board of health of such city, concerning the adoption or amendment of any such rules or regulations. 8. The department may enter into agreements with the secretary of health and human services as authorized by the federal clinical laboratory improvement act of nineteen hundred eighty-eight and title XVIII of the social security act to perform such acts as may be necessary to assure conformance with such laws by laboratories operating in the state.