Each State agency or political subdivision shall collect the fee specified on the registration application and an additional $1 fee for each transaction issued by it, of which 50 cents of each $1 collected shall be submitted to the Administration to offset administrative expenses incurred by the Administration. The remaining 50 cents of each $1 fee collected shall be retained by the State agency or political subdivision. Each State agency or political subdivision may collect and retain an additional fee not to exceed $1 for each transaction issued by it to offset expenses incurred by the State agency or political subdivision in administering the program.