The way I read the story you only have to buy a small game license if you are purchasing a large game license; hopefully it's not also the other way around as I would imagine that would raise the cost quite a bit.
I purchased a combined fishing/small game license last year. Even though I only fished I liked that option. I won't do so this year if this raises the cost much.
Quis custodiet ipsos custodes? - Juvenal