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ARIZONA STATE SENATE
Fifty-Fourth Legislature, Second Regular Session
AMENDED
professional licensure fees; waiver; reduction
Purpose
Requires outlined regulatory boards and agencies (regulatory entities) to provide a onetime licensure or certification fee waiver or reduction if the entity determines its licensing fund ending balance will exceed 50 percent of the current fiscal year appropriation from that fund.
Background
To practice or perform a regulated occupation or profession or use certain occupational or professional titles in Arizona, a person must meet certain qualifications and apply to the designated board or agency for the license, certificate or authorization. The initial application and renewal processes, including initial and renewal licensing certification fees, vary across the professions and occupations (A.R.S. Title 32).
There is no anticipated fiscal impact to the state General Fund associated with this legislation.
Provisions
1. Requires, by September 1, each outlined regulatory entity to annually determine whether the entity expects its licensing fund ending balance to exceed 50 percent of the current FY appropriation from that fund by reviewing:
a) incurred costs;
b) monies in its funds; and
c) collected fee revenues.
2. Requires a regulatory entity that determines its licensing fund balance would exceed 50 percent of its current fiscal year (FY) licensing fund appropriation to provide a one-time licensure or certification renewal fees waiver or reduction to reduce the licensing fund balance to below 50 percent of its licensing fund appropriation:
a) in the upcoming FY; or
b) within the normal schedule for license or certification renewal, if longer than one year.
3. Requires a regulatory entity to:
a) attempt to ensure that existing licensees or certificate holders receive one waiver or reduction;
b) waive or reduce new licensee or certificate fees for the subsequent FY; and
c) attempt to ensure that fee reductions are the same for initial and renewal licenses and certificates, as a percentage of the base fees.
4. Requires a regulatory entity, by July 1 of the FY in which the reduction or waiver becomes effective, to:
a) notify existing licensees or certificate holders of its intention to provide the reduction or waiver and the expected amount; and
b) prominently announce, on its website homepage, the fee reduction or waiver for new and existing licensees or certificate holders.
5. Applies regulatory entity licensure or certification fee waiver or reduction requirements to the:
a) Arizona Board of Technical Registration;
b) Board of Barbers;
c) Board of Cosmetology;
d) Board of Certified Public Accountants;
e) Registrar of Contractors;
f) State Board of Funeral Directors and Embalmers;
g) State Board for Private Postsecondary Education;
h) Acupuncture Board of Examiners;
i) Arizona Board of Osteopathic Examiners in Medicine and Surgery;
j) Arizona Medical Board;
k) Arizona Regulatory Board of Physician Assistants;
l) Arizona State Board of Nursing;
m) Arizona State Board of Pharmacy;
n) Arizona State Veterinary Medical Examining Board;
o) Board of Athletic Training;
p) Board of Behavioral Health Examiners;
q) Board of Examiners of Nursing Care Institution Administrators and Assisted Living Facility Managers;
r) Board of Homeopathic and Integrated Medicine Examiners;
s) Board of Massage Therapy;
t) Board of Occupational Therapy Examiners;
u) Board of Physical Therapy;
v) Board of Respiratory Care Examiners;
w) Naturopathic Physicians Medical Board;
x) State Board of Chiropractic Examiners;
y) State Board of Dental Examiners;
z) State Board of Dispensing Opticians;
aa) State Board of Optometry;
bb) State Board of Podiatry Examiners; and
cc) State Board of Psychologist Examiners.
6. Allows a regulatory entity that believes it will require onetime monies greater than 50 percent of its annual appropriation for onetime capital, information technology or similar costs to include a report of the expected need in its annual budget estimate submission to the Governor.
7. Specifies that a regulatory entity may temporarily reduce or waive any initial or renewal licensure fees in accordance with outlined requirements, regardless of any other law.
8. Requires, by September 1, each regulatory entity to annually report to the Governor, President of the Senate and Speaker of the House of Representatives, its fee plans, including:
a) the expected revenues and expenditures in the current fiscal year;
b) the projected licensing fund ending balances; and
c) the reasoning and justification for how the waiver or reduction plan will achieve the required fee reductions.
9. Makes conforming changes.
10. Becomes effective on the general effective date.
Amendments Adopted by Committee
1. Allows a regulatory entity to include expected onetime costs in excess of the threshold in its annual budget estimate, rather than in its annual financial report.
2. Requires a regulatory entity to notify existing licensees of a reduction or waiver by the beginning of the FY in which the reduction or waiver becomes effective, rather than requiring an entity that provides a reduction or waiver before the reduction or waiver is effective to meet the notification requirement.
3. Specifies that a regulatory entity may temporarily reduce or waive any initial or renewal licensure fees in accordance with outlined requirements, regardless of any other law
House Action Senate Action
RA 2/17/20 DP 7-0-0-0 COM 3/12/20 DPA 6-0-2
3rd Read 2/27/20 59-1-0
Prepared by Senate Research
March 13, 2020
LB/gs