BILL ANALYSIS                                                                                                                                                                                                    �







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        | Hearing Date:July 1, 2013         |Bill No:AB                         |
        |                                   |186                                |
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                      SENATE COMMITTEE ON BUSINESS, PROFESSIONS 
                               AND ECONOMIC DEVELOPMENT
                              Senator Ted W. Lieu, Chair
                                           

                          Bill No: AB 186 Author: Maienschein
                         As Amended: June 24, 2013Fiscal: Yes

        
        SUBJECT:   Professions and vocations:  military spouses:  temporary  
        licenses. 
        
        SUMMARY:  Requires all licensing entities under the Department of  
        Consumer Affairs (DCA) to provide military spouses and domestic  
        partners, who hold a valid professional license in another state, an  
        18 month provisional license to practice in California. 

        Existing law:
        
        1) Provides for the licensure and regulation of various professions  
           and vocations by boards within the DCA.

        2) Defines "license" as a license, certificate, registration or other  
           means to engage in a business or profession regulated by the  
           Business and Professions Code (BPC).  (BPC � 23.7)

        3) Defines "board" as a board, bureau, commission, committee,  
           department, division, examining committee, program or agency within  
           the DCA.  (BPC � 22)

        4) Defines "military service" as federal service after October 1,  
           1940, where a military member is on active duty with any branch of  
           service as well as training or education under the supervision of  
           the United States preliminary to induction into the military  
           service.  
        (BPC � 10460 (c))

        5) Defines "active service" or "active duty" as the period during  
           which a person in military service is absent from duty on account  





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           of sickness, wounds, leave, or other lawful cause.  
        (BPC � 10460 (c))

        6) Specifies that a board within DCA shall expedite the licensure  
           process for an applicant who meets both of the following  
           requirements:  (BPC � 155.5)

            a)    Supplies evidence satisfactory to the board that the  
              applicant is married to, or in a domestic partnership or other  
              legal union with, an active duty member of the Armed Forces of  
              the United States who is assigned to a duty station in this  
              state under official active duty military orders.

            b)    Holds a current license in another state, district, or  
              territory of the United States in the profession or vocation for  
              which he or she seeks a license from the board. 

        This bill:

        1) Requires the boards within DCA to issue a 12-month temporary  
           license to an applicant who is a military spouse or domestic  
           partner while the license application is being processed, if: 

            a)    The applicant supplies satisfactory evidence that the  
              applicant is married to, or in a domestic partnership or other  
              legal union with, an active duty member of the Armed Forces of  
              the United States who is assigned to a duty station in this  
              state under official active duty military orders;

            b)    The applicant holds a current license in another state,  
              district or territory of the United States in the profession or  
              vocation for which he or she seeks a license from the board;

            c)    The applicant submits an affidavit attesting that the  
              information submitted in the application is accurate; 

            d)    The applicant submits written verification from the  
              applicant's original licensing jurisdiction stating that the  
              applicant's license is in good standing; 

           e)   The applicant, upon the board's request, submits fingerprints  
             for a background check; 

            f)     The applicant has not committed any act in any jurisdiction  
              that constitutes grounds for the denial, suspension, or  
              revocation of the professional license by the board under the  





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              Business and Professions Code (BPC) at the time the act was  
              committed; and, 

            g)    The applicant was not disciplined by a licensing entity in  
              another jurisdiction and is not the subject of an unresolved  
              complaint, review procedure, or disciplinary proceeding  
              conducted by a licensing entity in another jurisdiction.

        2) Specifies that a board within DCA may adopt necessary regulations  
           to enact this legislation.

        3) Indicates that any temporary license for the practice of medicine  
           may be immediately terminated if it is found that the individual  
           violated any requirements or provided inaccurate information that  
           would affect their eligibility for licensure.

        4) Permits the boards within DCA to issue a notice to cease the  
           practice of medicine immediately upon receipt of the notification  
           of the termination of the temporary license. 

        5) Specifies that the provisions of the bill shall not apply to a  
           board within DCA that has established a temporary licensing process  
           before January 1, 2014. 


        FISCAL EFFECT:  According to the Assembly Appropriations Committee  
        analysis dated April 22, 2013, if the BreEZe system is fully  
        implemented prior to the completion of the regulations for the new  
        provisional license type, the cost to DCA would be under $100,000.   
        However if there are delays in the implementation of BreEZe, one-time  
        costs to DCA would be approximately $500,000.

        
        COMMENTS:
        
        1. Purpose.  This bill is sponsored by the Author.  According to the  
           Author, "The wait time for expedited licenses can be very long, and  
           spouses can't even begin seeking employment until their license has  
           been approved.  A December article in USAA Magazine described the  
           process as taking many months even after all appropriate  
           documentation has been submitted, fees being paid, and tests taken  
           to receive the license.  The unemployment rate amongst military  
           spouses is estimated to be about 26% which is three times the  
           national average." 

        2. Background.  According to a 2005 study conducted by the RAND  





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           National Defense Research Institute, the majority of military  
           spouses are less likely to be employed, more likely to be seeking  
           work and earn less than comparable civilian spouses.  Military  
           spouses versus civilian spouses are more likely to live in  
           metropolitan areas.  Moreover, they are more likely to have  
           graduated from high school and to have some college education.   
           These facts would ostensibly increase their employability.   
           However, due to "military lifestyle" which includes frequent moves,  
           deployments and long hours that keep service members from assisting  
           with parenting, employment opportunities for spouses are negatively  
           impacted.

        Current data suggests:

                   68% of married military members report that their spouse's  
               ability to maintain a career impacts their decision to remain  
               in the military.

                   67% of military spouses report that they want or need to  
               work.

                   The annual percent of the military spouse population that  
               moves across state lines is14.5%, compared to 11% for civilian  
               spouses.

                   As much as 34% of military spouses in the labor force are  
               required to be fully licensed.

                   19% of employed spouses experience challenges maintaining  
               their licenses. 

        1. United States Department of Defense (DOD) and Department of the  
           Treasury (DOT) Report.  On January 24, 2011, United States  
           President Barack Obama presented Strengthening Our Military  
           Families:  Meeting America's Commitment, a document urging agencies  
           to support and improve the lives of military families.

        As a result of the President's directive, the United States DOT and  
           the United States DOD issued a joint report to highlight the impact  
           of state occupational licensing requirements on the careers of  
           military spouses, who frequently move across state lines.  Released  
           in February 2012, the report, Supporting our Military Families:   
           Best Practices for Streamlining Occupational Licensing Across State  
           Lines revealed that approximately 35% of military spouses work in  
           professions that require state licenses or certification and that  
           military spouses are ten times more likely to have moved to another  





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           state in the last year compared to their civilian counterparts. 

        The report also listed jobs military spouses commonly accepted and  
           revealed how licensing requirements impacted employment  
           opportunities:  "Teaching is the most common occupation among  
           military spouses, followed by child care services, and nursing.   
           While many of the common occupations among military spouses are not  
           licensed, some of the most popular professions, including teaching  
           and nursing, do require licensure.  In a 2008 Defense Manpower Data  
           Center survey of active duty military spouses, participants were  
           asked what would have helped them with their employment search  
           after their last military move.  Nearly 40% of those respondents  
           who have moved indicated that 'easier state-to-state transfer of  
           certification' would have helped them."

        As a result of the survey, the United States DOT and DOD issued  
           several recommendations, including the authorization of temporary  
           licenses for military spouses if the applicant met state  
           requirements.  The report's recommendation specified:  "Temporary  
           licenses allow applicants to be employed while they fulfill all of  
           the requirements for a permanent license, including examinations or  
           endorsement, applications and additional fees.  In developing  
           expedited approaches that save military spouses time and money, DOD  
           does not want to make licensure easier for military spouses to  
           achieve at the expense of degrading their perceived value in their  
           profession."  
         
        2. Military Spouses Employment Partnership.  On June 29, 2011, the  
           Military Spouse Employment Partnership (MSEP) was launched at the  
           Chamber of Commerce in Washington, D.C.  The MSEP program is an  
           expansion of the Army Spouse Employment Partnership program and is  
           focused on helping military spouses from all branches of the  
           military attain financial security and achieve educational and  
           employment goals.

        Through a website, the MSEP creates a gateway for military spouses and  
           corporate and non-profit organizations to interact.  The MSEP has  
           been the latest development in an effort backed by President Barack  
           Obama's administration to do more to help military families.  In  
           May of 2012, 34 companies joined the MSEP and pledged to recruit,  
           hire, promote and retain military spouses in portable careers.

        3. Expedited Licensure for Military Spouses.  In 2012, AB 1904 (Block,  
           Chapter 399, Statutes of 2012) was passed.  This bill required all  
           licensing entities under the DCA to issue an expedited license to  
           the spouse or domestic partner of a military member on active duty,  





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           beginning January 1, 2013.  To date, there is no available data on  
           how many expedited licenses have been granted by the DCA licensing  
           entities to military spouses or domestic partners.

        4. Arguments in Support.  The  American Legion-Department of  
           California  ,  AMVETS- Department of California  ,  California State  
           Commanders Veterans Council  ,  VFW- Department of California  and  
            Vietnam Veterans of America- California State Council  wrote a joint  
           letter of support for the bill.  In it they indicate, "We support  
           this bill because it will help qualified military spouses to be  
           employed in their licensed field of expertise quickly under a  
           provisional license rather than having to wait to get a job until  
           they get through the process of obtaining a California license if  
           they already are licensed in another state." 

            Brigadier General Vincent A. Coglianese  writes, "The White House  
           Joining Forces initiative has called attention to the barriers  
           currently preventing military spouses from maintaining employment  
           on a normal progression path regardless of relocation.   
           Consequently, the majority of military spouses are less likely to  
           be employed, more likely to be seeking work and earn less than  
           comparable civilian spouses, despite possessing more education and  
           employable skills than the average population.  One often-faced  
           barrier is the lack of broad-based reciprocity among the states for  
           recognizing professional licenses or certificates held by military  
           spouses. This bill, by requiring boards?to issue a temporary  
           license to the spouse of a service member, would help address this  
           barrier." 

           The  Commander, Navy Region Southwest  supports the bill and writes,  
           "On behalf of Navy installations in California, I am writing in  
           support of AB 186.  The ability of a military spouse to continue  
           their professional life is an important part of maintaining  
           households during periods of long deployments, and is especially  
           needed for military families based in higher cost urban areas such  
           as southern California." 

           The  National Military Family Association  , the  California  
           Association for Health Services at Home  and the  San Diego Military  
           Advisory Council  also support the bill.  They believe that the lack  
           of broad-based reciprocity among the states to recognize  
           professional licenses or certificates creates a significant barrier  
           to employment.  With each government ordered move, military spouses  
           incur high costs for recertification and delays before they are  
           able to work.  They believe that provisional licenses will permit  
           military spouses to become employed quickly, financially benefiting  





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           the family and the state of California. 

           The  Department of Defense  states, "We appreciate any concern for  
           protecting the public and would not want a spouse to be licensed  
           when they are not qualified or would pose a danger to those they  
           served.  The spouses we are referring to in this bill are all  
           licensed in another state.  We understand that the reason for  
           licensing is to safeguard the public, and we believe (as several  
           other states believe) that providing a temporary license to a  
           military spouse who is already licensed in another state and who  
           has had experience in that licensed occupation presents little risk  
           to the public." 

        5. Support if Amended.  The  Board of Behavioral Sciences  (BBS)  
           submitted a letter reflecting their support if amended position.   
           In it they state, "The BBS supports the intent of this bill to  
           assist spouses of military members to quickly obtain employment.   
           However, the Board respectfully requests three additional  
           amendments in order to ensure consumer protection is upheld:
           
                   An amendment to require that the temporary license  
               applicant provide a transcript to the licensing board;

                   An amendment requiring the temporary license applicant to  
               pass the Board's California Law and Ethics examination prior to  
               the issuance of the temporary license; and,

                   An amendment allowing delayed implementation to  
               accommodate DCA's transition to the new BreEZe database  
               system."

           The  California Board of Accountancy  (CBA) also supports the bill if  
           amended.  In their letter they write, "The CBA supports the  
           military and their families; however, it would like to request an  
           amendment to clarify that an individual's license must be current,  
           active and unrestricted with the authority to practice the  
           identified profession in the state that issued the individual's  
           license." 

           The  Medical Board of California  indicates, "The Board is supportive  
           of this bill if it is amended to include language that would allow  
           for termination of the temporary license if it is found that the  
           individual issued the temporary license violated any requirements  
           in the bill or provided substantive inaccurate information that  
           would affect their eligibility for licensure.  The Board has  
           requested this amendment in order to ensure consumer protection and  





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           has been working with the author's office to draft language that  
           will address the Board's concerns, which the author's office has  
           agreed to take. Once this language is amended into the bill, the  
           Board will be supportive of AB 186."  (Note: The Author has taken  
           the amendments suggested by the MBC)

        1. Oppose Unless Amended. The  American Association for Marriage and  
           Family Therapy- California Division  opposes the bill unless the  
           following three amendments are taken:

                   Require either a 12-hour course in California Law and  
               Ethics or successful completion of a state-administered  
               California Law and Ethics exam prior to the issuance of the  
               license;

                   Require that the licensee provide proof that their license  
               is active and in good standing prior to the issuance of the  
               license; and,

                   Require that the licensure requirements of the applicant's  
               home state be substantially equivalent to those of California.

           The  Board for Professional Engineers, Land Surveyors and Geologists   
           opposes the bill unless amended.  In their letter they write, "The  
           Board voted to oppose AB 186 unless amended because it would not be  
           able to comply with the proposed law in all cases.  Most engineers  
           coming to California with a current license in another state can be  
           issued a California license through comity in a matter of weeks.   
           Civil, Geotechnical and Structural engineers, Land Surveyors and  
           Geologists coming to California must take and pass California exams  
           specific to their discipline before they can be issued a license,  
           which would also include a provisional license.  The California  
           examinations cover seismic issues specific to California,  
           consequently, the Board would be negligent if it issued a license  
           to someone who may not be familiar with the terrain, soils, and  
           seismic issues of this State.  Fortunately these five disciplines  
           can practice, and therefore work, in California under the  
           responsible charge of another licensee who can review their work  
           and sign and stamp plans, but they cannot be issued a license until  
           they have passed the state specific examination." 

           The  California Architects Board  opposes the bill unless amended.   
           They write, "Although the Board unequivocally supports members of  
           our nation's Armed Forces and initiatives that address the  
           challenges facing military families, it cannot waive the California  
           Supplemental Examination requirement (CSE).  The CSE is a critical  





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           licensure requirement which all licensees in our state must  
           complete, demonstrating competence in California's seismic,  
           accessibility, energy and legal requirements.  The Board cannot  
           waive the CSE requirement and simultaneously meet its mandate to  
           protect the health, safety and welfare of the public." 

        1. Arguments in Opposition.  The  Board of Chiropractic Examiners  (BCE)  
           opposes the bill.  They contend, "The Board fears that issuing a  
           license to applicants prior to completing the full background check  
           and license verification would put the public at risk of potential  
           harm.  Affidavits do not ensure that the information included in  
           the application is truthful.  Additionally, the mandate to issue  
           temporary licenses in this bill conflicts with the Chiropractic  
           Initiative Act.  The Act defines the educational requirements,  
           fees, and conditions under which the BCE may issue a license to  
           practice chiropractic.  Lastly, the Act prohibits the BCE from  
           reciprocating licenses with states that do not have similar  
           requirements and do not reciprocate licenses with California.  The  
           Act was created through an initiative measure in 1922 and can only  
           be changed through a ballot initiative.  Therefore, the BCE is  
           unable to comply with the provisions in this bill."

           The  Contractors State License Board  (CSLB) also opposes the bill.   
           In their letter they write, "The Board respectively requests an  
           amendment to provide an exemption from the bill's provisions.  
           ..CSLB supports the goal of assisting military families.  However,  
           as required by recent legislation, CSLB expedites applications for  
           military spouses and does not believe its licensing process is so  
           long as to require the need for a temporary license.  Additionally,  
           as there is no exam requirement for the temporary license, these  
           individuals will have the ability to contract but will not be  
           required to be familiar with California law or building code  
           requirements with which they need to comply.  We believe this may  
           put California consumers at risk." 

        2. Policy Issues for Consideration.  The goal and spirit of this  
           legislation is to promote expedited licensure for military spouses  
           and domestic partners.  As illustrated in the background section of  
           this analysis, the need for this action has been well studied and  
           documented.  Further, there is a federal effort to encourage state  
           licensing entities to adopt policies that will assist in expediting  
           the licensure process for military spouses.  In response, the  
           California Legislature passed AB 1904 in 2012.  Despite this, AB  
           186 attempts to promote even more timely expedition of licenses by  
           the DCA licensing entities by granting an immediate provisional  
           license for a military spouse to practice in California. 





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           Despite this measure's laudable efforts, it is equally important to  
           note that the expediting of licensure should not result in  
           compromised consumer protection or limit the authority of the  
           licensing entities to exercise discretion when issuing licenses.   
           Specifically, as noted in the United States DOT and DOD  
               recommendations,  "In developing expedited approaches that save  
           military spouses time and money, DOD  does not  want to make  
           licensure easier for military spouses to achieve at the expense of  
           degrading their perceived value in their profession."  Further,  
           this bill raises concerns about the ability of the DCA licensing  
           entities to carry out the bill's mandates.  Notably, as indicated  
           in the opposition letters submitted by several licensing boards,  
           this bill raises questions about consumer protection as necessary  
           background checks and verification of California specific  
           coursework, examinations and training requirements would be waived  
           if a provisional license was immediately granted to a military  
           spouse or domestic partner.  Lastly, this bill may be premature as  
           there has not been adequate time to study the results of the new  
           expedited licensure requirements that went into effect on January  
           1, 2013.  


        SUPPORT AND OPPOSITION:
        
         Support:  

        American Legion- Department of California
        AMVETS- Department of California
        Brigadier General Vincent A. Coglianese
        California Architects Board
        California Association for Health Services at Home
        California State Commanders Veterans Council
        Commander, Navy Region Southwest
        National Military Family Association
        San Diego Military Advisory Council
        United States Department of Defense
        VFW- Department of California
        Vietnam Veterans of America- California State Council


         Support if Amended:

         Board of Behavioral Sciences
        California Board of Accountancy
        Medical Board of California





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        Oppose Unless Amended:
         
        American Association for Marriage and Family Therapy- California  
        Division
        Board for Professional Engineers, Land Surveyors and Geologists
        California Architects Board

         Oppose:
         
        Board of Chiropractic Examiners
        Contractors State License Board


        Consultant:Le Ondra Clark, Ph.D.