BILL ANALYSIS Ó
AB 483
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CONCURRENCE IN SENATE AMENDMENTS
AB
483 (Patterson)
As Amended September 2, 2015
Majority vote
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|ASSEMBLY: | 78-0 | (June 2, |SENATE: |40-0 | (September 8, |
| | |2015) | | |2015) |
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Original Committee Reference: B. & P.
SUMMARY: Requires that the fees for an initial license or an
original license issued by specified regulatory entities under
the Department of Consumer Affairs (DCA) be prorated on a
monthly basis. Specifically, this bill:
1)Requires that the fees be prorated for the following
licensees:
a) Dentist;
b) Dental hygienist;
c) Osteopathic physician and surgeon;
d) Occupational therapist or occupational therapy
assistant;
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e) Registered veterinary technician;
f) Veterinarian;
g) Acupuncturist; and,
h) Architect.
2)Makes conforming changes.
The Senate amendments:
1)Removed hearing aid dispensers, physical therapists, and
physical therapist assistants from this bill.
2)Delayed the implementation date for the proration to July 1,
2017.
3)Added chaptering language for bills AB 179 (Bonilla) and SB
800 (Committee on Business, Professions and Economic
Development) of the current legislative session.
FISCAL EFFECT: According to the Senate Appropriations Committee,
this bill will result in:
1)Minor administrative costs to revise regulations and update
forms and procedures for collecting initial license fees by
several boards and committees within the DCA.
2)One-time costs of about $140,000 for information technology
upgrades to the computer system used to process license
applications.
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3)Ongoing revenue loss of about $120,000 per year in reduced
licensing fees. The following boards and committees would
experience reduced license fee revenues: Architects Board
($16,000), Dental Hygiene Committee ($19,000), Osteopathic
Medical Board ($10,000), Physical Therapy Board ($29,000), and
Veterinary Medical Board ($76,000).
COMMENTS:
Purpose. This bill is author sponsored. According to the
author, "[This bill] will decrease financial burdens on
newly-licensed professionals in our state. Current law in
California states that initial licenses for certain professions?
expire on the last day of a licensee's birth month on the second
year of their second term.
"For example, a constituent in my district? was notified that
her brand-new license expired in three weeks, due to her birth
date, and that she had to pay a full $160 renewal fee. This
occurred only a few months after she paid $575 for her state
exam and application and $100 for her initial license.
"Various licensing agencies have tried to remedy this issue, but
this piecemeal approach still means that licensees in some
professions pay far more than is appropriate for the duration of
their initial license. [This bill] would standardize initial
licensing fees across state-licensed professions that follow a
birth month renewal policy. [This bill] makes a common-sense
change to a policy that can adversely affect young professionals
who are just starting out in their careers."
Background. Many of the boards within the DCA have implemented
a birth date renewal program to calculate license expiration
dates. Under the program, a license expires on the licensee's
birth date or on the last day of the licensee's birth month on
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the second year of a two-year renewal term.
For many boards, licensees submit applications for licensure at
the same time (e.g. because of the timing of exams). This
causes boards to have a large number of applications for initial
licenses during peak times. As a result, many boards now renew
licenses based on birth date, rather than the date the license
was issued, which helps prevent the boards from processing large
numbers of applications or renewals at one time. Depending on
the board, the initial license period can vary from a few months
up to 24 months, depending on the applicant's birth month.
Existing License Fee Pro Rata Formulas. Currently, there are
boards that use an initial license fee pro rata formula. The
Board of Psychology (BOP) and the Veterinary Medical Board (VMB)
are required by statute to establish a birth date renewal
program that includes a pro rata formula for the payment of
fees. The Acupuncture Board (CAB) voluntarily established a pro
rata formula through regulation.
The CAB has used a formula for an initial license that pro rates
fees on a monthly basis. According to the CAB, its pro rata
formula has been in place for over a decade and continues to
operate well.
Analysis Prepared by:
Vincent Chee / B. & P. / (916) 319-3301 FN:
0002116
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