BILL ANALYSIS                                                                                                                                                                                                    



                                                                     AB 773


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          Date of Hearing:   April 22, 2015


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                                 Jimmy Gomez, Chair


          AB  
          773 (Baker) - As Introduced February 25, 2015


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          Urgency:  No  State Mandated Local Program:  NoReimbursable:  No


          SUMMARY:


          This bill changes the expiration date of a psychology license  
          from the current system, in which the license expires on the  
          licensee's birth date in the second year of a two-year term, to  
          a system in which the license expires two years from the  
          issuance date.







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          FISCAL EFFECT:


          1)Minor revenue losses to Board of Psychology (BOP), potentially  
            in the range of $100,000 (Psychology Fund).   Because initial  
            licenses will be valid for longer, BOP will receive slightly  
            less revenue starting in 2017, and in each subsequent year,  
            due to a time lag (as compared to current practice) in  
            receiving initial license renewal fees.  Put another way, the  
            current practice of an abbreviated initial licensure period  
            requires licensees on average to pay slightly more, and allows  
            the BOP to collect slightly more fee revenue, than what would  
            be the case under this bill.   


          2)Costs to BOP to change business processes and systems are  
            minor and absorbable. 


          COMMENTS:


          1)Purpose. This bill is sponsored by the BOP to provide equity  
            and value to all licensees when procuring their initial  
            license.  Currently, all initial licensees pay the same  
            amount, $400, but their license is valid for a period of 12 -  
            24 months, depending when the license was issued and their  
            date of birth.  Currently, the license expires on the  
            licensees second birthday after the license is issued.  The  
            birth date expiration system was created to ensure BOP's  
            licensure processing workload was spread throughout the year,  
            because in the past, large exams were given twice a year and  
            caused a biannual flood of license applications.  BOP  
            indicates the licensure exam process has changed such that  
            this is no longer a concern, and a 2-year initial license  







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            period will better serve their licensees.  


          2)Related Legislation. Many other boards and bureaus also use  
            the birth date expiration system for licenses. AB 483  
            (Patterson), pending in the Assembly Business and Professions  
            Committee, requires fees for initial healing arts licenses be  
            prorated, which is a different way to solve the same problem.   
            AB 438 addresses a number of boards instead of a single board.  



            AB 1758 (Patterson) of 2014 was similar to AB 483, and was  
            held on the Suspense File of the Senate Appropriations  
            Committee.


          Analysis Prepared by:Lisa Murawski / APPR. / (916)  
          319-2081