BILL ANALYSIS Ó AB 2859 Page 1 Date of Hearing: April 12, 2016 ASSEMBLY COMMITTEE ON BUSINESS AND PROFESSIONS Rudy Salas, Chair AB 2859 (Low) - As Introduced February 19, 2016 SUBJECT: Professions and vocations: retired category: licenses. SUMMARY: Authorizes any of the boards, bureaus, commissions, or programs (boards) within the Department of Consumer Affairs (DCA) to establish, by regulation, a system for a retired category of licensure for persons not actively engaged in the practice of their profession. EXISTING LAW: 1)Authorizes any of the boards within the DCA to establish by regulation a system for an inactive category of licensure for persons who are not actively engaged in the practice of their profession or vocation. (BPC Sections 462(a), 700-704) 2)Requires a board's regulations to prohibit the holder of an inactive license from engaging in any activity for which a license is required. (BPC Sections 462(b)(1), 702) 3)Requires a board's regulations to require an inactive license AB 2859 Page 2 to be renewed during the same time period in which an active license is renewed. (BPC Sections 462(b)(2), 703) 4)Requires a non-healing arts board's regulations to apply the renewal fee for an inactive license to be the same as an active license, unless the board specifies a lower inactive license renewal fee. (BPC Section 462(b)(3)) 5)Requires a healing arts board's regulations to charge a renewal fee for both and active and inactive license. (BPC Section 703) 6)Requires a non-healing arts board's regulations to allow the holder of an inactive license to restore the license to an active status by: (BPC Section 462(4)) a) Paying a renewal fee; and b) Completing continuing education equivalent to that required for renewal of an active license, if required for renewal of an active license, unless the board specifies a different requirement. 7)Requires a healing arts board's regulations to allow the holder of an inactive license to restore the license to an active status by: (BPC Section 704) a) Paying the renewal fee, unless the licensee is a physician and surgeon who certifies to the Medical Board of California that license restoration is for the sole purpose of providing specified volunteer services; and AB 2859 Page 3 b) Completing continuing education equivalent to that required for renewal of an active license, if required for renewal of an active license. THIS BILL: 1)Authorizes any of the boards within the DCA to establish, by regulation, a system for a retired category of licensure for persons who are not actively engaged in the practice of their profession or vocation. 2)Requires the regulation to contain the following: a) The holder of a retired license may not engage in any activity for which a license is required, unless the board, by regulation specifies the criteria for a retired licensee to practice his or her profession or vocation; b) The holder of a retired license may not be required to renew a retired license; and, c) In order for the holder of a retired license to restore his or her retired license to an active status, the license holder must meet all of the following: i) Pay a fee established by statute or regulation; ii) Certify, in a manner satisfactory to the board, the he or she has not committed any act or crime constituting grounds for denial of licensure; AB 2859 Page 4 iii) Comply with the fingerprint submission requirements established by regulation; iv) If the board requires completion of continuing education for renewal of an active license, complete continuing education equivalent to that required by renewal if an active license, unless a different requirement is specified by the board; and, v) Complete any other requirements as specified by the board by regulation. 3)Authorizes a board, upon its own determination, and upon receipt of a complaint from any person with a license that either restricts or prohibits the practice of that person in his or her profession or vocation, including, but not limited to a license that is retired, inactive, canceled, revoked, or suspended. FISCAL EFFECT: Unknown. This bill is keyed non-fiscal by the Legislative Counsel. COMMENTS: Purpose. This bill authorizes any of the boards under the DCA to establish, through regulations, a system to allow for a AB 2859 Page 5 retired license category for those licensees who no longer wish to practice their profession or vocation but who do not want their license to become "inactive". This bill is sponsored by the author. According to the author, "[this bill] allows any of the boards, bureaus, commissions, or programs within the [DCA] to establish a system for a retired category of licensure for those not actively in [the] practice of their profession. An occupational license can be sent to 'inactive' for various reasons, including violations and non-renewal. The same is done for those individuals who decided to retire - a troublesome label, as an 'inactive' status holds negative connotations and does not appropriately illustrate the decades of service from the license holder. To that end, this bill acts as a practical means to bring uniformity to licensing at the DCA." Background. Existing law permits the boards under the DCA to adopt regulations to establish a system for issuing inactive licenses. The law requires that those regulations cover fees, renewal, restoration to active status, and practice restrictions. There are two differences to the laws permitting regulations for inactive licenses for non-healing arts boards and healing arts boards: 1) non-healing arts boards are permitted to reduce the fees for renewal and change the continuing education requirements, while the healing arts boards are not; and, 2) the restoration fee is waived for a physician and surgeon that certifies he or she is restoring the inactive license to an active license solely for volunteer purposes. Retired Licenses. According to the author, some licensees disfavor an "inactive" license designation and would prefer a retired license designation. Because existing law only provides for a system of inactive licenses, many boards have sought AB 2859 Page 6 legislation specific to their licensees that would permit them to also create a retired license category. Prior bills have included conditions for volunteering, enforcement of retired licenses, and fees. Thirteen other healing arts and non-healing arts boards have the authority to issue retired licensees, including: 1)Board of Accountancy 2)Architects Board 3)Board of Barbering and Cosmetology 4)Board of Behavioral Sciences 5)Dental Board 6)Dental Hygiene Committee of California 7)Landscape Architects Technical Committee 8)Medical Board 9)Board of Pharmacy 10)Board of Podiatric Medicine AB 2859 Page 7 11)Professional Fiduciaries Bureau 12)Board for Professional Engineers, Land Surveyors, and Geologists 13)Respiratory Care Board This bill will provide the remaining boards with the authority to establish a system of retired licenses if they desire to. This bill does not require boards to offer a retired license. BreEZe. The "BreEZe Project" was designed to provide the DCA boards with a new enterprise-wide enforcement and licensing system. The updated BreEZe system was engineered to replace outdated legacy systems and multiple "work around" systems with an integrated solution based on updated technology. BreEZe enables consumers to verify a professional license and file a consumer complaint. Licensees and applicants can submit license applications, renew a license and change their address among other services. The initial BreEZe project was to be implemented in three separate phases. Release one was launched in October of 2013, and included 10 boards. Release two was launched in January of 2016 and included 8 boards. The remaining boards will be in a final release in which the vendor and the release date have not been identified. Consumers can verify licensure status through the BreEZe system. A substantially similar version of this bill was introduced in 2015. AB 750 (Low), of 2015, passed the Assembly Committee on Business and Professions (14-0) on April 14, 2015, but was subsequently held in the Assembly Committee on Appropriations. The Appropriations Committee analysis noted potential delays and costs associated with the Release two of the BreEZe project. That analysis noted "[o]ne-time major state costs, likely in the AB 2859 Page 8 millions of dollars, resulting from contract delays for Release 2 boards and bureaus if this bill is implemented prior to January 1, 2017. At this stage of the implementation, DCA would likely have to renegotiate the vendor contract and likely trigger a Special Project Report resulting in project delays. Currently, project delay costs are $1.25 million per month for the vendor contract and an additional $500,000 per month in additional state costs associated with the project." It is unknown if similar costs or the issues cited prior to the implementation of Release two will impact any boards' ability to offer a retired license status. This bill does not require a board to establish a retired license, but simply authorizes a board to establish, through regulation, a process to offer a retired status license. Prior Related Legislation. AB 750 (Low), of 2015, would have authorized any of the boards, within the DCA to establish, by regulation, a system for a retired category of licensure. Note: This bill was held in the Assembly Committee on Appropriations. AB 1253 (Steinorth) Chapter, 125, Statutes of 2015, established educational and training requirements for an optometrist seeking a license with retired volunteer service designation (volunteer license) who has not held an active license in more than three years. AB 2024 (Bonilla), Chapter 336, Statutes of 2014, authorized the Professional Fiduciaries Bureau to establish, by regulation, a system for a retired category of licensure. AB 404 (Eggman), Chapter 339, Statutes of 2013, clarified who qualifies for a retired license by specifying that a license must be either active or inactive, and reduces the timeline to AB 2859 Page 9 restore a retired license from retired to active status from five to three years. SB 1215 (Emmerson), Chapter 359, Statutes of 2012, established a retired license status and a retired license with a volunteer service designation for optometrists. AB 431 (Ma), Chapter 395, Statutes of 2011, authorized the California Board of Accountancy to establish, by regulation, a system for a retired category of licensure. SB 2191 (Emmerson), Chapter 548, Statutes of 2010, authorized the Board of Behavioral Sciences to issue a retired license as a marriage and family therapist, educational psychologist, clinical social worker or professional clinical counselor to an applicant who holds a current license or a license eligible for renewal, and establishes a $40 fee for a retired license. REGISTERED SUPPORT: California Association of Psychiatric Technicians Contractors State License Board REGISTERED OPPOSITION: None of file. Analysis Prepared by:Elissa Silva / B. & P. / (916) 319-3301 AB 2859 Page 10