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ARIZONA STATE SENATE

Fifty-Sixth Legislature, First Regular Session

 

FACT SHEET FOR s.b. 1087

 

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 that 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 regulatory enitity for the license, certificate or authorization. The initial application and renewal processes, including initial and renewal licensing certification fees, vary across professions and occupations (A.R.S. Title 32 and Title 36, Ch. 4, Article 6).

If temporarily reducing or waiving licensing certification fees results in a change in revenues collected from fees that are otherwise directed to the state General Fund, there may be a fiscal impact to the state General Fund.

Provisions

1.   Requires a regulatory entity that determines that its licensing fund ending balance would exceed 50 percent of its fund appropriation to provide a onetime waiver or reduction from licensure or certification renewal fees to reduce the balance in its licensing fund to below 50 percent of its appropriation from that fund.

2.   Specifies that the licensure or certification fee waiver or reduction must be provided in the:

a)   upcoming fiscal year for renewal fees, or within the normal schedule for renewing licenses or certificates if longer than one year; and

b)   subsequent fiscal year for new licensees or certificate holders.

3.   Requires, by September 1, each regulatory entity to annually determine whether the entity expects its licensing fund ending balance to exceed 50 percent of the appropriations from that fund in the current fiscal year by reviewing:

a)   the costs it incurs;

b)   the monies it has in its funds; and

c)   the fee revenues it collects.

4.   Requires, in determining the waiver or reduction amount, a regulatory entity to attempt to ensure that:

a)   all existing licensees or certificate holders receive one waiver or reduction; and

b)   fee reductions, as a percentage of the base fees, are the same for both initial and renewal licenses and certificates.

5.   Authorizes a regulatory entity to temporarily reduce or waive any initial or renewal licensure or certification fees.

6.   Applies the licensure or certification fee waiver or reduction requirements to the:

a)   Acupuncture Board of Examiners;

b)   Arizona Board of Osteopathic Examiners in Medicine and Surgery;

c)   Arizona Medical Board;

d)   Arizona Regulatory Board of Physicians Assistants;

e)   Arizona State Board of Accountancy;

f) Arizona State Board of Nursing;

g)   Arizona State Board of Pharmacy;

h)   Arizona State Veterinary Medical Examining Board;

i) Barbering and Cosmetology Board;

j) Board of Athletic Training;

k)   Board of Behavioral Health Examiners;

l) Board of Examiners of Nursing Care Institution Administrators and Assisted Living Facility Managers;

m) Board of Homeopathic and Integrated Medicine Examiners;

n)   Board of Massage Therapy;

o)   Board of Occupational Therapy Examiners;

p)   Board of Physical Therapy;

q)   Board of Respiratory Care Examiners;

r) Naturopathic Physicians Medical Board;

s)   Registrar of Contractors;

t) State Board for Private Postsecondary Education;

u)   State Board of Chiropractic Examiners;

v)   State Board of Dental Examiners;

w)   State Board of Dispensing Opticians;

x)   State Board of Funeral Directors and Embalmers;

y)   State Board of Optometry;

z)   State Board of Podiatry Examiners;

aa)  State Board of Psychologist Examiners; and

bb)  State Board of Technical Registration.

7.   Requires a regulatory entity to:

a)   notify, by July 1 of the fiscal year in which a fee waiver or reduction becomes effective, its existing licensees or certificate holders of its intention to provide the waiver or reduction and its expected amount; and

b)   prominently announce the fee waiver or reduction for new and existing licensees or certificate holders on the home page of its website.

8.   Requires, by September 1, each regulatory agency to annually report its fee plans to the Governor, the President of the Senate and the Speaker of the House, and include, at a minimum:

a)   the expected revenues and expenditures in the current fiscal year;


 

b)   the projected ending balances for the licensing fund; and

c)   the reasoning and justification for how the waiver or reduction will achieve required fee reductions.

9.   Allows a regulatory entity to include a report of an expected need for onetime monies greater than 50 percent of its annual appropriation for onetime capital, information technology or similar costs in its submission of budget estimates to the Governor.

10.  Makes a conforming change.

11.  Becomes effective on the general effective date.

Prepared by Senate Research

January 30, 2023

JT/FB/sr