LRB-3489/2
MPG&MED:wlj/ahe/amn
2017 - 2018 LEGISLATURE
June 2, 2017 - Introduced by Representatives Hutton,
Kooyenga, Nygren,
Horlacher, Felzkowski, Sanfelippo, Gannon, Rohrkaste, Kulp, Brandtjen,
Rodriguez, Duchow, Spiros, Murphy, Macco, Tusler, Thiesfeldt, Neylon, R.
Brooks, Tittl and Edming, cosponsored by Senators Kapenga, Darling,
Tiffany, Nass, Stroebel and Wanggaard. Referred to Committee on
Regulatory Licensing Reform.
AB369,1,2
1An Act to create 13.0963, 15.407 (19) and 440.023 of the statutes;
relating to:
2review of and reports concerning occupational licenses.
Analysis by the Legislative Reference Bureau
This bill creates the Occupational License Review Council. The council is
created in the Department of Safety and Professional Services and consists of the
following members:
1. Four members appointed by the governor to serve at the pleasure of the
governor.
2. Two members of the senate appointed by the senate majority leader.
3. Two members of the assembly appointed by the speaker of the assembly.
4. The secretary of safety and professional services or his or her designee, who
serves as the council's chair. The secretary or designee is a nonvoting member, except
that he or she may vote in the case of a tie.
The council is required to submit a report by December 31, 2018, to the
governor, the chief of the Legislative Reference Bureau, and the legislature that
includes the council's recommendations for the elimination of occupational licenses
in this state, or the modification of laws and rules governing occupational licenses,
and the reduction or elimination of occupational license continuing and other
education requirements. The council's recommendations for the elimination of
occupational licenses must take into account a number of considerations, including
any statement or analysis provided by the agency or board administering an
occupational license and including an evaluation of whether the unregulated
practice of the profession, occupation, or trade can clearly harm or endanger the
health, safety, or welfare of the public.
Under the bill, the LRB is required to prepare legislation based on the council's
recommendations, and the proposed legislation is required to be introduced without
change and referred to the appropriate standing committee of each house. The
legislature must take final action on the proposed legislation no later than June 30,
2019. The bill provides that a new council convenes every ten years to repeat the
process described above.
Under the bill, for purposes of the council's functions, the term “occupational
license” means any license, permit, certification, registration, or other approval
granted by DSPS or a board under DSPS and any other license, permit, certification,
registration, or approval granted to a person by this state in order that the person
may engage in a profession, occupation, or trade or use one or more titles in
association with his or her profession, occupation, or trade.
This bill also requires the Department of Administration to prepare a report
containing certain information on any bill that is introduced in the legislature that
requires an individual to obtain a license in order to engage in a particular profession
or occupation or that requires that a license be obtained in order for a particular type
of business to be owned or operated. The LRB must submit any bill to which the
requirement applies to DOA, and the report must be distributed before certain
actions are taken on the bill in the legislature.
For further information see the state fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB369,1
1Section 1
. 13.0963 of the statutes is created to read:
AB369,2,4
213.0963 Review of bills creating occupational licenses. (1) Definition. 3In subs. (2) and (3), “license” includes any permit, certificate, approval, registration,
4charter, or similar form of permission.
AB369,3,7
5(2) Report on bills creating occupational licenses. (a) If any bill that is
6introduced in either house of the legislature creates a requirement that an individual
7obtain a license in order to engage in a particular profession or occupation or a
8requirement that a license be obtained in order for a particular type of business to
9be owned or operated, the department of administration shall prepare and issue an
10occupational license report on the bill within 30 business days after it is introduced.
11The department shall request information from any individual or business that the
1department considers likely to be affected by the proposed licensure requirement
2and shall request a statement or analysis from the agency that would be required to
3administer the licensure requirement. Individuals, businesses, and agencies shall
4comply with requests by the department for information that is reasonably
5necessary for the department to prepare the report. To the greatest extent possible,
6reports under this section shall be based on the information obtained by the
7department from individuals, businesses, and agencies under this paragraph.
AB369,3,118
(b) A bill that requires a report by the department of administration under this
9section shall have that requirement noted on its jacket when the jacket is prepared.
10When a bill that requires a report under this section is introduced, the legislative
11reference bureau shall submit a copy of the bill to the department of administration.
AB369,3,1812
(c) The report prepared under this section shall be printed as an appendix to
13the applicable bill and shall be distributed in the same manner as amendments. The
14report shall be distributed before any vote is taken on the bill by either house of the
15legislature if the bill is not referred to a standing committee, or before any public
16hearing is held before any standing committee or, if no public hearing is held, before
17any vote is taken by the committee. The department of administration shall also
18publish the report on its Internet site.
AB369,3,20
19(3) Findings to be contained in the report. The department of administration
20shall include all of the following in a report prepared under sub. (2):
AB369,3,2421
(a) An evaluation of whether the unregulated practice of the profession,
22occupation, or business can clearly harm or endanger the health, safety, or welfare
23of the public, and whether the potential for the harm is recognizable and not remote
24or speculative.
AB369,4,2
1(b) An evaluation of whether the public can reasonably be expected to benefit
2from the requirement for the license.
AB369,4,43
(c) An evaluation of what the least restrictive regulation is that will effectively
4protect the public, as determined under sub. (4).
AB369,4,65
(d) An analysis of licensure requirements for that profession, occupation, or
6business in other states, including educational and reciprocity requirements.
AB369,4,87
(e) An estimate of the number of individuals or businesses that would be
8affected by the requirement.
AB369,4,139
(f) An estimate of the total additional financial burden that will be imposed on
10an individual or business as a result of the licensure requirement, including
11education or training costs, examination fees, private credential fees, credential fees
12imposed by the agency, and other costs that the individual or business will have to
13incur in order to obtain the license.
AB369,4,1514
(g) Any statement or analysis from the agency that would administer the
15licensure requirement.
AB369,4,16
16(4) Determination of least restrictive regulation. (a) In this subsection:
AB369,4,1817
1. “Certification” means a voluntary program to which all of the following
18apply:
AB369,4,2119
a. A private organization or the state grants a nontransferable recognition to
20an individual who meets certain personal qualifications established by the private
21organization or by law.
AB369,4,2222
b. Upon approval, the individual may use “certified” as a designated title.
AB369,4,2423
c. A noncertified individual may perform the occupation for compensation but
24may not use the title “certified.”
AB369,4,2525
2. “Occupational license” means a program to which all of the following apply:
AB369,5,3
1a. The state grants a nontransferable authorization to an individual who meets
2certain personal qualifications established by law in order to perform an occupation
3for compensation.
AB369,5,54
b. It is unlawful for an individual who does not possess the requisite
5authorization to perform the occupation for compensation.
AB369,5,106
3. “Personal qualifications” means criteria related to an individual's personal
7background and characteristics, including completion of an approved educational
8program, satisfactory performance on an examination, work experience, other
9evidence of attainment of requisite skills or knowledge, moral standing, criminal
10history, and completion of continuing education.
AB369,5,1111
4. “Registration” means a program to which all of the following apply:
AB369,5,1512
a. It requires an individual to provide notice to the state that may include the
13individual's name and address, the individual's agent for service of process, the
14location of the activity to be performed, and a description of the service the individual
15provides.
AB369,5,1716
b. It does not require certain personal qualifications to be satisfied, but may
17require a bond or insurance.
AB369,5,1818
c. Upon registering, the individual may use “registered” as a designated title.
AB369,5,2019
d. A nonregistered individual may not perform the occupation for
20compensation or use “registered” as a designated title.
AB369,5,2221
(b) For purposes of sub. (3) (c), “least restrictive regulation” means one of the
22following, from least restrictive to most restrictive:
AB369,5,2323
1. Market competition.
AB369,5,2424
2. Third-party or consumer-created ratings and reviews.
AB369,5,2525
3. Private certification.
AB369,6,1
14. A specific private civil cause of action to remedy consumer harm.
AB369,6,32
5. The designation of an unfair trade practice or method of competition in
3business.
AB369,6,54
6. The regulation of the process of providing the specific goods or services to
5consumers.
AB369,6,66
7. An inspection requirement.
AB369,6,77
8. A bonding or insurance requirement.
AB369,6,88
9. A registration requirement.
AB369,6,99
10. A governmental certification requirement.
AB369,6,1010
11. An occupational license requirement.
AB369,2
11Section
2. 15.407 (19) of the statutes is created to read:
AB369,6,1412
15.407
(19) Occupational license review council. There is created in the
13department of safety and professional services an occupational license review
14council. The council shall consist of the following members:
AB369,6,1615
(a) Four members appointed by the governor to serve at the pleasure of the
16governor.
AB369,6,1717
(b) Two members of the senate appointed by the senate majority leader.
AB369,6,1818
(c) Two members of the assembly appointed by the speaker of the assembly.
AB369,6,2119
(d) The secretary of safety and professional services or his or her designee, who
20shall serve as chair of the council. The secretary or the secretary's designee shall
21serve as a nonvoting member, except that he or she may vote in the case of a tie.
AB369,6,2522
(e) The members under pars. (a) to (c) shall be appointed no later than January
2331, 2018, and no later than January 31 of every 10th year thereafter. The secretary
24of safety and professional services shall convene the council no later than February
255, 2018, and no later than the first Monday in February every 10th year thereafter.
AB369,3
1Section
3. 440.023 of the statutes is created to read:
AB369,7,3
2440.023 Occupational license review council. (1) Definitions. In this
3section:
AB369,7,44
(a) “Council” means the occupational license review council.
AB369,7,55
(b) “Occupational license” means any of the following:
AB369,7,76
1. A license, permit, certification, registration, or other approval granted under
7s. 167.10 (6m) or under ch. 101 or 145 or under chs. 440 to 480.
AB369,7,128
2. A license, permit, certification, registration, or other approval not included
9under subd. 1., if granted to a person by this state in order that the person may
10engage in a profession, occupation, or trade in this state or in order that the person
11may use one or more titles in association with his or her profession, occupation, or
12trade.
AB369,7,19
13(2) Report. No later than December 31, 2018, and no later than December 31
14of every 10th year thereafter, the council shall submit a report to the governor, the
15chief of the legislative reference bureau, and the chief clerk of each house of the
16legislature for distribution to the legislature under s. 13.172 (2). In preparing the
17report, the council shall take into account the impact the council estimates its
18recommendations will have on state revenues and expenditures. The report shall
19include all of the following:
AB369,7,2220
(a) The council's recommendations for the elimination of occupational licenses
21or the modification of laws and rules governing occupational licenses based on all of
22the following:
AB369,8,223
1. The council's evaluation of whether the unregulated practice of the
24profession, occupation, or trade can clearly harm or endanger the health, safety, or
1welfare of the public, and whether the potential for the harm is recognizable and not
2remote or speculative.
AB369,8,43
2. The council's evaluation of whether the public reasonably benefits from the
4occupational license requirement.
AB369,8,85
3. The council's evaluation of whether the public can be effectively protected
6by any means other than requiring an occupational license and whether the
7occupational license is the least restrictive regulation, as defined in s. 13.0963 (4) (b),
8that will effectively protect the public.