Bill Text: TX SB844 | 2017-2018 | 85th Legislature | Introduced

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Bill Title: Relating to the active supervision of occupational licensing authorities by the attorney general.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2017-02-27 - Referred to Business & Commerce [SB844 Detail]

Download: Texas-2017-SB844-Introduced.html

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85R6946 MAW-F
By: Huffines S.B. No. 844

A BILL TO BE ENTITLED
AN ACT
relating to the active supervision of occupational licensing
authorities by the attorney general.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Title 1, Occupations Code, is amended by adding
Chapter 2 to read as follows:
CHAPTER 2. ACTIVE SUPERVISION OF OCCUPATIONAL LICENSING
AUTHORITIES
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 2.001. DEFINITIONS. In this chapter:
(1) "Certificate" means a voluntary, nontransferable
recognition issued by a private organization or licensing authority
authorizing an individual, after meeting the established personal
qualifications of the organization or authority, to use the term
"certified" in describing the individual's occupation.
(2) "License" means a nontransferable authorization
issued by a licensing authority authorizing an individual, after
meeting the established personal qualifications, to engage in a
particular occupation.
(3) "Licensing authority" means a department,
commission, board, office, or other agency of the state that issues
a license, specialty occupational license for medical
reimbursement, registration, certificate, permit, or other
authorization related to an occupation.
(4) "Personal qualifications" means criteria related
to an individual's personal background, credentials, and
characteristics that are required to obtain a certificate,
specialty occupational license for medical reimbursement, or
license, including:
(A) educational attainment;
(B) passage of an examination;
(C) work experience;
(D) character; and
(E) criminal history.
(5) "Registration" means a nontransferable
recognition issued by a licensing authority authorizing an
individual who provides notice to the authority of the individual's
name and address and of the nature of the service offered before
engaging in a particular occupation to use the term "registered" in
describing the individual's occupation.
(6) "Specialty occupational license for medical
reimbursement" means a voluntary, nontransferable, and
nonexclusive authorization to perform a medical service that is:
(A) required for an individual to be eligible to
receive payment or reimbursement from a governmental agency or
other entity for providing medical services; and
(B) issued by a licensing authority to an
individual who meets the established personal qualifications.
Sec. 2.002. TYPES OF REGULATION. In determining the least
restrictive regulation for purposes of this chapter, the following
list represents regulations from least restrictive to most
restrictive:
(1) market competition;
(2) ratings or reviews from consumers or third
parties;
(3) private certification;
(4) existence of a specific private cause of action to
remedy a consumer harm;
(5) a law prohibiting deceptive trade practices;
(6) a restriction on the process of providing a
specific good or service to a consumer;
(7) inspection requirements;
(8) a requirement that an individual obtain a bond or
insurance;
(9) a statute, rule, or policy requiring registration
with a licensing authority;
(10) a statute, rule, or policy requiring
certification by a licensing authority;
(11) a specialty occupational license for medical
reimbursement; and
(12) a statute, rule, or policy requiring licensing by
a licensing authority.
Sec. 2.003. POLICY. It is the policy of this state:
(1) to recognize the fundamental right of an
individual to pursue an occupation;
(2) to increase economic opportunities, promote
competition, and encourage innovation in this state;
(3) when necessary to displace market competition, to
use the least restrictive means of regulation necessary to protect
consumers from existing, significant, and substantiated harms that
threaten public health and safety; and
(4) to enforce occupational regulations against an
individual only to the extent the individual sells or provides
goods or services that are explicitly included in the law that
defines the occupation's scope of practice.
SUBCHAPTER B. ATTORNEY GENERAL SUPERVISION
Sec. 2.051. ACTIVE SUPERVISION BY ATTORNEY GENERAL. (a) To
ensure that a statute is construed to comply with, and a rule or
policy of a licensing authority complies with, the policy described
by Section 2.003, the attorney general shall actively supervise
each licensing authority.
(b) In actively supervising a licensing authority, the
attorney general shall:
(1) participate in the development of the authority's
rules and policies to ensure the rules and policies benefit
consumers and do not serve the private interests of individuals
regulated by the authority;
(2) review the proposed rules, policies, and
enforcement actions of the authority; and
(3) take action under Section 2.052 with regard to
each proposed rule, policy, and action.
(c) In fulfilling the duties under this section, the
attorney general shall study issues relevant to the attorney
general's duties under this chapter, including issues related to
antitrust litigation and methods for regulating occupations using
the least restrictive regulations possible.
Sec. 2.052. SUBMISSION TO ATTORNEY GENERAL; ACTION BY
ATTORNEY GENERAL REQUIRED. (a) A licensing authority must submit
any proposed rule, policy, or enforcement action to the attorney
general for review before the rule, policy, or action is adopted or
implemented.
(b) The attorney general shall approve a rule, policy, or
enforcement action submitted under Subsection (a) if the attorney
general determines the rule, policy, or action complies with the
policy described by Section 2.003. The attorney general shall
reject any rule, policy, or action that does not comply with the
policy described by Section 2.003.
(c) A proposed rule, policy, or enforcement action of a
licensing authority may not be finally adopted or implemented
unless the rule, policy, or action is explicitly approved by the
attorney general under Subsection (b). The attorney general's
failure to respond to a rule, policy, or action that is submitted to
the attorney general does not constitute approval of the rule,
policy, or action.
(d) A licensing authority may not finally adopt or implement
any rule, policy, or enforcement action that has been rejected by
the attorney general under Subsection (b).
Sec. 2.053. COMPLAINTS. (a) The attorney general shall
investigate a complaint submitted to the attorney general that
alleges a licensing authority's rule, policy, or enforcement action
is not in compliance with the policy described by Section 2.003.
(b) Not later than the 90th day after the date a complaint is
received, the attorney general shall:
(1) investigate the complaint;
(2) identify actions necessary to resolve the
complaint and, if appropriate, direct the licensing authority
subject to the complaint to take those actions; and
(3) notify the complainant of the outcome of the
investigation and the disposition of the complaint.
(c) Chapter 2001, Government Code, does not apply to the
disposition of a complaint under this section.
Sec. 2.054. REVIEW OF ACTION. The governor, the lieutenant
governor, or a member of the legislature may request that the
attorney general review:
(1) a rule, policy, or enforcement action of a
licensing authority for compliance with the policy described by
Section 2.003; or
(2) a prior action of the attorney general under this
chapter.
Sec. 2.055. ESTABLISHMENT OF DIVISION. The attorney
general may establish a division to actively supervise licensing
authorities as provided by this chapter and employ staff to carry
out the duties of this chapter, including employing one or more
attorneys who do not provide general counsel to any licensing
authority or exercise control over an authority other than the
supervision required by this chapter.
SECTION 2. Not later than December 1, 2018, the attorney
general shall:
(1) review all rules, policies, and enforcement
actions of a licensing authority, as defined by Section 2.001,
Occupations Code, as added by this Act, that are in effect or
ongoing on the effective date of this Act; and
(2) provide a notice to each licensing authority that:
(A) identifies each rule, policy, or action of
the authority that is not in compliance with the policy described by
Section 2.003, Occupations Code, as added by this Act; and
(B) directs the authority to amend the rule or
policy or terminate the action, as applicable, to comply with the
policy described by Section 2.003, Occupations Code, as added by
this Act.
SECTION 3. This Act takes effect September 1, 2017.