HB2781113th GA (Historical)Enacted

Amends TCA Title 4; Title 49 and Title 62.

ON MARCH 25, 2024, THE SENATE ADOPTED AMENDMENTS #1 AND #2 AND PASSED SENATE BILL 2732, AS AMENDED. AMENDMENT #1 rewrites the bill to enact the "Cosmetology Licensure Compact" ("compact"). STATE PARTICIPATION To be eligible to join this compact, and to maintain eligibility as a member state, this amendment requires a state to: (1) License and regulate cosmetology; (2) Have a mechanism or entity in place to receive and investigate complaints about licensees practicing in that state; (3) Require that licensees within that state pass a cosmetology competency examination prior to being licensed to provide cosmetology services to the public in that state; (4) Require that licensees satisfy educational or training requirements in cosmetology prior to being licensed to provide cosmetology services to the public in that state; (5) Implement procedures for considering one or more of the following categories of information from applicants for licensure: criminal history, disciplinary history, or background check. Such procedures may include the submission of information by applicants for the purpose of obtaining an applicant's background; (6) Participate in the data system, including through the use of unique identifying numbers; (7) Share information related to adverse actions with the cosmetology licensure compact commission ("commission") and other member states, both through the data system and otherwise; (8) Notify the commission and other member states, in compliance with the terms of this compact and rules of the commission, of the existence of investigative information or current significant investigative information in the state's possession regarding a licensee practicing in that state; (9) Comply with such rules as may be enacted by the commission to administer this compact; and (10) Accept licensees from other member states as established in this compact. This amendment authorizes member states to charge a fee for granting a license to practice cosmetology. This amendment requires individuals not residing in a member state to continue to be able to apply for a member state's single-state license as provided under the laws of each member state. However, the single-state license granted to these individuals must not be recognized as granting a multistate license to provide services in any other member state. Nothing in this compact affects the requirements established by a member state for the issuance of a single-state license. This amendment requires a multistate license issued to a licensee by a home state to a resident of that state to be recognized by each member state as authorizing a licensee to practice cosmetology in each member state. This amendment prohibits the commission from having the power to define the educational or professional requirements for a license to practice cosmetology. The member states must retain sole jurisdiction over the provision of these requirements. ISSUANCE OF MULTISTATE LICENSE To be eligible to apply to their home state's state licensing authority for an initial multistate license under this compact, the amendment requires a licensee to hold an active and unencumbered single-state license to practice cosmetology in their home state. Upon the receipt of an application for a multistate license, according to the rules of the commission, a member state's state licensing authority must ascertain whether the applicant meets the requirements for a multistate license under this compact. If an applicant meets the requirements for a multistate license under this compact and any applicable rules of the commission, then the state licensing authority in receipt of the application must, within a reasonable time, grant a multistate license to that applicant, and inform all member states of the grant of said multistate license. This amendment requires a multistate license to practice cosmetology issued by a member state's state licensing authority to be recognized by each member state as authorizing the practice thereof as though that licensee held a single-state license to do so in each member state, subject to the restrictions in this compact. A multistate license granted pursuant to this compact may be effective for a definite period of time, concurrent with the licensure renewal period in the home state. To maintain a multistate license under this compact, this amendment requires a licensee to (i) agree to abide by the rules of the state licensing authority, and the state scope of practice laws governing the practice of cosmetology, of any member state in which the licensee provides services; (ii) pay all required fees related to the application and process, and any other fees that the commission may by rule require; and (iii) comply with any and all other requirements regarding multistate licenses that the commission may by rule provide. This amendment provides that a licensee practicing in a member state is subject to all scope of practice laws governing cosmetology services in that state. The practice of cosmetology under a multistate license granted pursuant to this compact subjects the licensee to the jurisdiction of the state licensing authority, the courts, and the laws of the member state in which the cosmetology services are provided. REISSUANCE OF LICENSE BY NEW HOME STATE This amendment authorizes a licensee to hold a multistate license, issued by their home state, in only one member state at any given time. If a licensee changes their home state by moving between two member states, then the licensee is subject to the following: (1) The licensee must immediately apply for the reissuance of their multistate license in their new home state. The licensee must pay all applicable fees and notify the prior home state in accordance with the rules of the commission; (2) Upon receipt of an application to reissue a multistate license, the new home state must verify that the multistate license is active, unencumbered, and eligible for reissuance under the terms of this compact and the rules of the commission. The multistate license issued by the prior home state must be deactivated and all member states notified in accordance with the applicable rules adopted by the commission; (3) If required for initial licensure, the new home state may require a background check as specified in the laws of that state, or the compliance with any jurisprudence requirements of the new home state; and (4) If a licensee does not meet the requirements set forth in this compact for the reissuance of a multistate license by the new home state, then the licensee is subject to the new home state requirements for the issuance of a single-state license in that state. If a licensee changes their primary state of residence by moving from a member state to a non-member state, or from a non-member state to a member state, then the licensee is subject to the state requirements for the issuance of a single-state license in the new home state. Nothing in this compact interferes with a licensee's ability to hold a single-state license in multiple states. However, for the purposes of this compact, a licensee must have only one home state, and only one multistate license. Additionally, nothing in this compact interferes with the requirements established by a member state for the issuance of a single-state license. LICENSING AUTHORITY This amendment prohibits anything in this compact, or any rule or regulation of the commission, from limiting, restricting, or in any way reducing the ability of a member state to enact and enforce laws, regulations, or other rules related to the practice of cosmetology in that state, where those laws, regulations, or other rules are not inconsistent with this compact. Insofar as practical, a member state's state licensing authority must cooperate with the commission and with each entity exercising independent regulatory authority over the practice of cosmetology according to this compact. This amendment provides that discipline is the sole responsibility of the state in which cosmetology services are provided. Accordingly, each member state's state licensing authority is responsible for receiving complaints about individuals practicing cosmetology in that state, and for communicating all relevant investigative information about any such adverse action to the other member states through the data system in addition to any other methods the commission may by rule require. ADVERSE ACTIONS This amendment provides that a licensee's home state has exclusive power to impose an adverse action against a licensee's multistate license issued by the home state. A home state may take adverse action on a multistate license based on the investigative information, current significant investigative information, or adverse action of a remote state. In addition to the powers conferred by state law, each remote state's state licensing authority has the power to do the following: (1) Take adverse action against a licensee's authorization to practice cosmetology through the multistate license in that member state, so long as: (i) only the licensee's home state has the power to take adverse action against the multistate license issued by the home state; and (ii) for the purposes of taking adverse action, the home state's state licensing authority must give the same priority and effect to reported conduct received from a remote state as it would if such conduct had occurred within the home state. In so doing, the home state must apply its own state laws to determine the appropriate action; (2) Issue cease and desist orders or impose an encumbrance on a licensee's authorization to practice within that member state; (3) Complete any pending investigations of a licensee who changes their primary state of residence during the course of such an investigation. The state licensing authority is also empowered to report the results of such an investigation to the commission through the data system as described in this compact; (4) Issue subpoenas for both hearings and investigations that require the attendance and testimony of witnesses, as well as the production of evidence. Subpoenas issued by a state licensing authority in a member state for the attendance and testimony of witnesses or the production of evidence from another member state must be enforced in the latter state by any court of competent jurisdiction, according to the practice and procedure of that court applicable to subpoenas issued in proceedings before it. The issuing state licensing authority must pay any witness fees, travel expenses, mileage, and other fees required by the service statutes of the state in which the witnesses or evidence are located; (5) If otherwise permitted by state law, recover from the affected licensee the costs of investigations and disposition of cases resulting from any adverse action taken against that licensee; and (6) Take adverse action against the licensee's authorization to practice in that state based on the factual findings of another remote state. This amendment requires a licensee's home state to complete any pending investigation of a cosmetologist who changes their primary state of residence during the course of any investigation. The home state also has the authority to take appropriate actions and promptly report the conclusions of any investigation to the data system. If an adverse action is taken by the home state against a licensee's multistate license, then this amendment requires the licensee's authorization to practice in all other member states to be deactivated until all encumbrances have been removed from the home state license. All home state disciplinary orders that impose an adverse action against a licensee's multistate license must include a statement that the cosmetologist's authorization to practice is deactivated in all member states during the pendency of the order. However, nothing in this compact overrides a member state's authority to accept a licensee's participation in an alternative program in lieu of adverse action. A licensee's multistate license must be suspended for the duration of the licensee's participation in any alternative program. This amendment authorizes a member state to participate with other member states in joint investigations of licensees. Member states must share any investigative, litigation, or compliance materials in furtherance of any joint or individual investigation initiated under this compact. MILITARY FAMILIES This amendment requires active military members, or their spouses, to designate a home state where the individual has a current license to practice cosmetology in good standing. The individual may retain their home state designation during any period of service when that individual or their spouse is on active duty assignment. ESTABLISHMENT OF THE COMMISSION This amendment provides that the compact member states hereby create and establish a joint government agency whose membership consists of all member states that have enacted this compact, known as the commission . The commission is an instrumentality of the compact member states acting jointly and not an instrumentality of any one state. The commission comes into existence on or after the effective date of this compact. This amendment provides that each member state has and is limited to one delegate selected by that member state's state licensing authority. The delegate must be an administrator of the state licensing authority of the member state or their designee. The commission must by rule or bylaw establish a term of office for delegates and may by rule or bylaw establish term limits. The commission may recommend removal or suspension of any delegate from office. A member state's state licensing authority must fill any vacancy of its delegate occurring on the commission within 60 days of the vacancy. Each delegate is entitled to one vote on all matters that are voted on by the commission. The commission must meet at least once during each calendar year. Additional meetings may be held as set forth in the bylaws. The commission may meet by telecommunication, video conference, or other similar electronic means. POWERS OF THE COMMISSION This amendment provides that the commission has the following powers: (i) establish the fiscal year of the commission; (ii) establish code of conduct and conflict of interest policies; (iii) adopt rules and bylaws; (iv) maintain its financial records in accordance with the bylaws; (v) meet and take such actions as are consistent with this compact, the commission's rules, and the bylaws; (vi) initiate and conclude legal proceedings or actions in the name of the commission. However, the standing of any state licensing authority to sue or be sued under applicable law must not be affected; (vii) maintain and certify records and information provided to a member state as the authenticated business records of the commission, and designate an agent to do so on the commission's behalf; (viii) purchase and maintain insurance and bonds; (ix) borrow, accept, or contract for services of personnel; (x) conduct an annual financial review; (xi) hire employees, elect or appoint officers, fix compensation, define duties, grant such individuals appropriate authority to carry out the purposes of this compact, and establish the commission's personnel policies and programs relating to conflicts of interest, qualifications of personnel, and other related personnel matters; (xii) as set forth in the commission rules, charge a fee to a licensee for the grant of a multistate license and thereafter, as may be established by commission rule, charge the licensee a multistate license renewal fee for each renewal period. Nothing in this compact prevents a home state from charging a licensee a fee for a multistate license or renewals of a multistate license, or a fee for the jurisprudence requirement if the member state imposes such a requirement for the grant of a multistate license; (xiii) assess and collect fees; (xiv) accept any and all appropriate gifts, donations, grants of money, other sources of revenue, equipment, supplies, materials, and services, and receive, utilize, and dispose of the same. However, at all times the commission must avoid any appearance of impropriety or conflict of interest; (xv) lease, purchase, retain, own, hold, improve, or use any property, real, personal, or mixed, or any undivided interest therein; (xvi) sell, convey, mortgage, pledge, lease, exchange, abandon, or otherwise dispose of any property, real, personal, or mixed; (xvii) establish a budget and make expenditures; (xviii) borrow money; (xix) appoint committees, including standing committees, composed of members, state regulators, state legislators or their representatives, consumer representatives, and such other interested persons as may be designated in this compact and the bylaws; (xx) provide and receive information from, and cooperate with, law enforcement agencies; (xxi) elect a chair, vice chair, secretary, treasurer, and such other officers of the commission as provided in the commission's bylaws; (xxii) establish and elect an executive committee, including a chair and a vice chair; (xxiii) adopt and provide to the member states an annual report; (xxiv) determine whether a state's adopted language is materially different from the model compact language such that the state would not qualify for participation in this compact; and (xxv) perform such other functions as may be necessary or appropriate to achieve the purposes of this compact. THE EXECUTIVE COMMITTEE This amendment provides that the executive committee has the power to act on behalf of the commission according to the terms of this compact. The powers, duties, and responsibilities of the executive committee include: (i) overseeing the day-to-day activities of the administration of this compact; (i) recommending to the commission changes to the rules or bylaws, changes to this compact legislation, fees charged to compact member states, fees charged to licensees, and other fees; (iii) ensuring compact administration services are appropriately provided, including by contract; (iv) preparing and recommending the budget; (v) maintaining financial records on behalf of the commission; (vi) monitoring compact compliance of member states and providing compliance reports to the commission; (vii) establishing additional committees as necessary; (viii) exercising the powers and duties of the commission during the interim between commission meetings, except for adopting or amending rules, adopting or amending bylaws, and exercising any other powers and duties expressly reserved to the commission by rule or bylaw; and (ix) other duties as provided in the rules or bylaws of the commission. This amendment requires the executive committee to be composed of up to seven voting members as follows: (1) The chair and vice chair of the commission and any other members of the commission who serve on the executive committee must be voting members of the executive committee; (2) Other than the chair, vice chair, secretary, and treasurer, the commission must elect three voting members from the current membership of the commission; and (3) The commission may elect ex officio, nonvoting members from a recognized national cosmetology professional association as approved by the commission. The commission's bylaws must identify qualifying organizations and the manner of appointment if the number of organizations seeking to appoint an ex officio member exceeds the number of members specified. This amendment authorizes the commission to remove any member of the executive committee as provided in the commission's bylaws. This amendment requires the executive committee to meet at least annually. Annual executive committee meetings, as well as any executive committee meeting at which it does not take or intend to take formal action on a matter for which a commission vote would otherwise be required, must be open to the public, except that the executive committee may meet in a closed, non-public session of a public meeting when authorized by this amendment. The executive committee must give five business days' advance notice of its public meetings, posted on its website and as determined to provide notice to persons with an interest in the public matters the executive committee intends to address at those meetings. This amendment authorizes the executive committee to hold an emergency meeting when acting for the commission to: (i) meet an imminent threat to public health, safety, or welfare; (ii) prevent a loss of commission or member state funds; or (iii) protect public health and safety. ANNUAL REPORT This amendment requires the commission to adopt and provide to the member states an annual report. MEETINGS OF THE COMMISSION This amendment requires all meetings of the commission that are not closed pursuant to the below provisions to be open to the public. Notice of public meetings must be posted on the commission's website at least 30 days prior to the public meeting. The commission may convene an emergency public meeting by providing at least 24 hours' prior notice on the commission's website, and any other means as provided in the commission's rules, for any of the reasons it may dispense with notice of proposed rulemaking. The commission's legal counsel must certify that one of the reasons justifying an emergency public meeting has been met. Notice of all commission meetings must provide the time, date, and location of the meeting, and if the meeting is to be held or accessible via telecommunication, video conference, or other electronic means, the notice must include the mechanism for access to the meeting. This amendment authorizes the commission to convene in a closed, non-public meeting for the commission to discuss the following: (i) non-compliance of a member state with its obligations under the compact; (ii) the employment, compensation, discipline, or other matters, practices, or procedures related to specific employees or other matters related to the commission's internal personnel practices and procedures; (iii) current or threatened discipline of a licensee by the commission or by a member state's licensing authority; (iv) current, threatened, or reasonably anticipated litigation; (v) negotiation of contracts for the purchase, lease, or sale of goods, services, or real estate; (vi) accusing any person of a crime or formally censuring any person; (vii) trade secrets or commercial or financial information that is privileged or confidential; (viii) information of a personal nature where disclosure would constitute a clearly unwarranted invasion of personal privacy; (ix) investigative records compiled for law enforcement purposes; (x) information related to any investigative reports prepared by or on behalf of or for use of the commission or other committee charged with responsibility of investigation or determination of compliance issues pursuant to this compact; (xi) legal advice; (xii) matters specifically exempted from disclosure to the public by federal or member state law; or (xiii) other matters as promulgated by the commission by rule. If a meeting, or portion of a meeting, is closed, then this amendment requires the presiding officer to state that the meeting will be closed and reference each relevant exempting provision, and such reference must be recorded in the minutes. This amendment requires the commission to keep minutes that fully and clearly describe all matters discussed in a meeting and to provide a full and accurate summary of actions taken, and the reasons therefore, including a description of the views expressed. All documents considered in connection with an action must be identified in such minutes. All minutes and documents of a closed meeting must remain under seal, subject to release only by a majority vote of the commission or order of a court of competent jurisdiction. FINANCING OF THE COMMISSION This amendment requires the commission to pay, or provide for the payment of, the reasonable expenses of its establishment, organization, and ongoing activities. The commission may accept any and all appropriate sources of revenue, donations, and grants of money, equipment, supplies, materials, and services. The commission may levy on and collect an annual assessment from each member state and impose fees on licensees of member states to whom it grants a multistate license to cover the cost of the operations and activities of the commission and its staff, which must be in a total amount sufficient to cover its annual budget as approved each year for which revenue is not provided by other sources. The aggregate annual assessment amount for member states must be allocated based upon a formula that the commission must promulgate by rule. This amendment prohibits the commission from incurring obligations of any kind prior to securing the funds adequate to meet the same. This amendment also prohibits the commission from pledging the credit of any member states, except by and with the authority of the member state. This amendment requires the commission to keep accurate accounts of all receipts and disbursements. The receipts and disbursements of the commission are subject to the financial review and accounting procedures established under its bylaws. All receipts and disbursements of funds handled by the commission are subject to an annual financial review by a certified or licensed public accountant, and the report of the financial review must be included in and become part of the annual report of the commission. QUALIFIED IMMUNITY, DEFENSE, AND INDEMNIFICATION This amendment provides that the members, officers, executive director, employees, and representatives of the commission are immune from suit and liability, both personally and in their official capacity, for any claim for damage to or loss of property or personal injury or other civil liability caused by or arising out of any actual or alleged act, error, or omission that occurred, or that the person against whom the claim is made had a reasonable basis for believing occurred within the scope of commission employment, duties, or responsibilities. However, nothing in these provisions protect any such person from suit or liability for any damage, loss, injury, or liability caused by the intentional or willful or wanton misconduct of that person. The procurement of insurance of any type by the commission does not in any way compromise or limit the immunity granted hereunder. This amendment requires the commission to defend any member, officer, executive director, employee, and representative of the commission in any civil action seeking to impose liability arising out of any actual or alleged act, error, or omission that occurred within the scope of commission employment, duties, or responsibilities, or as determined by the commission that the person against whom the claim is made had a reasonable basis for believing occurred within the scope of commission employment, duties, or responsibilities, so long as that the actual or alleged act, error, or omission did not result from that person's intentional or willful or wanton misconduct. However, nothing in this compact prohibits that person from retaining their own counsel at their own expense. This amendment requires the commission to indemnify and hold harmless any member, officer, executive director, employee, and representative of the commission for the amount of any settlement or judgment obtained against that person arising out of any actual or alleged act, error, or omission that occurred within the scope of commission employment, duties, or responsibilities, or that such person had a reasonable basis for believing occurred within the scope of commission employment, duties, or responsibilities, so long as the actual or alleged act, error, or omission did not result from the intentional or willful or wanton misconduct of that person. Nothing in this compact is a limitation on the liability of any licensee for professional malpractice or misconduct, which is governed solely by any other applicable state laws. Nothing in this compact waives or otherwise abrogates a member state's state action immunity or state action affirmative defense with respect to antitrust claims under the Sherman Act, Clayton Act, or any other state or federal antitrust or anticompetitive law or regulation. Nothing in this compact is a waiver of sovereign immunity by the member states or by the commission. DATA SYSTEMS This amendment requires the commission to provide for the development, maintenance, operation, and utilization of a coordinated database and reporting system. The commission must assign each applicant for a multistate license a unique identifier, as determined by the rules of the commission. This amendment requires a member state to submit a uniform data set to the data system on all individuals to whom this compact is applicable as required by the rules of the commission, including (i) identifying information; (ii) licensure data; (iii) adverse actions against a license and information related thereto; (iv) non-confidential information related to alternative program participation, the beginning and ending dates of such participation, and other information related to such participation; (v) any denial of application for licensure, and the reasons for such denial, excluding the reporting of any criminal history record information where prohibited by law; (vi) the existence of investigative information; (vii) the existence of current significant investigative information; and (vii) other information that may facilitate the administration of this compact or the protection of the public, as determined by the rules of the commission. This amendment provides that the records and information provided to a member state pursuant to this compact or through the data system, when certified by the commission or an agent thereof, constitute the authenticated business records of the commission, and are entitled to any associated hearsay exception in any relevant judicial, quasi-judicial, or administrative proceedings in a member state. The existence of current significant investigative information and the existence of investigative information pertaining to a licensee in any member state must only be available to other member states. This amendment provides that it is the responsibility of the member states to monitor the database to determine whether adverse action has been taken against such a licensee or license applicant. Adverse action information pertaining to a licensee or license applicant in any member state must be available to any other member state. Member states contributing information to the data system may designate information that must not be shared with the public without the express permission of the contributing state. Any information submitted to the data system that is subsequently expunged pursuant to federal law or the laws of the member state contributing the information must be removed from the data system. RULEMAKING This amendment requires the commission to promulgate reasonable rules in order to effectively and efficiently implement and administer the purposes of this compact. A rule is invalid and has no force or effect only if a court of competent jurisdiction holds that the rule is invalid because the commission exercised its rulemaking authority in a manner that is beyond the scope and purposes of this compact, or the powers granted under this compact, or based upon another applicable standard of review. The rules of the commission have the force of law in each member state. However, where the rules of the commission conflict with the laws of the member state that establish the member state's scope of practice laws governing the practice of cosmetology as held by a court of competent jurisdiction, the rules of the commission are ineffective in that state to the extent of the conflict. The commission must exercise its rulemaking powers pursuant to the criteria set forth in this amendment and the rules adopted under this amendment. Rules become binding as of the date specified by the commission for each rule. If a majority of the legislatures of the member states rejects a rule or portion of a rule, by enactment of a statute or resolution in the same manner used to adopt the compact within four years of the date of adoption of the rule, then this amendment provides that such rule has no further force and effect in any member state or to any state applying to participate in this compact. This amendment requires rules to be adopted at a regular or special meeting of the commission. Prior to adoption of a proposed rule, the commission must hold a public hearing and allow persons to provide oral and written comments, data, facts, opinions, and arguments. Prior to adoption of a proposed rule by the commission, and at least 30 days in advance of the meeting at which the commission will hold a public hearing on the proposed rule, the commission must provide a notice of proposed rulemaking: (i) on the website of the commission or other publicly accessible platform; (ii) to persons who have requested notice of the commission's notices of proposed rulemaking; and (iii) in such other ways as the commission may by rule specify. This amendment requires the notice of proposed rulemaking to include the following: (i) the time, date, and location of the public hearing at which the commission will hear public comments on the proposed rule and, if different, the time, date, and location of the meeting where the commission will consider and vote on the proposed rule; (ii) if the hearing is held via telecommunication, video conference, or other electronic means, the commission must include the mechanism for access to the hearing in the notice of proposed rulemaking; (iii) the text of the proposed rule and the reason therefor; (iv) a request for comments on the proposed rule from any interested person; and (v) the manner in which interested persons may submit written comments. This amendment requires all hearings to be recorded. A copy of the recording and all written comments and documents received by the commission in response to the proposed rule must be available to the public. Nothing in this amendment requires a separate hearing on each rule. Rules may be grouped for the convenience of the commission at hearings. This amendment requires the commission to, by majority vote of all members, take final action on the proposed rule based on the rulemaking record and the full text of the rule. The commission may adopt changes to the proposed rule; so long as the changes do not enlarge the original purpose of the proposed rule. The commission must provide an explanation of the reasons for substantive changes made to the proposed rule as well as reasons for substantive changes not made that were recommended by commenters. The commission must determine a reasonable effective date for the rule. Except for an emergency, the effective date of the rule must be no sooner than 45 days after the commission issuing the notice that it adopted or amended the rule. Upon determination that an emergency exists, this amendment authorizes the commission to consider and adopt an emergency rule with five days' notice, with opportunity to comment; provided, that the usual rulemaking procedures provided in this compact must be retroactively applied to the rule as soon as reasonably possible, but in no event later than 90 days after the effective date of the rule. For the purposes of this provision, an emergency rule is one that must be adopted immediately to: (i) meet an imminent threat to public health, safety, or welfare; (ii) prevent a loss of commission or member state funds; (iii) meet a deadline for the promulgation of a rule that is established by federal law or rule; or (iv) protect public health and safety. This amendment authorizes the commission or an authorized committee of the commission to direct revisions to a previously adopted rule for purposes of correcting typographical errors, errors in format, errors in consistency, or grammatical errors. Public notice of any revisions must be posted on the website of the commission. The revision is subject to challenge by any person for a period of 30 days after posting. The revision may be challenged only on grounds that the revision results in a material change to a rule. A challenge must be made in writing and delivered to the commission prior to the end of the notice period. If no challenge is made, then the revision takes effect without further action. If the revision is challenged, then the revision does not take effect without the approval of the commission. This amendment provides that no member state's rulemaking requirements apply under this compact. OVERSIGHT This amendment requires the executive and judicial branches of state government in each member state to enforce this compact and take all actions necessary and appropriate to implement this compact. Venue is proper and judicial proceedings by or against the commission must be brought solely and exclusively in a court of competent jurisdiction where the principal office of the commission is located. The commission may waive venue and jurisdictional defenses to the extent it adopts or consents to participate in alternative dispute resolution proceedings. Nothing in this compact affects or limits the selection or propriety of venue in any action against a licensee for professional malpractice, misconduct, or such similar matter. This amendment provides that the commission is entitled to receive service of process in any proceeding regarding the enforcement or interpretation of this compact and has standing to intervene in such a proceeding for all purposes. Failure to provide the commission service of process renders a judgment or order void as to the commission, this compact, or promulgated rules. If the commission determines that a member state has defaulted in the performance of its obligations or responsibilities under this compact or the promulgated rules, then this amendment requires the commission to provide written notice to the defaulting state. The notice of default must describe the default, the proposed means of curing the default, and any other action that the commission may take, and must offer training and specific technical assistance regarding the default. The commission must provide a copy of the notice of default to the other member states. If a state in default fails to cure the default, then this amendment authorizes the defaulting state to be terminated from the compact upon an affirmative vote of a majority of the delegates of the member states, and all rights, privileges, and benefits conferred on that state by this compact may be terminated on the effective date of termination. A cure of the default does not relieve the offending state of obligations or liabilities incurred during the period of default. This amendment terminates termination of membership in the compact to be imposed only after all other means of securing compliance have been exhausted. Notice of intent to suspend or terminate must be given by the commission to the governor, the majority and minority leaders of the defaulting state's legislature, the defaulting state's state licensing authority, and each of the member states' state licensing authority. A state that has been terminated is responsible for all assessments, obligations, and liabilities incurred through the effective date of termination, including obligations that extend beyond the effective date of termination. Upon the termination of a state's membership from this compact, that state must immediately provide notice to all licensees who hold a multistate license within that state of such termination. The terminated state must continue to recognize all licenses granted pursuant to this compact for a minimum 180 days after the date of said notice of termination. This amendment prohibits the commission from bearing any costs related to a state that is found to be in default or that has been terminated from the compact, unless agreed upon in writing between the commission and the defaulting state. The defaulting state may appeal the action of the commission by petitioning the United States District Court for the District of Columbia or the federal district where the commission has its principal offices. The prevailing party must be awarded all costs of such litigation, including reasonable attorney's fees. DISPUTE RESOLUTION Upon request by a member state, this amendment requires the commission to attempt to resolve disputes related to the compact that arise among member states and between member and non-member states. The commission must promulgate a rule providing for both mediation and binding dispute resolution for disputes as appropriate. ENFORCEMENT This amendment requires the commission, in the reasonable exercise of its discretion, to enforce this compact and the commission's rules. By majority vote as provided by commission rule, the commission may initiate legal action against a member state in default in the United States District Court for the District of Columbia or the federal district where the commission has its principal offices to enforce compliance with this compact and its promulgated rules. The relief sought may include both injunctive relief and damages. In the event judicial enforcement is necessary, the prevailing party must be awarded all costs of such litigation, including reasonable attorney's fees. The remedies in this compact are not the exclusive remedies of the commission. The commission may pursue any other remedies available under federal or the defaulting member state's law. This amendment authorizes a member state to initiate legal action against the commission in the United States District Court for the District of Columbia or the federal district where the commission has its principal offices to enforce compliance with this compact and its promulgated rules. The relief sought may include both injunctive relief and damages. In the event judicial enforcement is necessary, the prevailing party must be awarded all costs of such litigation, including reasonable attorney's fees. This amendment prohibits an an individual or entity other than a member state from enforcing this compact against the commission. EFFECTIVE DATE, WITHDRAWAL, AND AMENDMENT This amendment provides that the compact comes into effect on the date on which the compact statute is enacted into law in the seventh member state. On or after the effective date of the compact, this amendment requires the commission to convene and review the enactment of each of the charter member states to determine if the statute enacted by each such charter member state is materially different than the model compact statute. A charter member state whose enactment is found to be materially different from the model compact statute is entitled to the default process. If any member state is later found to be in default, or is terminated or withdraws from the compact, then the commission must remain in existence and the compact must remain in effect even if the number of member states is less than seven. This amendment provides that member states enacting the compact subsequent to the charter member states are subject to the process set forth in the provisions of this amendment regarding the commission's powers to determine if their enactments are materially different from the model compact statute and whether they qualify for participation in the compact. All actions taken for the benefit of the commission or in furtherance of the purposes of the administration of the compact prior to the effective date of the compact or the commission coming into existence are considered to be actions of the commission unless specifically repudiated by the commission. Any state that joins the compact is subject to the commission's rules and bylaws as they exist on the date on which the compact becomes law in that state. Any rule that has been previously adopted by the commission has the full force and effect of law on the day the compact becomes law in that state. This amendment authorizes any member state to withdraw from this compact by enacting a statute repealing that state's enactment of the compact. A member state's withdrawal does not take effect until 180 days after enactment of the repealing statute. Withdrawal does not affect the continuing requirement of the withdrawing state's state licensing authority to comply with the investigative and adverse action reporting requirements of this compact prior to the effective date of withdrawal. Upon the enactment of a statute withdrawing from this compact, a state must immediately provide notice of such withdrawal to all licensees within that state. Such withdrawing state must continue to recognize all licenses granted pursuant to this compact for a minimum of 180 days after the date of such notice of withdrawal. Nothing in this compact invalidates or prevents any licensure agreement or other cooperative arrangement between a member state and a non-member state that does not conflict with this compact. This amendment authorizes this compact to be amended by the member states. No amendment to this compact becomes effective and binding upon any member state until it is enacted into the laws of all member states. CONSTRUCTION AND SEVERABILITY This amendment requires this compact and the commission's rulemaking authority to be liberally construed so as to effectuate the purposes and the implementation and administration of this compact. Provisions of this compact expressly authorizing or requiring the promulgation of rules do not limit the commission's rulemaking authority solely for those purposes. This amendment provides that the provisions of this compact are severable and, if any phrase, clause, sentence, or provision of this compact is held by a court of competent jurisdiction to be contrary to the constitution of any member state, a state seeking participation in the compact, or of the United States, or the applicability thereof to any government, agency, person, or circumstance is held to be unconstitutional by a court of competent jurisdiction, then the validity of the remainder of this compact and the applicability thereof to any other government, agency, person, or circumstance must not be affected thereby. This amendment authorizes the commission to deny a state's participation in this compact or terminate a member state's participation in this compact, if it determines that a constitutional requirement of a member state is a material departure from this compact. Otherwise, if this compact is held to be contrary to the constitution of any member state, then the compact must remain in full force and effect as to the remaining member states and in full force and effect as to the member state affected as to all severable matters. CONSISTENT EFFECT AND CONFLICT WITH OTHER STATE LAWS This amendment provides that nothing in this compact prevents or inhibits the enforcement of any other law of a member state that is not inconsistent with this compact. Any laws, statutes, regulations, or other legal requirements in a member state in conflict with this compact are superseded to the extent of the conflict. All permissible agreements between the commission and the member states are binding in accordance with their terms. APPLICATION TO INSTRUCT Present law requires any person who desires a license to instruct in a school to submit an application for examination to the board on the prescribed form. The application must be accompanied by satisfactory proof that the applicant has been licensed as a cosmetologist, aesthetician, manicurist, or natural hair stylist for at least three continuous years. This amendment revises the present law and requires satisfactory proof that the applicant has been licensed as a cosmetologist, aesthetician, manicurist, or natural hair stylist at least three years, instead of three continuous years. BARBERS Present law requires an application for examination to the state board of cosmetology and barber examiners to be accompanied by proof that the applicant has received a high school diploma or, in lieu of a high school diploma, has received a high school equivalency credential approved by the state board of education. This amendment deletes this provision. Present law authorizes a barbering school to only enroll a student who: (i) is at least 16; and (ii) has completed and passed at least two years of high school or received a score of at least 38 percent on the GED(R) or HiSET(R) examination. This amendment deletes (ii) above from the present law. Present law requires the board to issue a certificate of registration as a barber instructor to a person who, among other things, holds a valid certificate of registration as a master barber and has been duly registered as a master barber for a period of at least three consecutive years prior to filing an application to be an instructor. This amendment revises the present law by no longer requiring the three years to be consecutive. Present law also requires the board to issue a certificate of registration as a barber instructor to a person who has completed the twelfth grade in an accredited school or the equivalent. This amendment deletes this provision. Present law authorizes a certificate of registration for a master barber that has been expired for more than one year but less than three years to be reinstated upon payment of twice the fees that would have been collected for the timely and continuous renewal of the certificate. This amendment revises the present law by, instead, authorizing a certificate of registration for a master barber that has been expired for more than one year but less than three years to be reinstated upon payment of a penalty fee as set by the board. MANICURING Present law requires an application to practice manicuring application to be accompanied by satisfactory proof that the applicant is a high school graduate, evidenced by a certificate or diploma, or possesses a high school equivalency credential approved by the state board of education. This amendment deletes this provision. COSMETOLOGY SCHOOL Present law authorizes a cosmetology school to enroll only a student who (i) has attained the age of at least 16; and (ii) has completed and passed at least two years of high school or received at least a score of 38 percent on the GED(R) or HiSET(R) examination. Public and vocational schools are exempt from this provision. This amendment deletes (ii) above. RULE PROMULGATION This amendment authorizes the department of commerce and insurance, in consultation with the state board of cosmetology and barber examiners, to promulgate to implement this amendment. NOTIFICATION REQUIREMENT This amendment requires the chair of the state board of cosmetology and barber examiners to notify the chair of the government operations committee of the senate, the chair of the government operations committee of the house of representatives, and the revisor of statutes in the general assembly's office of legal services within 30 days of the date the compact comes into effect. AMENDMENT #2 exempts public schools and vocational schools from the law regarding students in the Tennessee Cosmetology Act of 1986.

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Sponsor

Parkinson, Antonio

Details

Session

113th General Assembly

Introduced

January 31, 2024

Last Action

June 3, 2024

Comp. became Pub. Ch. 1060

Subjects

Professions and Occupations

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