OFFICE OF FISCAL ANALYSIS
Legislative Office Building, Room 5200
Hartford, CT 06106 (860) 240-0200
http://www.cga.ct.gov/ofa
sHB-6979
AN ACT CONCERNING THE DEPARTMENT OF PUBLIC
HEALTH'S RECOMMENDATIONS REGARDING PHYSICIAN
RECRUITMENT.
Primary Analyst: NB 3/17/25
Contributing Analyst(s):
Reviewer: JS
OFA Fiscal Note
State Impact:
Agency Affected Fund-Effect FY 26 $ FY 27 $
Public Health, Dept. GF - Revenue
Impact
See Below See Below
Note: GF=General Fund
Municipal Impact: None
Explanation
The bill, which creates a retired physician license and reinstates
statutory authorization for a student loan repayment program, results
in various revenue impacts to the Department of Public Health (DPH)
as described below.
Section 1 allows retired physicians to renew their licenses at a
reduced fee
1
($95), starting January 1, 2026. A General Fund revenue loss
is anticipated to result beginning in FY 26, dependent on the number of
licensed physicians who elect to avail themselves of this opportunity.
The revenue reduction will be $480 per retired physician renewal.
Currently, 15,056 individuals hold physician licenses
2
in Connecticut.
1
The proposed retired physician license renewal fee shall be the greater of: (1) 10% of
the class I professional services fee (per CGS Sec. 33-182l), currently $565, or (2) $95.
All licensed professionals practicing medicine also pay a $5 fee upon renewal that
supports the assistance program for healthcare professionals (known as HAVEN),
which is included in the fee amount.
2
Physicians currently pay a $575 license renewal fee. 2025HB-06979-R000116-FN.DOCX Page 2 of 3
For illustration, about 6% of dentists currently hold retiree licenses. If a
similar percentage of physicians choose to do so, an annualized revenue
loss of approximately $433,440 would result. Since the provision is
effective January 1, 2026, the revenue loss associated with the bill in FY
26 will be approximately half of the amount above ($216,720).
Section 2 requires the Public Health Commissioner to adopt
regulations implementing the new retired physician licensure category.
This has no fiscal impact. Existing regulations pertaining to other retired
health professional licenses will provide a basis for the new regulations,
allowing DPH to comply without undue burden.
Section 3 allows retired physicians whose licenses have become void
due to nonrenewal to apply for reinstatement. A potential General Fund
revenue gain beginning in FY 26 will result, to the extent that retired
physicians apply for reinstatement, who would not otherwise have
reapplied for licensure. The extent of the potential revenue gain
depends on the number of reinstatements and the amount of the
reinstatement fee. The bill does not specifically apply the retired
physician renewal fee established in Section 1 to a retired physician
seeking license reinstatement. It is therefore uncertain whether such an
applicant would be required to pay the current initial licensure fee of
$565 instead. The FY 26 impact will be three-quarters of the annual
impact due to the section's October 1, 2026 effective date.
Section 4 exempts physicians from having to maintain malpractice
insurance when providing volunteer behavioral health services at
certain nonprofit clinics and results in no fiscal impact.
Section 5 reinstates statutory authorization for a student loan
repayment program (SLRP) for in-state providers of primary care and
behavioral health services. This has no direct fiscal impact as DPH
currently operates an SLRP. The program currently receives no funding
from the General Fund; it is supported by federal funding through an
American Rescue Plan Act (ARPA) allocation as well as a grant from the
federal Health Resources and Services Administration. 2025HB-06979-R000116-FN.DOCX Page 3 of 3
The Out Years
The ongoing fiscal impact identified above would continue into the
future.