LEGISLATIVE SERVICES AGENCY OFFICE OF FISCAL AND MANAGEMENT ANALYSIS 200 W. Washington St., Suite 301 Indianapolis, IN 46204 (317) 233-0696 iga.in.gov FISCAL IMPACT STATEMENT LS 6525 NOTE PREPARED: Jan 25, 2024 BILL NUMBER: HB 1138 BILL AMENDED: Jan 25, 2024 SUBJECT: Professional Licensing Matters. FIRST AUTHOR: Rep. Goss-Reaves BILL STATUS: CR Adopted - 1 st House FIRST SPONSOR: FUNDS AFFECTED:XGENERAL IMPACT: State DEDICATED FEDERAL Summary of Legislation: (Amended) Removal of Quality Review References – The bill removes references to a quality review in provisions relating to the licensing of accountants. The bill requires the Indiana Board of Accountancy (Accountancy Board) to adopt rules requiring the firm to allow the administering entity to provide access to the results of its most recently accepted peer review and other objective information to the Accountancy Board. Availability of Peer Review Reports– The bill removes language requiring the administering entity to make a peer review report available to the oversight committee not more than 30 days after the issuance of the peer review report. The bill provides that the results of a peer review may be treated as a complaint submitted by the Accountancy Board. The bill removes language requiring the peer review committee issuing a report to cooperate with an investigation of a complaint. Use of Titles– The bill allows the use of certain titles by an individual who is enrolled in or has graduated from a school or college of architecture or an accredited curriculum of landscape architecture. Social Worker License– The bill allows an individual to take the examination provided by the Behavioral Health and Human Services Licensing Board (BHHS Board) for a license as a social worker if the individual: (1) is enrolled in the last term of the last year of a program leading to a degree that meets the educational requirements; and (2) provides a letter of good standing from the director of the social work department or the director's designee. It specifies requirements for a letter of good standing. Effective Date: July 1, 2024. HB 1138 1 Explanation of State Expenditures: (Revised) Removal of Quality Review References– This provision removes obsolete date references. The Professional Licensing Agency (PLA) would likely not need to update license holders, but if they choose to do so, the administrative workload to the PLA would be routine. (Revised) Availability of Peer Review Reports– The PLA may need to update practitioners and administering entities of the changes made under the bill. It is likely the PLA would be able to make the necessary updates or other implementation within their existing level of resources and staffing. (Revised) Use of Titles– The PLA may need to follow-up with practitioners in the areas of architecture and landscape architecture regarding the use of titles, as described in the bill. This is a routine function of the PLA and can be accomplished within their existing resource levels. Social Worker License– The PLA would likely need to modify their application form and update their operating system to accommodate pre-graduation testing for final term students in social work taking the BHHS Board exam without a license application. The cost of updating the operating system could range up to $38,000 in either existing staff cost (if handled in-house) or as new expenditures (if outsourced to their technology vendor). The actual expenditure impact would depend on any technology upgrades contractually agreed upon between the PLA and their system vendor to make the necessary upgrade. Without an additional appropriation or augmentation, the technology upgrade expenditures would be made from within the PLA’s existing budget. Additionally, the private testing service requires an application, including fees, to be paid to the BHHS Board prior to the student taking the examination. The BHHS Board must then approve these applications prior to allowing the student to take the exam. Allowing additional students to take the exam may result in the BHHS Board and the PLA processing more applications in FY 2025. Additional Information– There were 3,607 social worker and 6,633 clinical social worker active licenses as of June 30, 2023. There were approximately 1,400 new applications in total for both social worker licenses during FY 2023. The National Association of Social Workers (NASW) is the test provider for Indiana social worker licensing. The NASW currently requires a social worker program graduate to submit their application to the BHHS Board, with the Board approving the application, prior to taking the examination for licensure. Explanation of State Revenues: Explanation of Local Expenditures: Explanation of Local Revenues: State Agencies Affected: Behavioral Health and Human Services Licensing Board, Indiana Board of Accountancy, Professional Licensing Agency. Local Agencies Affected: Information Sources: OFMA’s PLA license cost estimator; https://cdn.ymaws.com/www.naswin.org/resource/resmgr/licensing_information_/2021-22_Licensing_se HB 1138 2 ssion_FA.pdf; https://www.in.gov/pla/professions/behavioral-health-and-human-services/behavioral-health-and-human- services-licensing-information/#Bachelor_Social_Worker__LBSW___Bachelor_Level. Fiscal Analyst: Chris Baker, 317-232-9851. HB 1138 3