EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. Underlining indicates amendments to bill. Strike out indicates matter stricken from the bill by amendment or deleted from the law by amendment. *sb0027* SENATE BILL 27 C3 4lr1148 (PRE–FILED) CF HB 383 By: Senators Gile, Beidle, Klausmeier, and Smith Requested: October 24, 2023 Introduced and read first time: January 10, 2024 Assigned to: Finance Reassigned: Education, Energy, and the Environment, January 11, 2024 Committee Report: Favorable Senate action: Adopted Read second time: February 8, 2024 CHAPTER ______ AN ACT concerning 1 Cosmetology Licensure Compact 2 FOR the purpose of entering into the Cosmetology Licensure Compact; establishing criteria 3 for participating states; authorizing an individual practicing cosmetology to practice 4 in a party state under certain circumstances; establishing the Cosmetology 5 Licensure Compact Commission and its duties and powers; providing for the 6 amendment of and withdrawal from the Compact; and generally relating to the 7 Cosmetology Licensure Compact. 8 BY adding to 9 Article – Business Occupations and Professions 10 Section 5–6A–01 to be under the new subtitle “Subtitle 6A. Cosmetology Licensure 11 Compact” 12 Annotated Code of Maryland 13 (2018 Replacement Volume and 2023 Supplement) 14 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 15 That the Laws of Maryland read as follows: 16 Article – Business Occupations and Professions 17 SUBTITLE 6A. COSMETOLOGY LICENSURE COMPACT. 18 2 SENATE BILL 27 5–6A–01. 1 THE COSMETOLOGY LICENSURE COMPACT IS HEREBY ENA CTED AND 2 ENTERED INTO WITH AL L OTHER JURISDICTION S THAT LEGALLY JOIN IN THE 3 COMPACT IN THE FORM S UBSTANTIALLY AS THE COMPACT APPEARS IN TH IS 4 SECTION AS FOLLOWS : 5 ARTICLE 1. PURPOSE. 6 THE PURPOSE OF THIS COMPACT IS TO FACILIT ATE THE INTERSTATE 7 PRACTICE AND REGULAT ION OF COSMETOLOGY WITH THE GOAL OF IMPROVING 8 PUBLIC ACCESS TO , AND THE SAFETY OF, COSMETOLOGY SERVICES AND REDUCING 9 UNNECESSARY BURDENS RELATED TO COSMETOLOGY LICENSURE . THROUGH THIS 10 COMPACT, THE MEMBER STATES SEEK TO ESTABL ISH A REGULATORY FRA MEWORK 11 WHICH PROVIDES FOR A NEW MULTISTATE LICEN SING PROGRAM . THROUGH THIS 12 NEW LICENSING PROGRAM , THE MEMBER STATES SEEK TO PROVID E INCREASED 13 VALUE AND MOBILITY T O LICENSED COSMETOLOGISTS IN THE MEMBER STATES, 14 WHILE ENSURING THE P ROVISION OF SAFE , EFFECTIVE, AND RELIABLE SERVICE S 15 TO THE PUBLIC. 16 THIS COMPACT IS DESIGNED T O ACHIEVE THE FOLLOWING OBJECTI VES AND 17 THE MEMBER STATES HEREBY RATIFY THE SAME INTENTIONS BY SUBSCRIBING 18 HERETO: 19 A. PROVIDE OPPORTUNITIES FOR INTERSTATE PRACT ICE BY 20 COSMETOLOGISTS WHO ME ET UNIFORM REQUIREME NTS FOR MULTISTATE 21 LICENSURE; 22 B. ENHANCE THE ABILITIES OF MEMBER STATES TO PROTECT PUB LIC 23 HEALTH AND SAFETY AN D PREVENT FRAUD AND UNLICENSED ACTIVITY WITHIN THE 24 PROFESSION; 25 C. ENSURE AND ENCOURAGE COOPERATION BETWEEN MEMBER STATES 26 IN THE LICENSURE AND REGULATION OF THE PRACTICE OF COSMETOLOGY ; 27 D. SUPPORT RE LOCATING MILITARY ME MBERS AND THEIR SPOU SES; 28 E. FACILITATE THE EXCHAN GE OF INFORMATION BE TWEEN MEMBER 29 STATES RELATED TO THE LICENSURE, INVESTIGATION , AND DISCIPLINE OF TH E 30 PRACTICE OF COSMETOLOGY ; 31 F. PROVIDE FOR THE LICEN SURE AND MOBILITY OF THE WORKFO RCE IN 32 THE PROFESSION WHILE ADDRESSING THE SHORT AGE OF WORKERS AND L ESSENING 33 SENATE BILL 27 3 THE ASSOCIATED BURDE NS ON THE MEMBER STATES. 1 ARTICLE 2. DEFINITIONS. 2 AS USED IN THIS COMPACT, AND EXCEPT AS OTHERW ISE PROVIDED, THE 3 FOLLOWING DEFINITION S SHALL GOVERN THE TERMS HEREIN : 4 A. “ACTIVE MILITARY MEMBER” MEANS ANY INDIVIDUAL WITH 5 FULL–TIME DUTY STATUS IN THE ARMED FORCES OF THE UNITED STATES, 6 INCLUDING MEMBERS OF THE NATIONAL GUARD AND RESERVE. 7 B. “ADVERSE ACTION” MEANS ANY ADMINISTRA TIVE, CIVIL, EQUITABLE, 8 OR CRIMINAL ACTION PE RMITTED BY A MEMBER STATE’S LAWS WHICH IS IMPO SED 9 BY A STATE LICENSING AUTHORITY OR OTHER RE GULATORY BODY AGAINS T A 10 COSMETOLOGIST , INCLUDING ACTIONS AG AINST AN INDIVIDUAL ’S LICENSE OR 11 AUTHORIZATION TO PRACTICE SUCH AS REVO CATION, SUSPENSION, PROBATION, 12 MONITORING OF THE LICENSEE, LIMITATION OF THE LICENSEE’S PRACTICE, OR ANY 13 OTHER ENCUMBRANCE ON A LICE NSE AFFECTING AN IND IVIDUAL’S ABILITY TO 14 PARTICIPATE IN THE COSMETOLOGY INDUSTRY , INCLUDING THE ISSUAN CE OF A 15 CEASE AND DESIST ORD ER. 16 C. “ALTERNATIVE PROGRAM” MEANS A NON–DISCIPLINARY MONITOR ING 17 OR PROSECUTORIAL DIV ERSION PROGRAM APPRO VED BY A MEMBER STATE’S 18 STATE LICENSING AUTHORITY. 19 D. “AUTHORIZATION TO PRACTICE” MEANS A LEGAL AUTHOR IZATION 20 ASSOCIATED WITH A MULTISTATE LICENSE PERMITT ING THE PRACTICE OF 21 COSMETOLOGY IN THAT REMOTE STATE, WHICH SHALL BE SUBJE CT TO THE 22 ENFORCEMENT JURISDIC TION OF THE STATE LICENSING AUTHORITY IN THAT 23 REMOTE STATE. 24 E. “BACKGROUND CHECK” MEANS THE SUBMISSION OF INFORMATION 25 FOR AN APPLICANT FOR THE PURPOSE OF OBTAINING THAT AP PLICANT’S CRIMINAL 26 HISTORY RECORD INFOR MATION, AS FURTHER DEFINED I N 28 C.F.R. § 20.3(D), 27 FROM THE FEDERAL BUREAU OF INVESTIGATION AND THE AGENCY RESPONSIBLE 28 FOR RETAINING STATE CRIMINAL OR DIS CIPLINARY HISTORY IN THE APPLICANT ’S 29 HOME STATE. 30 F. “CHARTER MEMBER STATE” MEANS MEMBER STATES WHO HAVE 31 ENACTED LEGISLATION TO ADOPT THIS COMPACT WHERE SUCH LE GISLATION 32 PREDATES THE EFFECTI VE DATE OF THIS COMPACT AS DEFINED IN ARTICLE 13. 33 G. “COMMISSION” MEANS THE GOVERNMENT AGENCY WHOSE 34 4 SENATE BILL 27 MEMBERSHIP CONSISTS OF AL L STATES THAT HAVE ENAC TED THIS COMPACT, 1 WHICH IS KNOWN AS TH E COSMETOLOGY LICENSURE COMPACT COMMISSION, AS 2 DEFINED IN ARTICLE 9, AND WHICH SHALL OPER ATE AS AN INSTRUMENT ALITY OF 3 THE MEMBER STATES. 4 H. “COSMETOLOGIST ” MEANS AN INDIVIDU AL LICENSED IN THEIR HOME 5 STATE TO PRACTICE COSMETOLOGY . 6 I. “COSMETOLOGY ”, “COSMETOLOGY SERVICES”, AND THE “PRACTICE 7 OF COSMETOLOGY ” MEAN THE CARE AND SE RVICES PROVIDED BY A 8 COSMETOLOGIST AS SET FORTH IN THE MEMBER STATE’S STATUTES AND 9 REGULATIONS IN THE STATE WHERE THE SERVI CES ARE BEING PROVID ED. 10 J. “CURRENT SIGNIFICANT INVESTIGATIVE INFORMATION ” MEANS: 11 1. INVESTIGATIVE INFORMATION THAT A STATE LICENSING 12 AUTHORITY, AFTER AN INQUIRY OR INVESTIGATION THAT C OMPLIES WITH A 13 MEMBER STATE’S DUE PROCESS REQUIREMENTS , HAS REASON TO BELIEV E IS NOT 14 GROUNDLESS AND , IF PROVED TRUE , WOULD INDICATE A VIO LATION OF THAT 15 STATE’S LAWS REGARDING FRA UD OR THE PRACTICE OF COSMETOLOGY ; OR 16 2. INVESTIGATIVE INFORMATION THAT INDI CATES THAT A 17 LICENSEE HAS ENGAGED IN FRAUD OR REPRESENTS AN I MMEDIATE THREAT TO 18 PUBLIC HEALTH AND SA FETY, REGARDLESS OF WHETHE R THE LICENSEE HAS BEEN 19 NOTIFIED AND HAD AN OPPORTUNITY TO RESPO ND. 20 K. “DATA SYSTEM” MEANS A REPOSITORY O F INFORMATION ABOUT 21 LICENSEES, INCLUDING LICENSE ST ATUS, INVESTIGATIVE INFORMATION , AND 22 ADVERSE ACTIONS. 23 L. “DISQUALIFYING EVENT” MEANS ANY EVENT WHIC H SHALL 24 DISQUALIFY AN INDIVI DUAL FROM HOLDING A MULTISTATE LICENSE UNDER THIS 25 COMPACT, WHICH THE COMMISSION MAY BY RULE OR ORDER SPECIFY . 26 M. “ENCUMBERED LICENSE” MEANS A LICENSE IN WHIC H AN ADVERSE 27 ACTION RESTRICTS THE PRACTICE OF COSMETOLOGY BY A LICENSEE, OR WHERE 28 SAID ADVERSE ACTION HAS BEEN REPOR TED TO THE COMMISSION. 29 N. “ENCUMBRANCE ” MEANS A REVOCATION O R SUSPENSION OF , OR ANY 30 LIMITATION ON, THE FULL AND UNREST RICTED PRACTICE OF COSMETOLOGY BY A 31 STATE LICENSING AUTHORITY. 32 O. “EXECUTIVE COMMITTEE” MEANS A GROUP OF DEL EGATES ELECTED 33 SENATE BILL 27 5 OR APPOINTED TO ACT ON BEHALF OF AND WIT HIN THE POWERS GRANT ED TO THEM 1 BY THE COMMISSION. 2 P. “HOME STATE” MEANS THE MEMBER STATE WHICH IS A LICENSEE’S 3 PRIMARY STATE OF RESIDENCE AN D WHERE THAT LICENSEE HOLDS AN ACT IVE AND 4 UNENCUMBERED LICENSE TO PRACTICE COSMETOLOGY . 5 Q. “INVESTIGATIVE INFORMATION ” MEANS INFORMATION , RECORDS, OR 6 DOCUMENTS RECEIVED O R GENERATED BY A STATE LICENSING AUTHORITY 7 PURSUANT TO AN INVES TIGATION OR OTHER IN QUIRY. 8 R. “JURISPRUDENCE REQUIREMENT ” MEANS THE ASSESSMENT OF AN 9 INDIVIDUAL’S KNOWLEDGE OF THE L AWS AND RULES GOVERN ING THE PRACTICE OF 10 COSMETOLOGY IN A STATE. 11 S. “LICENSEE” MEANS AN INDIVIDUAL WHO CURRENTLY HOLDS A LI CENSE 12 FROM A MEMBER STATE TO PRACTICE AS A COSMETOLOGIST . 13 T. “MEMBER STATE” MEANS ANY STATE THAT HAS ADOPTE D THIS 14 COMPACT. 15 U. “MULTISTATE LICENSE” MEANS A LICENSE ISSU ED BY AND SUBJECT TO 16 THE ENFORCEMENT JURI SDICTION OF THE STATE LICENSING AUTHORITY IN A 17 LICENSEE’S HOME STATE, WHICH AUTHORIZES THE PRACTICE OF COSMETOLOGY 18 IN MEMBER STATES AND INCLUDES AUTHORIZATIONS TO PRACTICE 19 COSMETOLOGY IN ALL REMOTE STATES PURSUANT TO TH IS COMPACT. 20 V. “REMOTE STATE” MEANS ANY MEMBER STATE, OTHER THAN THE 21 LICENSEE’S HOME STATE. 22 W. “RULE” MEANS ANY RULE OR RE GULATION PROMULGATED BY THE 23 COMMISSION UNDER THIS COMPACT THAT HAS THE FORCE OF LAW. 24 X. “SINGLE–STATE LICENSE” MEANS A COSMETOLOGY LICENSE I SSUED 25 BY A MEMBER STATE THAT AUTHORIZES THE PRACTICE OF COSMETOLOGY ONLY 26 WITHIN THE ISSUING STATE AND DOES NOT IN CLUDE ANY AUTHORIZAT ION OUTSIDE 27 OF THE ISSUING STATE. 28 Y. “STATE” MEANS A STATE, TERRITORY, OR POSSESSION OF THE UNITED 29 STATES AND THE DISTRICT OF COLUMBIA. 30 Z. “STATE LICENSING AUTHORITY” MEANS A MEMBER STATE’S 31 REGULATORY BODY RESP ONSIBLE FOR ISSUING COSMETOLOGY LICENSES OR 32 6 SENATE BILL 27 OTHERWISE OVERSEEING THE PRACTICE OF COSMETOLOGY IN THAT STATE. 1 ARTICLE 3. MEMBER STATE REQUIREMENTS . 2 A. TO BE ELIGIBLE TO JOI N THIS COMPACT, AND TO MAINTAIN 3 ELIGIBILITY AS A MEMBER STATE, A STATE MUST: 4 1. LICENSE AND REGULATE COSMETOLOGY ; 5 2. HAVE A MECHANISM OR E NTITY IN PLACE TO RE CEIVE AND 6 INVESTIGATE COMPL AINTS ABOUT LICENSEES PRACTICING IN THAT STATE; 7 3. REQUIRE THAT LICENSEES WITHIN THE STATE PASS A 8 COSMETOLOGY COMPETENC Y EXAMINATION PRIOR TO BEING LICENSED TO 9 PROVIDE COSMETOLOGY SERVICES TO THE PUBLI C IN THAT STATE; 10 4. REQUIRE THAT LICENSEES SATISFY EDU CATIONAL OR TRAINING 11 REQUIREMENTS IN COSMETOLOGY PRIOR TO BEING LICENSED TO PR OVIDE 12 COSMETOLOGY SERVICES TO THE PUBLI C IN THAT STATE; 13 5. IMPLEMENT PROCEDURES FOR CONSIDERING ONE OR MORE OF 14 THE FOLLOWING CATEGO RIES OF I NFORMATION FROM APPL ICANTS FOR 15 LICENSURE: CRIMINAL HISTORY ; DISCIPLINARY HISTORY ; OR BACKGROUND 16 CHECK. SUCH PROCEDURES MAY I NCLUDE THE SUBMISSIO N OF INFORMATION BY 17 APPLICANTS FOR THE P URPOSE OF OBTAINING AN APPLICANT ’S BACKGROUND 18 CHECK AS DEFINED HERE IN; 19 6. PARTICIPATE IN THE DATA SYSTEM, INCLUDING THROUGH TH E 20 USE OF UNIQUE IDENTI FYING NUMBERS ; 21 7. SHARE INFORMATION REL ATED TO ADVERSE ACTIONS WITH THE 22 COMMISSION AND OTHER MEMBER STATES, BOTH THROUGH THE DATA SYSTEM 23 AND OTHERWISE ; 24 8. NOTIFY THE COMMISSION AND OTHER MEMBER STATES, IN 25 COMPLIANCE WITH THE TERMS OF THE COMPACT AND RULES OF THE COMMISSION, 26 OF THE EXISTENCE OF INVESTIGATIVE INFORMATION OR CURRENT SIGNIFICANT 27 INVESTIGATIVE INFORMATION IN THE STATE’S POSSESSION REGARDI NG A 28 LICENSEE PRACTICING IN THAT STATE; 29 9. COMPLY WITH SUCH RULES AS MAY BE ENACT ED BY THE 30 COMMISSION TO ADMINIS TER THE COMPACT; AND 31 SENATE BILL 27 7 10. ACCEPT LICENSEES FROM OTHER MEMBER STATES AS 1 ESTABLISHED HEREIN . 2 B. MEMBER STATES MAY CHARGE A F EE FOR GRANTING A LI CENSE TO 3 PRACTICE COSMETOLOGY . 4 C. INDIVIDUALS NOT RESID ING IN A MEMBER STATE SHALL CONTINUE TO 5 BE ABLE TO APPLY FOR A MEMBER STATE’S SINGLE–STATE LICENSE AS PROVIDED 6 UNDER THE LAWS OF EA CH MEMBER STATE. HOWEVER, THE SINGLE–STATE 7 LICENSE GRANTED TO TH ESE INDIVIDUALS MAY NOT BE RECOGNIZED AS GRA NTING 8 A MULTISTATE LICENSE TO PROVIDE SE RVICES IN ANY OTHER MEMBER STATE. 9 D. NOTHING IN THIS COMPACT SHALL AFFECT THE REQUIREMENTS 10 ESTABLISHED BY A MEMBER STATE FOR THE ISSUANC E OF A SINGLE–STATE 11 LICENSE. 12 E. A MULTISTATE LICENSE ISSUED TO A LICENSEE BY A HOME STATE TO 13 A RESIDENT OF THAT STATE SHALL BE RECOGN IZED BY EACH MEMBER STATE AS 14 AUTHORIZING A LICENSEE TO PRACTICE COSMETOLOGY IN EACH MEMBER STATE. 15 F. AT NO POINT SHALL THE COMMISSION HAVE THE P OWER TO D EFINE 16 THE EDUCATIONAL OR P ROFESSIONAL REQUIREM ENTS FOR A LICENSE T O 17 PRACTICE COSMETOLOGY . THE MEMBER STATES SHALL RETAIN S OLE 18 JURISDICTION OVER TH E PROVISION OF THESE REQUIREMENTS . 19 ARTICLE 4. MULTISTATE LICENSE. 20 A. TO BE ELIGIBLE TO APP LY TO THEIR HOME STATE’S STATE LICENSING 21 AUTHORITY FOR AN INIT IAL MULTISTATE LICENSE UNDER THIS COMPACT, A 22 LICENSEE MUST HOLD AN ACTIVE AND UNENCUMBE RED SINGLE–STATE LICENSE 23 TO PRACTICE COSMETOLOGY IN THEIR HOME STATE. 24 B. UPON THE RECEIPT OF A N APPLICATION FOR A MULTISTATE LICENSE, 25 ACCORDING TO THE RULES OF THE COMMISSION, A MEMBER STATE’S STATE 26 LICENSING AUTHORITY SHALL ASCER TAIN WHETHER THE APP LICANT MEETS THE 27 REQUIREMENTS FOR A MULTISTATE LICENSE UNDER THIS COMPACT. 28 C. IF AN APPLICANT MEETS THE REQUIREMENTS FOR A MULTISTATE 29 LICENSE UNDER THIS COMPACT AND ANY APPLI CABLE RULES OF THE 30 COMMISSION, THE STATE LICENSING AUTHORITY IN RECEIPT OF THE APPLICATION 31 SHALL, WITHIN A REASONABLE TIME, GRANT A MULTISTATE LICENSE TO THAT 32 APPLICANT, AND INFORM ALL MEMBER STATES OF THE GRANT OF SAID 33 MULTISTATE LICENSE. 34 8 SENATE BILL 27 D. A MULTISTATE LICENSE TO PRACTICE COSMETOLOGY ISSUED BY A 1 MEMBER STATE’S STATE LICENSING AUTHORITY SHALL BE RE COGNIZED BY EACH 2 MEMBER STATE AS AUTHORIZING THE PRACTICE THEREOF AS THOUGH THAT 3 LICENSEE HELD A SINGLE–STATE LICENSE TO DO SO IN E ACH MEMBER STATE, 4 SUBJECT TO THE RESTR ICTIONS HEREIN. 5 E. A MULTISTATE LICENSE GRANTED PURSU ANT TO THIS COMPACT MAY 6 BE EFFECTIVE FOR A D EFINITE PERIOD OF TI ME, CONCURRENT WITH THE 7 LICENSURE RENEWAL PE RIOD IN THE HOME STATE. 8 F. TO MAINTAIN A MULTISTATE LICENSE UNDER T HIS COMPACT, A 9 LICENSEE SHALL : 10 1. AGREE TO ABIDE BY THE RULES OF THE STATE LICENSING 11 AUTHORITY, AND THE STATE SCOPE OF PRACTI CE LAWS GOVERNING TH E PRACTICE 12 OF COSMETOLOGY , OF ANY MEMBER STATE IN WHICH THE LICENSEE PROVIDES 13 SERVICES; 14 2. PAY ALL REQUIR ED FEES RELATED TO T HE APPLICATION AND 15 PROCESS AND ANY OTHE R FEES WHICH THE COMMISSION MAY BY RULE REQUIRE; 16 AND 17 3. COMPLY WITH ANY AND A LL OTHER REQUIREMENT S REGARDING 18 MULTISTATE LICENSES WHICH THE COMMISSION MAY BY RULE PROVIDE. 19 G. A LICENSEE PRACT ICING IN A MEMBER STATE IS SUBJECT TO A LL 20 SCOPE OF PRACTICE LA WS GOVERNING COSMETOLOGY SERVICES IN THAT STATE. 21 H. THE PRACTICE OF COSMETOLOGY UNDER A MULTISTATE LICENSE 22 GRANTED PURSUANT TO THIS COMPACT SHALL SUBJECT THE LICENSEE TO THE 23 JURISDICTION OF T HE STATE LICENSING AUTHORITY, THE COURTS, AND THE LAWS 24 OF THE MEMBER STATE IN WHICH THE COSMETOLOGY SERVICES ARE PROVIDED . 25 ARTICLE 5. REISSUANCE OF A MULTISTATE LICENSE BY A NEW HOME STATE. 26 A. A LICENSEE MAY HOLD A MULTISTATE LICENSE, ISSUED BY THEIR 27 HOME STATE, IN ONLY ONE MEMBER STATE AT ANY GIVEN TI ME. 28 B. IF A LICENSEE CHANGES THEI R HOME STATE BY MOVING BETWE EN 29 TWO MEMBER STATES: 30 1. THE LICENSEE SHALL IMMEDI ATELY APPLY FOR THE 31 SENATE BILL 27 9 REISSUANCE OF THEIR MULTISTATE LICENSE IN THEIR NEW HOME STATE. THE 1 LICENSEE SHALL PAY AL L APPLICABLE FEES AN D NOTIFY THE PRIOR HOME STATE 2 IN ACCORDANCE WITH T HE RULES OF THE COMMISSION. 3 2. UPON RECEIPT OF AN AP PLICATION TO REISSUE A MULTISTATE 4 LICENSE, THE NEW HOME STATE SHALL VERIFY TH AT THE MULTISTATE LICENSE 5 IS ACTIVE, UNENCUMBERED , AND ELIGIBLE FOR REI SSUANCE UNDER THE TE RMS OF 6 THE COMPACT AND THE RULES OF THE COMMISSION. THE MULTISTATE LICENSE 7 ISSUED BY THE PRIOR HOME STATE WILL BE DEACTIV ATED AND ALL MEMBER 8 STATES NOTIFIED IN AC CORDANCE WITH THE AP PLICABLE RULES ADOPTED BY THE 9 COMMISSION. 10 3. IF REQUIRED FOR INITI AL LICENSURE , THE NEW HOME STATE 11 MAY REQUIRE A BACKGROUND CHECK AS SPECIFIED IN THE LAWS OF THAT STATE 12 OR THE COMPLIANCE WI TH ANY JURISPRUDENCE REQUIREMENTS OF THE N EW 13 HOME STATE. 14 4. NOTWITHSTANDING ANY O THER PROVISION OF TH IS COMPACT, IF 15 A LICENSEE DOES NOT MEE T THE REQUIREMENTS S ET FORTH IN THIS COMPACT 16 FOR THE REISSUANCE O F A MULTISTATE LICENSE BY THE NEW HOME STATE, THEN 17 THE LICENSEE SHALL BE SUB JECT TO THE NEW HOME STATE REQUIREME NTS FOR 18 THE ISSUANCE OF A SINGLE–STATE LICENSE IN THAT STATE. 19 C. IF A LICENSEE CHANGES THEI R PRIMARY STATE OF RESIDENCE BY 20 MOVING FROM A MEMBER STATE TO A NON –MEMBER STATE, OR FROM A 21 NON–MEMBER STATE TO A MEMBER STATE, THEN THE LICENSEE SHALL BE 22 SUBJECT TO THE STATE REQUIREMENTS FO R THE ISSUANCE OF A SINGLE–STATE 23 LICENSE IN THE NEW HOME STATE. 24 D. NOTHING IN THIS COMPACT SHALL INTERFE RE WITH A LICENSEE’S 25 ABILITY TO HOLD A SINGLE–STATE LICENSE IN MULTIPLE STATES; HOWEVER FOR 26 THE PURPOSES OF THIS COMPACT, A LICENSEE SHALL HAVE O NLY ONE HOME 27 STATE AND ONLY ONE MULTISTATE LICENSE. 28 E. NOTHING IN THIS COMPACT MAY INTERFERE WITH THE REQUIREMENT S 29 ESTABLISHED BY A MEMBER STATE FOR THE ISSUANC E OF A SINGLE–STATE 30 LICENSE. 31 ARTICLE 6. AUTHORITY OF THE COMPACT COMMISSION AND MEMBER STATE 32 LICENSING AUTHORITIES. 33 A. NOTHING IN THIS COMPACT, NOR ANY RULE OR REGULATION OF THE 34 COMMISSION, MAY BE CONSTRUED TO LIMIT, RESTRICT, OR IN ANY WAY REDUCE 35 10 SENATE BILL 27 THE ABILITY OF A MEMBER STATE TO ENACT AND EN FORCE LAWS, REGULATIONS , 1 OR OTHER RULES RELATE D TO THE PRACTICE OF COSMETOLOGY IN THAT STATE, 2 IF THOSE LAWS, REGULATIONS , OR OTHER RULES ARE N OT INCONSISTENT WITH THE 3 PROVISIONS OF THIS COMPACT. 4 B. INSOFAR AS PRACTICAL , A MEMBER STATE’S STATE LICENSING 5 AUTHORITY SHALL COOPE RATE WITH THE COMMISSION AND WITH E ACH ENTITY 6 EXERCISING INDEPENDE NT REGULATORY AUTHOR ITY OVER THE PRACTICE OF 7 COSMETOLOGY ACCORDING TO THE PROVISIONS OF THIS COMPACT. 8 C. DISCIPLINE SHALL BE T HE SOLE RESPONSIBILI TY OF THE STATE IN 9 WHICH COSMETOLOGY SERVICES ARE PROVIDED . ACCORDINGLY , EACH MEMBER 10 STATE’S STATE LICENSING AUTHORITY SHALL BE RE SPONSIBLE FOR RECEIV ING 11 COMPLAINTS ABOUT IND IVIDUALS PRACTICING COSMETOLOGY IN THAT STATE AND 12 FOR COMMUNICATING AL L RELEVANT INVESTIGATIVE INFORMATION ABOUT ANY 13 SUCH ADVERSE ACTION TO THE OTHER MEMBER STATES THROUGH THE DATA 14 SYSTEM IN ADDITION TO ANY OTHER METHODS TH E COMMISSION MAY BY RULE 15 REQUIRE. 16 ARTICLE 7. ADVERSE ACTIONS. 17 A. A LICENSEE’S HOME STATE SHALL HAVE EXCL USIVE POWER TO IMPOS E 18 AN ADVERSE ACTION AGAINST A LICENSEE’S MULTISTATE LICENSE ISSUED BY THE 19 HOME STATE. 20 B. A HOME STATE MAY TAKE ADVERSE ACTION ON A MULTISTATE 21 LICENSE BASED ON THE INVESTIGATIVE INFORMATION , CURRENT SIGNIFICANT 22 INVESTIGATIVE INFORMATION , OR ADVERSE ACTION OF A REMOTE STATE. 23 C. IN ADDITION TO THE POWE RS CONFERRED BY STATE LAW, EACH 24 REMOTE STATE’S STATE LICENSING AUTHORITY SHALL HAVE THE POWER TO : 25 1. TAKE ADVERSE ACTION AGAINST A LICENSEE’S AUTHORIZATION 26 TO PRACTICE COSMETOLOGY THROUGH T HE MULTISTATE LICENSE IN THAT 27 MEMBER STATE, PROVIDED THAT : 28 A. ONLY THE LICENSEE’S HOME STATE SHALL HAVE THE 29 POWER TO TAKE ADVERSE ACTION AGAINST THE MULTISTATE LICENSE ISSUED BY 30 THE HOME STATE; AND 31 B. FOR THE PURPOSES OF T AKING ADVERSE ACTION, THE 32 HOME STATE’S STATE LICENSING AUTHORITY SHALL GIVE THE SAME PRIORITY 33 AND EFFECT TO REPORT ED CONDUCT RECEIVED FROM A REMOTE STATE AS IT 34 SENATE BILL 27 11 WOULD IF THE CONDUCT HAD OCCURRED WITHIN THE HOME STATE. IN SO DOING, 1 THE HOME STATE SHALL APPLY ITS OWN STATE LAWS TO DETERMI NE THE 2 APPROPRIATE ACTION . 3 2. ISSUE CEASE AND DESIST ORDERS OR IMPOSE AN ENCUMBRANCE 4 ON A LICENSEE’S AUTHORIZATION TO PRACTICE WITHIN THAT MEMBER STATE. 5 3. COMPLETE ANY PENDING INVESTIGATIONS OF A LICENSEE WHO 6 CHANGES THEIR PRIMAR Y STATE OF RESIDENCE DU RING THE COURSE OF S UCH AN 7 INVESTIGATION. THE STATE LICENSING AUTHORITY MAY REPORT THE RESULTS OF 8 AN INVESTIGATION TO THE COMMISSION THROUGH TH E DATA SYSTEM AS 9 DESCRIBED HEREIN . 10 4. ISSUE SUBPOENAS FOR B OTH HEARINGS AND INV ESTIGATIONS 11 THAT REQUIRE THE ATT ENDANCE AND TESTIMON Y OF WITNESSES, AS WELL AS THE 12 PRODUCTION OF EVIDEN CE. SUBPOENAS ISSUED BY A STATE LICENSING 13 AUTHORITY IN A MEMBER STATE FOR THE ATTENDA NCE AND TESTIMONY OF 14 WITNESSES OR THE PRO DUCTION OF EVIDENCE FROM ANOTHER MEMBER STATE 15 SHALL BE ENFORCED IN THE LATTER STATE BY ANY COURT OF COMPETENT 16 JURISDICTION, ACCORDING TO THE PRA CTICE AND PROCEDURE OF THAT COURT 17 APPLICABLE TO SUBPOE NAS ISSUED IN PROCEE DINGS BEFORE IT . THE ISSUING 18 STATE LICENSING AUTHORITY SHALL PAY A NY WITNESS FEES , TRAVEL EXPENSES , 19 MILEAGE, AND OTHER FEES REQU IRED BY THE SERVICE STATUTES OF THE STATE IN 20 WHICH THE WITNESSES OR EVIDENCE ARE LOCA TED. 21 5. IF OTHERWISE PERMITTE D BY STATE LAW, RECOVER FROM THE 22 AFFECTED LICENSEE THE COSTS OF INVESTIGATIONS AND D ISPOSITION OF CASES 23 RESULTING FROM ANY ADVERSE ACTION TAKEN AGAINST THAT LICENSEE. 24 6. TAKE ADVERSE ACTION AGAINST THE LICENSEE’S 25 AUTHORIZATION TO PRACTICE IN THAT STATE BASED ON THE FA CTUAL FINDINGS 26 OF ANOTHER REMOTE STATE. 27 D. A LICENSEE’S HOME STATE SHALL COMPLETE ANY PENDING 28 INVESTIGATION OF A COSMETOLOGIST WHO CHANGES TH EIR PRIMARY STATE OF 29 RESIDENCE DURING THE COURSE OF THE INVEST IGATION. THE HOME STATE SHALL 30 ALSO HAVE THE AUTHOR ITY TO TAKE APPROPRI ATE ACTION AND SHALL PROMPTLY 31 REPORT THE CONCLUSIO NS OF THE INVESTIGAT IONS TO THE DATA SYSTEM. 32 E. IF AN ADVERSE ACTION IS TAKEN BY TH E HOME STATE AGAINST A 33 LICENSEE’S MULTISTATE LICENSE, THE LICENSEE’S AUTHORIZATION TO 34 PRACTICE IN ALL OTHER MEMBER STATES SHALL BE DEACT IVATED UNTIL ALL 35 ENCUMBRANCES HAVE BEE N REMOVED FROM THE HOME STATE LICENSE. ALL 36 12 SENATE BILL 27 HOME STATE DISCIPLINARY ORD ERS THAT IMPOSE AN ADVERSE ACTION AGAINST 1 A LICENSEE’S MULTISTATE LICENSE SHALL INCLUDE A STATEMENT THAT THE 2 COSMETOLOGIST ’S AUTHORIZATION TO PRACTICE IS DEACTIVAT ED IN ALL 3 MEMBER STATES DURING THE PEN DENCY OF THE ORDER . 4 F. NOTHING IN THIS COMPACT SHALL OVERRID E A MEMBER STATE’S 5 AUTHORITY TO ACCEPT A LICENSEE’S PARTICIPATION IN A N ALTERNATIVE 6 PROGRAM IN LIEU OF ADVERSE ACTION. A LICENSEE’S MULTISTATE LICENSE 7 SHALL BE SUSPENDED F OR THE DURATION OF T HE LICENSEE’S PARTICIPATION IN 8 ANY ALTERNATIVE PROGRAM. 9 G. JOINT INVESTIGATIONS . 10 1. IN ADDITION TO THE AU THORITY GRANTED TO A MEMBER STATE 11 BY ITS RESPECTIVE SC OPE OF PRACTICE LAWS OR OTHER APPLICABLE STATE LAW, 12 A MEMBER STATE MAY PARTICIPATE WITH OTHER MEMBER STATES IN JOINT 13 INVESTIGATIONS OF LICENSEES. 14 2. MEMBER STATES SHALL SHARE AN Y INVESTIGATIVE, LITIGATION, 15 OR COMPLIANCE MATERI ALS IN FURTHERANCE O F ANY JOINT OR INDIV IDUAL 16 INVESTIGATION INITIA TED UNDER THE COMPACT. 17 ARTICLE 8. ACTIVE MILITARY MEMBERS AND THEIR SPOUSES. 18 ACTIVE MILITARY MEMBERS, OR THEIR SPOUSES , SHALL DESIGNATE A HOME 19 STATE WHERE THE INDIV IDUAL HAS A CURRENT LICENSE TO PRACTICE 20 COSMETOLOGY IN GOOD S TANDING. THE INDIVIDUAL MAY RE TAIN THEIR HOME 21 STATE DESIGNATION DUR ING ANY PERIOD OF SE RVICE WHEN THAT INDI VIDUAL OR 22 THEIR SPOUSE IS ON A CTIVE DUTY ASSIGNMEN T. 23 ARTICLE 9. ESTABLISHMENT AND OPERATION OF THE COSMETOLOGY LICENSURE 24 COMPACT COMMISSION. 25 A. THE COMPACT MEMBER STATES HEREBY CREATE AND ESTABLISH A 26 JOINT GOVERNMENT AGE NCY WHOSE MEMBERSHIP CONSISTS OF ALL MEMBER 27 STATES THAT HAVE ENAC TED THE COMPACT KNOWN AS THE COSMETOLOGY 28 LICENSURE COMPACT COMMISSION. THE COMMISSION IS AN INST RUMENTALITY 29 OF THE COMPACT MEMBER STATES ACTING JOINTLY AND NOT AN 30 INSTRUMENTALITY OF A NY ONE STATE. THE COMMISSION SHALL COME INTO 31 EXISTENCE ON OR AFTE R THE EFFECTIVE DATE OF THE COMPACT AS SET FORTH IN 32 ARTICLE 13. 33 B. MEMBERSHIP, VOTING, AND MEETINGS. 34 SENATE BILL 27 13 1. EACH MEMBER STATE SHALL HAVE AND BE LIMITED TO ONE 1 DELEGATE SELECTED BY THAT MEMBER STATE’S STATE LICENSING AUTHORITY. 2 2. THE DELEGATE SHALL BE AN ADMINISTRATOR OF THE STATE 3 LICENSING AUTHORITY OF THE MEMBER STATE OR THEIR DESIGN EE. 4 3. THE COMMISSION SHALL BY RULE OR BYLAW ESTABLI SH A TERM 5 OF OFFICE FOR DELEGA TES AND MAY BY RULE OR BYLAW ESTABLI SH TERM LIMITS. 6 4. THE COMMISSION MAY RECOMM END REMOVAL OR SUSPE NSION 7 OF ANY DELEGATE FROM OFFICE. 8 5. A MEMBER STATE’S STATE LICENSING AUTHORITY SHALL FILL 9 ANY VACANCY OF ITS D ELEGATE OCCURRING ON THE COMMISSION WITHIN 60 DAYS 10 OF THE VACANCY . 11 6. EACH DELEGATE SHALL B E ENTITLED TO ONE VOTE O N ALL 12 MATTERS THAT ARE VOT ED ON BY THE COMMISSION. 13 7. THE COMMISSION SHALL MEET AT LEAST ONCE DURING EACH 14 CALENDAR YEAR . ADDITIONAL MEETINGS M AY BE HELD AS SET FO RTH IN THE 15 BYLAWS. THE COMMISSION MAY MEET B Y TELECOMMUNICATION , VIDEO 16 CONFERENCE , OR OTHER SIMILAR ELE CTRONIC MEANS . 17 C. THE COMMISSION SHALL HAV E THE FOLLOWING POWE RS: 18 1. ESTABLISH THE FISCAL YEAR OF THE COMMISSION; 19 2. ESTABLISH A CODE OF C ONDUCT AND CONFLICT OF INTEREST 20 POLICIES; 21 3. ADOPT RULES AND BYLAWS ; 22 4. MAINTAIN ITS FINANCIA L RECORDS IN ACCORDA NCE WITH THE 23 BYLAWS; 24 5. MEET AND TAKE SUCH ACTIONS AS ARE CONSISTENT WI TH THE 25 PROVISIONS OF THIS COMPACT, THE COMMISSION’S RULES, AND THE BYLAWS ; 26 6. INITIATE AND CONCLUDE LEGAL PROCEEDINGS OR ACTIONS IN 27 THE NAME OF THE COMMISSION, PROVIDED THAT THE ST ANDING OF ANY STATE 28 LICENSING AUTHORITY TO SUE OR BE SUED UNDER APPLICABL E LAW MAY NOT BE 29 14 SENATE BILL 27 AFFECTED; 1 7. MAINTAIN AND CERTIFY RECORDS AND INFORMAT ION PROVIDED 2 TO A MEMBER STATE AS THE AUTHENTI CATED BUSINESS RECOR DS OF THE 3 COMMISSION AND DESIGN ATE AN AGENT TO DO S O ON THE COMMISSION’S BEHALF; 4 8. PURCHASE AND MAINTAIN INSURANCE AND BONDS ; 5 9. BORROW, ACCEPT, OR CONTRACT FOR SERV ICES OF PERSONNEL , 6 INCLUDING EMPLOYEES OF A MEMBER STATE; 7 10. CONDUCT AN ANNUAL FIN ANCIAL REVIEW ; 8 11. HIRE EMPLOYEES , ELECT OR APPOINT OFF ICERS, FIX 9 COMPENSATION, DEFINE DUTIES , GRANT SUCH INDIVIDUA LS APPROPRIATE 10 AUTHORITY TO CARRY O UT THE PURPOSES OF T HE COMPACT, AND ESTABLISH THE 11 COMMISSION’S PERSONNEL POLICIES AND PROGRAMS RELATIN G TO CONFLICTS OF 12 INTEREST, QUALIFICATIONS OF PE RSONNEL, AND OTHER RELATED PERSONNEL 13 MATTERS; 14 12. AS SET FORTH IN THE COMMISSION RULES, CHARGE A FEE TO A 15 LICENSEE FOR THE GRAN T OF A MULTISTATE LICENSE AND THEREAFTE R, AS MAY 16 BE ESTABLISHED BY COMMISSION RULE, CHARGE THE LICENSEE A MULTISTATE 17 LICENSE RENEWAL FEE F OR EACH RENEWA L PERIOD. NOTHING HEREIN MAY BE 18 CONSTRUED TO PREVENT A HOME STATE FROM CHARGING A LICENSEE A FEE FOR 19 A MULTISTATE LICENSE OR RENEWALS O F A MULTISTATE LICENSE, OR A FEE FOR 20 THE JURISPRUDENCE REQUIREMENT IF THE MEMBER STATE IMPOSES SUCH A 21 REQUIREMENT FOR THE GRANT OF A MULTISTATE LICENSE; 22 13. ASSESS AND COLLECT FE ES; 23 14. ACCEPT ANY AND ALL AP PROPRIATE GIFTS , DONATIONS, GRANTS 24 OF MONEY, OTHER SOURCES OF REV ENUE, EQUIPMENT, SUPPLIES, MATERIALS, AND 25 SERVICES, AND RECEIVE, UTILIZE, AND DISPOSE OF THE S AME; PROVIDED THAT AT 26 ALL TIMES THE COMMISSION SHALL AVOI D ANY APPEARANCE OF IMPROPRIETY OR 27 CONFLICT OF INTEREST ; 28 15. LEASE, PURCHASE, RETAIN, OWN, HOLD, IMPROVE, OR USE ANY 29 PROPERTY, REAL, PERSONAL, OR MIXED, OR ANY UNDIVIDED INT EREST THEREIN ; 30 16. SELL, CONVEY, MORTGAGE , PLEDGE, LEASE, EXCHANGE, 31 ABANDON, OR OTHERWISE DISPOSE OF ANY PROPERTY , REAL, PERSONAL, OR MIXED; 32 SENATE BILL 27 15 17. ESTABLISH A BUDGET AN D MAKE EXPENDITURES ; 1 18. BORROW MONEY ; 2 19. APPOINT COMMITTEES , INCLUDING STANDING C OMMITTEES, 3 COMPOSED OF MEMBERS , STATE REGULATORS , STATE LEGISLATORS OR THEIR 4 REPRESENTATIVES , AND CONSUMER REPRESE NTATIVES, AND SUCH OTHER 5 INTERESTED PERSONS A S MAY BE DESIGNATED IN THIS COMPACT AND THE BYLAW S; 6 20. PROVIDE AND RECEIVE I NFORMATION FROM AND COOPERATE 7 WITH LAW ENFORCEMENT AGENCIES; 8 21. ELECT A CHAIR, VICE CHAIR, SECRETARY AND TREASURER AND 9 SUCH OTHER OFFICERS OF THE COMMISSION AS PROVIDE D IN THE COMMISSION’S 10 BYLAWS; 11 22. ESTABLISH AND ELECT A N EXECUTIVE COMMITTEE, INCLUDING 12 A CHAIR AND A VICE CHAIR; 13 23. ADOPT AND PROVIDE TO THE MEMBER STATES AN ANNUAL 14 REPORT; 15 24. DETERMINE WHETHER A STATE’S ADOPTED LANGUAGE I S 16 MATERIALLY DIFFERENT FROM THE MODEL COMPACT LANGUAGE SUCH THAT THE 17 STATE WOULD NOT QUALIFY FOR PART ICIPATION IN THE COMPACT; AND 18 25. PERFORM SUCH OTHER FU NCTIONS AS MAY BE NE CESSARY OR 19 APPROPRIATE TO ACHIE VE THE PURPOSES OF T HIS COMPACT. 20 D. THE EXECUTIVE COMMITTEE. 21 1. THE EXECUTIVE COMMITTEE SHALL HAVE THE POWER TO ACT ON 22 BEHALF OF THE COMMISSION ACCORDING TO THE TERMS OF THIS COMPACT. THE 23 POWERS, DUTIES, AND RESPONSIBILITIES OF THE EXECUTIVE COMMITTEE SHALL 24 INCLUDE: 25 A. OVERSEEING THE DAY –TO–DAY ACTIVITIES OF TH E 26 ADMINISTRATION OF THE COMPACT INCLUDING COM PLIANCE WITH THE 27 PROVISIONS OF THE COMPACT, THE COMMISSION’S RULES AND BYLAWS , AND SUCH 28 OTHER DUTIES AS DEEM ED NECESSARY ; 29 B. RECOMMENDING TO THE COMMISSION CHANGES TO THE 30 RULES OR BYLAWS , CHANGES TO THIS COMPACT LEGISLATION, FEES CHARGED TO 31 16 SENATE BILL 27 COMPACT MEMBER STATES, FEES CHARGED TO LICENSEES, AND OTHER FEES ; 1 C. ENSURING COMPACT ADMINISTRATIO N SERVICES ARE 2 APPROPRIATELY PROVID ED, INCLUDING BY CONTRAC T; 3 D. PREPARING AND RECOMME NDING THE BUDGET ; 4 E. MAINTAINING FINANCIAL RECOR DS ON BEHALF OF THE 5 COMMISSION; 6 F. MONITORING COMPACT COMPLIANCE OF MEMBER STATES 7 AND PROVIDING COMPLI ANCE REPORTS TO THE COMMISSION; 8 G. ESTABLISHING ADDITION AL COMMITTEES AS NEC ESSARY; 9 H. EXERCISING THE POWERS AND DUTIES O F THE 10 COMMISSION DURING THE INTERIM BETWEEN COMMISSION MEETINGS , EXCEPT 11 FOR ADOPTING OR AMEN DING RULES, ADOPTING OR AMENDING BYLAWS, AND 12 EXERCISING ANY OTHER POWERS AND DUTIES EX PRESSLY RESERVED TO THE 13 COMMISSION BY RULE OR BYLAW ; AND 14 I. OTHER DUTIES A S PROVIDED IN THE RULES OR BYLAWS OF 15 THE COMMISSION. 16 2. THE EXECUTIVE COMMITTEE SHALL BE CO MPOSED OF UP TO 17 SEVEN VOTING MEMBERS . 18 A. THE CHAIR AND VICE CHAIR OF THE COMMISSION AND ANY 19 OTHER MEMBERS OF THE COMMISSION WHO SERVE ON THE EXECUTIVE 20 COMMITTEE SHALL BE VOTING MEMBERS OF THE EXECUTIVE COMMITTEE; AND 21 B. OTHER THAN THE CHAIR, VICE CHAIR, SECRETARY AND 22 TREASURER, THE COMMISSION SHALL ELEC T THREE VOTING MEMBE RS FROM THE 23 CURRENT MEMBERSHIP O F THE COMMISSION. 24 C. THE COMMISSION MAY ELECT EX OFFICIO, NONVOTING 25 MEMBERS FROM A RECOG NIZED NATIONAL COSMETOLOGY PROFESSIO NAL 26 ASSOCIATION AS APPRO VED BY THE COMMISSION. THE COMMISSION’S BYLAWS 27 SHALL IDENTIFY QUALI FYING ORGANIZATIONS AND THE MANNER OF AP POINTMENT 28 IF THE NUMBE R OF ORGANIZATIONS S EEKING TO APPOINT AN EX OFFICIO MEMBER 29 EXCEEDS THE NUMBER O F MEMBERS SPECIFIED IN THIS ARTICLE. 30 3. THE COMMISSION MAY REMOVE ANY MEMBER OF THE EXECUTIVE 31 SENATE BILL 27 17 COMMITTEE AS PROVIDED IN THE COMMISSION’S BYLAWS. 1 4. THE EXECUTIVE COMMITTEE SHALL MEET AT LEAST ANNUALLY. 2 A. ANNUAL EXECUTIVE COMMITTEE MEETINGS , AS WELL AS 3 ANY EXECUTIVE COMMITTEE MEETING AT WHICH IT DOES NOT TA KE OR INTEND TO 4 TAKE FORMAL ACTION O N A MATTER FOR WHICH A COMMISSION VOTE WOULD 5 OTHERWISE BE REQUIRE D, SHALL BE O PEN TO THE PUBLIC , EXCEPT THAT THE 6 EXECUTIVE COMMITTEE MAY MEET IN A CLOSED, NON–PUBLIC SESSION OF A 7 PUBLIC MEETING WHEN DEALING WITH ANY OF THE MATTERS COVERED UNDER 8 ARTICLE 9.F.4. 9 B. THE EXECUTIVE COMMITTEE SHALL GIVE 5 BUSINESS DAYS 10 ADVANCE NOTICE OF ITS PUBLIC MEETIN GS, POSTED ON ITS WEBSIT E AND AS 11 DETERMINED TO PROVID E NOTICE TO PERSONS WITH AN INTEREST IN THE PUBLIC 12 MATTERS THE EXECUTIVE COMMITTEE INTENDS TO ADDRESS AT THOSE MEE TINGS. 13 5. THE EXECUTIVE COMMITTEE MAY HOLD AN EMERGENCY 14 MEETING W HEN ACTING FOR THE COMMISSION TO : 15 A. MEET AN IMMINENT THRE AT TO PUBLIC HEALTH , SAFETY, 16 OR WELFARE; 17 B. PREVENT A LOSS OF COMMISSION OR MEMBER STATE 18 FUNDS; OR 19 C. PROTECT PUBLIC HEALTH AND SAFETY. 20 E. THE COMMISSION SHALL ADOP T AND PROVIDE TO T HE MEMBER 21 STATES AN ANNUAL REPO RT. 22 F. MEETINGS OF THE COMMISSION. 23 1. ALL MEETINGS OF THE COMMISSION THAT ARE N OT CLOSED 24 PURSUANT TO ARTICLE 9.F.4. SHALL BE OPEN TO THE PUBLIC. NOTICE OF PUBLIC 25 MEETINGS SHALL BE PO STED ON THE COMMISSION’S WEBSITE AT LE AST 30 DAYS 26 PRIOR TO THE PUBLIC MEETING. 27 2. NOTWITHSTANDING ARTICLE 9.F.1., THE COMMISSION MAY 28 CONVENE AN EMERGENCY PUBLIC MEETING BY PR OVIDING AT LEAST 24 HOURS 29 PRIOR NOTICE ON THE COMMISSION’S WEBSITE, AND ANY OTHER MEANS AS 30 PROVIDED IN THE COMMISSION’S RULES, FOR ANY OF THE REASO NS IT MAY 31 DISPENSE WITH NOTICE OF PROPOSED RULEMAKI NG UNDER ARTICLE 11.L. THE 32 18 SENATE BILL 27 COMMISSION’S LEGAL COUNSEL SHAL L CERTIFY THAT ONE O F THE REASONS 1 JUSTIFYING AN EMERGE NCY PUBLIC MEETING H AS BEEN MET. 2 3. NOTICE OF ALL COMMISSION MEETINGS S HALL PROVIDE THE 3 TIME, DATE, AND LOCATION OF THE MEETING, AND IF THE MEETING I S TO BE HELD 4 OR ACCESSIBLE VIA TE LECOMMUNICATION , VIDEO CONFERENCE , OR OTHER 5 ELECTRONIC MEANS , THE NOTICE SHALL INC LUDE THE MECHANISM F OR ACCESS TO 6 THE MEETING. 7 4. THE COMMISSION MAY CONVEN E IN A CLOSED , NON–PUBLIC 8 MEETING FOR THE COMMISSION TO DISCUSS : 9 A. NON–COMPLIANCE OF A MEMBER STATE WITH ITS 10 OBLIGATIONS UNDER TH E COMPACT; 11 B. THE EMPLOYMENT , COMPENSATION , DISCIPLINE OR OTHER 12 MATTERS, PRACTICES OR PROCEDU RES RELATED TO SPECI FIC EMPLOYEES OR 13 OTHER MATTERS RELATE D TO THE COMMISSION’S INTERNAL PERSONNEL 14 PRACTICES AND PROCED URES; 15 C. CURRENT OR THREATENED DISCIPLINE OF A LICENSEE BY 16 THE COMMISSION OR BY A MEMBER STATE’S LICENSING AUTHORITY; 17 D. CURRENT, THREATENED , OR REASONABLY ANTICI PATED 18 LITIGATION; 19 E. NEGOTIATION OF CONTRA CTS FOR THE PURCHASE , LEASE, 20 OR SALE OF GOODS , SERVICES, OR REAL ESTATE ; 21 F. ACCUSING ANY PERSON O F A CRIME OR FORMALL Y 22 CENSURING ANY PERSON ; 23 G. TRADE SECRETS OR COMM ERCIAL OR FINANCIAL 24 INFORMATION THAT IS PRIVILEGED OR CONFID ENTIAL; 25 H. INFORMATION OF A PERS ONAL NATURE WHERE 26 DISCLOSURE WOULD CON STITUTE A CLEARLY UN WARRANTED INVASION O F 27 PERSONAL PRIVACY ; 28 I. INVESTIGATIVE RECORDS COMPILED FOR LAW 29 ENFORCEMENT PURPOSES ; 30 J. INFORMATION RELATED T O ANY INVESTIGATIVE REPORTS 31 SENATE BILL 27 19 PREPARED BY OR ON BE HALF OF OR FOR USE O F THE COMMISSION OR OTHER 1 COMMITTEE CHARGED WI TH RESPONSIBILITY OF INVESTIGATION OR 2 DETERMINATION OF COM PLIANCE ISSUES PURSU ANT TO THE COMPACT; 3 K. LEGAL ADVICE; 4 L. MATTERS SPECIFICALLY EXEMPTED FROM DISCLO SURE TO 5 THE PUBLIC BY FEDERA L OR MEMBER STATE LAW; OR 6 M. OTHER MATTERS AS PROM ULGATED BY THE COMMISSION 7 BY RULE. 8 5. IF A MEETING , OR PORTION OF A MEET ING, IS CLOSED, THE 9 PRESIDING OFFICER SH ALL STATE THAT THE M EETING WILL BE CLOSE D AND 10 REFERENCE EACH RELEV ANT EXEMPTING PROVIS ION, AND SUCH REFERENCE 11 SHALL BE RECORDED IN THE MINUTES. 12 6. THE COMMISSION SHALL KEEP MINUTES THAT FULLY AND 13 CLEARLY DESCRIBE ALL MATTERS DISCUSSED IN A MEETING AND SHALL PROVIDE A 14 FULL AND ACCURATE SU MMARY OF ACTIONS TAK EN, AND THE REASONS THER EFOR, 15 INCLUDING A DESCRIPT ION OF THE VIEWS EXP RESSED. ALL DOCUMENTS 16 CONSIDERED IN CONNEC TION WITH AN A CTION SHALL BE IDENT IFIED IN SUCH 17 MINUTES. ALL MINUTES AND DOCUM ENTS OF A CLOSED MEE TING SHALL REMAIN 18 UNDER SEAL , SUBJECT TO RELEASE O NLY BY A MAJORITY VO TE OF THE 19 COMMISSION OR ORDER O F A COURT OF COMPETE NT JURISDICTION . 20 G. FINANCING OF THE COMMISSION. 21 1. THE COMMISSION SHALL PAY , OR PROVIDE FOR THE P AYMENT 22 OF, THE REASONABLE EXPEN SES OF ITS ESTABLISH MENT, ORGANIZATION , AND 23 ONGOING ACTIVITIES . 24 2. THE COMMISSION MAY ACCEPT ANY AND ALL APPROPRI ATE 25 SOURCES OF REVENUE , DONATIONS, AND GRANTS OF MONEY , EQUIPMENT, 26 SUPPLIES, MATERIALS, AND SERVICES. 27 3. THE COMMISSION MAY LEVY O N AND COLLECT AN ANN UAL 28 ASSESSMENT FROM EACH MEMBER STATE AND IMPOSE FEES ON LICENSEES OF 29 MEMBER STATES TO WHOM IT GRA NTS A MULTISTATE LICENSE TO COVER THE 30 COST OF THE OPERATIO NS AND ACTIVITIES OF TH E COMMISSION AND ITS ST AFF, 31 WHICH MUST BE IN A T OTAL AMOUNT SUFFICIE NT TO COVER ITS ANNU AL BUDGET 32 AS APPROVED EACH YEA R FOR WHICH REVENUE IS NOT PROVIDED BY O THER 33 SOURCES. THE AGGREGATE ANNUAL ASSESSMENT AMOUNT FO R MEMBER STATES 34 20 SENATE BILL 27 SHALL BE ALLOCATED BASED U PON A FORMULA THAT T HE COMMISSION SHALL 1 PROMULGATE BY RULE. 2 4. THE COMMISSION MAY NOT IN CUR OBLIGATIONS OF A NY KIND 3 PRIOR TO SECURING TH E ADEQUATE FUNDS TO MEET THE SAME ; NOR SHALL THE 4 COMMISSION PLEDGE THE CREDIT OF ANY MEMBER STATES, EXCEPT BY AND WITH 5 THE AUTHORITY OF THE MEMBER STATE. 6 5. THE COMMISSION SHALL KEEP ACCURATE ACCOUNTS OF ALL 7 RECEIPTS AND DISBURS EMENTS. THE RECEIPTS AND DISB URSEMENTS OF THE 8 COMMISSION SHALL BE S UBJECT TO THE FINANC IAL REVIEW AND ACCOU NTING 9 PROCEDUR ES ESTABLISHED UNDER ITS BYLAWS . ALL RECEIPTS AND 10 DISBURSEMENTS OF FUN DS HANDLED BY THE COMMISSION SHALL BE S UBJECT TO 11 AN ANNUAL FINANCIAL REVIEW BY A CERTIFIE D OR LICENSED PUBLIC ACCOUNTANT 12 AND THE REPORT OF TH E FINANCIAL REVIEW S HALL BE INCLUDED IN AND BECOME 13 PART OF THE ANNUAL R EPORT OF THE COMMISSION. 14 H. QUALIFIED IMMUNITY, DEFENSE, AND INDEMNIFICATION . 15 1. THE MEMBERS , OFFICERS, EXECUTIVE DIRECTOR , EMPLOYEES 16 AND REPRESENTATIVES OF THE COMMISSION SHALL BE I MMUNE FROM SUIT AND 17 LIABILITY, BOTH PERSONA LLY AND IN THEIR OFF ICIAL CAPACITY, FOR ANY CLAIM 18 FOR DAMAGE TO OR LOS S OF PROPERTY OR PER SONAL INJURY OR OTHE R CIVIL 19 LIABILITY CAUSED BY OR ARISING OUT OF AN Y ACTUAL OR ALLEGED ACT, ERROR, 20 OR OMISSION THAT OCC URRED, OR THAT THE PERSON A GAINST WHOM THE CLA IM 21 IS MADE HAD A REASON ABLE BASIS FOR BELIE VING OCCURRED WITHIN THE SCOPE 22 OF COMMISSION EMPLOYMENT , DUTIES OR RESPONSIBI LITIES; PROVIDED THAT 23 NOTHING IN THIS PARA GRAPH MAY BE CONSTRU ED TO PROTECT ANY SU CH PERSON 24 FROM SUIT OR LIABILI TY FOR ANY DAMAGE , LOSS, INJURY, OR LIABILITY CAUSED BY 25 THE INTENTIONAL OR W ILLFUL OR WANTON MIS CONDUCT OF THAT PERS ON. THE 26 PROCUREMENT OF INSUR ANCE OF ANY TYPE BY THE COMMISSION MAY NOT IN ANY 27 WAY COMPROMISE OR LI MIT THE IMMUNITY GRA NTED HEREUNDER . 28 2. THE COMMISSION SHALL DEF END ANY MEMBER , OFFICER, 29 EXECUTIVE DIRECTOR , EMPLOYEE, AND REPRESENTATIVE O F THE COMMISSION IN 30 ANY CIVIL ACTION SEE KING TO IMPOSE LIABI LITY ARISING OUT OF ANY ACTUAL OR 31 ALLEGED ACT , ERROR, OR OMISSION THAT OCC URRED WITHIN THE SCO PE OF 32 COMMISSION EMPLOYMENT , DUTIES, OR RESPONSIBILITIES , OR AS DETERMINED BY 33 THE COMMISSION THAT THE P ERSON AGAINST WHOM T HE CLAIM IS MADE HAD A 34 REASONABLE BASIS FOR BELIEVING OCCURRED W ITHIN THE SCOPE OF 35 COMMISSION EMPLOYMENT , DUTIES, OR RESPONSIBILITIES ; PROVIDED THAT 36 NOTHING HER EIN MAY BE CONSTRUED TO PROHIBIT THAT PER SON FROM 37 RETAINING THEIR OWN COUNSEL AT THEIR OWN EXPENSE; AND PROVIDED FURTHER 38 SENATE BILL 27 21 THAT THE ACTUAL OR A LLEGED ACT, ERROR, OR OMISSION DID NOT RESULT FROM 1 THAT PERSON ’S INTENTIONAL OR WIL LFUL OR WANTON MISCO NDUCT. 2 3. THE COMMISSION SHALL INDE MNIFY AND HOLD HARML ESS ANY 3 MEMBER, OFFICER, EXECUTIVE DIRECTOR , EMPLOYEE, AND REPRESENTATIVE O F 4 THE COMMISSION FOR THE AM OUNT OF ANY SETTLEME NT OR JUDGMENT OBTAI NED 5 AGAINST THAT PERSON ARISING OUT OF ANY A CTUAL OR ALLEGED ACT , ERROR, OR 6 OMISSION THAT OCCURR ED WITHIN THE SCOPE OF COMMISSION EMPLOYMENT , 7 DUTIES, OR RESPONSIBILITIES , OR THAT SUCH PERSON HAD A REASONABLE BAS IS 8 FOR BELIEVING OCCURR ED WITHIN THE SCOPE OF COMMISSION EMPLOYMENT , 9 DUTIES, OR RESPONSIBILITIES ; PROVIDED THAT T HE ACTUAL OR ALLEGED ACT, 10 ERROR, OR OMISSION DID NOT RESULT FROM THE INTE NTIONAL OR WILLFUL O R 11 WANTON MISCONDUCT OF THAT PERSON . 12 4. NOTHING HEREIN SHALL BE CONSTRUED AS A LI MITATION ON 13 THE LIABILITY OF ANY LICENSEE FOR PROFESSI ONAL MALPRACTICE OR 14 MISCONDUCT , WHICH SHALL BE GOVER NED SOLELY BY ANY OT HER APPLICABLE 15 STATE LAWS. 16 5. NOTHING IN THIS COMPACT SHALL BE INTE RPRETED TO WAIVE 17 OR OTHERWISE ABROGATE A MEMBER STATE’S STATE ACTION IMMUNITY OR STATE 18 ACTION AFFIRMATIVE D EFENSE WITH RESPECT TO ANTITRUST CLAIMS UNDER THE 19 FEDERAL SHERMAN ACT, FEDERAL CLAYTON ACT, OR ANY OTHER STATE OR 20 FEDERAL ANTITRUST OR ANTICOMPETITIVE LAW OR REGULATIO N. 21 6. NOTHING IN THIS COMPACT SHALL BE CONS TRUED TO BE A 22 WAIVER OF SOVEREIGN IMMUNITY BY THE MEMBER STATES OR BY THE 23 COMMISSION. 24 ARTICLE 10. DATA SYSTEM. 25 A. THE COMMISSION SHALL PROV IDE FOR THE DEVELOPM ENT, 26 MAINTENANCE , OPERATION, AND UTILIZATION O F A COORDINATED DATA BASE AND 27 REPORTING SYSTEM . 28 B. THE COMMISSION SHALL ASSI GN EACH APPLICANT FO R A MULTISTATE 29 LICENSE A UNIQUE IDEN TIFIER, AS DETERMINED BY THE RULES OF THE 30 COMMISSION. 31 C. NOTWITHSTANDING ANY O THER PROVISION OF STATE LAW TO THE 32 CONTRARY, A MEMBER STATE SHALL SUBMIT A UNIFORM DATA SET TO THE DATA 33 SYSTEM ON ALL INDIVID UALS TO WHOM THIS COMPACT IS APPLICABLE AS 34 REQUIRED BY THE RULES OF THE COMMISSION, INCLUDING: 35 22 SENATE BILL 27 1. IDENTIFYING INFORMATI ON; 1 2. LICENSURE DATA ; 2 3. ADVERSE ACTIONS AGAINST A LICENSE AND R ELATED THERETO ; 3 4. NON–CONFIDENTIAL INFORMA TION RELATED TO ALTERNATIVE 4 PROGRAM PARTICIPATION , THE BEGINNING AND EN DING DATES OF SUCH 5 PARTICIPATION , AND OTHER INFORMATIO N RELATED TO SUCH PA RTICIPATION; 6 5. ANY DENIAL OF APPLICA TION FOR LICENSURE AND TH E REASON 7 FOR THE DENIAL (EXCLUDING THE REPORT ING OF ANY CRIMINAL HISTORY RECORD 8 INFORMATION WHERE PR OHIBITED BY LAW ); 9 6. THE EXISTENCE OF INVESTIGATIVE INFORMATION ; 10 7. THE EXISTENCE OF CURRENT SIGNIFICANT INVESTIGATIVE 11 INFORMATION ; AND 12 8. OTHER INFORMATION THA T MAY FACILITATE THE 13 ADMINISTRATION OF TH IS COMPACT OR THE PROTEC TION OF THE PUBLIC , AS 14 DETERMINED BY THE RULES OF THE COMMISSION. 15 D. THE RECORDS AND INFOR MATION PROVIDED TO A MEMBER STATE 16 PURSUANT TO THIS COMPACT OR THROUGH TH E DATA SYSTEM, WHEN CERTIFIED 17 BY THE COMMISSION OR AN AGEN T THEREOF , SHALL CONSTITUTE THE 18 AUTHENTICATED BUSINE SS RECORDS OF THE COMMISSION, AND SHALL BE 19 ENTITLED TO ANY ASSO CIATED HEARSA Y EXCEPTION IN ANY R ELEVANT JUDICIAL , 20 QUASI–JUDICIAL OR ADMINIST RATIVE PROCEEDINGS I N A MEMBER STATE. 21 E. THE EXISTENCE OF CURRENT SIGNIFICANT INVESTIGATIVE 22 INFORMATION AND THE E XISTENCE OF INVESTIGATIVE INFORMATION PERTAININ G 23 TO A LICENSEE IN ANY MEMBER STATE WILL ONLY BE AV AILABLE TO OTHER 24 MEMBER STATES. 25 F. IT IS THE RESPONSIBIL ITY OF THE MEMBER STATES TO MONITOR THE 26 DATABASE TO DETERMIN E WHETHER ADVERSE ACTION HAS BEEN TAKEN AGAINST 27 SUCH A LICENSEE OR LICENSE A PPLICANT. ADVERSE ACTION INFORMATION 28 PERTAINING TO A LICENSEE OR LICENSE A PPLICANT IN ANY MEMBER STATE WILL 29 BE AVAILABLE TO ANY OTHER MEMBER STATE. 30 G. MEMBER STATES CONTRIBUTING I NFORMATION TO THE DATA SYSTEM 31 SENATE BILL 27 23 MAY DESIGNATE INFORM ATION THAT MAY NOT B E SHARED WITH THE PU BLIC 1 WITHOUT THE EXPRES S PERMISSION OF THE CONTRIBUTING STATE. 2 H. ANY INFORMATION SUBMI TTED TO THE DATA SYSTEM THAT IS 3 SUBSEQUENTLY EXPUNGE D PURSUANT TO FEDERA L LAW OR THE LAWS OF THE 4 MEMBER STATE CONTRIBUTING TH E INFORMATION SHALL BE REMOVED FROM THE 5 DATA SYSTEM. 6 ARTICLE 11. RULEMAKING . 7 A. THE COMMISSION SHALL PROM ULGATE REASONABLE RULES IN ORDER 8 TO EFFECTIVELY AND E FFICIENTLY IMPLEMENT AND ADMINISTER THE P URPOSES 9 AND PROVISIONS OF TH E COMPACT. A RULE SHALL BE INVALID AND HAVE NO 10 FORCE OR EFFECT ONLY IF A COURT OF COMPET ENT JURISDICTION HOLDS T HAT 11 THE RULE IS INVALID BECAU SE THE COMMISSION EXERCISED ITS RULEMAKING 12 AUTHORITY IN A MANNE R THAT IS BEYOND THE SCOPE AND PURPOSES O F THE 13 COMPACT, THE POWERS GRANTED U NDER THE COMPACT, OR BASED UPON 14 ANOTHER APPLICABLE S TANDARD OF REVI EW. 15 B. THE RULES OF THE COMMISSION SHALL HAVE THE FORCE OF LAW IN 16 EACH MEMBER STATE, PROVIDED HOWEVER THA T WHERE THE RULES OF THE 17 COMMISSION CONFLICT W ITH THE LAWS OF THE MEMBER STATE THAT ESTABLISH 18 THE MEMBER STATE’S SCOPE OF PRACTICE LAWS GOVERNING TH E PRACTICE OF 19 COSMETOLOGY AS HELD B Y A COURT OF COMPETE NT JURISDICTION , THE RULES OF 20 THE COMMISSION SHALL BE I NEFFECTIVE IN THAT STATE TO THE EXTENT O F THE 21 CONFLICT. 22 C. THE COMMISSION SHALL EXER CISE ITS RULEMAKING POWERS 23 PURSUANT TO THE CRIT ERIA SET FORTH IN TH IS ARTICLE AND THE RULES 24 ADOPTED THEREUNDER . RULES SHALL BECOME BI NDING AS OF THE DATE 25 SPECIFIED BY THE COMMISSION FOR EACH RULE. 26 D. IF A MAJORITY OF THE LEGISLATURES OF THE MEMBER STATES 27 REJECTS A RULE OR PORTION OF A RULE, BY ENACTMENT OF A ST ATUTE OR 28 RESOLUTION IN THE SA ME MANNER USED TO AD OPT THE COMPACT WITHIN 4 YEARS 29 OF THE DATE OF ADOPT ION OF THE RULE, THEN THE RULE MAY NOT HAVE FUR THER 30 FORCE AND EFFECT IN ANY MEMBER STATE OR TO ANY STATE APPLYING TO 31 PARTICIPATE IN THE COMPACT. 32 E. RULES SHALL BE ADOPTE D AT A REGULAR OR SP ECIAL MEETING OF THE 33 COMMISSION. 34 F. PRIOR TO THE ADOPTION OF A PROPOSED RULE, THE COMMISSION 35 24 SENATE BILL 27 SHALL HOLD A PUBLIC HEARING AND ALLOW PE RSONS TO PROVIDE ORA L AND 1 WRITTEN COMMENTS , DATA, FACTS, OPINIONS, AND ARGUMENTS . 2 G. PRIOR TO THE ADOPTION OF A PROPOSED RULE BY THE COMMISSION, 3 AND AT LEAST 30 DAYS IN ADVANCE OF T HE MEETING AT WHICH THE COMMISSION 4 WILL HOLD A PUBLIC H EARING ON THE PROPOS ED RULE, THE COMMISSION SHALL 5 PROVIDE A NOTICE OF PROPOSED RULEMAKING : 6 1. ON THE WEBSITE OF THE COMMISSION OR OTHER P UBLICLY 7 ACCESSIBLE PLATFORM ; 8 2. TO PERSONS WHO HAVE R EQUESTED NOTICE OF T HE 9 COMMISSION’S NOTICES OF PROPOSE D RULEMAKING ; AND 10 3. IN ANY SUCH WAY THE COMMISSION MAY BY RULE SPECIFY. 11 H. THE NOTICE OF PROPOSE D RULEMAKING SHALL I NCLUDE: 12 1. THE TIME, DATE, AND LOCATION OF THE PUBLIC HEARING AT 13 WHICH THE COMMISSION WILL HEAR PUBLIC COMMENTS ON T HE PROPOSED RULE 14 AND, IF DIFFERENT, THE TIME, DATE, AND LOCATION OF THE MEETING WHERE THE 15 COMMISSION WILL CONSI DER AND VOTE ON THE PROPOSED RULE; 16 2. IF THE HEARING IS HEL D VIA TELECOMMUNICAT ION, VIDEO 17 CONFERENCE , OR OTHER ELECTRONIC MEANS, THE COMMISSION SHALL INCL UDE 18 THE MECHANISM FOR AC CESS TO THE HEARING IN THE NOTICE OF PRO POSED 19 RULEMAKING ; 20 3. THE TEXT OF THE PROPO SED RULE AND THE REASON T HEREFOR; 21 4. A REQUEST FOR COMMENTS ON THE PROPOSED RULE FROM ANY 22 INTERESTED PERSON ; AND 23 5. THE MANNER IN WHICH I NTERESTED PERSONS MA Y SUBMIT 24 WRITTEN COMMENTS . 25 I. ALL HEARINGS SHALL BE RECORDED. A COPY OF THE RECORDIN G AND 26 ALL WRITTEN COMMENTS AND DOCUMENTS RECEIV ED BY THE COMMISSION IN 27 RESPONSE TO THE PROPOSED RULE SHALL BE AVAILAB LE TO THE PUBLIC . 28 J. NOTHING IN THIS ARTICLE MAY BE CONSTR UED AS REQUIRING A 29 SEPARATE HEARING ON EACH RULE. RULES MAY BE GROUPED FOR THE 30 CONVENIENCE OF THE COMMISSION AT HEARING S REQUIRED BY THIS ARTICLE. 31 SENATE BILL 27 25 K. THE COMMISSION SHALL , BY MAJORITY VOTE OF ALL MEMBERS , TAKE 1 FINAL ACTION ON THE PROPOSED RULE BASED ON THE RUL EMAKING RECORD AND 2 THE FULL TEXT OF THE RULE. 3 1. THE COMMISSION MAY ADOPT CHANGES TO THE PROPO SED RULE 4 PROVIDED THE CHANGES DO NOT ENLARGE THE O RIGINAL PURPOSE OF T HE 5 PROPOSED RULE. 6 2. THE COMMISSION SHALL PROV IDE AN EXPLANATION O F THE 7 REASONS FOR SUBSTANT IVE CHANGES MADE TO THE PROPOSED RULE AS WELL AS 8 REASONS FOR SUBSTANT IVE CHANGES NOT MADE THAT WERE RECOMMENDED BY 9 COMMENTERS . 10 3. THE COMMISSION SHALL DETE RMINE A REASONABLE E FFECTIVE 11 DATE FOR THE RULE. EXCEPT FOR AN EMERGEN CY AS PROVIDED IN ARTICLE 11.L., 12 THE EFFECTIVE DATE O F THE RULE SHALL BE NO SOON ER THAN 45 DAYS AFTER THE 13 COMMISSION ISSUING TH E NOTICE THAT IT ADOPT ED OR AMENDED THE RULE. 14 L. UPON A DETERMINATION THAT AN EMERGENCY EX ISTS, THE 15 COMMISSION MAY CONSID ER AND ADOPT AN EMER GENCY RULE WITHIN 5 DAYS, 16 WITH OPPORTUNITY TO COMMENT, PROVIDED THAT THE US UAL RULEMAKING 17 PROCEDURES PROVIDED IN THE COMPACT AND IN THIS ARTICLE SHALL BE 18 RETROACTIVELY APPLIE D TO THE RULE AS SOON AS REASO NABLY POSSIBLE , IN NO 19 EVENT LATER THAN 90 DAYS AFTER THE EFFEC TIVE DATE OF THE RULE. FOR THE 20 PURPOSES OF THIS PRO VISION, AN EMERGENCY RULE IS ONE THAT MUST BE 21 ADOPTED IMMEDIATELY TO : 22 1. MEET AN IMMINENT THRE AT TO PUBLIC HEALTH , SAFETY, OR 23 WELFARE; 24 2. PREVENT A LOSS OF COMMISSION OR MEMBER STATE FUNDS; 25 3. MEET A DEADLINE FOR T HE PROMULGATION OF A RULE THAT IS 26 ESTABLISHED BY FEDER AL LAW OR RULE ; OR 27 4. PROTECT PUBLIC HEALTH AND SAFETY. 28 M. THE COMMISSION OR AN AUTH ORIZED COMMITTEE OF THE 29 COMMISSION MAY DIRECT REVISIONS TO A PREVI OUSLY ADOPTED RULE FOR 30 PURPOSES OF CORRECTI NG TYPOGRAPHICAL ERR ORS, ERRORS IN FORMAT , 31 ERRORS IN CONSISTENC Y, OR GRAMMATICAL ERROR S. PUBLIC NOTICE OF ANY 32 REVISIONS SHALL BE P OSTED ON THE WEBSITE OF THE COMMISSION. THE REVISION 33 26 SENATE BILL 27 SHALL BE SUBJECT TO CHALLENGE BY ANY PER SON FOR A PERIOD OF 30 DAYS 1 AFTER POSTING . THE REVISION MAY BE C HALLENGED ONLY ON GR OUNDS THAT THE 2 REVISION RESULTS IN A MATERIAL CHANGE TO A RULE. A CHALLENGE SHALL BE 3 MADE IN WRITING AND DELIVERED TO THE COMMISSION PRIOR TO T HE END OF THE 4 NOTICE PERIOD . IF NO CHALLENGE IS MA DE, THE REVISION WILL TA KE EFFECT 5 WITHOUT FURTHER ACTI ON. IF THE REVISION IS CH ALLENGED, THE REVISION MAY 6 NOT TAKE EFFECT WITH OUT THE APPROVAL OF THE COMMISSION. 7 N. NO MEMBER STATE’S RULEMAKING REQUIRE MENTS MAY APPLY UNDE R 8 THIS COMPACT. 9 ARTICLE 12. OVERSIGHT, DISPUTE RESOLUTION, AND ENFORCEMENT . 10 A. OVERSIGHT. 11 1. THE EXECUTIVE AND JUD ICIAL BRAN CHES OF STATE 12 GOVERNMENT IN EACH MEMBER STATE SHALL ENFORCE T HIS COMPACT AND TAKE 13 ALL ACTIONS NECESSAR Y AND APPROPRIATE TO IMPLEMENT THE COMPACT. 14 2. VENUE IS PROPER AND J UDICIAL PROCEEDINGS BY OR AGAINST 15 THE COMMISSION SHALL BE B ROUGHT SOLELY AND EX CLUSIVELY IN A COURT OF 16 COMPETENT JURISDICTI ON WHERE THE PRINCIP AL OFFICE OF THE COMMISSION IS 17 LOCATED. THE COMMISSION MAY WAIVE VENUE AND JURISDICTI ONAL DEFENSES 18 TO THE EXTENT IT ADO PTS OR CONSENTS TO P ARTICIPATE IN ALTERN ATIVE 19 DISPUTE RESOLUTION P ROCEEDINGS . NOTHING HEREIN SHALL AFFECT OR LIMIT 20 THE SELECTION OR PRO PRIETY OF VENUE IN A NY ACTION AGAINST A LICENSEE FOR 21 PROFESSIONAL MALPRAC TICE, MISCONDUCT OR A NY SUCH SIMILAR MATT ER. 22 3. THE COMMISSION SHALL BE E NTITLED TO RECEIVE S ERVICE OF 23 PROCESS IN ANY PROCE EDING REGARDING THE ENFORCEMENT OR 24 INTERPRETATION OF TH E COMPACT AND SHALL HAV E STANDING TO INTERV ENE IN 25 SUCH A PROCEEDING FO R ALL PURPOSES . FAILURE TO PROVIDE THE COMMISSION 26 SERVICE OF PROCESS S HALL RENDER A JUDGME NT OR ORDER VOID AS TO THE 27 COMMISSION, THIS COMPACT, OR PROMULGATED RULES. 28 B. DEFAULT, TECHNICAL ASSISTANCE, AND TERMINATION. 29 1. IF THE COMMISSION DETERMINES THAT A MEMBER STATE HAS 30 DEFAULTED IN THE PERFORM ANCE OF ITS OBLIGATI ONS OR RESPONSIBILIT IES 31 UNDER THIS COMPACT OR THE PROMUL GATED RULES, THE COMMISSION SHALL 32 PROVIDE WRITTEN NOTI CE TO THE DEFAULTING STATE. THE NOTICE OF DEFAULT 33 SHALL DESCRIBE THE D EFAULT, THE PROPOSED MEANS O F CURING THE DEFAULT , 34 AND ANY OTHER ACTION THAT THE COMMISSION MAY TAKE , AND SHALL OFFER 35 SENATE BILL 27 27 TRAINING AND SPECIFI C TECHNICAL ASSISTAN CE REGARDING THE DEF AULT. 1 2. THE COMMISSION SHALL PROV IDE A COPY OF THE NO TICE OF 2 DEFAULT TO THE OTHER MEMBER STATES. 3 3. IF A STATE IN DEFAULT FAILS TO CURE THE DEFAULT , THE 4 DEFAULTING STATE MAY BE TERMINAT ED FROM THE COMPACT AFTER AN 5 AFFIRMATIVE VOTE OF A MAJORITY OF THE DE LEGATES OF THE MEMBER STATES, 6 AND ALL RIGHTS , PRIVILEGES AND BENEF ITS CONFERRED ON THA T STATE BY THIS 7 COMPACT MAY BE TERMINATED ON THE EFFECTIVE DATE O F TERMINATION . A CURE 8 OF THE DEFAULT DOES NOT RELIEVE THE OFFE NDING STATE OF OBLIGATIONS OR 9 LIABILITIES INCURRED DURING THE PERIOD OF DEFAULT. 10 4. TERMINATION OF MEMBER SHIP IN THE COMPACT SHALL BE 11 IMPOSED ONLY AF TER ALL OTHER MEANS OF SECURING COMPLIAN CE HAVE BEEN 12 EXHAUSTED. NOTICE OF INTENT TO S USPEND OR TERMINATE SHALL BE GIVEN BY 13 THE COMMISSION TO THE GOV ERNOR, THE MAJORITY AND MIN ORITY LEADERS OF 14 THE DEFAULTING STATE’S LEGISLATURE , THE DEFAULTING STATE’S STATE 15 LICENSING AUTHORITY AND EACH OF THE MEMBER STATES’ STATE LICENSING 16 AUTHORITY. 17 5. A STATE THAT HAS BEEN T ERMINATED IS RESPONS IBLE FOR ALL 18 ASSESSMENTS , OBLIGATIONS, AND LIABILITIES INCU RRED THROUGH THE 19 EFFECTIVE DATE OF TE RMINATION, INCLUDING OBLIGATION S THAT EXTEND 20 BEYOND THE EFFECTIVE DATE OF TERMINATION . 21 6. UPON THE TERMINATION OF A STATE’S MEMBERSHIP FROM TH IS 22 COMPACT, THAT STATE SHALL IMMEDIATE LY PROVIDE NOTICE TO ALL LICENSEES 23 WHO HOLD A MULTISTATE LICENSE WITHIN THAT STATE OF SUCH TERMINA TION. 24 THE TERMINATED STATE SHALL CONTINUE TO RECOGNIZE ALL LIC ENSES GRANTED 25 PURSUANT TO THIS COMPACT FOR A MINIMUM OF 180 DAYS AFTER THE DATE OF 26 SAID NOTICE OF TERMI NATION. 27 7. THE COMMISSION MAY NOT BE AR ANY COSTS RELATED TO A 28 STATE THAT IS FOUND T O BE IN DEFAULT OR THAT HAS BEE N TERMINATED FROM 29 THE COMPACT, UNLESS AGREED UPON I N WRITING BETWEEN TH E COMMISSION AND 30 THE DEFAULTING STATE. 31 8. THE DEFAULTING STATE MAY APPEAL THE ACTION OF THE 32 COMMISSION BY PETITIO NING THE UNITED STATES DISTRICT COURT FOR THE 33 DISTRICT OF COLUMBIA OR THE FEDER AL DISTRICT WHERE TH E COMMISSION HAS 34 ITS PRINCIPAL OFFICE S. THE PREVAILING PARTY SHALL BE AWARDED ALL COSTS 35 OF SUCH LITIGATION , INCLUDING REASONABLE ATTORNEY’S FEES. 36 28 SENATE BILL 27 C. DISPUTE RESOLUTION. 1 1. UPON REQUEST BY A MEMBER STATE, THE COMMISSION SHALL 2 ATTEMPT TO RESOLVE D ISPUTES RELATED TO T HE COMPACT THAT ARISE AM ONG 3 MEMBER STATES AND BETWEEN MEMBER AND NON –MEMBER STATES. 4 2. THE COMMISSION SHALL PROM ULGATE A RULE PROVIDING FOR 5 BOTH MEDIATION AND B INDING DISPUTE RESOL UTION FOR DISPUTES A S 6 APPROPRIATE . 7 D. ENFORCEMENT . 8 1. THE COMMISSION, IN THE REASONABLE EX ERCISE OF ITS 9 DISCRETION, SHALL ENFORCE THE PR OVISIONS OF THIS COMPACT AND THE 10 COMMISSION’S RULES. 11 2. BY MAJORITY VOTE AS P ROVIDED BY COMMISSION RULE, THE 12 COMMISSION MAY INITIA TE LEGAL ACTION AGAI NST A MEMBER STATE IN DEFAULT 13 IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA OR THE 14 FEDERAL DISTRICT WHE RE THE COMMISSION HAS ITS PR INCIPAL OFFICES TO 15 ENFORCE COMPLIANCE W ITH THE PROVISIONS O F THE COMPACT AND ITS 16 PROMULGATED RULES. THE RELIEF SOUGHT MAY INCLUDE BOTH INJUNCTIVE 17 RELIEF AND DAMAGES . IN THE EVENT JUDICIAL ENFORCEMENT IS NECES SARY, THE 18 PREVAILING PARTY SHA LL BE AWARDED ALL CO STS OF SUCH LITIGATI ON, 19 INCLUDING REASONABLE ATTORNEY’S FEES. THE REMEDIES HEREIN M AY NOT BE 20 THE EXCLUSIVE REMEDI ES OF THE COMMISSION. THE COMMISSION MAY PURSUE 21 ANY OTHER REMEDIES A VAILABLE UNDER FEDER AL OR THE DEFAULTING MEMBER 22 STATE’S LAW. 23 3. A MEMBER STATE MAY INITIATE LE GAL ACTION AGAINST T HE 24 COMMISSION IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF 25 COLUMBIA OR THE FEDERAL DISTRICT WHERE THE COMMISSION HAS ITS 26 PRINCIPAL OFFICES TO ENFORCE COMPLIANCE W ITH THE PROVISIONS O F THE 27 COMPACT AND ITS PROMU LGATED RULES. THE RELIEF SOUGHT MAY INCLUDE 28 BOTH INJUNCTIVE RELI EF AND DAMAGES . IN THE EVENT JUDICIAL ENFORCEMENT 29 IS NECESSARY, THE PREVAILING PARTY SHALL BE AWARDED ALL COSTS OF SUCH 30 LITIGATION, INCLUDING REASONABLE ATTORNEY’S FEES. 31 4. NO INDIVIDUAL OR ENTI TY OTHER THAN A MEMBER STATE MAY 32 ENFORCE THIS COMPACT AGAINST THE COMMISSION. 33 ARTICLE 13. EFFECTIVE DATE, WITHDRAWAL, AND AMENDMENT . 34 SENATE BILL 27 29 A. THE COMPACT SHALL COME IN TO EFFECT ON THE DAT E ON WHICH THE 1 COMPACT STATUTE IS EN ACTED INTO LAW IN TH E SEVENTH MEMBER STATE. 2 1. ON OR AFTER THE EFFEC TIVE DATE OF THE COMPACT, THE 3 COMMISSION SHALL CONV ENE AND REVIEW THE E NACTMENT OF EACH OF THE 4 CHARTER MEMBER STATES TO DETERMINE I F THE STATUTE ENACTE D BY EACH 5 SUCH CHARTER MEMBER STATE IS MATERIALLY D IFFERENT THAN THE MO DEL 6 COMPACT STATUTE . 7 A. A CHARTER MEMBER STATE WHOSE ENACTMENT IS FOUND 8 TO BE MATERIALLY DIF FERENT FROM T HE MODEL COMPACT STATUTE SHALL BE 9 ENTITLED TO THE DEFA ULT PROCESS SET FORT H IN ARTICLE 12. 10 B. IF ANY MEMBER STATE IS LATER FOUND TO BE IN DEFAULT, 11 OR IS TERMINATED OR WITHDRAWS FROM THE COMPACT, THE COMMISSION SHALL 12 REMAIN IN EXISTENCE AND THE COMPACT SHALL REMAIN IN EFFE CT EVEN IF THE 13 NUMBER OF MEMBER STATES SHOULD BE LESS THAN 7. 14 2. MEMBER STATES ENACTING THE COMPACT SUBSEQUENT TO THE 15 CHARTER MEMBER STATES SHALL BE SUBJE CT TO THE PROCESS SE T FORTH IN 16 ARTICLE 9.C.24. TO DETERMINE IF THEI R ENACTMENT S ARE MATERIALLY 17 DIFFERENT FROM THE M ODEL COMPACT STATUTE AND W HETHER THEY QUALIFY 18 FOR PARTICIPATION IN THE COMPACT. 19 3. ALL ACTIONS TAKEN FOR THE BENEFIT OF THE COMMISSION OR 20 IN FURTHERANCE OF TH E PURPOSES OF THE AD MINISTRATION OF THE COMPACT 21 PRIOR TO THE EFFECTIVE DATE OF THE COMPACT OR THE COMMISSION COMING 22 INTO EXISTENCE SHALL BE CONSIDERED TO BE ACTIONS OF THE COMMISSION 23 UNLESS SPECIFICALLY REPUDIATED BY THE COMMISSION. 24 4. ANY STATE THAT JOINS THE COMPACT SHALL BE SUBJ ECT TO 25 THE COMMISSION’S RULES AND BYLAWS AS T HEY EXIST ON THE DAT E ON WHICH 26 THE COMPACT BECOMES LAW I N THAT STATE. ANY RULE THAT HAS BEEN 27 PREVIOUSLY ADOPTED B Y THE COMMISSION SHALL HAVE THE FULL FORCE AND 28 EFFECT OF LAW ON THE DAY THE COMPACT BECOMES LAW I N THAT STATE. 29 B. ANY MEMBER STATE MAY WITHDRAW FR OM THIS COMPACT BY 30 ENACTING A STATUTE R EPEALING THAT STATE’S ENACTMENT OF THE COMPACT. 31 1. A MEMBER STATE’S WITHDRAWAL MAY NOT TAKE EFFECT UNTIL 32 180 DAYS AFTER ENACTMENT OF THE REPEALING STATUTE . 33 30 SENATE BILL 27 2. WITHDRAWAL MAY NOT AF FECT THE CONTINUING REQUIREMENT 1 OF THE WITHDRAWING STATE’S STATE LICENSING AUTHORITY TO COMPLY W ITH 2 THE INVESTIGATIVE AN D ADVERSE ACTION REPORTING REQU IREMENTS OF THIS 3 COMPACT BEFORE THE EF FECTIVE DATE OF WITH DRAWAL. 4 3. UPON THE ENACTMENT OF A STATUTE WITHDRAWIN G FROM THIS 5 COMPACT, A STATE SHALL IMMEDIATE LY PROVIDE NOTICE OF THE WITHDRAWAL 6 TO ALL LICENSEES WITHIN THAT STATE. NOTWITHSTANDING ANY S UBSEQUENT 7 STATUTORY ENACTMENT TO THE CONTR ARY, SUCH WITHDRAWING STATE SHALL 8 CONTINUE TO RECOGNIZ E ALL LICENSES GRANT ED PURSUANT TO THIS COMPACT 9 FOR A MINIMUM OF 180 DAYS AFTER THE DATE OF THE NOTICE OF WIT HDRAWAL. 10 C. NOTHING CONTAINED IN THIS COMPACT MAY BE CONSTR UED TO 11 INVALIDATE OR PREVEN T ANY LICENSURE AGREEMENT OR OTHER COOPERATIVE 12 ARRANGEMENT BETWEEN A MEMBER STATE AND A NON –MEMBER STATE THAT 13 DOES NOT CONFLICT WI TH THE PROVISIONS OF THIS COMPACT. 14 D. THIS COMPACT MAY BE AMENDE D BY THE MEMBER STATES. NO 15 AMENDMENT TO THIS COMPACT SHALL BECOM E EFFECTIVE AND BIND ING UPON 16 ANY MEMBER STATE UNTIL IT IS ENACTED INTO THE LAWS O F ALL MEMBER STATES. 17 ARTICLE 14. CONSTRUCTION AND SEVERABILITY. 18 A. THIS COMPACT AND THE COMMISSION’S RULEMAKING AUTHORI TY 19 SHALL BE LIBERALLY C ONSTRUED SO AS TO EF FECTUATE THE PURPOSES AND THE 20 IMPLEMENTATION AND A DMINISTRATION OF THE COMPACT. PROVISIONS OF THE 21 COMPACT EXPRESSLY AUT HORIZING OR REQUIRIN G THE PROMULGATION O F 22 RULES MAY NOT BE CONS TRUED TO LIMIT THE COMMISSION’S RULEMAKING 23 AUTHORITY SOLELY FOR THOSE PURPOSES . 24 B. THE PROVISIONS OF THI S COMPACT SHALL BE SEVE RABLE AND IF ANY 25 PHRASE, CLAUSE, SENTENCE OR PROVISIO N OF THIS COMPACT IS HELD BY A COURT 26 OF COMPETENT JURISDI CTION TO BE CONTRARY TO THE CONSTITUTION OF ANY 27 MEMBER STATE, A STATE SEEKING PARTICI PATION IN THE COMPACT, OR OF THE 28 UNITED STATES, OR THE APPLICABILITY TO ANY GOVERNMENT , AGENCY, PERSON 29 OR CIRCUMSTANCE IS H ELD TO BE UNCONSTITU TIONAL BY A COURT OF COMPETENT 30 JURISDICTION, THE VALIDITY OF THE REMAINDER OF THIS COMPACT AND THE 31 APPLICABILITY THEREO F TO ANY OTHER GOVERNMENT , AGENCY, PERSON OR 32 CIRCUMSTANCE MAY NOT BE AFFECTED. 33 C. NOTWITHSTANDING ARTICLE 14.B., THE COMMISSION MAY DENY A 34 STATE’S PARTICIPATION IN T HE COMPACT OR , IN ACCORDANCE WITH T HE 35 REQUIREMENTS OF ARTICLE 12, TERMINATE A MEMBER STATE’S PARTICIPATION 36 SENATE BILL 27 31 IN THE COMPACT, IF IT DETERMINES THA T A CONSTITUTIONAL R EQUIREMENT OF A 1 MEMBER STATE IS A MATERIAL D EPARTURE FROM THE COMPACT. OTHERWISE, IF 2 THIS COMPACT SHALL BE HELD TO BE CONTRARY TO TH E CONSTITUTION OF AN Y 3 MEMBER STATE, THE COMPACT SHALL REM AIN IN FULL FORCE AN D EFFECT AS TO 4 THE REMAINING MEMBER STATES AND IN FULL FO RCE AND EFFECT AS TO THE 5 MEMBER STATE AFFECTED AS TO ALL SEVERABLE MATTER S. 6 ARTICLE 15. CONSISTENT EFFECT AND CONFLICT WITH OTHER STATE LAWS. 7 A. NOTHING HEREIN SHALL PREVENT O R INHIBIT THE ENFORC EMENT OF 8 ANY OTHER LAW OF A MEMBER STATE THAT IS NOT INC ONSISTENT WITH THE 9 COMPACT. 10 B. ANY LAWS , STATUTES, REGULATIONS , OR OTHER LEGAL 11 REQUIREMENTS IN A MEMBER STATE IN CONFLICT WIT H THE COMPACT ARE 12 SUPERSEDED TO THE EX TENT OF THE CONFLICT . 13 C. ALL PERMISSIBLE AGREE MENTS BETWEEN THE COMMISSION AND THE 14 MEMBER STATES ARE BINDING IN ACCORDANC E WITH THEIR TERMS . 15 SECTION 2. AND BE IT FURTHER ENACTED, That this Act is contingent on the 16 enacting of substantially similar legislation in six other states. The Maryland Department 17 of Labor shall notify the Department of Legislative Services within 10 days after any state 18 has enacted legislation that is substantially similar to this Act. 19 SECTION 3. AND BE IT FURTHER ENACTED, That, subject to Section 2 of this 20 Act, this Act shall take effect October 1, 2024. 21 Approved: ________________________________________________________________________________ Governor. ________________________________________________________________________________ President of the Senate. ________________________________________________________________________________ Speaker of the House of Delegates.