Senate Commerce Committee Statement to Senate, No. 3565, Out-of-State Health Care Professionals

Summary

Senate Commerce Committee statement to Senate on Senate Bill No. 3565, dated February 10, 2025, reporting the bill favorably with committee amendments. The committee amended the bill to require that the professional's home state demand state and federal background checks, to add a National Practitioner Data Bank review, and to limit a provisional authorization to one year. As amended, the bill lets certain out-of-State health care professionals, such as physicians, psychologists and social workers, and recent graduates practice in New Jersey while an application is pending. A $500 per day civil penalty applies for failing to give notice of adverse action. The bill is identical to Assembly Bill No. 2803.

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     SENATE COMMERCE COMMITTEE

                     STATEMENT TO

                   SENATE, No. 3565
                    with committee amendments



 STATE OF NEW JERSEY
                   DATED: FEBRUARY 10, 2025

     The Senate Commerce Committee reports favorably and with
committee amendments Senate Bill No. 3565.
     As amended, this bill authorizes certain out-of-State health care
professionals and recent graduates of health care training programs to
practice in New Jersey pending a final determination on an application
for licensure or certification to practice in New Jersey.
     Specifically, the bill provides that alcohol and drug counselors,
marriage and family therapists, professional counselors, physicians,
homemaker-home health aides, certain nurses, psychologists,
psychoanalysts, respiratory care practitioners, and social workers
licensed or certified to practice in another state who apply for licensure
or certification in New Jersey will be authorized to practice for up to
one year in New Jersey pending a final determination on the
individual’s application. The bill stipulates that the other states where
the individuals seeking the one-year license in New Jersey are from
also require state and federal background checks to obtain licensure in
that state.
     Under the bill, a review is required by the various boards of the
National Practitioner Data Bank and the information it includes
regarding any adverse disciplinary action against a professional
seeking the one-year license. If a professional practicing under a
provisional authorization to practice has the professional’s
authorization to practice in any other state suspended, revoked, or
subject to adverse disciplinary action, the professional will be required
to immediately notify the Division of Consumer Affairs in the
Department of Law and Public Safety, which will make a
determination as to the individual’s continuing authorization to
practice under the provisional authorization, which is to include a
review of any findings in the National Practitioner Data Bank. The
individual will not be permitted to practice in New Jersey under the
bill until the division makes its determination.
     A professional who fails to provide notice of an adverse action in
another state will be liable to a civil penalty of $500 per day for each
day the notice is not provided. However, the individual will have the
opportunity to demonstrate to the court that the individual did not
know and had no reason to know of the adverse action, or that the
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adverse action was taken for a violation that was purely technical in
nature or that was minor and did not adversely affect the health or
safety of any individual. If the court finds the individual did not know
of the adverse action or that the adverse action was minor or technical
in nature, the court will have the authority to reduce or eliminate a
civil penalty assessed under the bill.
    With regard to recent graduates, the bill provides that certain
recent graduates will be authorized to practice under a temporary
license until the person achieves full licensure or fails the licensure
examination. As amended and reported by the committee, Senate Bill
No. 3565 is identical to Assembly Bill No. 2803, which was also
amended and reported by the committee on this date.

COMMITTEE AMENDMENTS:
    The committee has amended the bill to:
    (1) add a requirement that the state where an out-of-State
professional comes from is to require state and federal background
checks to obtain licensure in the specific profession;
    (2) incorporate a review of the National Practitioner Data Bank as
part of the responsibilities of the boards and the Division of Consumer
Affairs; and
    (3) provide that a provisional authorization to practice issued to an
out-of-State health professional pursuant to the bill only allows the
professional to practice in New Jersey for up to one year.


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