SENATE BUDGET AND APPROPRIATIONS COMMITTEE

 

STATEMENT TO

 

[First Reprint]

SENATE, No. 1589

 

with committee amendments

 

STATE OF NEW JERSEY

 

DATED:  FEBRUARY 7, 2019

 

      The Senate Budget and Appropriations Committee reports favorably Senate Bill No. 1589 (1R), with committee amendments.

      As amended, Senate Bill No. 1589 (1R) requires professional and occupational boards in the Division of Consumer Affairs, when determining whether a person is disqualified from certification, registration or licensure because of a prior conviction of a crime or offense, to consider whether the crime or offense has a direct or substantial relationship to the activity regulated by the board or is of a nature such that certification, registration or licensure of the person would be inconsistent with the public’s safety.

      Current law permits a board to refuse to admit a person to an examination or refuse to issue or to suspend or revoke any certificate, registration or license issued by the board upon proof that the applicant or holder of such certificate, registration or license has been convicted of, or engaged in acts constituting, any crime or offense involving moral turpitude or relating adversely to the activity regulated by the board. The bill amends this standard of proof in current law to delete the reference to a crime or offense involving moral turpitude, and requires that the crime or offense have a direct or substantial relationship to the activity regulated by the board, or to be of a nature such that certification, registration or licensure of the person would be inconsistent with the public’s safety.

      In addition, the bill supplements current law to provide that no person will be disqualified from obtaining or holding any certificate, registration or license issued by a board solely because of a prior conviction of a crime or offense, unless the crime or offense has a direct or substantial relationship to the activity regulated by the board, or is of a nature such that certification, registration or licensure of the person would be inconsistent with the public’s safety. In determining whether a crime or offense directly or substantially relates to the activity regulated by the board, a board must consider the following:

(1) the nature and seriousness of the crime or offense and the passage of time since its commission;

      (2) the relationship of the crime or offense to the purposes of regulating the profession or occupation regulated by the board;

      (3) any evidence of rehabilitation of the person in the period of time following the prior conviction that may be made available to the board; and

      (4) the relationship of the crime or offense to the ability, capacity, and fitness required to perform the duties and discharge the responsibilities of the profession or occupation regulated by the board.

      The bill provides that a board shall not disqualify a person from obtaining or holding a certificate, registration or license issued by the board because of a person’s prior conviction of a crime or offense unless it provides the person with a written notice that the board has determined that the conviction may disqualify the person and an explanation for the preliminary determination that the crime or offense has a direct or substantial relationship to the activity regulated by the board or is of a nature such that certification, registration or licensure of the person would be inconsistent with the public’s safety.  

      The board must also afford the person an opportunity to be heard before the board prior to the board making a final decision on whether to disqualify the person.  The person shall be afforded an opportunity to be heard before the board no later than 30 days after receiving the written notice of potential disqualification.  If the board’s final decision is to disqualify the person, the board must notify the person, no later than 30 days after the hearing, in writing as to the grounds and reasons for the disqualification, the earliest date upon which the person may reapply, and that additional evidence of rehabilitation may be considered upon reapplication.

      The bill also provides that a person’s prior conviction for murder, or an equivalent statute of another state or jurisdiction, or any sex offense that would qualify the person for registration under “Megan’s Law,” or under an equivalent statute of another state or jurisdiction, creates a rebuttable presumption that a substantial relationship exists between the prior conviction and the profession or occupation regulated by the board.

      The bill requires the division to obtain data concerning the number of, and reasons for, disqualification by any board pursuant to the provisions of the bill, and annually submit a report to the Legislature that provides the disqualification data for each board.

 

COMMITTEE AMENDMENTS:

      The committee amendments provide that a board, when determining whether a person is disqualified from certification, registration or licensure because of a prior conviction of a crime or offense, must consider whether the crime or offense has a direct or substantial relationship to the activity regulated by the board or is of a nature such that certification, registration or licensure of the person would be inconsistent with the public’s safety.  The amendments also provide that a board must only consider evidence of rehabilitation of a person in the period of time following a prior conviction that may be made available to the board.

 

FISCAL IMPACT:

      The Office of Legislative Services (OLS) anticipates that this bill will increase annual State expenditures to State professional and occupational boards by indeterminate amounts due to increased administrative responsibilities and will increase revenue from potential licenses.

      The OLS estimates increased expenditures due to increased administrative duties which may be offset by fee, fine, and penalty payments from the respective State professional and occupational boards. Specifically, the respective boards under the Division of Consumer Affairs are required to provide individuals who may be disqualified from obtaining or holding a certificate, registration or license because of a prior conviction of a crime or offense with: 1) written notice that the board has determined the conviction may disqualify the person; 2) an understanding of the connection between the conviction and the profession or occupation regulated by the board; and 3) an opportunity to be heard before the board prior to the board making a final decision on whether to disqualify the person.

      The OLS estimates a potential increase in approved licenses due to the provisions which loosen the standards of licensure, however OLS cannot assess the potential revenue.

      The OLS estimates that the bill’s provision requiring annual reporting by the Division of Consumer Affairs may have a fiscal impact.  That fiscal impact however may be offset by the fee, fine, and penalty payments from the respective State professional and occupational boards.