LIC. COUNSELORS COMPACT/DHHS CONTRACTING. (NEW)

Printer-friendly: Click to view
View NCGA Bill Details2021
House Bill 791 (Public) Filed Monday, May 3, 2021
AN ACT TO ESTABLISH AND ENTER INTO AN INTERSTATE COMPACT FOR THE PRACTICE OF PROFESSIONAL COUNSELING AND TO IMPLEMENT PROCEDURES FOR CONTRACT REFORM WITHIN THE DEPARTMENT OF HEALTH AND HUMAN SERVICES.
Intro. by Wheatley, Szoka, Martin, Adcock.

Status: Ch. SL 2022-52 (Jul 7 2022)

SOG comments (2):

Long title change

House committee substitute to the 1st edition changed the long title. Original title was AN ACT TO ESTABLISH AND ENTER INTO AN INTERSTATE COMPACT FOR THE PRACTICE OF PROFESSIONAL COUNSELING.

Long title change

Senate committee substitute to the 2nd edition changed the long title. Previous title was AN ACT TO ESTABLISH AND ENTER INTO AN INTERSTATE COMPACT FOR THE PRACTICE OF PROFESSIONAL COUNSELING AND TO APPROPRIATE FUNDS TO ASSIST WITH THE ADMINISTRATIVE COSTS.

Bill History:

H 791/S.L. 2022-52

Bill Summaries:

  • Summary date: Jul 26 2022 - View Summary

    AN ACT TO ESTABLISH AND ENTER INTO AN INTERSTATE COMPACT FOR THE PRACTICE OF PROFESSIONAL COUNSELING AND TO IMPLEMENT PROCEDURES FOR CONTRACT REFORM WITHIN THE DEPARTMENT OF HEALTH AND HUMAN SERVICES. SL 2022-52. Enacted July 7, 2022.  Section 1 is effective when at least 10 states have enacted the Professional Counseling Licensure Compact set forth in Section 1 of this act. Section 2 of is effective July 15, 2022. The remainder of this act is effective July 7, 2022.


  • Summary date: Jun 29 2022 - View Summary

    Senate committee substitute to the 2nd edition makes the following changes.

    Section 2

    Deletes the appropriation of $20,000 from the General Fund to the North Carolina Board of Licensed Clinical Mental Health Counselors for 2021-22 for use by the Board to assist with the administrative costs of the act. Makes conforming deletions.

    Adds the following new content, effective July 15, 2022.

    Directs the Department of Health and Human Services (DHHS) to contract for at least two-year terms with nonprofit grantees/recipients (grantees/recipients) that receive nonrecurring funding for each year of a fiscal biennium and receive recurring funding so long as the funding source does not prohibit multi-year contracts. Requires those receiving recurring federal grant funding to have the option to extend the initial contract term by one additional year if the extension is mutually agreed with DHHS by written agreement and the contract's funding remains available. Requires DHHS to allow any grantee/recipient receiving recurring or non-recurring state and/or federal funding for each year of a fiscal biennium to automatically activate limited-time extensions of up to three months for continuity of services when a formal extension or renewal process has not been completed within 10 business days of the subsequent contract start date, so long as the following criteria are met: they (1) are receiving recurring funds or non-recurring State and/or federal funding for each year of the fiscal biennium, (2) have received an unqualified audit report on its most recent financial audit as required by GS 159-34 or 09 NCAC 03M, (3) have a track record of timely performance and financial reporting to DHHS as required by the contract, (4) have not been identified by DHHS as having a record of noncompliance, as defined, with the requirements of any funding source used to support the contract and has not received an undisputed notice of such noncompliance by DHHS; and (5) have been in operation for at least five years.

    Directs the Fiscal Research Division to provide DHHS, Division of Budget and Analysis with a list of described preliminary information for all non-State entities receiving directed grants through the Appropriations Act of 2022, within 15 days of the date that act becomes law. 

    Deems the negotiation, determination, or settlement of the reimbursable amount of overhead under cost-reimbursement type contracts to be accomplished on an individual contract basis and based upon the federally approved indirect cost rate. Adds that for vendors who do not have a federally approved indirect cost rate, the de minimis rate of 10% of modified total direct costs applies.

    Changes the act's titles.


  • Summary date: Jul 21 2021 - View Summary

    House committee substitute to the 1st edition makes the following changes.

    Adds an appropriation of $20,000 from the General Fund to the North Carolina Board of Licensed Clinical Mental Health Counselors for 2021-22 for use by the Board to assist with the administrative costs of this act. Effective July 1, 2021. Makes conforming changes to the act's long title. 


  • Summary date: May 3 2021 - View Summary

    Enacts new Article 24A, Professional Counseling Licensure Compact, to GS Chapter 90. States the purpose and objectives of the Professional Counseling Licensure Compact (Compact) and sets forth 26 defined terms. Grants licensed professional counselors the privilege to practice in Compact states, subject to the requirements and restrictions provided in the Compact. Sets criteria for State participation in the Compact, including having a mechanism in place for receiving and investigating complaints about licensees. Requires states to use procedures for considering criminal history records for initial privileges, including fingerprinting or similar biometric-based procedures to obtain criminal history records from the FBI and the respective state's criminal history database. Details further requirements of states regarding criminal background checks of applicants. Establishes qualifications licensees must meet to exercise the Compact privilege, including having no encumbrances on any state license within the previous two years and having notified the Counseling Compact Commission (Commission) that the licensee is seeking the privilege in a remote state. Allows member states to charge a fee for granting a privilege to practice. Establishes that the privilege to practice is derived from the home state license, and provides for the jurisdiction of the remote member state in regards to practicing laws and licensure. 

    Limits licensed professional counselors to one home state license at a time and provides for privilege validity until expiration of the home state license. Provides for obtaining a new home state license by virtue of the Compact privilege. Sets forth detailed parameters regarding practice in remote member states. Provides for active duty military personnel or their spouses' home state designation. Requires member states to recognize the right of Compact licensees to practice telehealth, subject to laws and regulations of the respective remote state. Allows remote state regulatory authorities to take adverse action against a licensed professional counselor's privilege to practice in that member state, and issue subpoenas for hearings and investigations. Restricts authority to take adverse action against a license issued by the home state to the home state. Mandates loss of privilege in any remote state if a home state license is encumbered until the home state license is no longer encumbered. Establishes parameters for adverse actions, investigations, and required notifications.

    Establishes the Counseling Compact Commission (Commission) as a joint public agency created by member states. Provides for Commission membership, voting, meetings, powers and duties, executive committee, financing, recordkeeping, and member qualified immunity, defense, and indemnification. Among the 18 powers and duties charged of the Commission, includes prosecuting legal proceedings and actions, and the acquisition and disposal of property. Requires the Commission to provide for the development, maintenance and use of a coordinated database and reporting system containing licensure, adverse action, and investigative information on all licensed individuals in members states. Provides for reporting, access, and removal of specified information by member states. Provides for Commission rulemaking procedures and effect. Details procedures regarding members in default, dispute resolution procedures between member states and Compact enforcement. 

    Provides for the Compact to become effective upon enactment in the 10th member state. Details initial Commission powers, effect of Commission rules on joining states, member withdrawal procedures, and Compact amendment parameters. 

    Deems the provisions of the Compact severable and advises on its construction and effect on other laws. 

    Conditions the effectiveness of the Compact to when at least 10 state have enacted the Compact, as set forth in Article 24A. Requires the Board of Licensed Clinical Mental Health Counselors to report to the Revisor of Statutes at that time.