License check
The state must balance worker, consumer needs
Government loves to regulate, and Democratic administrations are particularly fond of it. So it’s refreshing that Democratic Gov. Tom Wolf has ordered a review of the state’s professional licensing programs to be sure workers in certain fields aren’t being forced to jump through unnecessary hoops.
As the Post-Gazette’s Daniel Moore reported last Sunday, the Pennsylvania Department of State has nearly 30 licensing boards promulgating rules for, and overseeing the administration of, about 250 kinds of licenses. Virtually no one would be surprised to hear that doctors, psychologists, nurses, pharmacists and nursing home administrators are among those licensed. All have the potential to do grave harm to those in their care, and licensing is a way to uphold standards and dispense with the rotten apples.
Less known perhaps is that the state also licenses auctioneers, accountants, architects, barbers and cosmetologists, car dealers, crane operators, landscape architects and real estate professionals. Incompetence in these fields can cause harm, too, so practitioners are regulated for consumer protection. Is that going too far? Maybe, maybe not.
The question of which professions to license in the future should turn on various factors, such as whether individuals can obtain accreditation through professional bodies, whether regulation here is excessive compared with other states and whether licensing fees are burdensome. The state shouldn’t erect unnecessary barriers to employment.
But it’s also important to ask where besides the state aggrieved consumers might go to check these practitioners’ credentials or file complaints. Now, consumers can go to the Department of State website to look for a disciplinary history or make a complaint. Meetings of the licensing boards are open to the public. While it’s important to guard against over-regulation, consumer protection shouldn’t be sacrificed.
The review of licensing programs should include input from state Attorney General Josh Shapiro, who enforces consumer protection laws, and state Auditor General Eugene DePasquale, whose office specializes in evaluating program performance and could provide an independent assessment of Pennsylvania’s licensing process.
While most licensing programs are overseen by the Department of State, some fall under the Department of Labor and Industry, the Department of Agriculture and other agencies. The review Mr. Wolf ordered covered only Department of State programs but these others should be included, too, in the interests of fairness and thoroughness.
In a report last month, the Virginia-based Institute for Justice described Pennsylvania as the “31st most broadly and onerously licensed state,” even though licensing requirements for individual professions were among the least burdensome in the nation. The report found that Pennsylvania licensed 51 of the 102 lower-income occupations studied and licensed some jobs, including taxidermists and farm labor contractors, most states do not.
Officials should look at the substance of regulations in each profession and the competence of the licensing boards. In 2008, a group sued the state Board of Funeral Directors, alleging it refused to modernize regulations that limited consumer choice and protected the state’s many family-owned funeral homes from competition. The group lost the suit but the issue it raised was important: Regulation shouldn’t be used to further any party’s special interests.
The review also should examine the extent to which politics influences the regulatory process. Legislators who hail from licensed professions shouldn’t use their clout to dictate the work or makeup of the licensing boards, which should operate with a high degree of independence.
Mr. Wolf’s decision to review the licensing programs is a good one. But the review must be comprehensive, and it should include consultations with outside experts, such as Mr. Shapiro and Mr. DePasquale, who have considerable insight to contribute.