2022 -- S 2606

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LC004884

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2022

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A N   A C T

RELATING TO BUSINESSES AND PROFESSIONS -- INTERSTATE MEDICAL

LICENSURE COMPACT

     Introduced By: Senators Valverde, Miller, DiMario, Euer, and Lawson

     Date Introduced: March 10, 2022

     Referred To: Senate Health & Human Services

     It is enacted by the General Assembly as follows:

     SECTION 1. Title 5 of the General Laws entitled "BUSINESSES AND PROFESSIONS"

is hereby amended by adding thereto the following chapter:

CHAPTER 91

INTERSTATE MEDICAL LICENSURE COMPACT

     5-91-1. Purpose.

     In order to strengthen access to health care, and in recognition of the advances in the

delivery of health care, the member states of the Interstate Medical Licensure Compact have allied

in common purpose to develop a comprehensive process that complements the existing licensing

and regulatory authority of state medical boards, provides a streamlined process that allows

physicians to become licensed in multiple states, thereby enhancing the portability of a medical

license and ensuring the safety of patients. The compact creates another pathway for licensure and

does not otherwise change a state’s existing medical practice act. The compact also adopts the

prevailing standard for licensure and affirms that the practice of medicine occurs where the patient

is located at the time of the physician-patient encounter, and therefore, requires the physician to be

under the jurisdiction of the state medical board where the patient is located. State medical boards

that participate in the compact retain the jurisdiction to impose an adverse action against a license

to practice medicine in that state issued to a physician through the procedures in the compact.

     5-91-2. Definitions.

     The terms contained in this chapter shall have the following meanings:

     (1) “Bylaws” means those bylaws established by the interstate commission pursuant to §5-

91-11.

     (2) “Commissioner” means the voting representative appointed by each member board

pursuant to § 5-91-11.

     (3) “Conviction” means a finding by a court that an individual is guilty of a criminal offense

through adjudication, or entry of a plea of guilt or no contest to the charge by the offender. Evidence

of an entry of a conviction of a criminal offense by the court shall be considered final for purposes

of disciplinary action by a member board.

     (4) “Expedited license” means a full and unrestricted medical license granted by a member

state to an eligible physician through the process set forth in the compact.

     (5) “Interstate commission” means the interstate commission created pursuant to §5-91-11.

     (6) “License” means authorization by a member state for a physician to engage in the

practice of medicine, which would be unlawful without authorization.

     (7) “Medical practice act” means laws and regulations governing the practice of allopathic

and osteopathic medicine within a member state.

     (8) “Member board” means a state agency in a member state that acts in the sovereign

interests of the state by protecting the public through licensure, regulation, and education of

physicians as directed by the state government.

     (9) “Member state” means a state that has enacted the compact.

     (10) “Practice of medicine” means that clinical prevention, diagnosis, or treatment of

human disease, injury, or condition requiring a physician to obtain and maintain a license in

compliance with the medical practice act of a member state.

     (11) “Physician” means any person who:

     (i) Is a graduate of a medical school accredited by the Liaison Committee on Medical

Education, the Commission on Osteopathic College Accreditation, or a medical school listed in the

International Medical Education Directory or its equivalent;

     (ii) Passed each component of the United State Medical Licensing Examination (USMLE)

or the Comprehensive Osteopathic Medical Licensing Examination (COMLEX-USA) within three

(3) attempts, or any of its predecessor examinations accepted by a state medical board as an

equivalent examination for licensure purposes;

     (iii) Successfully completed graduate medical education approved by the Accreditation

Council for Graduate Medical Education or the American Osteopathic Association;

     (iv) Holds specialty certification or a time-unlimited specialty certificate recognized by the

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American Board of Medical Specialties or the American Osteopathic Association’s Bureau of

Osteopathic Specialists;

     (v) Possesses a full and unrestricted license to engage in the practice of medicine issued by

a member board;

     (vi) Has never been convicted, received adjudication, deferred adjudication, community

supervision, or deferred disposition for any offense by a court of appropriate jurisdiction;

     (vii) Has never held a license authorizing the practice of medicine subjected to discipline

by a licensing agency in any state, federal, or foreign jurisdiction, excluding any action related to

non-payment of fees related to a license;

     (viii) Has never had a controlled substance license or permit suspended or revoked by a

state or the United States Drug Enforcement Administration; and

     (ix) Is not under active investigation by a licensing agency or law enforcement authority in

any state, federal, or foreign jurisdiction.

     (12) “Offense” means a felony, gross misdemeanor, or crime of moral turpitude.

     (13) “Rule” means a written statement by the interstate commission promulgated pursuant

to § 5-91-12 of the compact that is of general applicability, implements, interprets, or prescribes a

policy or provision of the compact, or an organizational, procedural, or practice requirement of the

interstate commission, and has the force and effect of statutory law in a member state, and includes

the amendment, repeal, or suspension of an existing rule.

     (14) “State” means any state, commonwealth, district, or territory of the United States.

     (15) “State of principal license” means a member state where a physician holds a license

to practice medicine and which has been designated as such by the physician for purposes of

registration and participation in the compact.

     5-91-3. Eligibility.

     (a) A physician must meet the eligibility requirements as defined in § 5-91-2 to receive an

expedited license under the terms and provisions of the compact.

     (b) A physician who does not meet the requirements of § 5-91-2 may obtain a license to

practice medicine in a member state if the individual complies with all laws and requirements, other

than the compact, relating to the issuance of a license to practice medicine in that state.

     5-91-4. Designation of state of principal license.

     (a) A physician shall designate a member state as the state of principal license for purposes

of registration for expedited licensure through the compact if the physician possesses a full and

unrestricted license to practice medicine in that state, and the state is:

     (1) The state of principal residence for the physician;

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     (2) The state where at least twenty-five percent (25%) of the practice of medicine occurs;

or

     (3) The location of the physician’s employer; or

     (4) If no state qualifies under subsection (1), subsection (2), or subsection (3) of this

section, the state designated as state of residence for purpose of federal income tax.

     (b) A physician may redesignate a member state as state of principal license at any time,

as long as the state meets the requirements of subsection (a) of this section.

     (c) The interstate commission is authorized to develop rules to facilitate redesignation of

another member state as the state of principal license.

     5-91-5. Application and issuance of expedited licensure.

     (a) A physician seeking licensure through the compact shall file an application for an

expedited license with the member board of the state selected by the physician as the state of

principal license.

     (b) Upon receipt of an application for an expedited license, the member board within the

state selected as the state of principal license shall evaluate whether the physician is eligible for

expedited licensure and issue a letter of qualification, verifying or denying the physician’s

eligibility, to the interstate commission.

     (1) Static qualifications, which include verification of medical education, graduate medical

education, results of any medical or licensing examination, and other qualifications as determined

by the interstate commission through rule, shall not be subject to additional primary source

verification where already primary source verified by the state of principal license.

     (2) The member board within the state selected as the state of principal license shall, in the

course of verifying eligibility, perform a criminal background check of an applicant, including the

use of the results of fingerprint or other biometric data checks compliant with the requirements of

the Federal Bureau of Investigation, with the exception of federal employees who have suitability

determination in accordance with 5 C.F.R. §731.202.

     (3) Appeal on the determination of eligibility shall be made to the member state where the

application was filed and shall be subject to the law of that state.

     (c) Upon verification in subsection (b) of this section, physicians eligible for an expedited

license shall complete the registration process established by the interstate commission to receive

a license in a member state selected pursuant to subsection (a) of this section, including the payment

of any applicable fees.

     (d) After receiving verification of eligibility under subsection (b) of this section and any

fees under subsection (c) of this section, a member board shall issue an expedited license to the

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physician.

     This license shall authorize the physician to practice medicine in the issuing state consistent

with the medical practice act and all applicable laws and regulations of the issuing member board

and member state.

     (e) An expedited license shall be valid for a period consistent with the licensure period in

the member state and in the same manner as required for other physicians holding a full and

unrestricted license within the member state.

     (f) An expedited license obtained through the compact shall be terminated if a physician

fails to maintain a license in the state of principal licensure for a non-disciplinary reason, without

redesignation of a new state of principal licensure.

     (g) The interstate commission is authorized to develop rules regarding the application

process, including payment of any applicable fees, and the issuance of an expedited license.

     5-91-6. Fees for expedited licensure.

     (a) A member state issuing an expedited license authorizing the practice of medicine in that

state may impose a fee for a license issued or renewed through the compact.

     (b) The interstate commission is authorized to develop rules regarding fees for expedited

licenses.

     5-91-7. Renewal and continued participation.

     (a) A physician seeking to renew an expedited license granted in a member state shall

complete a renewal process with the interstate commission if the physician:

     (1) Maintains a full and unrestricted license in a state of principal license;

     (2) Has not been convicted, received adjudication, deferred adjudication, community

supervision, or deferred disposition for any offense by a court of appropriate jurisdiction;

     (3) Has not had a license authorizing the practice of medicine subject to discipline by a

licensing agency in any state, federal, or foreign jurisdiction, excluding any action related to non-

payment of fees related to a license; and

     (4) Has not had a controlled substance license or permit suspended or revoked by a state

or the United States Drug Enforcement Administration.

     (b) Physicians shall comply with all continuing professional development or continuing

medical education requirements for renewal of a license issued by a member state.

     (c) The interstate commission shall collect any renewal fees charged for the renewal of a

license and distribute the fees to the applicable member board.

     (d) Upon receipt of any renewal fees collected in subsection (c) of this section, a member

board shall renew the physician’s license.

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     (e) Physician information collected by the interstate commission during the renewal

process will be distributed to all member boards.

     (f) The interstate commission is authorized to develop rules to address renewal of licenses

obtained through the compact.

     5-91-8. Coordinated information system.

     (a) The interstate commission shall establish a database of all physicians licensed, or who

have applied for licensure under § 5-91-5.

     (b) Notwithstanding any other provision of law, member boards shall report to the interstate

commission any public action or complaints against a licensed physician who has applied or

received an expedited license through the compact.

     (c) Member boards shall report disciplinary or investigatory information determined as

necessary and proper by rule of the interstate commission.

     (d) Member boards may report any non-public complaint, disciplinary, or investigatory

information not required by subsection (c) of this section to the interstate commission.

     (e) Member boards shall share complaint or disciplinary information about a physician

upon request of another member board.

     (f) All information provided to the interstate commission or distributed by member boards

shall be confidential, filed under seal, and used only for investigatory or disciplinary matters.

     (g) The interstate commission is authorized to develop rules for mandated or discretionary

sharing of information by member boards.

     5-91-9. Joint investigations.

     (a) Licensure and disciplinary records of physicians are deemed investigative.

     (b) In addition to the authority granted to a member board by its respective medical practice

act or other applicable state law, a member board may participate with other member boards in

joint investigations of physicians licensed by the member boards.

     (c) A subpoena issued by a member state shall be enforceable in other member states.

     (d) Member boards may share any investigative, litigation, or compliance materials in

furtherance of any joint or individual investigation initiated under the compact.

     (e) Any member state may investigate actual or alleged violations of the statutes

authorizing the practice of medicine in any other member state in which a physician holds a license

to practice medicine.

     5-91-10. Disciplinary actions.

     (a) Any disciplinary action taken by any member board against a physician licensed

through the compact shall be deemed unprofessional conduct which may be subject to discipline

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by other member boards, in addition to any violation of the medical practice act or regulations in

that state.

     (b) If a license granted to a physician by the member board in the state of principal license

is revoked, surrendered or relinquished in lieu of discipline, or suspended, then all licenses issued

to the physician by member boards shall automatically be placed, without further action necessary

by any member board, on the same status. If the member board in the state of principal license

subsequently reinstates the physician’s license, a license issued to the physician by any other

member board shall remain encumbered until that respective member board takes action to reinstate

the license in a manner consistent with the medical practice act of that state.

     (c) If disciplinary action is taken against a physician by a member board not in the state of

principal license, any other member board may deem the action conclusive as to matter of law and

fact decided, and:

     (1) Impose the same or lesser sanction(s) against the physician as long as such sanctions

are consistent with the medical practice act of that state; or

     (2) Pursue separate disciplinary action against the physician under its respective medical

practice act, regardless of the action taken in other member states.

     (d) If a license granted to a physician by a member board is revoked, surrendered or

relinquished in lieu of discipline, or suspended, then any license(s) issued to the physician by any

other member board(s) shall be suspended, automatically and immediately without further action

necessary by the other member board(s), for ninety (90) days upon entry of the order by the

disciplining board, to permit the member board(s) to investigate the basis for the action under the

medical practice act of that state. A member board may terminate the automatic suspension of the

license it issued prior to the completion of the ninety (90) day suspension period in a manner

consistent with the medical practice act of that state.

     5-91-11. Interstate medical licensure compact commission.

     (a) The member states hereby create the “Interstate Medical Licensure Compact

Commission”.

     (b) The purpose of the interstate commission is the administration of the Interstate Medical

Licensure Compact, which is a discretionary state function.

     (c) The interstate commission shall be a body corporate and joint agency of the member

states and shall have all the responsibilities, powers, and duties set forth in the compact, and such

additional powers as may be conferred upon it by a subsequent concurrent action of the respective

legislatures of the member states in accordance with the terms of the compact.

     (d) The interstate commission shall consist of two (2) voting representatives appointed by

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each member state who shall serve as commissioners. In states where allopathic and osteopathic

physicians are regulated by separate member boards, or if the licensing and disciplinary authority

is split between separate member boards, or if the licensing and disciplinary authority is split

between multiple member boards within a member state, the member state shall appoint one

representative from each member board. A commissioner shall be an:

     (1) Allopathic or osteopathic physician appointed to a member board;

     (2) Executive director, executive secretary, or similar executive of a member board; or

     (3) Member of the public appointed to a member board.

     (e) The interstate commission shall meet at least once each calendar year.

     A portion of this meeting shall be a business meeting to address such matters as may

properly come before the commission, including the election of officers. The chairperson may call

additional meetings and shall call for a meeting upon the request of a majority of the member states.

     (f) The bylaws may provide for meetings of the interstate commission to be conducted by

telecommunication or electronic communication.

     (g) Each commissioner participating at a meeting of the interstate commission is entitled

to one vote. A majority of commissioners shall constitute a quorum for the transaction of business,

unless a larger quorum is required by the bylaws of the interstate commission. A commissioner

shall not delegate a vote to another commissioner. In the absence of its commissioner, a member

state may delegate voting authority for a specified meeting to another person from that state who

shall meet the requirements of subsection (d) of this section.

     (h) The interstate commission shall provide public notice of all meetings and all meetings

shall be open to the public. The interstate commission may close a meeting, in full or in portion,

where it determines by a two-thirds (2/3) vote of the commissioners present that an open meeting

would be likely to:

     (1) Relate solely to the internal personnel practice and procedures of the interstate

commission;

     (2) Discuss matters specifically exempted from disclosure by federal statute;

     (3) Discuss trade secrets, commercial, or financial information that is privileged or

confidential;

     (4) Involve accusing a person of a crime or formally censuring a person;

     (5) Discuss information of a personal nature where disclosure would constitute a clearly

unwarranted invasion of personal privacy;

     (6) Discuss investigative records compiled for law enforcement purposes; or

     (7) Specifically relate to the participation in a civil action or other legal proceeding.

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     (i) The interstate commission shall keep minutes which shall fully describe all matters

discussed in a meeting and shall provide a full and accurate summary of actions taken, including

record of any roll call votes.

     (j) The interstate commission shall make its information and official records, to the extent

not otherwise designated in the compact or by its rules, available to the public for inspection.

     (k) The interstate commission shall establish an executive committee, which shall include

officers, members, and others as determined by the bylaws. The executive committee shall have

the power to act on behalf of the interstate commission, with the exception of rulemaking, during

periods when the interstate commission is not in session. When acting on behalf of the interstate

commission, the executive committee shall oversee the administration of the compact including

enforcement and compliance with the provisions of the compact, its bylaws and rules, and other

such duties as necessary.

     (l) The interstate commission shall establish other committees for governance and

administration of the compact.

     5-91-12. Powers and duties of the interstate commission.

     The interstate commission shall have the following powers and duties:

     (1) Oversee and maintain the administration of the compact;

     (2) Promulgate rules which shall be binding to the extent and in the manner provided for

in the compact;

     (3) Issue, upon the request of a member state or member board, advisory opinions

concerning the meaning or interpretation of the compact, its bylaws, rules, and actions;

     (4) Enforce compliance with compact provisions, the rules promulgated by the interstate

commission, and the bylaws, using all necessary and proper means, including, but not limited to,

the use of judicial process;

     (5) Establish and appoint committees including, but not limited to, an executive committee

as required by § 5-91-11, which shall have the power to act on behalf of the interstate commission

in carrying out its powers and duties;

     (6) Pay, or provide for the payment of the expenses related to the establishment,

organization, and ongoing activities of the interstate commission;

     (7) Establish and maintain one or more offices;

     (8) Borrow, accept, hire, or contract for services of personnel;

     (9) Purchase and maintain insurance and bonds;

     (10) Employ an executive director who shall have such powers to employ, select or appoint

employees, agents, or consultants, and to determine their qualifications, define their duties, and fix

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their compensation;

     (11) Establish personnel policies and programs relating to conflicts of interest, rates of

compensation, and qualifications of personnel;

     (12) Accept donations and grants of money, equipment, supplies, materials, and services

and to receive, utilize, and dispose of it in a manner consistent with the conflict of interest policies

established by the interstate commission;

     (13) Lease, purchase, accept contributions or donations of, or otherwise to own, hold,

improve or use, any property, real, personal, or mixed;

     (14) Sell, convey, mortgage, pledge, lease, exchange, abandon, or otherwise dispose of any

property, real, personal, or mixed;

     (15) Establish a budget and make expenditures;

     (16) Adopt a seal and bylaws governing the management and operation of the interstate

commission;

     (17) Report annually to the legislatures and governors of the member states concerning the

activities of the interstate commission during the preceding year. Such reports shall also include

reports of financial audits and any recommendations that may have been adopted by the interstate

commission;

     (18) Coordinate education, training, and public awareness regarding the compact, its

implementation, and its operation;

     (19) Maintain records in accordance with the bylaws;

     (20) Seek and obtain trademarks, copyrights, and patents; and

     (21) Perform such functions as may be necessary or appropriate to achieve the purpose of

the compact.

     5-91-13. Finance powers.

     (a) The interstate commission may levy on and collect an annual assessment from each

member state to cover the cost of the operations and activities of the interstate commission and its

staff. The total assessment must be sufficient to cover the annual budget approved each year for

which revenue is not provided by other sources. The aggregate annual assessment amount shall be

allocated upon a formula to be determined by the interstate commission, which shall promulgate a

rule binding upon all member states.

     (b) The interstate commission shall not incur obligations of any kind prior to securing the

funds adequate to meet the same.

     (c) The interstate commission shall not pledge the credit of any of the member states, except

by, and with the authority of, the member state.

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     (d) The interstate commission shall be subject to a yearly financial audit conducted by a

certified or licensed accountant and the report of the audit shall be included in the annual report of

the interstate commission.

     5-91-14. Organization and operation of the interstate commission.

     (a) The interstate commission shall, by a majority of commissioners present and voting,

adopt bylaws to govern its conduct as may be necessary or appropriate to carry out the purposes of

the compact within twelve (12) months of the first interstate commission meeting.

     (b) The interstate commission shall elect or appoint annually from among its

commissioners a chairperson, a vice-chairperson, and a treasurer, each of whom shall have such

authority and duties as may be specified in the bylaws. The chairperson, or in the chairperson’s

absence or disability, the vice-chairperson, shall preside at all meetings of the interstate

commission.

     (c) Officers selected in subsection (b) of this section shall serve without remuneration for

the interstate commission.

     (d) The officers and employees of the interstate commission shall be immune from suit and

liability, either personally or in their official capacity, for a claim for damage to or loss of property

or personal injury or other civil liability caused or arising out of, or relating to, an actual or alleged

act, error, or omission that occurred, or that such person had a reasonable basis for believing

occurred, within the scope of interstate commission employment, duties, or responsibilities;

provided that such person shall not be protected from suit or liability for damage, loss, injury, or

liability caused by the intentional or willful and wanton misconduct of such person.

     (e) The liability of the executive director and employees of the interstate commission or

representatives of the interstate commission, acting within the scope of such person’s employment

or duties for acts, errors, or omissions occurring within such person’s state, may not exceed the

limits of liability set forth under the constitution and laws of that state for state officials, employees,

and agents. The interstate commission is considered to be an instrumentality of the states for the

purpose of any such action. Nothing in this subsection shall be construed to protect such person

from suit or liability for damage, loss, injury, or liability caused by the intentional or willful and

wanton misconduct of such person.

     (f) The interstate commission shall defend the executive director, its employees, and

subject to the approval of the attorney general or other appropriate legal counsel of the member

state represented by an interstate commission representative, defend such interstate commission

representative in any civil action seeking to impose liability arising out of an actual or alleged act,

error or omission that occurred within the scope of interstate commission employment, duties or

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responsibilities, or that the defendant had a reasonable basis for believing occurred within the scope

of interstate commission employment, duties, or responsibilities, provided that the actual or alleged

act, error, or omission did not result from intentional or willful and wanton misconduct on the part

of such person.

     (g) To the extent not covered by the state involved, member state, or the interstate

commission, the representatives or employees of the interstate commission shall be held harmless

in the amount of a settlement or judgment, including attorney’s fees and costs, obtained against

such persons arising out of an actual or alleged act, error, or omission that occurred within the scope

of the interstate commission employment, duties, or responsibilities, or that such persons had a

reasonable basis for believing occurred within the scope of interstate commission employment,

duties, or responsibilities, provided that the actual or alleged act, error, or omission did not result

from intentional or willful and wanton misconduct on the part of such person.

     5-91-15. Rulemaking functions of the interstate commission.

     (a) The interstate commission shall promulgate reasonable rules in order to effectively and

efficiently achieve the purpose of the compact. Notwithstanding the foregoing, in the event the

interstate commission exercises its rulemaking authority in a manner that is beyond the scope of

the purposes of the compact, or the powers granted hereunder, then such an action by the interstate

commission shall be invalid and have no force or effect.

     (b) Rules deemed appropriate for the operations of the interstate commission shall be made

pursuant to a rulemaking process that substantially conforms to the “Model State Administrative

Procedure Act” of 2010, and subsequent amendments thereto.

     (c) Not later than thirty (30) days after a rule is promulgated, any person may file a petition

for judicial review of the rule in the United States District Court for the District of Columbia or the

federal district where the interstate commission has its principal offices, provided that the filing of

such a petition shall not stay or otherwise prevent the rule from becoming effective unless the court

finds that the petitioner has a substantial likelihood of success. The court shall give deference to

the actions of the interstate commission consistent with applicable law and shall not find the rule

to be unlawful if the rule represents a reasonable exercise of the authority granted to the interstate

commission.

     5-91-16. Oversight of interstate compact.

     (a) The executive, legislative, and judicial branches of state government in each member

state shall enforce the compact and shall take all actions necessary and appropriate to effectuate the

compact’s purposes and intent. The provisions of the compact and the rules promulgated hereunder

shall have standing as statutory law but shall not override existing state authority to regulate the

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practice of medicine.

     (b) All courts shall take judicial notice of the compact and the rules in any judicial or

administrative proceeding in a member state pertaining to the subject matter of the compact which

may affect the powers, responsibilities or actions of the interstate commission.

     (c) The interstate commission shall be entitled to receive all services of process in any such

proceeding, and shall have standing to intervene in the proceeding for all purposes. Failure to

provide service of process to the interstate commission shall render a judgment or order void as to

the interstate commission, the compact, or promulgated rules.

     5-91-17. Enforcement of interstate compact.

     (a) The interstate commission, in the reasonable exercise of its discretion, shall enforce the

provisions and rules of the compact.

     (b) The interstate commission may, by majority vote of the commissioners, initiate legal

action in the United States Court for the District of Columbia, or, at the discretion of the interstate

commission, in the federal district where the interstate commission has its principal offices, to

enforce compliance with the provisions of the compact, and its promulgated rules and bylaws,

against a member state in default. The relief sought may include both injunctive relief and damages.

In the event judicial enforcement is necessary, the prevailing party shall be awarded all costs of

such litigation including reasonable attorney’s fees.

     (c) The remedies herein shall not be the exclusive remedies of the interstate commission.

The interstate commission may avail itself of any other remedies available under state law or

regulation of a profession.

     5-91-18. Default procedures.

     (a) The grounds for default include, but are not limited to, failure of a member state to

perform such obligations or responsibilities imposed upon it by the compact, or the rules and

bylaws of the interstate commission promulgated under the compact.

     (b) If the interstate commission determines that a member state has defaulted in the

performance of its obligations or responsibilities under the compact, or the bylaws or promulgated

rules, the interstate commission shall:

     (1) Provide written notice to the defaulting state and other member states, of the nature of

the default, the means of curing the default, and any action taken by the interstate commission. The

interstate commission shall specify the conditions by which the defaulting state must cure its

default; and

     (2) Provide remedial training and specific technical assistance regarding the default.

     (c) If the defaulting state fails to cure the default, the defaulting state shall be terminated

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from the compact upon an affirmative vote of a majority of the commissioners and all rights,

privileges, and benefits conferred by the compact shall terminate on the effective date of

termination. A cure of the default does not relieve the offending state of obligations or liabilities

incurred during the period of the default.

     (d) Termination of membership in the compact shall be imposed only after all other means

of securing compliance have been exhausted. Notice of intent to terminate shall be given by the

interstate commission to the governor, the majority and minority leaders of the defaulting state’s

legislature, and each of the member states.

     (e) The interstate commission shall establish rules and procedures to address licenses and

physicians that are materially impacted by the termination of a member state, or the withdrawal of

a member state.

     (f) The member state which has been terminated is responsible for all dues, obligations,

and liabilities incurred through the effective date of termination including obligations, the

performance of which extends beyond the effective date of termination.

     (g) The interstate commission shall not bear any costs relating to any state that has been

found to be in default or which has been terminated from the compact, unless otherwise mutually

agreed upon in writing between the interstate commission and the defaulting state.

     (h) The defaulting state may appeal the action of the interstate commission by petitioning

the United States District Court for the District of Columbia or the federal district where the

interstate commission has its principal offices. The prevailing party shall be awarded all costs of

such litigation including reasonable attorney’s fees.

     5-91-19. Dispute resolution.

     (a) The interstate commission shall attempt, upon the request of a member state, to resolve

disputes which are subject to the compact and which may arise among member states or member

boards.

     (b) The interstate commission shall promulgate rules providing for both mediation and

binding dispute resolution as appropriate.

     5-91-20. Member states - Effective date - Amendment.

     (a) Any state is eligible to become a member of the compact.

     (b) The compact shall become effective and binding upon legislative enactment of the

compact into law by no less than seven (7) states. Thereafter, it shall become effective and binding

on a state upon enactment of the compact into law by that state.

     (c) The governors of non-member states, or their designees, shall be invited to participate

in the activities of the interstate commission on a non-voting basis prior to adoption of the compact

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by all states.

     (d) The interstate commission may propose amendments to the compact for enactment by

the member states. No amendment shall become effective and binding upon the interstate

commission and the member states unless and until it is enacted into law by unanimous consent of

the member states.

     5-91-21. Withdrawal.

     (a) Once effective, the compact shall continue in force and remain binding upon each and

every member state; provided that a member state may withdraw from the compact by specifically

repealing the statute which enacted the compact into law.

     (b) Withdrawal from the compact shall be by the enactment of a statute repealing the same,

but shall not take effect until one year after the effective date of such statute and until written notice

of the withdrawal has been given by the withdrawing state to the governor of each other member

state.

     (c) The withdrawing state shall immediately notify the chairperson of the interstate

commission in writing upon the introduction of legislation repealing the compact in the

withdrawing state.

     (d) The interstate commission shall notify the other member states of the withdrawing

state’s intent to withdraw within sixty (60) days of its receipt of notice provided under subsection

(c) of this section.

     (e) The withdrawing state is responsible for all dues, obligations and liabilities incurred

through the effective date of withdrawal, including obligations, the performance of which extend

beyond the effective date of withdrawal.

     (f) Reinstatement following withdrawal of a member state shall occur upon the

withdrawing state reenacting the compact or upon such later date as determined by the interstate

commission.

     (g) The interstate commission is authorized to develop rules to address the impact of the

withdrawal of a member state on licenses granted in other member states to physicians who

designated the withdrawing member state as the state of principal license.

     5-91-22. Dissolution.

     (a) The compact shall dissolve effective upon the date of the withdrawal or default of the

member state which reduces the membership of the compact to one member state.

     (b) Upon the dissolution of the compact, the compact becomes null and void and shall be

of no further force or effect, and the business and affairs of the interstate commission shall be

concluded, and surplus funds shall be distributed in accordance with the bylaws.

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     5-91-23. Severability and construction.

     (a) The provisions of the compact shall be severable, and if any phrase, clause, sentence,

or provision is deemed unenforceable, the remaining provisions of the compact shall be

enforceable.

     (b) The provisions of the compact shall be liberally construed to effectuate its purposes.

     (c) Nothing in the compact shall be construed to prohibit the applicability of other interstate

compacts to which the member states are members.

     5-91-24. Binding effect of compact and other laws.

     (a) Nothing herein prevents the enforcement of any other law of a member state that is not

inconsistent with the compact.

     (b) All laws in a member state in conflict with the compact are superseded to the extent of

the conflict.

     (c) All lawful actions of the interstate commission, including all rules and bylaws

promulgated by the commission, are binding upon the member states.

     (d) All agreements between the interstate commission and the member states are binding

in accordance with their terms.

     (e) In the event any provision of the compact exceeds the constitutional limits imposed on

the legislature of any member state, such provision shall be ineffective to the extent of the conflict

with the constitutional provision in question in that member state.

     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO BUSINESSES AND PROFESSIONS -- INTERSTATE MEDICAL

LICENSURE COMPACT

***

     This act would create the Interstate Medical Licensure Compact allowing physicians to

become licensed in multiple states and practice under the jurisdiction of the state in which the

patient is located.

     This act would take effect upon passage.

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