Colorado has been a prized destination for people moving to advance their career or to enjoy nature. This session, the legislature has a chance to make it easier to welcome new residents to this great state with SB 22-116.
The Red Tape Reduction Act, currently under review in the Senate, is designed to make it easier for people to move to Colorado and begin working. For many jobs this isn’t an issue — people can move and immediately begin working on their start date. But if your job requires a professional license, then moving to a new state will force you to spend time and money to obtain a new license and begin working. Professionals often must take exams, pay fees and even undergo education and training again. This hassle is high enough to prevent people from moving.
Why do these barriers exist for some professions? States pass occupational-licensing laws to protect consumers from harm and ensure a minimum level of quality. State licensing boards monitor professionals in an effort to uphold standards of practice. Because they are passed by states, when professionals move to a new state, they are forced to demonstrate their ability again. Most states lack a mechanism to easily do that, so moving can be more difficult for licensed professionals.
But this is beginning to change. Since 2019, ten states have passed laws universally recognizing licenses from other states. Universal recognition laws reduce barriers for licensed professionals who move to a new state. Colorado passed a version of this reform two years ago and is looking to make the reform work more smoothly.
Continue reading at Colorado Politics.
Edward Timmons, Associate Professor of Economics and Director of the Knee Center for the Study of Occupational Regulation at St. Francis University, writes frequently on the history and rise of occupational licensing and it’s relation to economic mobility.
Conor Norris is the assistant director of the Knee Regulatory Research Center at West Virginia University. Follow his work @ConorNorrisKRCC.
Economics of Flourishing
Colorado has been a prized destination for people moving to advance their career or to enjoy nature. This session, the legislature has a chance to make it easier to welcome new residents to this great state with SB 22-116.
The Red Tape Reduction Act, currently under review in the Senate, is designed to make it easier for people to move to Colorado and begin working. For many jobs this isn’t an issue — people can move and immediately begin working on their start date. But if your job requires a professional license, then moving to a new state will force you to spend time and money to obtain a new license and begin working. Professionals often must take exams, pay fees and even undergo education and training again. This hassle is high enough to prevent people from moving.
Why do these barriers exist for some professions? States pass occupational-licensing laws to protect consumers from harm and ensure a minimum level of quality. State licensing boards monitor professionals in an effort to uphold standards of practice. Because they are passed by states, when professionals move to a new state, they are forced to demonstrate their ability again. Most states lack a mechanism to easily do that, so moving can be more difficult for licensed professionals.
But this is beginning to change. Since 2019, ten states have passed laws universally recognizing licenses from other states. Universal recognition laws reduce barriers for licensed professionals who move to a new state. Colorado passed a version of this reform two years ago and is looking to make the reform work more smoothly.
Continue reading at Colorado Politics.
Edward Timmons
Edward Timmons, Associate Professor of Economics and Director of the Knee Center for the Study of Occupational Regulation at St. Francis University, writes frequently on the history and rise of occupational licensing and it’s relation to economic mobility.
Conor Norris
Conor Norris is the assistant director of the Knee Regulatory Research Center at West Virginia University. Follow his work @ConorNorrisKRCC.
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