[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[S. 3158 Introduced in Senate (IS)]

<DOC>






114th CONGRESS
  2d Session
                                S. 3158

 To promote economic opportunity for military families, to facilitate 
 workforce attachment for military spouses in their chosen occupation 
 across multiple geographical postings, to reduce barriers to work on 
   military installations, to amend the District of Columbia Code to 
 promote greater freedom in the practice of regulated occupations, to 
combat abuse of occupational licensing laws by economic incumbents, to 
   promote competition, encourage innovation, protect consumers, and 
 promote compliance with Federal antitrust law, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             July 12, 2016

  Mr. Lee (for himself and Mr. Sasse) introduced the following bill; 
which was read twice and referred to the Committee on Homeland Security 
                        and Governmental Affairs

_______________________________________________________________________

                                 A BILL


 
 To promote economic opportunity for military families, to facilitate 
 workforce attachment for military spouses in their chosen occupation 
 across multiple geographical postings, to reduce barriers to work on 
   military installations, to amend the District of Columbia Code to 
 promote greater freedom in the practice of regulated occupations, to 
combat abuse of occupational licensing laws by economic incumbents, to 
   promote competition, encourage innovation, protect consumers, and 
 promote compliance with Federal antitrust law, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Alternatives to 
Licensing that Lower Obstacles to Work Act of 2016'' or the ``ALLOW 
Act''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
                    TITLE I--MILITARY INSTALLATIONS

Sec. 101. Endorsement of occupational licenses and certifications 
                            issued by States for purposes of activities 
                            on military installations.
      TITLE II--DISTRICT OF COLUMBIA OCCUPATIONAL LICENSING REFORM

Sec. 201. Short title.
Sec. 202. Statement of findings and purpose.
Sec. 203. Definitions.
Sec. 204. Policy regarding occupational licensure.
Sec. 205. Office of Supervision of Occupational Boards.
Sec. 206. Periodic analysis of occupational regulations.
Sec. 207. Freedom to engage in an occupation.
Sec. 208. Affirmative defense.
  TITLE III--TOUR GUIDE SERVICES IN NATIONAL MILITARY PARKS, NATIONAL 
 BATTLEFIELDS, NATIONAL BATTLEFIELD PARKS, NATIONAL BATTLEFIELD SITES, 
                AND THE NATIONAL MALL AND MEMORIAL PARKS

Sec. 301. Tour guide services.

                    TITLE I--MILITARY INSTALLATIONS

SEC. 101. ENDORSEMENT OF OCCUPATIONAL LICENSES AND CERTIFICATIONS 
              ISSUED BY STATES FOR PURPOSES OF ACTIVITIES ON MILITARY 
              INSTALLATIONS.

    (a) In General.--For the purpose of establishing an individual's 
authorization to engage in an occupation on a military installation 
located on land owned by the Federal Government, the Federal Government 
endorses occupational licenses and certifications granted by any State, 
regardless of whether the military installation is located in the 
issuing State, provided that--
            (1) the license or certification is not expired, revoked, 
        or suspended by the issuing State; and
            (2) there are no outstanding enforcement actions against 
        the individual brought by the licensing board or certifying 
        authority for that occupation in the issuing State.
    (b) Scope of Practice.--An individual relying on subsection (a) for 
authorization to engage in an occupation is authorized to sell the same 
goods and services as are covered by the occupational license or 
certification in the issuing State.
    (c) State Defined.--In this section, the term ``State'' includes 
the District of Columbia.

      TITLE II--DISTRICT OF COLUMBIA OCCUPATIONAL LICENSING REFORM

SEC. 201. SHORT TITLE.

    This title may be cited as the ``District of Columbia Occupational 
Licensing Reform Act''.

SEC. 202. STATEMENT OF FINDINGS AND PURPOSE.

    Congress finds the following:
            (1) The prevalence of occupational licensing has increased 
        dramatically in recent decades, in part because private 
        interests have sought licensing in order to limit competition.
            (2) Occupational licensing often limits opportunities for 
        workers, frustrates entrepreneurs seeking to introduce new 
        business models, and raises prices paid by consumers.
            (3) Licensing should be imposed only to combat real, 
        substantial threats to public health or safety and only where 
        other less restrictive regulatory alternatives are insufficient 
        to protect consumers and serve the public interest.
            (4) Regulators should consider a range of less restrictive 
        alternatives before enacting an occupational licensing regime, 
        which may include inspections, bonding or insurance 
        requirements, registration, and voluntary certification.
            (5) Voluntary certification provides a particularly 
        significant alternative to licensure, as it allows market 
        participants to signal to consumers the attainment of personal 
        qualifications without limiting entry into the marketplace.
            (6) The failure of State governments to adopt less 
        restrictive alternatives to licensing has resulted in 
        significant costs to consumers and the broader economy.
            (7) By appropriately limiting occupational licensing in the 
        District of Columbia, Congress intends to promote economic 
        opportunity in the District.
            (8) By promoting economic opportunity in the District of 
        Columbia through the reform of occupational regulations, 
        Congress intends to provide a basic reform model that the 
        States may follow.

SEC. 203. DEFINITIONS.

    (a) In General.--In this title:
            (1) Attorney general.--The term ``Attorney General'' means 
        the Attorney General for the District of Columbia.
            (2) Certification.--The term ``certification'' means a 
        voluntary program under which--
                    (A) a private organization or the government grants 
                nontransferable recognition to an individual who meets 
                personal qualifications established by the private 
                organization or the government;
                    (B) upon approval, an individual described in 
                subparagraph (A) may use ``certified'' as a designated 
                title; and
                    (C) a noncertified individual may perform the 
                lawful occupation for compensation but may not use the 
                title ``certified''.
            (3) Council.--The term ``Council'' means the Council of the 
        District of Columbia.
            (4) Covered board.--The term ``covered board'' means an 
        occupational licensing board in the District of Columbia.
            (5) Lawful occupation.--The term ``lawful occupation'' 
        means a course of conduct, pursuit, or profession that includes 
        the sale of goods or services that are not illegal to sell 
        regardless of whether the individual selling the goods or 
        services is subject to an occupational regulation.
            (6) Least restrictive regulation.--The term ``least 
        restrictive regulation'' means, from least to most 
        restrictive--
                    (A) market competition;
                    (B) industry or consumer-created ratings and 
                reviews;
                    (C) private certification;
                    (D) a specific private civil cause of action to 
                remedy consumer harm;
                    (E) a deceptive trade practice act;
                    (F) a regulation of the process of providing the 
                specific goods or services to consumers;
                    (G) inspection;
                    (H) bonding or insurance;
                    (I) registration;
                    (J) government certification;
                    (K) specialty occupational license for medical 
                reimbursement; and
                    (L) occupational license.
            (7) Occupational license.--The term ``occupational 
        license'' means a nontransferable authorization under law for 
        an individual to perform a lawful occupation for compensation 
        based on meeting personal qualifications established by the 
        District of Columbia government.
            (8) Specialty occupational license for medical 
        reimbursement.--The term ``specialty occupational license for 
        medical reimbursement'' means a nontransferable authorization 
        in law for an individual to provide identified medical services 
        and qualify for payment or reimbursement from a government 
        agency based on meeting personal qualifications established by 
        the government.
            (9) Occupational regulation.--The term ``occupational 
        regulation''--
                    (A) means a statute, rule, practice, policy, or 
                other law requiring an individual to possess certain 
                personal qualifications to use an occupational title or 
                work in a lawful occupation;
                    (B) includes a regulation requiring registration, 
                certification, or an occupational license; and
                    (C) does not include a business license, facility 
                license, building permit, or zoning and land use 
                regulation except to the extent that such a law 
                regulates an individual's personal qualifications to 
                perform a lawful occupation.
            (10) Personal qualifications.--The term ``personal 
        qualifications'' means criteria related to an individual's 
        personal background and characteristics, including completion 
        of an approved educational program, satisfactory performance on 
        an examination, work experience, other evidence of attainment 
        of requisite skills or knowledge, moral standing, criminal 
        history, and completion of continuing education.
            (11) Registration.--
                    (A) In general.--The term ``registration'' means a 
                requirement that an individual give notice to the 
                District of Columbia government that--
                            (i) may include--
                                    (I) the individual's name and 
                                address;
                                    (II) the individual's agent for 
                                service of process;
                                    (III) the location of the activity 
                                to be performed; and
                                    (IV) a description of the service 
                                the individual provides;
                            (ii) does not include personal 
                        qualifications; and
                            (iii) may require a bond or insurance.
                    (B) Use of title.--
                            (i) Registered individuals.--Upon the 
                        receipt of notice described in subparagraph (A) 
                        by the District of Columbia government from an 
                        individual, the individual may use 
                        ``registered'' as a designated title.
                            (ii) Nonregistered individuals.--A 
                        nonregistered individual may not perform the 
                        occupation for compensation or use 
                        ``registered'' as a designated title.
            (12) Superior court.--The term ``Superior Court'' means the 
        Superior Court of the District of Columbia.
    (b) Rules Relating to Use and Construction of Terms.--
            (1) Certification and registration.--As used in this title, 
        the terms ``certification'' and ``registration'' shall not be 
        construed to be synonymous with the term ``occupational 
        license'', notwithstanding their use in other provisions of the 
        law of the District of Columbia.
            (2) Relation to other provisions of law.--The use of the 
        terms ``certification'', ``certified'', ``registration'', and 
        ``registered'' in other provisions of the law of the District 
        of Columbia to mean an individual is required to meet certain 
        personal qualifications to work legally shall be construed for 
        the purposes of this title as requiring an individual to meet 
        the requirements of an occupational license.

SEC. 204. POLICY REGARDING OCCUPATIONAL LICENSURE.

    It is the policy of the District of Columbia that--
            (1) occupational licensing laws should be construed and 
        applied to increase economic opportunity, promote competition, 
        and encourage innovation;
            (2) regulators should displace competition through 
        occupational licensing only where less restrictive regulation 
        will not suffice to protect consumers from present, 
        significant, and substantiated harms that threaten public 
        health, safety, or welfare; and
            (3) an occupational licensing restriction should be 
        enforced against an individual only to the extent the 
        individual sells goods and services that are included 
        explicitly in the statute or Municipal Regulation that defines 
        the occupation's scope of practice.

SEC. 205. OFFICE OF SUPERVISION OF OCCUPATIONAL BOARDS.

    (a) Establishment.--
            (1) In general.--There shall be established an Office of 
        Supervision of Occupational Boards (referred to in this section 
        as the ``Office'') in--
                    (A) the office of the Attorney General; or
                    (B) another appropriate agency of the District of 
                Columbia government.
            (2) Rule of construction.--For the purposes of this title, 
        if individual Offices are established within multiple agencies, 
        the term ``Office'' shall be construed to refer to both the 
        singular and the plural.
    (b) Active Supervision.--
            (1) In general.--The Office shall be responsible for 
        exercising active supervision over each covered board to ensure 
        compliance with the policies under section 204.
            (2) Duties.--In exercising active supervision over covered 
        boards under paragraph (1), the Office shall independently--
                    (A) play a substantial role in the development of a 
                board's rules and policies to ensure they benefit 
                consumers and do not serve the private interests of 
                providers of goods and services regulated by the board;
                    (B) disapprove the use of any board rule or policy 
                and terminate any enforcement action, including any 
                such action pending on the date of enactment of this 
                Act, that is inconsistent with section 204;
                    (C) exercise control over each board by reviewing 
                and affirmatively approving only rules, policies, and 
                enforcement actions that are consistent with section 
                204; and
                    (D) use the analysis conducted under section 206 
                and conduct reasonable investigations to gain 
                additional information, including about less 
                restrictive regulatory approaches, to promote 
                compliance with section 204.
            (3) Independence.--In exercising active supervision over 
        covered boards under paragraph (1), the Office shall be staffed 
        by not less than 1 attorney who does not provide general 
        counsel to any board.
    (c) Review and Approval of Proposed Regulatory Actions.--
            (1) In general.--The Office shall review and approve or 
        reject any rule, policy, enforcement action, or other 
        occupational licensure action proposed by each covered board 
        before the board may adopt or implement the rule, policy, 
        enforcement action, or other occupational licensure action.
            (2) Explicit approval required.--For purposes of paragraph 
        (1)--
                    (A) approval by the Office shall be required to be 
                explicit; and
                    (B) silence or failure to act shall not constitute 
                approval.
    (d) Complaints.--
            (1) Right to file complaint.--A person who is a resident of 
        or has a license to operate a business in the District of 
        Columbia may file a complaint to the Office about a rule, 
        policy, enforcement action, or other occupational licensure 
        action of a covered board that the person believes is 
        inconsistent with section 204.
            (2) Response.--Not later than 90 days after the date on 
        which the Office receives a complaint filed under paragraph 
        (1), the Office shall--
                    (A) investigate the complaint;
                    (B) identify remedies and instruct the board to 
                take action, where appropriate; and
                    (C) respond in writing to the complainant.
            (3) Appeal.--
                    (A) In general.--There shall be no right to appeal 
                a decision of the Office under paragraph (2) unless--
                            (i) the challenged rule, policy, 
                        enforcement action, or other occupational 
                        licensure action would prevent the complainant 
                        from--
                                    (I) engaging in a lawful 
                                occupation; or
                                    (II) employing or contracting 
                                others for the performance of a lawful 
                                occupation; and
                            (ii) the complainant has taken material 
                        steps in an attempt to take an action described 
                        in subclause (I) or (II) of clause (i).
                    (B) Superior court.--Any appeal authorized under 
                subparagraph (A) shall be to the Superior Court.
    (e) Review by Attorney General.--
            (1) Right to request review.--Any member of the Council may 
        request that the Attorney General review--
                    (A) a rule, policy, enforcement action, or other 
                occupational licensure action of a covered board that 
                the member believes is inconsistent with section 204;
                    (B) the active supervision of a covered board by 
                the Office; or
                    (C) the response of the Office to a complaint under 
                subsection (d).
            (2) Response.--Not later than 180 days after the date on 
        which the Attorney General receives a request under paragraph 
        (1), the Attorney General shall--
                    (A) investigate the activity requested to be 
                reviewed;
                    (B) identify remedies and instruct the covered 
                board to take action, where appropriate; and
                    (C) respond in writing to the requesting member.

SEC. 206. PERIODIC ANALYSIS OF OCCUPATIONAL REGULATIONS.

    (a) Establishment of Committee.--The Chairman of the Council shall 
establish a legislative committee or subcommittee composed exclusively 
of current Council members to analyze occupational regulations (in this 
section referred to as the ``committee'').
    (b) Duties.--
            (1) In general.--The committee shall be responsible for 
        reviewing proposed legislation to impose or modify an 
        occupational regulation to ensure compliance with the policies 
        under section 204.
            (2) Specific duties.--In reviewing proposed legislation 
        under paragraph (1), the committee--
                    (A) may require--
                            (i) the proponents of the legislation to 
                        submit evidence of present, significant, and 
                        substantiated harms to consumers in the 
                        District; and
                            (ii) information from other persons 
                        knowledgeable about the applicable occupation, 
                        labor economics, or other relevant factors;
                    (B) shall determine whether the legislation 
                satisfies the policy under section 204(2) of using the 
                least restrictive regulation necessary to protect 
                consumers from present, significant, and substantiated 
                harms that threaten public health, safety, or welfare;
                    (C) shall evaluate the effects of the legislation 
                on opportunities for workers, consumer choices and 
                costs, general unemployment, market competition, 
                governmental costs, and other effects;
                    (D) shall compare the legislation to whether and 
                how other jurisdictions regulate the applicable 
                occupation; and
                    (E) shall issue a report to the Council assessing 
                and proposing modifications, if any, to the legislation 
                on a timely basis.
            (3) Required vote by council.--The Council may not enact 
        legislation to impose or modify an occupational regulation 
        before the Council has specifically voted to adopt or reject 
        any modification to the regulation proposed by the committee 
        under paragraph (2).
    (c) Annual Review.--
            (1) In general.--Beginning on January 1, 2018, the 
        committee shall conduct an annual review of the regulations of 
        approximately 20 percent of the occupations subject to 
        regulation within the District of Columbia to improve 
        compliance with this title.
            (2) Full review.--During the 5-year period beginning on 
        January 1, 2018, and during each 5-year period thereafter, the 
        committee shall review all occupational regulations within the 
        District of Columbia.
            (3) Information.--In carrying out the review under this 
        subsection, the committee may require information from a 
        covered board, the members of a covered board, and other 
        persons.
    (d) Report.--Beginning on January 1, 2019, the committee shall 
submit to the Chairman of the Council and the Attorney General an 
annual report on the findings of the reviews carried out under 
subsection (c) that includes suggested changes to occupational 
regulations to improve compliance with this title.

SEC. 207. FREEDOM TO ENGAGE IN AN OCCUPATION.

    (a) In General.--An individual may engage in a lawful occupation 
without being subject to occupational regulations that are--
            (1) arbitrary; or
            (2) unnecessary and substantially burdensome.
    (b) Prohibition.--The District of Columbia and any covered board 
within the District may not require an occupational license, 
certification, or registration for a person, or impose any other 
occupational regulation that imposes a substantial burden on a person, 
unless the District government demonstrates that--
            (1) the government has an important interest in protecting 
        against present and recognizable harm to public health, safety, 
        or welfare; and
            (2) the regulation is substantially related to achievement 
        of the important government interest described in paragraph 
        (1).
    (c) Limitation.--Nothing in this section shall be construed to--
            (1) create a right of action against the District 
        government or a private party; or
            (2) require the District government or a private party to 
        do business with an individual who is not licensed by, 
        certified by, or registered with the District government.

SEC. 208. AFFIRMATIVE DEFENSE.

    (a) Right To Assert Defense.--
            (1) In general.--An individual may assert as a defense in 
        any administrative or judicial proceeding to enforce an 
        occupational regulation that the standard required under 
        section 207 has not been met.
            (2) Initial burden of proof.--An individual who asserts a 
        defense under this section has the initial burden of proof that 
        the occupational regulation being enforced substantially 
        burdens the individual's right to engage in a lawful 
        occupation.
            (3) Government's burden of proof.--If an individual meets 
        the burden of proof under paragraph (2), the District of 
        Columbia government shall be required to demonstrate by clear 
        and convincing evidence that--
                    (A) the occupational regulation in question 
                advances an important government interest in protecting 
                against real, substantial threats to public health, 
                safety, or welfare; and
                    (B) the regulation is substantially related to 
                achievement of the important government interest 
                described in subparagraph (A).
    (b) Superior Court.--
            (1) In general.--The Superior Court shall liberally 
        construe this title to protect the right established under 
        section 207.
            (2) Requirements.--In reviewing an alleged violation of the 
        right established under section 207, the Superior Court--
                    (A) shall make its own findings of fact and 
                conclusions of law;
                    (B) may not rely on legislative findings of fact 
                presented in admissible form to the Superior Court; and
                    (C) may not grant any presumption to legislative 
                determinations--
                            (i) of harm to public health, safety, or 
                        welfare; or
                            (ii) that the occupational regulation in 
                        question is substantially related to 
                        achievement of the important government 
                        interest described in subsection (a)(3)(A).

  TITLE III--TOUR GUIDE SERVICES IN NATIONAL MILITARY PARKS, NATIONAL 
 BATTLEFIELDS, NATIONAL BATTLEFIELD PARKS, NATIONAL BATTLEFIELD SITES, 
                AND THE NATIONAL MALL AND MEMORIAL PARKS

SEC. 301. TOUR GUIDE SERVICES.

    (a) In General.--Chapter 1033 of title 54, United States Code, is 
amended by adding at the end the following:
``Sec. 103307. Tour guide services
    ``(a) In General.--A person providing tour guide services for a fee 
within a national military park, national battlefield, national 
battlefield park, or national battlefield site or outdoor portions of 
the National Mall and Memorial Parks, including the Lincoln Memorial 
and the Jefferson Memorial, shall not be required to obtain a license, 
certification, or permit of any kind to provide the services.
    ``(b) Application of Certain Restrictions.--In imposing any 
restriction on the scope, duration, and manner of access to or within 
the boundary of an area described in subsection (a) for the purposes of 
providing tour guide services, the Secretary shall ensure that the 
restrictions apply equally to all persons providing, or attempting to 
provide, tour guide services, without regard to employment by, or a 
contractual relationship with, the Service.''.
    (b) Clerical Amendment.--The table of sections for chapter 1033 of 
title 54, United States Code, is amended by inserting after the item 
relating to section 103306 the following:

``103307. Tour guide services.''.
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