Latest Meeting of the House Regulatory Reform Committee
The House Regulatory Reform Committee met on Tuesday, March 11, this time with a specific topic on the agenda: occupational and professional licensing. Two outside speakers, both with similar perspectives, made presentations.
Jon Sanders, Director of the Center for Food, Power and Life, a research arm of the John Locke Foundation, provided statistics on the number of occupations requiring licensure in North Carolina (19%) and North Carolina’s ranking among all the states as to the number of occupations requiring some type of license, registration, or certifications to engage in a particular occupation (11th). Based on the Center’s many years of study, and the 2022 study by the General Assembly’s then Program Evaluation Division, Mr. Sanders suggested a layered policy of alternatives for licensure:
- “Hands off” for certain occupations. Market freedom with cooperation between consumers and service professionals.
- Some government intervention. Government aiding in consumer protection without barring service professionals from work.
- “Government barrier to entry.” Government forbidding professionals from working until all requirements for receiving a license are met.
He also advocated for “universal licensure,” a concept adopted in one form or another by 20 other states, that would require North Carolina to accept a license from any other state.
The second portion of Jon Sanders’ presentation was on limiting rulemaking, arguing that the legislative process is more deliberative, and rulemaking frequently exceeds legislative intent and, therefore, North Carolina needs rule ratification by the General Assembly.
John Cashion, Vice President of the NC Chamber (North Carolina’s largest broad-based business organization), spoke in less specific terms as to licensing and more about the broader economic growth of our State. The NC Chamber’s generalized view is that regulation stifles new ideas and prevents economic growth and job creation. In doing so, he touched on a few items related to occupational licensing, such as the need for skilled tradespeople, especially in housing, and keeping retiring veterans and their spouses in NC. He also mentioned administrative rules and rulemaking.
Both presentations are available on the legislature’s website at www.ncleg.webservices.gov/ViewDocSiteFile/94898 and www.webservices.ncleg.gov/ViewDoc Site File/94899.