Revision: Dec. 26, 2018, 3:12 p.m.
HB 121-FN - AS INTRODUCED
2019 SESSION
19-0034
10/08
HOUSE BILL 121-FN
AN ACT relative to the regulation of massage establishments.
SPONSORS: Rep. P. Schmidt, Straf. 19; Rep. Altschiller, Rock. 19
COMMITTEE: Executive Departments and Administration
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ANALYSIS
This bill requires massage establishments to be licensed, regulated, and inspected by the office of professional licensure and certification. The bill also adds compensation to members of the advisory board of massage therapists.
This bill is a request of the office of professional licensure and certification.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
19-0034
10/08
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Nineteen
AN ACT relative to the regulation of massage establishments.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Regulation of Massage Establishments. Amend RSA 328-B:1 to read as follows:
328-B:1 Regulation of Massage Therapists and Massage Establishments. The general court, to protect the health, safety, and welfare of the people of the state of New Hampshire, establishes a regulatory program for massage therapists, including establishing basic qualifications for licensure of massage therapists and massage establishments.
2 New Paragraph; Massage Therapists and Massage Establishments; Definition Added. Amend RSA 328-B:2 by inserting after paragraph IV the following new paragraph:
IV-a. “Establishment” means the place issued a license by the executive director where the profession of massage is practiced.
3 New Paragraphs; Prohibited Acts; Establishment Licensure. Amend RSA 328-B:3 by inserting after paragraph VI the following new paragraphs:
VII. Operate an establishment without an establishment license.
VIII. Operate an establishment unless such establishment is at all times under the direct supervision and management of a professional licensed under this chapter.
4 New Paragraph; Powers and Duties; Establishments. Amend RSA 328-B:4 by inserting after paragraph VII the following new paragraph:
VIII. Regulate and adopt rules on massage establishments, including:
(a) The issuance, suspension, revocation, renewal, and denial of massage establishment licenses.
(b) Holding hearings and conduct investigations under paragraph II concerning massage establishment licenses.
(c) Conditions, requirements, and standards for operation under an establishment license, including health and safety standards.
(d) Standards and procedures for inspections of establishments.
(e) Application forms and procedures to open, close, relocate, or renew an establishment.
(f) Requiring public display of licensure and secure recordkeeping procedures.
(f) Procedures for disciplinary action including, cease and desist orders, suspension, limitation, or revocation of establishment licensure.
(g) Requiring the licensee to obtain a certificate of good standing from the secretary of state.
5 Advisory Board of Massage Therapists. Amend the introductory paragraph of RSA 328-B:5 to read as follows:
The executive director shall establish the advisory board of massage therapists. The board shall consist of 3 massage therapists who are licensees in the state of New Hampshire. The members shall be appointed for 3 years, staggered so that the term of one member expires each year, and they shall hold office until successors are appointed[, and shall serve on the board without any compensation]. Advisory board members shall be paid mileage and a per diem of $50 for each day devoted to the work of the advisory board. In no event shall a member serve more than 2 full consecutive terms. The board shall:
6 New Paragraph; License Issuance. Amend RSA 328-B:6 by inserting after paragraph I the following new paragraph:
I-a. Initial licenses shall be valid until the next succeeding expiration date in accordance with 328-B:7.
7 License Fee; Establishment License. Amend RSA 328-B:7 to read as follows:
328-B:7 License Renewal. All licenses issued pursuant to this chapter shall expire on the last day of the birth month of the licensee in the even-numbered year, upon approval of the executive director of the renewal application and submission of the required $110 renewal fee for massage therapists or the required fee as determined in rules adopted by the executive director for massage establishments.
8 New Paragraph; Revocation or Suspension. Amend RSA 328-B:8 by inserting after paragraph V the following new paragraph:
VI. Has engaged in illegal activity, including but not limited to prostitution or human trafficking.
9 New Sections; Massage Establishment Licensure; Inspectors. Amend RSA 328-B by inserting after section 13 the following new sections:
328-B:14 Massage Establishment Licensure.
I. It shall be a misdemeanor for any person, as owner, manager, or agent to open, establish, conduct or maintain an establishment without first having obtained an establishment license from the board. Any New Hampshire licensed massage therapist may obtain an establishment license upon application and payment of fee provided that the establishment meets all requirements established in the rules of the board. Massage establishment licenses granted pursuant to this chapter shall be conspicuously posted within the establishment.
II. In addition to licenses issued under paragraph I, the board may issue an establishment license to an applicant who does not hold a personal massage therapist license provided that the owner employs a licensed massage therapist as manager. This section shall not authorize such owner to personally engage in massage therapy.
III. The requirement for establishment licensure under paragraph I shall not apply to licensed massage therapists who practice massage therapy exclusively in establishments owned, operated, or occupied by the licensed massage therapist’s clients or clients’ employers.
IV. The license fees for establishments shall be determined in rules adopted by the executive director under RSA 541-A. Establishments that are licensed as an establishment, shop, or facility under one of the occupations or professions regulated by the office of professional licensure and certification in RSA 310-A:1-a shall pay a reduced fee for a massage establishment license.
328-B:15 Inspectors.
I. The office of professional licensure and certification shall employ inspectors and authorize them to enter and inspect any establishment licensed under this chapter for the purpose of ascertaining whether or not the administrative rules of the board and the provisions of this chapter are being observed. Each inspector shall file a report of inspection findings and results with the executive director. Salaries and necessary expenses shall be charged against the office of professional licensure and certification fund.
II. The executive director shall adopt rules under RSA 541-A relative to the qualifications of an inspector under this section.
10 Effective Date. This act shall take effect July 1, 2019.
19-0034
Revised 11/13/18
HB 121-FN- FISCAL NOTE
AS INTRODUCED
AN ACT relative to the regulation of massage establishments.
FISCAL IMPACT: [ X ] State [ X ] County [ ] Local [ ] None
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STATE: | FY 2020 | FY 2021 | FY 2022 | FY 2023 | |
Appropriation | $0 | $0 | $0 | $0 | |
Revenue | Indeterminable | Indeterminable | Indeterminable | Indeterminable | |
Expenditures | Indeterminable | Indeterminable | Indeterminable | Indeterminable | |
Funding Source: | [ X ] General [ ] Education [ ] Highway [ X ] Other - Office of Professional Licensure and Certification Fund (RSA 310-A:1 - e, I(b)) | ||||
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COUNTY: |
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Revenue | $0 | $0 | $0 | $0 | |
Expenditures | Indeterminable | Indeterminable | Indeterminable | Indeterminable | |
METHODOLOGY:
This bill requires licensure and inspection of massage establishments. The Office of Professional Licensure and Certification (OPLC) reports there are currently 1,569 licensed massage therapists. Assuming a third to half of the 1,569 licensees may require an establishment license and these establishments are not licensed pursuant to any other occupation or profession regulated by the OPLC, or that another fee amount is applicable via rules adopted by the OPLC Executive Director, then between 523 and 784 establishments would be required to pay a licensing fee of $110 in every even-numbered calendar year. Potential new revenue from existing massage therapy business is estimated to range from $57,530-$86,240 in every even-numbered calendar year (523 x $110 = $57,530 and 784 x $110 = $86,240). Half of this even-numbered year revenue, or $28,765-$43,120, accrues in each fiscal year. Fines may also be assessed during inspections for violations of RSA 314-A which may increase general fund revenue by an indeterminable amount. The OPLC indicates the authority to routinely inspect and investigate these businesses would require a new inspector position and this individual would also be responsible for all five OPLC advisory boards. The inspector position (investigative paralegal, labor grade 22, step 1) would be hired to start on July 1, 2019 with total annual position costs of $103,000 in FY 2020 (includes one time expenses of $1,500 for a computer and $25,000 for a vehicle), $80,000 in FY 2021, $84,000 in FY 2022 and $87,000 in FY 2023. The bill also adds a $50 per diem reimbursement for the Advisory Board of Massage Therapists, with an estimated annual cost of $800, with indeterminable mileage costs. All projected revenues and expenses accrue to the OPLC Fund pursuant to RSA 310-A:1-e, I(b),
This bill contains a penalty of a misdemeanor that may have an impact on the New Hampshire judicial and correctional systems. There is no method to determine how many charges would be brought as a result of the changes contained in this bill to determine the fiscal impact on expenditures. The entities impacted have provided the potential costs associated with these penalties below.
Judicial Branch | FY 2020 | FY 2021 |
Class B Misdemeanor | $53 | $54 |
Class A Misdemeanor | $76 | $77 |
Appeals | Varies | Varies |
It should be noted that average case cost estimates for FY 2020 and FY 2021 are based on data that is more than ten years old and does not reflect changes to the courts over that same period of time or the impact these changes may have on processing the various case types. An unspecified misdemeanor can be either class A or class B, with the presumption being a class B misdemeanor. | ||
NH Association of Counties |
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County Prosecution Costs | Indeterminable | Indeterminable |
Estimated Average Daily Cost of Incarcerating an Individual | $105 to $120 | $105 to $120 |
Many offenses are prosecuted by local and county prosecutors. When the Department of Justice has investigative and prosecutorial responsibility or is involved in an appeal, the Department would likely absorb the cost within its existing budget. If the Department needs to prosecute significantly more cases or handle more appeals, then costs may increase by an indeterminable amount.
Violations of this statute by a person would take place within the context of that person's role as an owner, manager or agent to open, establish, conduct or maintain an establishment and it would therefore be unlikely that he or she would meet the eligibility standards for the appointment of counsel established by RSA 604-A-2-c. Based on this assumption, there will be no fiscal impact on the operations of the Judicial Council as a result of the bill.
AGENCIES CONTACTED:
Office of Professional Licensure and Certification