[First Reprint]

ASSEMBLY, No. 4273






Sponsored by:


District 6 (Burlington and Camden)






     Requires State supervision of certain professional and occupational licensing boards.



     As amended by the General Assembly on February 15, 2017.


An Act concerning the State supervision of certain professional and occupational licensing boards and supplementing P.L.1978, c.73 (C.45:1-14 et seq.).


     Be It Enacted by the Senate and General Assembly of the State of New Jersey:


     1.    a.  Notwithstanding the provisions of any State law, rule, or regulation to the contrary, a regulatory officer shall, in order to provide antitrust immunity to a board consistent with federal law, 1[provide active supervision] establish and implement a protocol consistent with the provisions of this section applicable to the proposed regulations, actions and decisions1 of any board under the regulatory officer’s purview for which:

     (1)   the majority of members are active market participants of the profession or occupation regulated by that board; and

     (2)   but for a vacancy or vacancies in the membership of the board, that board would otherwise have a majority of members that are active market participants. 

     The regulatory officer shall review 1[, and is authorized to amend, repeal, or set aside,]1 any regulation, action, or decision 1[made] proposed1 by a board that is under the regulatory officer’s purview1[, and is subject to active supervision pursuant to] and meets the criteria set forth in1 paragraph (1) or (2) of this subsection, 1[that the regulatory officer has determined to have] to determine whether the proposed regulation, action, or decision has1 the potential to displace competition and 1[that] , if so, whether it1 is 1[inconsistent] consistent1 with and 1[does not further] furthers1 or 1[promote] promotes1 clearly articulated 1and1 affirmatively expressed State policy or the inherent, logical, or ordinary result of that policy.

     1If it is determined as a result of that review that the proposed regulation, action or decision is not consistent with and does not further or promote clearly articulated and affirmatively expressed State policy, or is not the inherent, logical or ordinary result of the board’s statutorily-delegated authority, or both, the regulatory officer shall disapprove, veto, modify, amend or remand to the board for the development of a factual record of the proposed regulation, action or decision, as may be necessary or appropriate.  A proposed regulation, action, or decision shall not take effect unless the regulatory officer has conducted the review authorized by this section and taken such additional action as may be necessary or appropriate under this section, provided that nothing in this section shall be construed to create a private right of action or preclude any action to address possible anticompetitive impacts after the proposed regulation, action, or decision has taken effect.  For purposes of this subsection, no individual licensed by the board whose action or decision is under review pursuant to the protocol established pursuant to this subsection shall be permitted to serve as a regulatory officer’s designee for the review of that board’s actions or decisions.1

     b.    1An individual serving as a member of a board shall not be liable in any action for damages to any person in a civil action as a result of any action taken or recommendation or decision made within the scope of the individual’s function as a member of the board which was subject to review in accordance with the protocol established pursuant to subsection a. of this section, unless the individual acted in bad faith or with malice.  The Attorney General shall defend the individual in any civil suit and the State shall provide indemnification for any damages awarded in any resulting civil action, unless the individual acted in bad faith or with malice.

     c.1   As used in this section:

     “Active market participant” means a member of a board who:

     (1)   is licensed or certified by the board; or

     (2)   owns or shares ownership in a business or professional practice that provides any service that is subject to the regulatory authority of the board.

     “Board” means a board, committee, commission, or any other entity created by law 1to act on behalf of the State of New Jersey1 to license or otherwise regulate a profession or occupation in this State.

     “Regulatory officer” means:

     (1)   the Attorney General or the Attorney General’s designee 1or designees1, in the case of the boards located within the Division of Consumer Affairs in the Department of Law and Public Safety; or

     (2)   the commissioner or the commissioner’s designee 1or designees1, in the case of a board located within another principal department of the Executive Branch of State government.


     2.    This act shall take effect immediately.