SB 1117 — barbering and cosmetology fund; enforcement

1.

Health, accident, life or disability benefits for employees and officers of the city, town, county, any special health care district organized pursuant to title 48, chapter 31 or other political subdivision that is located in a county with a population of more than one million persons and whose governing body is composed of members of a county board of supervisors and their dependents.

2.

Payment of any property loss sustained or lawful claim of liability or fortuitous loss made against the city, town, county, any special health care district organized pursuant to title 48, chapter 31, POLITICAL SUBDIVISION ENTITY or other political subdivision that is located in a county with a population of more than one million persons and - 1 - S.B.

1117 whose governing body is composed of members of a county board of supervisors or its elected or appointed officials, employees or officers if such elected or appointed officials, employees or officers are acting within the scope of employment or authority.

If,If afterany completingcity, itstown, investigation,county, theany boardspecial findshealth care district organized pursuant to title 48, chapter 31, POLITICAL SUBDIVISION ENTITY or other political subdivision that is located in a county with a population of more than one million persons and whose governing body is composed of members of a county board of supervisors establishes a self-insurance program for the evidencemanagement and administration of a system for direct payment of benefits, losses or claims pursuant to subsection A, the governing body of such city, town, county, any special health care district organized pursuant to title 48, chapter 31, POLITICAL SUBDIVISION ENTITY or other political subdivision that is notlocated in a county with a population of sufficientmore seriousnessthan one million persons and whose governing body is composed of members of a county board of supervisors shall place all funds MONIES into a trust fund for the purposes of this section in amounts as determined appropriate by the governing body of the city, town, county, any special health care district organized pursuant to merittitle direct48, actionchapter against31, POLITICAL SUBDIVISION ENTITY or other political subdivision that is located in a licensecounty with a population of more than one million persons and whose governing body is composed of members of a county board of supervisors, except that any city, town, county, any special health care district organized pursuant to title 48, chapter 31 or registration,other itpolitical maysubdivision takethat eitheris located in a county with a population of themore followingthan actions:one million persons and whose governing body is composed of members of a county board of supervisors establishing such a trust fund shall:

DismissDesignate if,a inrisk management consultant or insurance administrator licensed pursuant to title 20, chapter 2, article 3 or 9, and such license shall be verified by the opiniongoverning body of the board,city, thetown, evidencecounty, any special health care district organized pursuant to title 48, chapter 31 or other political subdivision that is withoutlocated merit.in a county with a population of more than one million persons and whose governing body is composed of members of a county board of supervisors.

FileThe atrust lettershall be administered by at least five joint trustees, of concernwhom if,not inmore than one may be a member of the opiniongoverning body of the board,city, whiletown, therecounty, isany insufficientspecial evidencehealth care district organized pursuant to supporttitle direct48, actionchapter against31, thePOLITICAL licenseSUBDIVISION ENTITY or registrationother therepolitical subdivision that is sufficientlocated evidencein fora thecounty with a population of more than one million persons and whose governing body is composed of members of a county board toof notifysupervisors theand licenseenot ormore registrantthan thatone continuationmay be an employee of the activitiescity, thattown, ledcounty, toany thespecial informationhealth orcare reportdistrict beingorganized madepursuant to thetitle board48, maychapter result31 or other political subdivision that is located in actiona againstcounty thewith licensee'sa licensepopulation orof registrant'smore registration.than one million persons and - 2 - S.B.

1117 whose governing body is composed of members of a county board of supervisors.

3.

The trustees of the trust must be bonded, a stop-loss provision must be incorporated in the trust agreement and an annual audit must be performed by an external auditor and a copy of the report kept on file in the offices of the governing body of the city, town, county, any special health care district organized pursuant to title 48, chapter 31 or other political subdivision that is located in a county with a population of more than one million persons and whose governing body is composed of members of a county board of supervisors for a period of not less than five years.

4.

Not make any expenditure from the trust fund for any purpose not specified in this article.

If,Expenditures induring the opinionfiscal ofyear from the board,trust itfund appearsand themonies informationin orthe reporttrust isfund orat maythe beclose true,of the boardfiscal year shall requestnot anbe informalsubject interviewto with the licenseeprovisions orof registranttitle concerned.42, chapter 17, article 3.

The interview shall be requested by the board in writing, stating the reasons for the interview and setting a date at least ten days after the date of the notice for conducting the interview.

If,In afterthe anevent informalthat interview,such thea boardtrust findsfund thatis no longer used by the evidencecity, warrantstown, suspensioncounty, any special health care district organized pursuant to title 48, chapter 31, POLITICAL SUBDIVISION ENTITY or revocationother ofpolitical subdivision that is located in a licensecounty orwith registrationa issuedpopulation pursuantof tomore thisthan chapter,one impositionmillion persons and whose governing body is composed of members of a civilcounty penaltyboard orof publicsupervisors reprooffor orthe ifpurposes herein set forth, it shall revert during that fiscal year to the licenseegeneral orfund registrantof undersuch investigationcity, refusestown, county, any special health care district organized pursuant to attendtitle the48, informalchapter interview,31, POLITICAL SUBDIVISION ENTITY or other political subdivision that is located in a complaintcounty shallwith bea issuedpopulation of more than one million persons and formalwhose proceedingsgoverning shallbody beis initiated.composed of members of a county board of supervisors.

All proceedings pursuant to this subsection shall be conducted in accordance with title 41, chapter 6, article 10.

AThe licenseeauthority orgranted registrantto whoa hascity, beentown, notifiedcounty, any special health care district organized pursuant to subsectiontitle D48, ofchapter this31, sectionA ofPOLITICAL chargesSUBDIVISION pendingENTITY againstor theother licenseepolitical orsubdivision registrantthat shallis filelocated in a county with thea boardpopulation anof answermore inthan writingone tomillion thepersons chargesand whose governing body is composed of members of a county board of supervisors by this section is not moresubject thanto thirtytitle days20, afterexcept thethat licenseeany health, life, accident or registrantdisability receivesbenefit plan shall conform to the complaint.benefits required by title 20.

IfF. the licensee or registrant fails to answer in writing within this time, it is deemed an admission by the licensee or registrant of the acts charged in the complaint and the board may take disciplinary action allowed by this chapter without a hearing.

-This 1section -does S.B.not authorize any city, town, county, any special health care district organized pursuant to title 48, chapter 31, POLITICAL SUBDIVISION ENTITY or other political subdivision that is located in a county with a population of more than one million persons and whose governing body is composed of members of a county board of supervisors to procure insurance from any insurer not authorized by the director of the department of insurance and financial institutions.

1117 F.

If the board finds that the evidence is not of sufficient seriousness to merit suspension or revocation of a license or registration issued pursuant to this chapter, imposition of a civil penalty or public reproof, the board may take the following actions:

1.

Dismiss if, in the opinion of the board, the evidence is without merit.

2.

File a letter of concern if, in the opinion of the board, while there is insufficient evidence to support direct action against the license or registration there is sufficient evidence for the board to notify the licensee or registrant that continuation of the activities which led to the information or report being made to the board may result in action against the licensee's license or registrant's registration.

3.

Impose probation requirements.

IfFOR aTHE licenseePURPOSES orOF registrantTHIS violatesSECTION, this"POLITICAL chapterSUBDIVISION orENTITY" aHAS ruleTHE adoptedSAME pursuantMEANING toPRESCRIBED thisIN chapter,SECTION the38-711. board may assess the licensee or registrant with the board's reasonable costs and expenses, including attorney fees, incurred in conducting the investigation and administrative hearing.

All- monies3 collected- pursuantAPPROVED toBY thisTHE subsectionGOVERNOR shallMAY be12, deposited,2025. pursuant to sections 35-146 and 35-147, in a separate account in the barbering and cosmetology fund established by section 32-505.

NOTWITHSTANDINGFILED SECTIONIN 35-143.01, THE SEPARATEOFFICE ACCOUNTOF MONIES ARE CONTINUOUSLY APPROPRIATED TO the board may only use these monies to defray its expenses in connection with THE ENFORCEMENTSECRETARY OF THISSTATE CHAPTER,MAY INCLUDING12, investigation2025. related INVESTIGATION-RELATED training and education, disciplinary investigations and all costs related to administrative hearings.

Notwithstanding section 35-143.01 the separate account monies may be spent without legislative appropriation.

H.

Except as provided in section 41-1092.08, subsection H, final decisions of the board are subject to judicial review pursuant to title 12, chapter 7, article 6.

Sec.

2.

Barbering and cosmetology fund;

enforcement;

intent The legislature intends that the appropriation made in Laws 2024, chapter 250, section 36, subsection B be considered ongoing funding in future years.

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