With robust economic growth and increasing populations, states such as Florida and North Carolina are experiencing a heightened demand for healthcare services. Lawmakers in these states are responding by introducing reforms aimed at increasing the supply of healthcare professionals. Efforts to reduce regulatory barriers are seen as a strategic approach to address the burgeoning need for physicians, nurses, dentists, dental hygienists, and other healthcare providers.
In North Carolina, which recorded the nation’s third-highest population growth in nominal terms last year, Representative Erin Parè introduced House Bill 1056. This legislation seeks to enhance the availability of healthcare providers by making North Carolina a participant in the Interstate Compact for Physician Assistants. If enacted, this bill would allow licensed physician assistants from other compact member states to begin working in North Carolina without the delays typically associated with state-specific licensing requirements.
“Physician assistants have the qualifications and capabilities to support the demand for medical care,” Representative Parè said, expressing her support for the bill. To date, twelve states have joined the PA Licensure Compact, including North Carolina’s neighbors, Tennessee and Virginia. The compact aims to increase workforce mobility and reduce regulatory obstacles, which is crucial in meeting the growing healthcare demands.
The National Center for Interstate Compacts (NCIC) highlights the effectiveness of such compacts in various licensed fields, noting that 299 pieces of licensure compact legislation have been passed across states. All 50 states, U.S. territories, and the District of Columbia have enacted at least one occupational licensure compact, demonstrating widespread acceptance of this approach.
Florida, which led the country in population growth last year, is also on the verge of significant healthcare reform. Legislation to recognize out-of-state occupational licenses, SB 1600, was recently sent to Governor Ron DeSantis. Introduced by Senator Jay Collins, this bill would establish a universal licensing recognition (ULR) law in Florida. ULR laws, which acknowledge out-of-state occupational licenses for new residents, have gained popularity since Arizona first enacted such a law in 2019. Nearly half of the U.S. now has a ULR law, reflecting a national trend towards reducing regulatory barriers to employment.
Governor DeSantis has until July 1 to sign, veto, or allow SB 1600 to become law without his signature. If enacted, Florida would join the ranks of states with ULR laws, an essential step given its rapid population growth and the consequent demand for healthcare services.
The recent legislative efforts in Florida and North Carolina underscore a growing recognition among lawmakers that removing or streamlining regulatory barriers can be more effective than new spending programs in addressing labor shortages. These reforms aim to expand the healthcare workforce, ensuring that states can meet the needs of their rapidly growing populations. Senator Collins’ work in Florida and Representative Parè’s proposal in North Carolina illustrate proactive measures to enhance the supply of critical service providers, thereby improving the quality of life for residents.
As states continue to grow, the demand for accessible and quality healthcare services will persist. These legislative reforms provide a blueprint for other states facing similar challenges, emphasizing the importance of regulatory flexibility in fostering a robust and responsive healthcare system. By reducing barriers to employment for healthcare professionals, states can better address the increasing needs of their populations and ensure that residents receive the care they require.
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