Board approves rulemaking to cut licensing, exam and renewal fees by 50% for four years

The California Board of Behavioral Sciences voted May 9 to begin rulemaking that would cut many licensing, renewal and exam fees by 50% for a four-year period beginning July 1, 2026.

The action, approved by a 7-2 vote, responds to state law requiring agencies to reduce fees when reserves exceed two years of operating expenses. Executive Officer Steve Sodergren told the board that fund projections showed the reserve would reach roughly 26.3 months at the end of the fiscal year and that a 50% across-the-board reduction was estimated to lower the reserve to about 15.4 months by 2029-30.

The reduction would lower licensed renewals from $200 to $100 and associate renewals from $150 to $75; initial license and registration fees would be reduced similarly. Board-administered clinical exams and law-and-ethics tests would also be cut: the proposal reduces the law-and-ethics fee from $150 to $75 and the clinical exam fee from $250 to $125. Initial licensure application fees would fall from $250 to $125. Sodergren said the board and Department of Consumer Affairs budget staff developed the estimate and will monitor outcomes closely if the change is adopted.

"We're gonna be talking about a proposal for a fee reduction to address our reserve fund," Sodergren said during his presentation, adding the 50% reduction was the recommended pathway from DCA staff.

Board members asked for clarity on messaging and the long-term plan. Chair Wendy Strack cautioned that while the cut would provide immediate relief, it would require doubling fees at the end of the four-year period unless the board or legislature acted later. Sodergren and members discussed regularly scheduled budget reviews and possible regulatory or legislative changes if the reserve did not evolve as projected.

Public commenters and stakeholder groups generally supported taking action to reduce fees but urged the board to consider more targeted approaches that ease the burden on early-career clinicians. Ben Caldwell of the California Association of Marriage and Family Therapists suggested a staggered approach that reduces upfront costs for early-career clinicians more than for established licensees.

The board's motion authorized staff to submit the regulatory text to the Department of Consumer Affairs and the Business, Consumer Services and Housing Agency for review and to proceed with the formal 45-day public notice and comment process. If no adverse comments are received, the executive officer was authorized to complete the rulemaking and adopt the proposed regulation.

The board also directed staff to conduct outreach and stakeholder communications during the rulemaking process to explain timing and the rationale for the proposed change.