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Office of Professional Licensing proposes 10% fee increase, says backlog and IT upgrades drive request
Summary
OPLC told the Senate committee it oversees more than 200,000 licenses, faces a backlog of about 2,000 enforcement complaints, proposes a 10% fee increase to stabilize finances, and plans IT upgrades funded partially by ARPA.
Dan Ajers, executive director of the Office of Professional Licensing and Certification (OPLC), told the Senate Finance Committee that OPLC administers licensing and enforcement for more than 50 licensing boards and about 200,000 active occupational credentials. The office administers licensing, board administration and enforcement; it averages about 100 complaints a month and conducts roughly 2,000 inspections annually, Ajers said.
Ajers said OPLC operates on a dedicated fund established under previous legislation; the fund is financed by licensing fees rather than general tax dollars. The agency reported 2024 actual expenditures just under $14,500,000 and actual revenue of $13,100,000. Adjusted authorized spending for the current fiscal year is roughly $16 million and revenue as of March 30 was about $11.5 million, Ajers said. He said the office is operating at a net loss for the current year and proposed a 10% increase in licensing fees to generate an estimated $27,100,000 over the biennium — the figure reflects a two-year revenue estimate if the fee increases are adopted and approved by rule.
Ajers described two governor-proposed changes included in the House budget: (1) transfer of nine inspection positions (five mechanical inspectors and four electrical inspectors) from OPLC to the Department of Safety/Fire Marshal’s Office; Ajers said that transfer reduces OPLC’s personnel costs by about $2,200,000 over the biennium but the positions continue to serve licensees and public safety under Safety; and (2) a change in cosmetology shop inspections that would reduce routine annual inspections for some shops by allowing a one-time safety certification or bi-annual review at renewal rather than annual site inspections.
On enforcement and licensing operations, Ajers said OPLC has a backlog of about 2,000 complaints, receives roughly 100 new complaints a month, and is considering temporary or part-time staffing measures but lacks funds to hire. He said OPLC is building a new licensing platform with ARPA funding and that the platform is the office’s system of record; Ajers told senators the program has so far spent roughly $7,000,000 and may need an additional $2–3 million to finish licensing work and another approximately $2 million to integrate enforcement into the same system.
Ajers said the House made modest changes to the governor’s budget overall and added $486,000 to Glencliff staffing lines (discussed in the Glencliff presentation). He urged the committee to consider stabilizing the dedicated fund because the office expects increased revenue if the 10% fee change is authorized and will use fee income to cover operating costs rather than general funds.
Ending: Ajers said the office’s priority is to reduce the enforcement backlog and complete the new licensing system; he asked senators to consider the fee adjustment and the position transfers so that public safety functions remain covered by units with operational responsibility.
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