The Nurse Licensure Compact Enforcement, Disciplinary and Due Process Issues NCSBN Discipline/Case Management Conference.
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1 The Nurse Licensure Compact Enforcement, Disciplinary and Due Process Issues 2014 NCSBN Discipline/Case Management Conference June 6, 2014 Richard L. Masters, J.D. Special Counsel - NLCA 1
2 History Interstate Compacts are rooted in the colonial past. Because each colony was independent, disputes between them were worked out by negotiation that was submitted to the king for approval. Thus interstate compacts are not new. What has changed in the last century is the use of interstate compacts to create on-going administrative agencies. 2
3 The Compact Mechanism A simple, versatile and proven tool Principal advantage: provides states with an effective, enforceable means of cooperatively addressing common problems even though their own laws may differ without relinquishing authority to the federal government 3
4 Interstate Compacts Agreements between states authorized under Article I, Section 10, Clause 3 of the U.S. Constitution the Compact Clause No State shall, without the Consent of Congress... enter into any Agreement or Compact with another State... The U.S. Supreme Court has consistently held that Congressional consent is only required for compacts that tend to increase the political power of the states in a manner that encroaches upon or interferes with the just supremacy of the United States. [U.S. Steel Corp. v. Multi-state Tax Commission, 434 U.S. 452 (1978)] 4
5 Uses of Interstate Compacts Long history of compacts pre-dates the Constitution Flexibility evident in variety of forms and uses: Scope: bi-state, regional, national Creation: negotiated Purpose: fixed agreements, advisory boards, regulatory entities Issues: transportation, environment, taxation, education, health, emergency management, corrections and public safety 5
6 Uses of Compacts cont. Many well known compacts: NY-NJ Port Auth. Compact of 1921 Colorado River Compact (1929) Interstate Compact on the Placement of Children (1960) Washington Metropolitan Transit Authority Compact (1966) Increasingly common, broader in scope, more frequent use for regulatory purposes. 6
7 Compacts Approximately 200 compacts formed since the founding of the U.S. Creation of the Port Authority of New York and New Jersey in 1921 signaled a new era in regulatory compacts. About 38 are inactive On average, each state is a member of 23 compacts 7
8 3 Primary Purposes Resolve boundary disputes; Institutionalize and manage interstate issues pertaining to allocation of natural resources; Create on-going administrative agencies that have jurisdiction over a wide variety of concerns: State transportation Taxation Environmental matters Regulation Education Corrections Public safety 8
9 Common Law Contract Principles An offer to enter the agreement is expressed by statutory language enacted by the first state to join the compact and each subsequent jurisdiction accepts this offer by enacting statutory language, which is substantially similar to that enacted by the offering jurisdiction; Once enacted by two or more states, a compact, like any other contractual agreement, is protected from impairment by the states under Article I, Section 10, Clause 1 of the U.S. Constitution; Although a state cannot be bound by a compact to which it has not consented, once enacted a compact takes precedence over conflicting statutes of the state; A state cannot unilaterally nullify, revoke, or amend one of its compacts if the compact does not so provide. 9
10 Congressional Consent Requirement Art. I, Sec. 10 (Compact Clause) prohibits states from entering into compacts without the consent of Congress. Originally applied to all compacts now only to those that: alter the political balance within the federal system; or affect a power delegated to the federal government -- Virginia v. Tennessee, 148 U.S. 503 (1893) May be express or implied; may be given before or after the compact is created. 10
11 Implications of Congressional Consent Transformative effect: equivalent of federal law under the law of the union doctrine. Delaware River Comm n v. Colburn, 310 U.S. 419, 439 (1940); Cuyler v. Adams, 449 U.S. 433 (1981); Texas v. New Mexico, 482 U.S. 124 (1987). Relevant for jurisdictional and interpretative purposes, but also gives compact the weight of substantive federal law. Compacts enforceable under the Supremacy Clause and the Contract Clause. But they remain subject to control of party states, who may amend or repeal them. 11
12 Absence of Consent Where not required, the absence of consent does not mean a compact is unenforceable it remains a contract between the states. Article I, Sec. 10, Cl. 1 No state shall... pass any... Law impairing the Obligation of Contracts (U.S. Constitution, 1789) Enforcement is ultimately achieved in the Supreme Court under its original jurisdiction. 12
13 Compacts have standing as both binding state law and as a contract between the member states. A state law that contradicts or conflicts with a compact is unenforceable, absent some reserve power to the member states. McComb v. Wambaugh, 934 F.2d 474, 479 (3d Cir. 1991) 13
14 Rulemaking 14
15 Rulemaking One of the most innovative changes in interstate compacts in the late 20 th and early 21 st centuries is the rulemaking power delegated to regulatory compacts. Rules are binding on the member states and all officials of the state; they are not discretionary 15
16 Rulemaking cont. A state legislature s ability to delegate regulatory authority to an administrative agency is one of the axioms of modern government -- Justice Felix Frankfurter Extends to the creation of interstate commissions by compact -- West Virginia ex rel. Dyer v. Sims, 341 U.S. 22 (1951) 16
17 ENFORCEMENT Remedies for breach of a compact can include granting injunctive relief or awarding damages. See e.g., South Dakota v. North Carolina, 192 U.S. 286, (1904); Texas v. New Mexico, 482 U.S. at 130 ( The Court has recognized the propriety of money judgments against a State in an original action, and specifically in a case involving a compact. ) 17
18 NLC and Discipline Issues Which State is the Home State Did the violation occur in the Home State or the Remote State? Investigations may be conducted by either or both states but the home state must be contacted if the violation occurs in a remote state (See NLCA Policy 5.1) 18
19 NLC and Discipline, cont. Which State should take the lead? Factors considered include: Where the incident occurred Access to Witnesses Access to Respondent Ability to Obtain Evidence Public Risk involved Timely Case Processing 19
20 NLC and Discipline, cont. Compact States have the authority to issue subpoenas for both investigations and hearings. Compact States are required to facilitate acquisition of requested records, including subpoenas and formal requests. (See NLC Art. VI B and NLCA Policy 5.2) 20
21 NLC and Discipline, cont. Implications of Discipline in Remote State Remote state action affects only the privilege to practice in the remote state, but action taken by the remote state must be reported to the home state and entered into NURSYS (See NLC Art. V, Sec. A, Sec. C) 21
22 NLC and Discipline, cont. The home state may take adverse action based on factual findings in the remote state as it would if the conduct occurred there, under its own laws. (NLC Art. V, D., E). 22
23 NLC and Discipline, cont. Implications of Discipline by UrState Affects Ability to Practice in All Party Sts. (See NLC, Art. V (f); NLC Rule 3) Home State Boards are required to include in all licensure disciplinary orders or agmts to limit practice or require monitoring, a requirement that the licensee will agree to limit practice to the home state during the pendency of the order or agreement 23
24 Due Process Issues Investigations of alleged misconduct are permitted to be jointly managed by home and remote states based upon due process considerations including access to witnesses, evidence, and timely trial NLC prevents double jeopardy because it precludes the remote state from any action other than limiting or restricting practice in that state 24
25 Due Process Issues, cont. Only the home state has the authority to revoke or suspend the license If a remote state summarily suspends a privilege to practice of a nurse whose license is not subsequently revoked, suspended or limited because it does not violate home state practice act, such nurse would be entitled to a due process hearing 25
26 Other Issues Change of Residence to a new home state Factors in Determination Invalidation of Previous home state license Timing and Procedure 26
27 Questions Contact Information: Rick Masters Special Counsel Nurse Licensure Compact Administrators Phone: (502)
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