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F I S C A L I M P A C T R E P O R T
SPONSOR Griego
ORIGINAL DATE
LAST UPDATED
02/07/07
HB
SHORT TITLE Counseling and Therapy Licensure Requirements
SB 494
ANALYST Hanika Ortiz
REVENUE (dollars in thousands)
Estimated Revenue
Recurring
or Non-Rec
Fund
Affected
FY07
FY08
FY09
$.1 see narrative
recurring
Counseling &
Therapy Prac-
tice Board Fund
(Parenthesis ( ) Indicate Revenue Decreases)
SOURCES OF INFORMATION
LFC Files
Responses Received From
Regulation & Licensing Department (RLD)
SUMMARY
Synopsis of Bill
Senate Bill 494 amends 61-9A-5 within scopes of practice; 61-9A-13 relating to licensure re-
quirements for Art Therapists; 61-9A-14.2 relating to licensure of Alcohol and Drug Abuse
Counselors, and enacts a new section 61-9A-14.3 relating to grandfathered licensure within the
Counseling and Therapy Practice Act.
Allows experienced and qualified Certified Alcohol and Drug Abuse Counselors
(CADACs), as defined in the bill, to be grandfathered into the system as Licensed Alco-
hol and Drug Abuse Counselors (LADACs) starting July 1, 2007, increasing access for
providers to Medicaid reimbursable behavioral health services in rural and tribal areas of
the state.
Expands the scope of practice of LADACs to include individuals with co-occurring dis-
orders relating to substance abuse and mental health. Currently, the scope of practice of
LADACs is limited to treatment only of individuals with substance abuse disorders. The
bill requires that the LADACs only provide services to individuals with a co-occurring
pg_0002
Senate Bill 494 – Page
2
disorder within a multi-disciplinary team and when supervised by an independently li-
censed counselor.
Restates requirements for licensure as a professional Art Therapist to include no less than
a master degree with a total of no less than forty-eight graduate semester hours or sev-
enty-two quarter hours in the art therapy core curriculum and has completed two years
post-graduate professional experience with three thousand client contact hours and one
hundred hours of post-graduate experience with supervision. This section of the Act is
consistent with standards of requirements for other types of counselors.
FISCAL IMPLICATIONS
After July 1, 2007 fees will be paid to the Licensing and Therapy Board by individuals seeking
licensure as LADACs. The current licensure, registration and renewal fees for alcohol and drug
abuse counselors is $200.
Under current Medicaid reimbursement, behavioral health services provided by LADACs are
limited to services provided to clients under age 21. The reimbursement rate is approximately
$50 per hour, with payment being made to the agency for which the LADAC works. Behavioral
health services provided by CADACs are currently not reimbursable under Medicaid.
LADAC services provided through Indian Health Service (IHS) and/or Tribal Behavioral Health
programs are reimbursed at the Office of Management and Budget (OMB) all-inclusive rate of
$242 per visit. CADACs are currently not reimbursed under the Medicaid program for services
they provide at IHS or Tribal behavioral health programs. If CADAC services were to be pro-
vided by IHS, the payments to the facility will be 100% of federal funds through the Medicaid
Program.
SIGNIFICANT ISSUES
RLD reports rural and frontier communities of the state face severe shortages of behavioral
health practitioners, which continues to be a deterrent to improving behavioral health services.
Providing mechanisms to make obtaining certification or licensures less onerous for trained and
experienced behavioral health practitioners, while maintaining high standards of competency, is
part of a larger initiative to remove barriers to licensing and increase the number of behavioral
health practitioners in rural and frontier areas.
PERFORMANCE IMPLICATIONS
In 2004, through Executive Order 2004-062, the Governor and Legislature committed to behav-
ioral health services that work towards the recovery and resiliency of children, youth and adults
with mental illness, emotional disturbance or addictive disorders. This legislation fits into the
Governor’s performance and accountability to improve behavioral health services access for ru-
ral and tribal areas of the state.
The New Mexico Interagency Behavioral Health Collaborative, the New Mexico Counseling and
Therapy Board, the Behavioral Health Planning Counseling and its Native American Subcom-
mittee support passage of this bill.
pg_0003
Senate Bill 494 – Page
3
ADMINISTRATIVE IMPLICATIONS
In New Mexico, CADACs are currently certified through two independent agencies: the Albu-
querque Area Inter-Tribal Council on Substance Abuse Certification Board or the New Mexico
Credentialing Board for Behavioral Health Professionals. The certification process has for many
years certified CADACs through a mandatory process that includes passing written and oral ex-
ams that mirror the LADAC requirements. The certification process will remain unchanged by
the law.
Licensure of alcohol and drug abuse counselors will be administered under RLD over the pro-
posed three-year timeframe. Because the number of CADACs is relatively small, the Depart-
ment believes this will have minimal implications on staffing.
CONFLICT, DUPLICATION, COMPANIONSHIP, RELATIONSHIP
Duplicates HB 713
WHAT WILL BE THE CONSEQUENCES OF NOT ENACTING THIS BILL
The number of LADACs will not increase with the passage of this bill, which is the intended
purpose of the legislation. Services that could be provided to individuals with substance abuse
and co-occurring disorders will not be delivered as they are needed.
AHO/sb