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Licensing Fee Rate Hike in the Future for Illinois Physicians?
Tuesday, February 26, 2013

Last week, the Illinois Senate approved a proposal to more than double fees from $300 to $700 for a three-year physician license. The Illinois House must now vote on the measure. Currently, the House has separate legislation similar to the Senate measure, but the House version would permanently raise fees to $750, while the rate increase under the Senate version would be temporary, with fees decreasing to $500 in July 2018.

The measure is in response to the severe financial deficit in the medical unit of the Department of Financial and Professional Regulation, which has been forced to lay off more than half its staff members last month. As a result of these layoffs, physicians and medical resident license processing waiting periods have increased from 16 business days to six months.  The Illinois medical community is pushing for a solution to restore staff members to the medical unit soon as this processing delay could jeopardize the licensure of medical residents who are set to begin practicing in Illinois hospitals this summer.

Both the Senate and House measures include a provision allowing for the borrowing of $6.6 million from a tax fund to rehire staff. However, the Illinois State Medical Society (ISMA) has opposed these borrowing provisions, stating that the State should pay the medical unit for money that previous administrations have taken from the unit for other purposes. Additionally, ISMA has said that it would agree to a rate hike of only $500.

If the House measure is approved, it would land in the Senate. If both measures are passed, the governor would then decide which version to sign. Generally, though, approved competing measures become part of a House-Senate compromise.

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