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SB 1081

Occupations: cosmetologists; cosmetology licensing fees; modify. Amends secs. 9 & 25 of 1979 PA 152 (MCL 338.2209 & 338.2225).

2023-2024 Regular Session Introduced by Sam Singh

SB 1081 raises cosmetology license fees, creates a new secondary cosmetology school facility license, and indexes rates to wage growth to fund LARA and eliminate a deficit.

placed on second reading
#occupations:cosmetologists #occupations:licensingfees #stateagencies(existing):licensingandregulatoryaffairs
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Bill Summary · SB 1081

Summary — SB 1081 (State License Fee Act amendments — cosmetology fees)

Status: Placed on second reading (Senate). Introduced: Nov. 7, 2024 (Sen. Sam Singh). Tie-bar: SB 1081 is tie‑barred to legislation that authorizes licensure of secondary cosmetology school facilities (Senate Bill 703 / House Bill 5403). Affected statute: 1979 PA 152 (State License Fee Act) — amends MCL 338.2209 & 338.2225.

Purpose

To revise the fee schedule under the State License Fee Act for cosmetology‑related licensure and to establish fees for newly recognized "secondary school facility" cosmetology licenses. The change is intended to eliminate a program deficit in LARA’s cosmetology licensing program by increasing revenue to the Licensing and Regulation Fund.

Key provisions

  • Revises fees for individual practitioners (cosmetologist, manicurist, natural hair culturist, esthetician, electrologist, instructor):
    • Application processing fee: $15.
    • Annual license fee: $42 per year (replacing the prior multi‑tier amounts that fell after Sept. 30, 2027).
    • Student registration/transfer fee: $15.
  • Raises establishment and school license fees:
    • Cosmetology establishment annual license fee: increased from $25 → $150.
    • School of cosmetology annual license fee: increased from $100 → $250.
  • Creates a fee structure for secondary cosmetology school facilities (new license type):
    • Application processing fee: $100.
    • Annual license fee: $200.
  • Annual inflation/compensation indexing:
    • At the start of each fiscal year, LARA may increase these fees by up to the average wage/salary percentage increase granted that year to LARA’s classified civil service employees; any increase is effective for that fiscal year and becomes the base for future increases.
  • Annual reporting:
    • By August 1 each year LARA must send the complete schedule of cosmetology‑related fees it will collect the following fiscal year to the DTMB director and to the Senate and House Appropriations committee chairpersons.
  • Publication fee language (Sec. 9):
    • Committee reports indicate the bill would remove the option to set a $2 minimum publication fee; the bill text as passed contains language addressing a publication/distribution fee (cost of publication or $2, whichever is greater). (Note: committee analyses describe removal, but the enacted substitute text retains the existing $2/minimum phrasing — see bill text for final wording.)

Who is affected

  • Individual licensees in cosmetology and related occupations (higher annual license costs).
  • Cosmetology establishments and schools (notably higher annual license costs).
  • New secondary cosmetology school facilities (subject to new licensing and fees).
  • Students (student registration/transfer fee set at $15).
  • LARA (additional fee revenue; authority to index fees and required annual reporting).
  • The Licensing and Regulation Fund (anticipated improved fiscal balance).

Fiscal impact and rationale

  • Nonpartisan Senate analysis: expected positive fiscal impact for state government. LARA’s cosmetology program reportedly operated at a deficit for the past four years; the fee increases are designed to eliminate that deficit and support administration of the Licensing and Regulation Fund.

Procedural/timing notes

  • SB 1081 was reported with Substitute (S‑1) and passed the Senate (Dec. 12, 2024).
  • The bill contains an enacting/tie‑bar condition: the amendatory act does not take effect unless the companion bill providing for licensure of secondary school facilities (House Bill 5403 / Senate Bill 703) is enacted into law. LARA rule‑making (for the secondary school facility policy) was scheduled in related bills to occur within 18 months of enactment.
  • Current status: placed on second reading; further House action required for final enactment.

If you want, I can produce a short table comparing current fees to the proposed fees, or extract the exact statutory language changes for MCL 338.2209 and 338.2225.

Compiled from official sources — confirm details with the bill’s official record.

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