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SB 1056

Occupations: individual licensing and registration; preliminary determination process for certain applicants seeking licensure; modify. Amends secs. 202a & 411 of 1980 PA 299 (MCL 339.202a & 339.411).

2025-2026 Regular Session Introduced by Rosemary Bayer and 7 co-sponsors

Creates a preliminary determination process on good moral character for licensure, while tightening renewal, relicensing, and timing rules across occupations.

REFERRED TO COMMITTEE ON REGULATORY AFFAIRS
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Bill Summary · SB 1056

Summary of SB 1056 (2025-2026) – Michigan

What the bill does (main purpose)

  • SB 1056 amends the Occupational Code (1980 PA 299) by modifying sections 202a and 411.
  • It establishes a formal process for individuals to obtain a preliminary determination from the Michigan Department of Licensing and Regulatory Affairs (the department) about whether any court judgments against them would likely lead to denial of a license or registration for lacking the required good moral character.
  • The bill also updates provisions related to license/registration renewal, relicensing, reinstatement, and general handling of licensure timelines and requirements.

Key provisions and changes

Section 202a – Preliminary determination process

  • Establishes a procedure for an individual to request a preliminary determination on whether past court judgments would likely result in denial for good moral character.
  • Requirements to request:
    • Submit on a department-provided form.
    • Identify the specific license or registration being sought.
    • Provide a detailed description of any criminal judgments against the individual.
    • Pay a nonrefundable department fee.
  • The department will consider only the information provided in the request (with an option to include additional information or context in a statement, including items described in relevant law).
  • Effects of a preliminary determination:
    • If adverse, it does not prevent later application for licensure.
    • If favorable, it does not bind the department to issue a license unless a full application is later submitted; adverse determinations may still coexist with subsequent full applications.
    • A favorable preliminary determination does not guarantee eligibility if new information (e.g., a felony conviction or undisclosed conviction) arises by the time a full application is submitted.
  • The department may still review and decide on full applications regardless of the preliminary determination.
  • Timing:
    • The department must notify the applicant of the preliminary determination within 60 days after receiving the request.
  • Frequency:
    • An individual may request no more than one preliminary determination in any 120-day period.
  • Additional notes:
    • A preliminary determination cannot require educational or training prerequisites before submitting the request.

Section 411 – License/registration renewal, relicensing, reinstatement, and timing requirements

  • Renewal timing:
    • If a license/registration expires, the holder cannot practice or use the title after the expiration date, unless renewed.
  • Late renewal option:
    • Renewal may occur within 60 days after expiration by paying the regular fee plus a late renewal fee.
  • Relicensing/reregistration (timing and conditions):
    • May be relicensed or reregistered without examination or additional education/training if all conditions are met:
    • Apply within up to 3 years after expiration.
    • Pay application processing fee, late renewal fee, and upcoming period fee.
    • Satisfy any disciplinary penalties or conditions from this state or other jurisdictions.
    • Demonstrate completion of the equivalent of 1 year of continuing education within the prior 12 months (or as required by specific articles).
    • If more than 3 years, relicensing/reregistration may occur if the person meets current licensure requirements, potentially including exams and continuing education.
  • Reinstatement process:
    • Requires an application, processing fee, and a petition describing why reinstatement is appropriate, with evidence of continued public competence and compliance with all requirements.
    • If approved, pay the upcoming period fee and meet any other requirements.
  • Department timing obligations:
    • The department must issue an initial or renewal license or registration within 90 days after a complete application is received.
    • If the application is incomplete, the department must notify the applicant within 30 days and toll the 90-day period until information is provided.
    • Completeness does not equal approval.
  • Special timelines for certain occupations:
    • Real estate broker/associate broker (Article 25) have a faster 30-day period for approval and 15 days for notice of incomplete applications.
  • Timeliness penalty and refund:
    • If the department fails to issue or deny within the specified time, it must refund the license/registration fee and reduce the next renewal fee by 15%. The department cannot delay processing beyond the required timelines and must place completed applications in the appropriate queue.
  • Oversight and reporting:
    • The director must provide an annual report by December 1 to relevant Senate and House committees and Appropriations subcommittees detailing:
    • Number of applications received/completed within the 90-day and 30-day timeframes.
    • Number of denials.
    • Number of applicants not issued licenses within the timeframe and amounts refunded under subsection (8).
    • The number of denials based on lack of good moral character, with a summary of convictions by license category and offense type.
  • Exemptions from subsection (6):
    • Certain licenses and occupations are not subject to the 90-day/30-day timing requirement, including CPAs, agency managers of collections, barbers, cosmetologists, hearing aid salespersons, mortuary workers, architects/surveyors/engineers, landscape architects, residential builders-related roles, real estate licenses, and real estate appraisers, among others.
  • Military temporary exemption:
    • Licensees or qualifying officers mobilized for federal military duty can receive temporary exemptions from renewal fees, CE requirements, or other related requirements, valid up to 90 days after release and not exceeding 36 months from license/registration expiration. Applicants must request this status with proof of mobilization and arrangements for supervision if applicable.

Who is affected

  • Prospective licensees and registrants seeking various occupations regulated under the Michigan Occupational Code, particularly those with prior judgments that may raise questions about good moral character.
  • Individuals with lapsed licenses/registrations, seeking relicensing or reinstatement.
  • Licensees/members in occupations with faster timelines (notably real estate professionals under Article 25).
  • Those mobilized for military duty who would seek temporary exemptions from certain renewal/CE requirements.

Procedural and timeline aspects to note

  • Preliminary determinations: a new early screening tool with a 60-day decision window; limited to information provided, non-binding in terms of full licensure outcomes.
  • Renewal and relicensing: defined timelines for renewal grace periods, relicensing without examination under specified conditions, and penalties for timing failures.
  • Annual reporting: department must provide detailed governance and processing data to lawmakers each year.
  • A broad set of occupations are exempt from the 90-day/30-day processing timelines, indicating targeted exceptions for certain professions.

Practical implications

  • Applicants can proactively seek a preliminary view on good-moral-character-related barriers, potentially informing decision-making and preparation for full applications.
  • The bill seeks to improve predictability and accountability in licensure timelines, while preserving department discretion in full licensing decisions.
  • Military service exemptions acknowledge service-based interruptions, limiting impact on licensure status for mobilized personnel.

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

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