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Key: (1) language to be deleted (2) new language

                            CHAPTER 363-S.F.No. 3428 
                  An act relating to professions; modifying supervisory 
                  and disciplinary requirements for psychologists; 
                  amending Minnesota Statutes 1998, sections 148.89, by 
                  adding subdivisions; and 148.925, subdivisions 1, 2, 
                  3, 5, and 6; Minnesota Statutes 1999 Supplement, 
                  section 148.941, subdivision 2. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 1998, section 148.89, is 
        amended by adding a subdivision to read: 
           Subd. 2b.  [CREDENTIALED.] "Credentialed" means having a 
        license, certificate, charter, registration, or similar 
        authority to practice in an occupation regulated by a 
        governmental board or agency. 
           Sec. 2.  Minnesota Statutes 1998, section 148.89, is 
        amended by adding a subdivision to read: 
           Subd. 2c.  [DESIGNATED SUPERVISOR.] "Designated supervisor" 
        means a qualified individual who is designated by the primary 
        supervisor to provide additional supervision and training to a 
        licensed psychological practitioner or to an individual who is 
        obtaining required predegree supervised professional experience 
        or postdegree supervised employment. 
           Sec. 3.  Minnesota Statutes 1998, section 148.89, is 
        amended by adding a subdivision to read: 
           Subd. 4b.  [PRIMARY SUPERVISOR.] "Primary supervisor" means 
        a psychologist licensed in Minnesota or other qualified 
        individual who provides the principal supervision to a licensed 
        psychological practitioner or to an individual who is obtaining 
        required predegree supervised professional experience or 
        postdegree supervised employment. 
           Sec. 4.  Minnesota Statutes 1998, section 148.925, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [SUPERVISION.] For the purpose of meeting 
        the requirements of this section, supervision means documented 
        in-person consultation between either:  (1) a supervising 
        licensed psychologist primary supervisor and a licensed 
        psychological practitioner; or (2) a supervising licensed 
        psychologist or a mental health professional designated by the 
        supervising licensed psychologist primary or designated 
        supervisor and an applicant for licensure as a licensed 
        psychologist.  The supervision shall be adequate to assure the 
        quality and competence of the activities supervised.  
        Supervisory consultation shall include discussions on the nature 
        and content of the practice of the supervisee, including, but 
        not limited to, a review of a representative sample of 
        psychological services in the supervisee's practice.  
           Sec. 5.  Minnesota Statutes 1998, section 148.925, 
        subdivision 2, is amended to read: 
           Subd. 2.  [SUPERVISED PSYCHOLOGICAL POSTDEGREE SUPERVISED 
        EMPLOYMENT.] Postdegree supervised psychological employment 
        means required paid or volunteer work experience and postdegree 
        training of a person an individual seeking to be licensed as a 
        licensed psychologist that involves the professional oversight 
        by a licensed psychologist primary supervisor and satisfies the 
        supervision requirements in subdivision subdivisions 3 and 5. 
           Sec. 6.  Minnesota Statutes 1998, section 148.925, 
        subdivision 3, is amended to read: 
           Subd. 3.  [PERSONS INDIVIDUALS QUALIFIED TO PROVIDE 
        SUPERVISION.] (a) Supervision of a master's level applicant for 
        licensure as a licensed psychologist shall be provided by a 
        person an individual: 
           (1) who is a licensed psychologist licensed in Minnesota 
        with competencies competence both in supervision in the practice 
        of psychology and in the activities being supervised; 
           (2) who has a doctoral degree with a major in psychology, 
        who is employed by a regionally accredited educational 
        institution or employed by a federal, state, county, or local 
        government institution, agency, or research facility, and who 
        has competencies competence both in supervision in the practice 
        of psychology and in the activities being supervised, provided 
        the supervision is being provided and the activities being 
        supervised occur within that regionally accredited educational 
        institution or federal, state, county, or local government 
        institution, agency, or research facility; or 
           (3) who is eligible for licensure as a licensed 
        psychologist by reciprocity with competencies licensed or 
        certified as a psychologist in another jurisdiction and who has 
        competence both in supervision in the practice of psychology and 
        in the activities being supervised; or 
           (4) who, in the case of a designated supervisor, is a 
        master's or doctorally prepared mental health professional.  
           (b) Supervision of a doctoral level applicant for licensure 
        as a licensed psychologist shall be provided by a person an 
        individual: 
           (1) who is a licensed psychologist licensed in Minnesota 
        with a doctoral degree and with competencies competence both in 
        supervision in the practice of psychology and in the activities 
        being supervised; 
           (2) who has a doctoral degree with a major in psychology, 
        who is employed by a regionally accredited educational 
        institution or is employed by a federal, state, county, or local 
        government institution, agency, or research facility, and who 
        has competencies competence both in supervision in the practice 
        of psychology and in the activities being supervised, provided 
        the supervision is being provided and the activities being 
        supervised occur within that regionally accredited educational 
        institution or federal, state, county, or local government 
        institution, agency, or research facility; 
           (3) who is eligible for licensure by reciprocity with 
        competencies licensed or certified as a psychologist in another 
        jurisdiction and who has competence both in supervision in the 
        practice of psychology and in the activities being 
        supervised; or 
           (4) who is a licensed psychologist licensed in Minnesota 
        who was licensed before August 1, 1991, with competencies 
        competence both in supervision in the practice of psychology and 
        in the activities being supervised; or 
           (5) who, in the case of a designated supervisor, is a 
        master's or doctorally prepared mental health professional. 
           Sec. 7.  Minnesota Statutes 1998, section 148.925, 
        subdivision 5, is amended to read: 
           Subd. 5.  [SUPERVISORY CONSULTATION FOR AN APPLICANT FOR 
        LICENSURE AS A LICENSED PSYCHOLOGIST.] Supervision of an 
        applicant for licensure as a licensed psychologist shall include 
        at least two hours of regularly scheduled in-person 
        consultations per week for full-time employment, one hour of 
        which shall be with the supervisor on an individual basis.  The 
        remaining hour may be with other master's or doctoral prepared 
        mental health professionals designated by the a designated 
        supervisor.  The board may approve an exception to the weekly 
        supervision requirement for a week when the supervisor was ill 
        or otherwise unable to provide supervision.  The board may 
        prorate the two hours per week of supervision for persons 
        individuals preparing for licensure on a part-time basis.  
        Supervised psychological employment does not qualify for 
        licensure when the supervisory consultation is not adequate as 
        described in subdivision 1, or in the board rules. 
           Sec. 8.  Minnesota Statutes 1998, section 148.925, 
        subdivision 6, is amended to read: 
           Subd. 6.  [SUPERVISEE DUTIES.] Persons Individuals 
        preparing for licensure as a licensed psychologist during their 
        postdegree supervised employment may perform as part of their 
        training any functions specified in section 148.89, but only 
        under qualified supervision. 
           Sec. 9.  Minnesota Statutes 1999 Supplement, section 
        148.941, subdivision 2, is amended to read: 
           Subd. 2.  [GROUNDS FOR DISCIPLINARY ACTION; FORMS OF 
        DISCIPLINARY ACTION.] (a) The board may impose disciplinary 
        action as described in paragraph (b) against an applicant or 
        licensee whom the board, by a preponderance of the evidence, 
        determines:  
           (1) has violated a statute, rule, or order that the board 
        issued or is empowered to enforce; 
           (2) has engaged in fraudulent, deceptive, or dishonest 
        conduct, whether or not the conduct relates to the practice of 
        psychology, that adversely affects the person's ability or 
        fitness to practice psychology; 
           (3) has engaged in unprofessional conduct or any other 
        conduct which has the potential for causing harm to the public, 
        including any departure from or failure to conform to the 
        minimum standards of acceptable and prevailing practice without 
        actual injury having to be established; 
           (4) has been convicted of or has pled guilty or nolo 
        contendere to a felony or other crime, an element of which is 
        dishonesty or fraud, or has been shown to have engaged in acts 
        or practices tending to show that the applicant or licensee is 
        incompetent or has engaged in conduct reflecting adversely on 
        the applicant's or licensee's ability or fitness to engage in 
        the practice of psychology; 
           (5) has employed fraud or deception in obtaining or 
        renewing a license, in requesting approval of continuing 
        education activities, or in passing an examination; 
           (6) has had a psychology license, certificate, charter, 
        registration, privilege to take an examination, or other similar 
        authority denied, revoked, suspended, canceled, 
        limited, reprimanded, or otherwise disciplined, or not renewed 
        for cause in any jurisdiction; or has surrendered or voluntarily 
        terminated a license or certificate during a board investigation 
        of a complaint, as part of a disciplinary order, or while under 
        a disciplinary order; 
           (7) has been subject to a corrective action or similar 
        action in another jurisdiction or by another regulatory 
        authority; 
           (8) has failed to meet any requirement for the issuance or 
        renewal of the person's license.  The burden of proof is on the 
        applicant or licensee to demonstrate the qualifications or 
        satisfy the requirements for a license under the Psychology 
        Practice Act; 
           (8) (9) has failed to cooperate with an investigation of 
        the board as required under subdivision 4; 
           (9) (10) has demonstrated an inability to practice 
        psychology with reasonable skill and safety to clients due to 
        any mental or physical illness or condition; or 
           (10) (11) has engaged in fee splitting.  This clause does 
        not apply to the distribution of revenues from a partnership, 
        group practice, nonprofit corporation, or professional 
        corporation to its partners, shareholders, members, or employees 
        if the revenues consist only of fees for services performed by 
        the licensee or under a licensee's administrative authority.  
        This clause also does not apply to the charging of a general 
        membership fee by a licensee or applicant to health care 
        providers, as defined in section 144.335, for participation in a 
        referral service, provided that the licensee or applicant 
        discloses in advance to each referred client the financial 
        nature of the referral arrangement.  Fee splitting includes, but 
        is not limited to: 
           (i) paying, offering to pay, receiving, or agreeing to 
        receive a commission, rebate, or remuneration, directly or 
        indirectly, primarily for the referral of clients; 
           (ii) dividing client fees with another individual or 
        entity, unless the division is in proportion to the services 
        provided and the responsibility assumed by each party; 
           (iii) referring an individual or entity to any health care 
        provider, as defined in section 144.335, or for other 
        professional or technical services in which the referring 
        licensee or applicant has a significant financial interest 
        unless the licensee has disclosed the financial interest in 
        advance to the client; and 
           (iv) dispensing for profit or recommending any instrument, 
        test, procedure, or device that for commercial purposes the 
        licensee or applicant has developed or distributed, unless the 
        licensee or applicant has disclosed any profit interest in 
        advance to the client.  
           (b) If grounds for disciplinary action exist under 
        paragraph (a), the board may take one or more of the following 
        actions: 
           (1) refuse to grant or renew a license; 
           (2) revoke a license; 
           (3) suspend a license; 
           (4) impose limitations or conditions on a licensee's 
        practice of psychology, including, but not limited to, limiting 
        the scope of practice to designated competencies, imposing 
        retraining or rehabilitation requirements, requiring the 
        licensee to practice under supervision, or conditioning 
        continued practice on the demonstration of knowledge or skill by 
        appropriate examination or other review of skill and competence; 
           (5) censure or reprimand the licensee; 
           (6) refuse to permit an applicant to take the licensure 
        examination or refuse to release an applicant's examination 
        grade if the board finds that it is in the public interest; or 
           (7) impose a civil penalty not exceeding $5,000 for each 
        separate violation.  The amount of the penalty shall be fixed so 
        as to deprive the applicant or licensee of any economic 
        advantage gained by reason of the violation charged, or to 
        discourage repeated violations.  
           (c) In lieu of or in addition to paragraph (b), the board 
        may require, as a condition of continued licensure, termination 
        of suspension, reinstatement of license, examination, or release 
        of examination grades, that the applicant or licensee: 
           (1) submit to a quality review, as specified by the board, 
        of the applicant's or licensee's ability, skills, or quality of 
        work; and 
           (2) complete to the satisfaction of the board educational 
        courses specified by the board. 
           (d) Service of the order is effective if the order is 
        served on the applicant, licensee, or counsel of record 
        personally or by mail to the most recent address provided to the 
        board for the licensee, applicant, or counsel of record.  The 
        order shall state the reasons for the entry of the order. 
           Presented to the governor April 7, 2000 
           Signed by the governor April 11, 2000, 10:42 a.m.

Official Publication of the State of Minnesota
Revisor of Statutes