Minutes of Meeting June 1, 2014

Meeting Minutes

Idaho Association of Cosmetology Schools / 6-1-14 Meeting

I

Open Meeting

Objective:

II

Action Items from Previous Meeting

Responsible

Due Date

1

2

3

III

Agenda Topic

Notes

1

Minutes of Previous Meeting Approval/ Financial Report

Motion to approve by Phil 2nd by Rick Motion carried

2

Update from Larry Benton/ Kris Ellis – HB 363

Tony addressed association:
– Contiguos license, board looking at making it easier for salons. Major changes will be a more refined piece of legislation. Whoever is at that station during an inspection is in charge of the sanitation guidelines and responsible for it.
– Demo permits may be going away
– Representative Monks is still wanting an exemption in the law for unlicensed practice as long as there is no money exchanging money.

Larry addressed association:
– 2014 Primary Election Recap See Attachment
– Summer is a great time to invite your legislature into your school and take them to lunch or dinner. – HB 363: Eliminated that a board member could not be associated with a cosmetology school

3

Transfer Students from Online Courses

– Rick was approached by a student from Washington who had 500 online hours and wanted to transfer those hours to Idaho. The board needs to be addressed to be made aware of this and get something in place to make this not a possible thing. Need to ask the board for a ruling. Law 54-805C

4

Wage and Hour Litigation Threatening Cosmetology Schools

– George addressed the association reading from an article stating the class action lawsuit that has come up stating students are doing work and not getting paid.

5

New Gainful Employment Regulations – State Required Hours

– George Summarized new Gainful Employment regulations
– Phil made a motion to send out a ballot to all paid members of the association to change the hours from 2,000 hours to 1,600 hours Wren Shaw seconded motion carried

6

Items to be Presented to State Board of Cosmetology

7

Miscellaneous Discussion – Dues for 2014

Dues are due on July 1, 2014

IV

Action Items

Responsible

Due Date

1

Post wage and hour litigation article on association website

George Brunt

TBD

2

Ty mail ballots to all paid schools

Ty Walker

Mail out by July 7th

3

Circulate new Gainful Employment Regulations

Ty Walker

6/7/14

4

5

V

Decisions

1

2

3

4

5

VI

Close Meeting

Advertisements

Leave a comment

Idaho Cosmetology Schools – Post Secondary

The legislature did act in time to allow Idaho Cosmetology Schools to maintain their title IV funding by identifying Cosmetology schools as post-secondary institutions.  Many thanks to our legislators!

Leave a comment

Semi Annual Meeting June 2, 2013

The semi annual meeting of the Idaho State Cosmetology School Association will take place June 2nd at 7:00 p.m. at the Owyhee Plaza Hotel in Boise.   We will celebrate the change in the law recognizing cosmetology schools as post-secondary institutions in Idaho.  We will also have the opportunity to discuss several other issues and opportunities facing our industry.  At the last meeting the paying members were split 7 to 6 in favor of seeking a statutory change reducing the required hours in Idaho for a full cosmetology license to 1800.   We decided that we did not have a strong enough mandate with a bare majority to pursue a law change as an organization and so we took no action.  The association wants to focus on the things that matter overwhelmingly to most of its members.

Since the last meeting, Utah has reduced its hours to 1600, matching Washington State and California.

Please take the poll in advance of the meeting.

Leave a comment

Personal Property Tax Bills

HB 272 The first of the person property tax bills was introduced by the Idaho Association of Counties. It attempts to remove the tax for 90 percent of businesses this year. All property valued below $1500 would be exempt and total business property valued below $100,000 would be exempt. The state would cover $20 million to replace revenue local governments stand to lose. http://www.legislature.idaho.gov/legislation/2013/H0272.htm
HB 276 The second personal property tax bill was introduced on Friday by the Idaho Association of Commerce and Industry. It phases out the entire tax over a 7 year period beginning with $100,000 exemption the first year. It is revenue neutral for local governments based on the year of the implementation and reimburses local revenue including bonds and levies with state funds. The fiscal impact to the state is $20 million the first year, and an additional $20 million each subsequent year till the tax is repealed. In the event of an economic downturn the legislation provides a mechanism for the state to delay that year’s tax repeal. http://www.legislature.idaho.gov/legislation/2013/H0276.htm

Leave a comment

HB 162 Update

HB 162 is in the Idaho Senate Commerce Committee on Thursday.   The meeting begins at 1:30 and there will be several items on the agenda.  We have not had any concerns over the legislation like we did in the house, therefore I would ask that only one of you testify on behalf of the association.  Having others present to show support and be available for questions like last time will be great.  Let’s plan to meet in the same location as we did before the House committee meeting at 1:10. 

Leave a comment

Idaho Cosmetology Schools to Lose Federal Funding unless Legislature Takes Action

Idaho Cosmetology Schools are slated under federal mandate to lose Title IV eligibility on July 1, 2013 unless the State legislature takes action this session to recognize Cosmetology schools as post-secondary institutions.  This means that after July 1, otherwise eligible students would not be able to obtain federal support for their cosmetology education in Idaho.  There are approximately 1000 students currently attending cosmetology school in Idaho.  Thousands more are planning to attend cosmetology school in future years.  Since the majority of students depend on federal funding to develop a productive skill and career, without federal student funding the vast majority of the schools in Idaho will have to close their doors and leave these students without an option to pursue their dream career.  The placement rate for schools responding to an ad hoc survey is that Idaho cosmetology schools place 80-95% of all students into productive jobs in their chosen career path.  Including the 10 to 30 employees that currently work each of Idaho’s 30+ cosmetology schools, it would be a horrible loss of employment for our state if the legislature does not act.  

All the legislature is being asked to do is to identify cosmetology schools in existing legislation that currently regulates all cosmetology schools as “post-secondary” schools.  The federal mandate requires that only post-secondary schools regulated by the state can receive federal funding.  Idaho complies in every detail but the inclusion of the words “post-secondary” in the statute.

It would be a travesty if the failure of the legislature to include two words in an existing statue terminates the cosmetology industry in our state and leaves future cosmetology professionals without options in the great State of Idaho.

Please let you legislator know that you support the passage of HB 162.  It is urgent!

George Brunt, Chairman

Idaho Association of Cosmetology Schools

3 Comments

There has been a lot of activity at the capitol this week. The combined House and Senate
education committees held two days of joint public listening sessions on primary and secondary
education issues. There will be one more this coming Monday evening to allow parents and
teachers who may have not had an opportunity to attend the morning meetings to voice their
opinions. This issue will show more prominence in the days to come. The public rejection of
the reform measures passed in the legislature last year has created several holes in the system
that need to be addressed. The most pressing being the $34million that was removed from
education as a result of the repeal of the Children Come First bills.
The Senate Commerce Committee held two days of contentious public hearings on Senate Bill
1042, the legislation proposed by the Governor’s office that establishes an Idaho insurance
exchange. The bill, at the end, was approved by the committee on an 8-1 vote and sent to the
Senate floor with a do-pass recommendation. Although the committee approval was strong, the
proposal has a rough road ahead as it works its way through the system. We’ll keep you posted.
On the financial side, January revenue was $281.4 million, which is $0.9 million (0.3%) above
the $280.5 million expected for the month. The fiscal year-to-date General Fund revenue is
$1,579.5 million. This amount is $2.7 million (-0.2%) lower than the projected $1,582.2 million.
Idaho sales tax was by far the strongest performing revenue source this month, coming in 8.5%
higher than expected. The Joint Finance and Appropriations Committee will be looking closely
at these numbers as they must determine a revenue projection number before they start setting
budgets on February 18th.
Proprietary School Designation: In working to comply with the new federal rules requiring
post-secondary designation for all proprietary schools we will be proposing legislation to address
the issue specifically for cosmetology schools. Monday we presented a proposal to the Board of
Cosmetology and worked throughout the week with the attorneys for that board as well as the
State Board of Education and other stake holders to arrive at a proposal we will present before
the House Education Committee on Tuesday. The difficulty of the legislation has been to define
cosmetology schools as post-secondary without further limiting who can attend the schools. I
believe the proposal does this and it does have the consensus of the various groups. This is a
print hearing and no testimony will be taken.

Written by Kris Ellis

Leave a comment