Title of Regulation: 18VAC150-20. Regulations Governing the Practice of Veterinary Medicine (amending 18VAC150-20-185).

Statutory Authority: § 54.1-2400 of the Code of Virginia.

Public Hearing Information: No public hearings are scheduled.

Public Comment Deadline: September 5, 2018.

Effective Date: September 20, 2018.

Agency Contact: Leslie L. Knachel, Executive Director, Board of Veterinary Medicine, 9960 Mayland Drive, Suite 300, Richmond, VA 23233, telephone (804) 367-4468, FAX (804) 527-4471, or email leslie.knachel@dhp.virginia.gov.

Basis: Regulations are promulgated under the general authority of § 54.1-2400 of the Code of Virginia, which provides the Board of Veterinary Medicine the authority to promulgate regulations to administer the regulatory system, and under a specific mandate of Chapter 82 of the 2016 Acts of Assembly.

Purpose: The purpose of the amended regulation is to facilitate the reinstatement of a registration that a facility has allowed to lapse and become expired. An establishment should not be open and providing treatment to animals with an expired registration, so the sooner it can be reinstated, veterinary care is available to protect public health and safety.

Rationale for Using Fast-Track Rulemaking Process: The amended regulation is less restrictive and beneficial to establishments that inadvertently allow their registration to expire. The provision should not be controversial, and the board would like to have it effective as soon as possible to resolve a problem for some reinstatement applicants.

Substance: 18VAC150-20-185 is amended to clarify that renewal within 30 days of the expiration of an annual registration is a late renewal rather than a reinstatement. After 30 days, an establishment is required to reinstate its registration, and an inspection is required, but the amended regulation would allow the reinstatement to occur before the reinspection is accomplished.

Issues: The advantage to the public is the possibility to expedite the reinstatement of an establishment permit so veterinary care is not unduly disrupted. There are no disadvantages to the public. There are no advantages or disadvantages to the agency or the Commonwealth.

Department of Planning and Budget's Economic Impact Analysis:

Summary of the Proposed Amendments to Regulation. The Board of Veterinary Medicine (Board) proposes to allow reinstatement of a facility license prior to the required reinspection for reinstatement.

Result of Analysis. The benefits likely exceed the costs for all proposed changes.

Estimated Economic Impact. Current regulation requires reinspection of a veterinary facility whose license has expired for more than 30 days in order to reinstate its license. Without a reinstated license, the facility cannot legally operate, and if it does, it becomes subject to fines and disciplinary action. The required reinspection, however, may take weeks to schedule, effectively delaying reinstatement of the license and therefore restarting of the facility's operations.

The Board proposes to allow reinstatement of an expired veterinary facility license prior to the reinspection. The reinspection will still be required, but it will be conducted after the reinstatement. The main economic effect of the proposed change is avoidance of unnecessary facility closures or illegal facility operations in cases where the reinspection cannot be scheduled without delays. According to the Department of Health Professions, less than five facilities annually have to reinstate after more than 30 days past the expiration date of their licenses. There is no compliance cost associated with this proposed change. Thus, the change should produce net benefits.

Businesses and Entities Affected. There are 1,122 veterinary establishments registered by the Board. In a typical year, less than five are expected to apply for reinstatement of their license.¹

Localities Particularly Affected. The proposed amendment does not affect any particular locality more than others.

Projected Impact on Employment. The proposed regulation should avoid unnecessary closures of veterinary facilities applying for reinstatement of their license. Thus, a potential negative impact on employment will be avoided.

Effects on the Use and Value of Private Property. The proposed regulation should avoid unnecessary closures of veterinary facilities applying for reinstatement of their license or fines or disciplinary action if operated without a reinstament. Thus, a potential negative impact on the use and values of less than five such facilities annually should be avoided by this change.

Real Estate Development Costs. No impact on real estate development costs is expected.

Small Businesses:

Definition. Pursuant to § 2.2-4007.04 of the Code of Virginia, small business is defined as "a business entity, including its affiliates, that (i) is independently owned and operated and (ii) employs fewer than 500 full-time employees or has gross annual sales of less than $6 million."

Costs and Other Effects. The proposed amendment reduces costs for a small number of veterinary facilities, most of whom are considered small businesses.

Alternative Method that Minimizes Adverse Impact. The proposed amendment does not have adverse effects on small businesses.

Adverse Impacts:

Businesses. The proposed amendment does not have adverse impacts on businesses.

Localities. The proposed amendment will not adversely affect localities.

Other Entities. The proposed amendment will not adversely affect other entities.

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¹Source: Department of Health Professions.

Agency's Response to Economic Impact Analysis: The Board of Veterinary Medicine concurs with the result of the economic impact analysis of the Department of Planning and Budget.

Summary:

The amendments clarify that renewal within 30 days of the expiration of an annual registration is a late renewal rather than a reinstatement. After 30 days, an establishment is required to reinstate its registration, and an inspection is required. However, it typically takes time to schedule the inspection, so the board is deleting the rule stating that the reinstatement is "contingent" on a reinspection to avoid delays in reinstating the establishment registration. A reinspection will still be required to determine whether the establishment has been open and operating with an expired registration.

18VAC150-20-185. Renewal of veterinary establishment registrations.

A. Every veterinary establishment shall be required to renew the registration by January 1 of each year and pay to the board a registration fee as prescribed in 18VAC150-20-100.

B. Failure to renew the establishment registration by January 1 of each year shall cause the registration to expire and become invalid. Practicing veterinary medicine in an establishment with an expired registration may subject a licensee or registration holder to disciplinary action by the board. The registration may be reinstated renewed without reinspection within 30 days of expiration, provided the board receives a properly executed renewal application, renewal fee, and a late fee as prescribed in 18VAC150-20-100.

C. Reinstatement of an expired registration after 30 days shall be at the discretion of the board and contingent upon a reinspection properly executed reinstatement application and payment of the late fee, the reinspection fee, the renewal fee and the veterinary establishment registration reinstatement fee. A reinspection is required when an establishment is reinstated.