Columbus, OH – In a new policy memo, Policy Solutions for the Pandemic: Medical License Reciprocity Should be Permanent (see full text below or download a PDF), The Buckeye Institute calls on Ohio to make permanent policies that recognize out-of-state medical licenses for doctors, physician assistants, nurses, pharmacists, and other medical professionals. 

“During the COVID-19 crisis, policymakers quickly responded by lifting out-of-state medical licensing restrictions and implementing temporary licensing reciprocity rules,” said James B. Woodward, Ph.D., economic research analyst with The Buckeye Institute’s Economic Research Center. “By making these new rules permanent, Ohio will be able to attract more highly trained care providers, which will benefit patients across the state.”

Ohio has adopted many of Buckeye’s policy recommendations to boost the state’s health care system and support Ohio’s workers, small businesses, and economy including:

• Increasing telehealth access and monitoring;
• Extending universal recognition of out-of-state medical licenses to nurses;
• Permitting pharmacists to test for COVID-19;
• Enlisting medical and nursing students to support doctors and nurses fighting COVID-19;
• Beginning to eliminate unnecessary budget commitments;
• Instituting a hiring freeze in state government; and
• Allowing establishments with an existing liquor permit to sell and deliver alcohol on carryout menus. 

The Buckeye Institute’s policy solutions that policymakers can take to ensure Ohio and the country are ready to fight and recover from the pandemic can be found at: www.BuckeyeInstitute.org/Policy-Solutions-for-the-Pandemic.

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Policy Solutions for the Pandemic
Medical License Reciprocity Should be Permanent

By James B. Woodward, Ph.D.
May 18, 2020

The Buckeye Institute’s Recommendation
When the COVID-19 crisis passes, Ohio should make permanent policies that recognize the out-of-state medical licenses of doctors, physician assistants, nurses, pharmacists, and other medical professionals, because removing employment barriers will benefit patients and frontline health care providers.

Background
In March, Governor DeWine responded quickly to the COVID-19 outbreak with an executive order declaring a state of emergency and directing state agencies to implement temporary rules “designed to prevent or alleviate this public health threat.” The State Medical Board of Ohio, the Ohio Board of Nursing, and the State of Ohio Board of Pharmacy then issued rules allowing out-of-state doctors, nurses, pharmacists, and physician assistants to practice during this emergency. The new rules—commonly called license reciprocity—have increased capacity and flexibility for patients, hospitals, and medical workers.

This overdue change helped Ohio cope with a health crisis that threatened to overwhelm its health care system. But even before the crisis, economists agreed that removing interstate employment barriers increases employment opportunities and lowers prices. A 2018 report by the U.S. departments of Health and Human Services, Treasury, and Labor concluded that there is “little” economic justification for these additional licensing requirements and that the “harm to consumers [in this case, patients] likely outweighs any benefits.” 

Even after the current crisis wanes, Ohio should continue recognizing out-of-state licenses for medical professionals in order to increase health care access and provider mobility, and to make better use of telehealth technology. Rebuilding the licensing and employment barriers of Ohio’s pre-crisis regime would be a mistake borne by patients, hospitals, and care providers.

Conclusion
Policymakers responded effectively to this crisis by lifting out-of-state medical licensing restrictions and implementing temporary licensing reciprocity rules. Ohio should make those new rules permanent so that the state’s health care system can attract more highly trained care providers and reduce health care costs for patients.

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