KRS § 327.300 — KY Code / Title XXVI / Chapter 327 / Section 327.300
327.300 Physical Therapy Licensure Compact
Status: in_force

327.300 Physical Therapy Licensure Compact.

PHYSICAL THERAPY LICENSURE COMPACT

SECTION 1. PURPOSE

The purpose of this Compact is to facilitate interstate practice of physical therapy with the

goal of improving public access to physical therapy services. The practice of physical

therapy occurs in the state where the patient or client is located at the time of the patient

or client encounter. The Compact preserves the regulatory authority of states to protect

public health and safety through the current system of state licensure.

This Compact is designed to achieve the following objectives:

1. Increase public access to physical therapy services by providing for the mutual

recognition of other member state licenses;

2. Enhance the states' ability to protect the public's health and safety;

3. Encourage the cooperation of member states in regulating multistate physical

therapy practice;

4. Support spouses of relocating military members;

5. Enhance the exchange of licensure, investigative, and disciplinary information

between member states; and

6. Allow a remote state to hold a provider of services with a compact privilege in that

state accountable to that state's practice standards.

SECTION 2. DEFINITIONS

As used in this Compact, and except as otherwise provided, the following definitions

shall apply:

1. "Active duty military" means full-time duty status in the active uniformed service of

the United States, including members of the National Guard and Reserve on active

duty orders pursuant to 10 U.S.C. secs. 1209 and 1211;

2. "Adverse action" means disciplinary action taken by a physical therapy licensing

board based upon misconduct, unacceptable performance, or a combination of both;

3. "Alternative program" means a nondisciplinary monitoring or practice remediation

process approved by a physical therapy licensing board. This includes but is not

limited to substance abuse issues;

4. "Compact privilege" means the authorization granted by a remote state to allow a

licensee from another member state to practice as a physical therapist or work as a

physical therapist assistant in the remote state under its laws and rules. The practice

of physical therapy occurs in the member state where the patient or client is located

at the time of the patient or client encounter;

5. "Continuing competence" means a requirement, as a condition of license renewal, to

provide evidence of participation in, completion of, or both participation in and

completion of educational and professional activities relevant to practice or area of

work;

6. "Data system" means a repository of information about licensees, including

examination, licensure, investigative, compact privilege, and adverse action;

7. "Encumbered license" means a license that a physical therapy licensing board has

limited in any way;

8. "Executive board" means a group of directors elected or appointed to act on behalf

of, and within the powers granted to them by, the commission;

9. "Home state" means the member state that is the licensee's primary state of

residence;

10. "Investigative information" means information, records, and documents received or

generated by a physical therapy licensing board pursuant to an investigation;

11. "Jurisprudence requirement" means the assessment of an individual's knowledge of

the laws and rules governing the practice of physical therapy in a state;

12. "Licensee" means an individual who currently holds an authorization from the state

to practice as a physical therapist or to work as a physical therapist assistant;

13. "Member state" means a state that has enacted the Compact;

14. "Party state" means any member state in which a licensee holds a current license or

compact privilege or is applying for a license or compact privilege;

15. "Physical therapist" means an individual who is licensed by a state to practice

physical therapy;

16. "Physical therapist assistant" means an individual who is licensed or certified by a

state and who assists the physical therapist in selected components of physical

therapy;

17. "Physical therapy," "physical therapy practice," and "the practice of physical

therapy" mean the care and services provided by or under the direction and

supervision of a licensed physical therapist;

18. "Physical Therapy Compact Commission" or "commission" means the national

administrative body whose membership consists of all states that have enacted the

Compact;

19. "Physical therapy licensing board" or "licensing board" means the agency of a state

that is responsible for the licensing and regulation of physical therapists and

physical therapist assistants;

20. "Remote state" means a member state other than the home state where a licensee is

exercising or seeking to exercise the compact privilege;

21. "Rule" means a regulation, principle, or directive promulgated by the commission

that has the force of law; and

22. "State" means any state, commonwealth, district, or territory of the United States of

America that regulates the practice of physical therapy.

SECTION 3. STATE PARTICIPATION IN THE COMPACT

A. To participate in the Compact, a state shall:

1. Participate fully in the commission's data system, including using the

commission's unique identifier as defined in rules;

2. Have a mechanism in place for receiving and investigating complaints about

licensees;

3. Notify the commission, in compliance with the terms of the Compact and

rules, of any adverse action or the availability of investigative information

regarding a licensee;

4. Fully implement a criminal background check requirement, within a time

frame established by rule, by receiving the results of the Federal Bureau of

Investigation record search on criminal background checks and use the results

in making licensure decisions in accordance with Section 3.B. of this

Compact;

5. Comply with the rules of the commission;

6. Utilize a recognized national examination as a requirement for licensure

pursuant to the rules of the commission; and

7. Have continuing competence requirements as a condition for license renewal.

B. Upon adoption of this statute, the member state may obtain biometric-based

information from each physical therapy licensure applicant and submit this

information to the Federal Bureau of Investigation for a criminal background check

in accordance with 28 U.S.C. sec. 534 and 42 U.S.C. sec. 14616.

C. A member state shall grant the compact privilege to a licensee holding a valid

unencumbered license in another member state in accordance with the terms of the

Compact and rules.

D. Member states may charge a fee for granting a compact privilege.

SECTION 4. COMPACT PRIVILEGE

A. To exercise the compact privilege under the terms and provisions of the Compact,

the licensee shall:

1. Hold a license in the home state;

2. Have no encumbrance on any state license;

3. Be eligible for a compact privilege in any member state in accordance with

Section 4.D., G., and H. of this Compact;

4. Have not had any adverse action against any license or compact privilege

within the previous two (2) years;

5. Notify the commission that the licensee is seeking the compact privilege

within a remote state or states;

6. Pay any applicable fees, including any state fee, for the compact privilege;

7. Meet any jurisprudence requirements established by the remote state or states

in which the licensee is seeking a compact privilege; and

8. Report to the commission adverse action taken by any nonmember state

within thirty (30) days from the date the adverse action is taken.

B. The compact privilege is valid until the expiration date of the home license. The

licensee shall comply with the requirements of Section 4.A. of this Compact to

maintain the compact privilege in the remote state.

C. A licensee providing physical therapy in a remote state under the compact privilege

shall function within the laws and regulations of the remote state.

D. A licensee providing physical therapy in a remote state is subject to that state's

regulatory authority. A remote state may, in accordance with due process and that

state's laws, enforce any one (1) or combination of the following:

1. Remove a licensee's compact privilege in the remote state for a specific period

of time;

2. Impose fines; and

3. Take any other necessary actions to protect the health and safety of its

citizens.

The licensee is not eligible for a compact privilege in any state until the specific

time for removal has passed and all fines are paid.

E. If a home state license is encumbered, the licensee shall lose the compact privilege

in any remote state until the following occur:

1. The home state license is no longer encumbered; and

2. Two (2) years have elapsed from the date of the adverse action.

F. Once an encumbered license in the home state is restored to good standing, the

licensee shall meet the requirements of Section 4.A. of this Compact to obtain a

compact privilege in any remote state.

G. If a licensee's compact privilege in any remote state is removed, the individual shall

lose the compact privilege in any remote state until the following occur:

1. The specific period of time for which the compact privilege was removed has

ended;

2. All fines have been paid; and

3. Two (2) years have elapsed from the date of the adverse action.

H. Once the requirements of Section 4.G. of this Compact have been met, the license

shall meet the requirements in Section 4.A. of this Compact to obtain a compact

privilege in a remote state.

SECTION 5. ACTIVE DUTY MILITARY PERSONNEL OR THEIR SPOUSES

A licensee who is active duty military or is the spouse of an individual who is active duty

military may designate one (1) of the following as the home state:

A. Home of record;

B. Permanent Change of Station (PCS); or

C. State of current residence if it is different than the PCS state or home of record.

SECTION 6. ADVERSE ACTIONS

A. A home state shall have exclusive power to impose adverse action against a license

issued by the home state.

B. A home state may take adverse action based on the investigative information of a

remote state, so long as the home state follows its own procedures for imposing

adverse action.

C. Nothing in this Compact shall override a member state's decision that participation

in an alternative program may be used in lieu of adverse action and that this

participation shall remain nonpublic if required by the member state's laws. Member

states shall require licensees who enter any alternative programs in lieu of discipline

to agree not to practice in any other member state during the term of the alternative

program without prior authorization from that other member state.

D. Any member state may investigate actual or alleged violations of the statutes and

rules authorizing the practice of physical therapy in any other member state in

which a physical therapist or physical therapist assistant holds a license or compact

privilege.

E. A remote state may:

1. Take adverse actions as set forth in Section 4.D. of this Compact against a

licensee's compact privilege in the state;

2. Issue subpoenas for the production of evidence and for hearings and

investigations that require the attendance and testimony of witnesses.

Subpoenas issued by a physical therapy licensing board in a party state for the

production of evidence, the attendance and testimony of witnesses, or both

from another party state shall be enforced in the latter state by any court of

competent jurisdiction, according to the practice and procedure of that court

applicable to subpoenas issued in proceedings pending before it. The issuing

authority shall pay any witness fees, travel expenses, mileage, and other fees

required by the service statutes of the state where the evidence, witnesses, or

both are located; and

3. If otherwise permitted by state law, recover from the licensee the costs of

investigations and disposition of cases resulting from any adverse action taken

against that licensee.

F. Joint Investigations

1. In addition to the authority granted to a member state by its respective

physical therapy practice act or other applicable state law, a member state may

participate with other member states in joint investigations of licensees.

2. Member states shall share any investigative, litigation, or compliance

materials in furtherance of any joint or individual investigation initiated under

the Compact.

SECTION 7. ESTABLISHMENT OF THE PHYSICAL THERAPY COMPACT

COMMISSION

A. The Compact member states hereby create and establish a joint public agency

known as the Physical Therapy Compact Commission:

1. The commission is an instrumentality of the Compact states.

2. Venue is proper and judicial proceedings by or against the commission shall

be brought solely and exclusively in a court of competent jurisdiction where

the principal office of the commission is located. The commission may waive

venue and jurisdictional defenses to the extent it adopts or consents to

participate in alternative dispute resolution proceedings.

3. Nothing in this Compact shall be construed to be a waiver of sovereign

immunity.

B. Membership, Voting, and Meetings

1. Each member state shall have and be limited to one (1) delegate selected by

that member state's licensing board.

2. The delegate shall be a current member of the licensing board, who is a

physical therapist, physical therapist assistant, public member, or the board

administrator.

3. Any delegate may be removed or suspended from office as provided by the

law of the state from which the delegate is appointed.

4. The member state board shall fill any vacancy occurring in the commission.

5. Each delegate shall be entitled to one (1) vote with regard to the promulgation

of rules and creation of bylaws and shall otherwise have an opportunity to

participate in the business and affairs of the commission.

6. A delegate shall vote in person or by such other means as provided in the

bylaws. The bylaws may provide for delegates' participation in meetings by

telephone or other means of communication.

7. The commission shall meet at least once during each calendar year. Additional

meetings shall be held as set forth in the bylaws.

C. The commission has the following powers and duties:

1. Establish the fiscal year of the commission;

2. Establish bylaws;

3. Maintain its financial records in accordance with the bylaws;

4. Meet and take any actions consistent with the provisions of this Compact and

the bylaws;

5. Promulgate uniform rules to facilitate and coordinate implementation and

administration of this Compact. The rules shall have the force of law and shall

be binding in all member states;

6. Bring and prosecute legal proceedings or actions in the name of the

commission, provided that the standing of any state physical therapy licensing

board to sue or be sued under applicable law shall not be affected;

7. Purchase and maintain insurance and bonds;

8. Borrow, accept, or contract for services of personnel, including but not limited

to employees of a member state;

9. Hire employees, elect or appoint officers, fix compensation, define duties,

grant these individuals appropriate authority to carry out the purposes of the

Compact, and establish the commission's personnel policies and programs

relating to conflicts of interest, qualifications of personnel, and other related

personnel matters;

10. Accept, receive, utilize, and dispose of any appropriate donations and grants

of money, equipment, supplies, materials, and services. At all times the

commission shall avoid any appearance of impropriety, conflict of interest, or

both;

11. Lease, purchase, accept appropriate gifts or donations of, or otherwise own,

hold, improve, or use any real, personal, or mixed property. At all times the

commission shall avoid any appearance of impropriety;

12. Sell, convey, mortgage, pledge, lease, exchange, abandon, or otherwise

dispose of any real, personal, or mixed property;

13. Establish a budget and make expenditures;

14. Borrow money;

15. Appoint committees, including standing committees composed of members,

state regulators, state legislators or their representatives, consumer

representatives, and any other interested persons as designated in this

Compact and the bylaws;

16. Provide and receive information from, and cooperate with, law enforcement

agencies;

17. Establish and elect an executive board; and

18. Perform any other necessary or appropriate functions to achieve the purposes

of this Compact consistent with the state regulation of physical therapy

licensure and practice.

D. The Executive Board

The executive board may act on behalf of the commission according to the terms of

this Compact.

1. The executive board shall be composed of nine (9) members:

a. Seven (7) voting members who are elected by the commission from the

current membership of the commission;

b. One (1) ex officio, nonvoting member from the recognized national

physical therapy professional association; and

c. One (1) ex officio, nonvoting member from the recognized membership

organization of the physical therapy licensing boards.

2. The ex officio members shall be selected by their respective organizations.

3. The commission may remove any member of the executive board as provided

in bylaws.

4. The executive board shall meet at least once annually.

5. The executive board shall have the following duties and responsibilities:

a. Recommend to the entire commission changes to the rules or bylaws,

changes to this Compact legislation, fees paid by Compact member

states such as annual dues, and any commission Compact fee charged to

licensees for the compact privilege;

b. Ensure Compact administration services are appropriately provided,

contractual or otherwise;

c. Prepare and recommend the budget;

d. Maintain financial records on behalf of the commission;

e. Monitor Compact compliance of member states and provide compliance

reports to the commission;

f. Establish additional committees as necessary; and

g. Other duties as provided in rules or bylaws.

E. Meetings of the Commission

1. All meetings shall be open to the public, and public notice of meetings shall

be given in the same manner as required under the rulemaking provisions in

Section 9 of this Compact.

2. The commission, the executive board, or other committees of the commission

may convene in a closed, nonpublic meeting if the commission, executive

board, or other committees of the commission need to discuss:

a. Noncompliance of a member state with its obligations under the

Compact;

b. The employment, compensation, discipline, or other matters, practices,

or procedures related to specific employees or other matters related to

the commission's internal personnel practices and procedures;

c. Current, threatened, or reasonably anticipated litigation;

d. Negotiation of contracts for the purchase, lease, or sale of goods,

services, or real estate;

e. Accusing any person of a crime or formally censuring any person;

f. Disclosure of trade secrets or commercial or financial information that is

privileged or confidential;

g. Disclosure of information of a personal nature where disclosure would

constitute a clearly unwarranted invasion of personal privacy;

h. Disclosure of investigative records compiled for law enforcement

purposes;

i. Disclosure of information related to any investigative reports prepared

by, on behalf of, or for use of the commission or another committee

charged with responsibility of investigation or determination of

compliance issues pursuant to the Compact; or

j. Matters specifically exempted from disclosure by federal or member

state statute.

3. If a meeting, or portion of a meeting, is closed pursuant to this provision, the

commission's legal counsel or designee shall certify that the meeting may be

closed and shall reference each relevant exempting provision.

4. The commission shall keep minutes that fully and clearly describe all matters

discussed in a meeting and shall provide a full and accurate summary of

actions taken, and the reasons for the actions, including a description of the

views expressed. All documents considered in connection with an action shall

be identified in these minutes. All minutes and documents of a closed meeting

shall remain under seal, subject to release by a majority vote of the

commission or order of a court of competent jurisdiction.

F. Financing of the Commission

1. The commission shall pay, or provide for the payment of, the reasonable

expenses of its establishment, organization, and ongoing activities.

2. The commission may accept any and all appropriate revenue sources,

donations, and grants of money, equipment, supplies, materials, and services.

3. The commission may levy on and collect an annual assessment from each

member state or impose fees on other parties to cover the cost of the

operations and activities of the commission and its staff, which shall be in a

total amount sufficient to cover its annual budget as approved each year for

which revenue is not provided by other sources. The aggregate annual

assessment amount shall be allocated based upon a formula to be determined

by the commission, which shall promulgate a rule that is binding upon all

member states.

4. The commission shall not incur obligations of any kind prior to securing the

funds adequate to meet the obligations, nor shall the commission pledge the

credit of any of the member states, except by and with the authority of the

member state.

5. The commission shall keep accurate accounts of all receipts and

disbursements. The receipts and disbursements of the commission shall be

subject to the audit and accounting procedures established under its bylaws.

All receipts and disbursements of funds handled by the commission shall be

audited yearly by a certified or licensed public accountant, and the report of

the audit shall be included in and become part of the annual report of the

commission.

G. Qualified Immunity, Defense, and Indemnification

1. The members, officers, executive director, employees, and representatives of

the commission shall be immune from suit and liability, either personally or in

their official capacity, for any claim for damage to or loss of property or

personal injury or other civil liability caused by or arising out of any actual or

alleged act, error, or omission that occurred, or that the person against whom

the claim is made had a reasonable basis for believing occurred, within the

scope of commission employment, duties, or responsibilities. Nothing in this

paragraph shall be construed to protect any person from suit, liability, or both

for any damage, loss, injury, or liability caused by the intentional, willful, or

wanton misconduct of that person.

2. The commission shall defend any member, officer, executive director,

employee, or representative of the commission in any civil action seeking to

impose liability arising out of any actual or alleged act, error, or omission that

occurred within the scope of commission employment, duties, or

responsibilities, or that the person against whom the claim is made had a

reasonable basis for believing occurred within the scope of commission

employment, duties, or responsibilities, if the actual or alleged act, error, or

omission did not result from that person's intentional, willful, or wanton

misconduct. Nothing in this paragraph shall be construed to prohibit that

person from retaining his or her own counsel.

3. The commission shall indemnify and hold harmless any member, officer,

executive director, employee, or representative of the commission for the

amount of any settlement or judgment obtained against that person arising out

of any actual or alleged act, error, or omission that occurred within the scope

of commission employment, duties, or responsibilities, or that the person had

a reasonable basis for believing occurred within the scope of commission

employment, duties, or responsibilities, if the actual or alleged act, error, or

omission did not result from the intentional, willful, or wanton misconduct of

that person.

SECTION 8. DATA SYSTEM

A. The commission shall provide for the development, maintenance, and utilization of

a coordinated database and reporting system containing licensure, adverse action,

and investigative information on all licensed individuals in member states.

B. Notwithstanding any other provision of state law to the contrary, a member state

shall submit a uniform data set to the data system on all individuals to whom this

Compact is applicable as required by the rules of the commission, including:

1. Identifying information;

2. Licensure data;

3. Adverse actions against a license or compact privilege;

4. Nonconfidential information related to alternative program participation;

5. Any denial of application for licensure, and the reason or reasons for the

denial; and

6. Other information that may facilitate the administration of this Compact, as

determined by the rules of the commission.

C. Investigative information pertaining to a licensee in any member state shall only be

available to other party states.

D. The commission shall promptly notify all member states of any adverse action taken

against a licensee or an individual applying for a license. Adverse action

information pertaining to a licensee in any member state shall be available to any

other member state.

E. Member states contributing information to the data system may designate

information that may not be shared with the public without the express permission

of the contributing state.

F. Any information submitted to the data system that is subsequently required to be

expunged by the laws of the member state contributing the information shall be

removed from the data system.

SECTION 9. RULEMAKING

A. The commission shall exercise its rulemaking powers pursuant to the criteria set

forth in this section and the rules adopted under this section. Rules and amendments

shall become binding as of the date specified in each rule or amendment.

B. If a majority of the legislatures of the member states reject a rule within four (4)

years of the date of adoption of the rule, by enactment of a statute or resolution in

the same manner used to adopt the Compact, then the rule shall have no further

effect in any member state.

C. Rules or amendments to the rules shall be adopted at a regular or special meeting of

the commission.

D. Prior to promulgation and adoption of a final rule or rules by the commission, and at

least thirty (30) days in advance of the meeting at which the rule will be considered

and voted upon, the commission shall file a Notice of Proposed Rulemaking:

1. On the Web site of the commission or other publicly accessible platform; and

2. On the Web site of each member state physical therapy licensing board or

other publicly accessible platform or the publication in which each state

would otherwise publish proposed rules.

E. The Notice of Proposed Rulemaking shall include:

1. The proposed time, date, and location of the meeting in which the rule will be

considered and voted upon;

2. The text of the proposed rule or amendment and the reason for the proposed

rule;

3. A request for comments on the proposed rule from any interested person; and

4. How interested persons may submit notice to the commission of their

intention to attend the public hearing and submit any written comments.

F. Prior to adoption of a proposed rule, the commission shall allow persons to submit

written data, facts, opinions, and arguments, which shall be made available to the

public.

G. The commission shall grant an opportunity for a public hearing before it adopts a

rule or amendment if a hearing is requested by:

1. At least twenty-five (25) persons;

2. A state or federal governmental subdivision or agency; or

3. An association having at least twenty-five (25) members.

H. If a hearing is held on the proposed rule or amendment, the commission shall

publish the place, time, and date of the scheduled public hearing. If the hearing is

held via electronic means, the commission shall publish the mechanism for access

to the electronic hearing.

1. All persons wishing to be heard at the hearing shall notify the executive

director of the commission or other designated member in writing of their

desire to appear and testify at the hearing not less than five (5) business days

before the scheduled date of the hearing.

2. Hearings shall be conducted in a manner providing each person who wishes to

comment a fair and reasonable opportunity to comment orally or in writing.

3. All hearings shall be recorded. A copy of the recording shall be made

available on request.

4. Nothing in this section shall be construed as requiring a separate hearing on

each rule. Rules may be grouped for the convenience of the commission at

hearings required by this section.

I. Following the scheduled hearing date, or by the close of business on the scheduled

hearing date if the hearing was not held, the commission shall consider all written

and oral comments received.

J. If no written notice of intent to attend the public hearing by interested parties is

received, the commission may proceed with promulgation of the proposed rule

without a public hearing.

K. The commission shall, by majority vote of all members, take final action on the

proposed rule and shall determine the effective date of the rule, if any, based on the

rulemaking record and the full text of the rule.

L. Upon determination that an emergency exists, the commission may consider and

adopt an emergency rule without prior notice, opportunity for comment, or hearing,

provided that the usual rulemaking procedures provided in the Compact and in this

section shall be retroactively applied to the rule as soon as reasonably possible, in

no event later than ninety (90) days after the effective date of the rule. For the

purposes of this provision, an emergency rule is one that requires immediate

adoption in order to:

1. Meet an imminent threat to public health, safety, or welfare;

2. Prevent a loss of commission or member state funds;

3. Meet a deadline for the promulgation of an administrative rule that is

established by federal law or rule; or

4. Protect public health and safety.

M. The commission or an authorized committee of the commission may direct

revisions to a previously adopted rule or amendment for purposes of correcting

typographical errors, errors in format, errors in consistency, or grammatical errors.

Public notice of any revisions shall be posted on the Web site of the commission.

The revision shall be subject to challenge by any person for a period of thirty (30)

days after posting. The revision may be challenged only on grounds that the revision

results in a material change to a rule. A challenge shall be made in writing, and

delivered to the chair of the commission prior to the end of the notice period. If no

challenge is made, the revision shall take effect without further action. If the

revision is challenged, the revision may not take effect without the approval of the

commission.

SECTION 10. OVERSIGHT, DISPUTE RESOLUTION, AND ENFORCEMENT

A. Oversight

1. The executive, legislative, and judicial branches of state government in each

member state shall enforce this Compact and take all actions necessary and

appropriate to effectuate the Compact's purposes and intent. The provisions of

this Compact and the rules promulgated under this Compact shall have

standing as statutory law.

2. All courts shall take judicial notice of the Compact and the rules in any

judicial or administrative proceeding in a member state pertaining to the

subject matter of this Compact that may affect the powers, responsibilities, or

actions of the commission.

3. The commission shall be entitled to receive service of process in any judicial

or administrative proceeding relating to this Compact, and shall have standing

to intervene for all purposes in any judicial or administrative proceeding

relating to this Compact. Failure to provide service of process to the

commission shall render a judgment or order void as to the commission, this

Compact, or promulgated rules.

B. Default, Technical Assistance, and Termination

1. If the commission determines that a member state has defaulted in the

performance of its obligations or responsibilities under this Compact or the

promulgated rules, the commission shall:

a. Provide written notice to the defaulting state and other member states

regarding any one (1) or any combination of the following: the nature of

the default, the proposed means of curing the default, and any other

action to be taken by the commission; and

b. Provide remedial training and specific technical assistance regarding the

default.

2. If a state in default fails to cure the default, the defaulting state may be

terminated from the Compact upon an affirmative vote of a majority of the

member states, and all rights, privileges, and benefits conferred by this

Compact may be terminated on the effective date of termination. A cure of the

default does not relieve the offending state of obligations or liabilities incurred

during the period of default.

3. Termination of membership in the Compact shall be imposed only after all

other means of securing compliance have been exhausted. Notice of intent to

suspend or terminate shall be given by the commission to the Governor, the

majority and minority leaders of the defaulting state's legislature, and each of

the member states.

4. A state that has been terminated is responsible for all assessments, obligations,

and liabilities incurred through the effective date of termination, including

obligations that extend beyond the effective date of termination.

5. The commission shall not bear any costs related to a state that is found to be in

default or that has been terminated from the Compact, unless agreed upon in

writing between the commission and the defaulting state.

6. The defaulting state may appeal the action of the commission by petitioning

the United States District Court for the District of Columbia or the federal

district where the commission has its principal offices. The prevailing member

shall be awarded all costs of this litigation, including reasonable attorney's

fees.

C. Dispute Resolution

1. Upon request by a member state, the commission shall attempt to resolve

disputes related to the Compact that arise among member states and between

member and nonmember states.

2. The commission shall promulgate a rule providing for both mediation and

binding dispute resolution for disputes as appropriate.

D. Enforcement

1. The commission, in the reasonable exercise of its discretion, shall enforce the

provisions and rules of this Compact.

2. By majority vote, the commission may initiate legal action in the United

States District Court for the District of Columbia or the federal district where

the commission has its principal offices against a member state in default to

enforce compliance with the provisions of the Compact and its promulgated

rules and bylaws. The relief sought may include both injunctive relief and

damages. In the event judicial enforcement is necessary, the prevailing

member shall be awarded all costs of the litigation, including reasonable

attorney's fees.

3. The remedies authorized under this section shall not be the exclusive remedies

of the commission. The commission may pursue any other remedies available

under federal or state law.

SECTION 11. DATE OF IMPLEMENTATION OF THE INTERSTATE COMMISSION

FOR PHYSICAL THERAPY PRACTICE AND ASSOCIATED RULES,

WITHDRAWAL, AND AMENDMENT

A. The Compact shall come into effect on the date on which the Compact statute is

enacted into law in the tenth member state. The provisions, which become effective

at that time, shall be limited to the powers granted to the commission relating to

assembly and the promulgation of rules. Thereafter, the commission shall meet and

exercise rulemaking powers necessary to the implementation and administration of

the Compact.

B. Any state that joins the Compact subsequent to the commission's initial adoption of

the rules shall be subject to the rules as they exist on the date on which the Compact

becomes law in that state. Any rule that has been previously adopted by the

commission shall have the full force of law on the day the Compact becomes law in

that state.

C. Any member state may withdraw from this Compact by enacting a statute repealing

the Compact.

1. A member state's withdrawal shall not take effect until six (6) months after

enactment of the repealing statute.

2. Withdrawal shall not affect the continuing requirement of the withdrawing

state's physical therapy licensing board to comply with the investigative and

adverse action reporting requirements of this Compact prior to the effective

date of withdrawal.

D. Nothing contained in this Compact shall be construed to invalidate or prevent any

physical therapy licensure agreement or other cooperative arrangement between a

member state and a nonmember state that does not conflict with the provisions of

this Compact.

E. This Compact may be amended by the member states. No amendment to this

Compact shall become effective and binding upon any member state until it is

enacted into the laws of all member states.

SECTION 12. APPLICABILITY TO KENTUCKY STATE GOVERNMENT

In order to clarify the effect of certain provisions of this Compact and to ensure that the

rights and responsibilities of the various branches of government are maintained, the

following shall be in effect in this state:

A. By entering into this Compact, this state authorizes the licensing board as defined in

Section 2.19. of this Compact and as created by KRS Chapter 327 to implement the

provisions of this Compact.

B. Notwithstanding any provision of this Compact to the contrary:

1. When a rule is adopted pursuant to Section 9 of this Compact, the licensing

board of this state as defined by Section 2.19. of this Compact shall have sixty

(60) days to review the rule for the purpose of filing the rule as an emergency

administrative regulation pursuant to KRS 13A.190 and for filing the rule as

an accompanying ordinary administrative regulation, following the

requirements of KRS Chapter 13A. Failure by the licensing board of this state

as defined by Section 2.19. of this Compact to promulgate a rule adopted by

the Physical Therapy Compact Commission as an administrative regulation

pursuant to KRS Chapter 13A shall result in the initiation of the process for

withdrawal as set forth in Section 11 of this Compact. Nothing in these

provisions shall negate the applicability and effect of Section 9.K. of this

Compact to this state.

2. If the proposed administrative regulation is found deficient and the deficiency

is not resolved pursuant to KRS 13A.330 or 13A.335, the provisions of

Section 10 of this Compact shall apply. If the procedures under Section 10 of

this Compact fail to resolve an issue, the provisions of Section 11 of this

Compact shall apply.

3. If the Physical Therapy Compact Commission created by Section 7 of this

Compact exercises its rulemaking authority in a manner that is beyond the

scope of the purposes of this Compact, or the powers granted under this

Compact, then such an action by the commission shall be invalid and have no

force or effect.

C. Section 7.F. of this Compact pertaining to the financing of the commission shall not

be interpreted to obligate the general fund of this state. Any funds used to finance

this Compact shall be from money collected pursuant to KRS 327.080.

D. This Compact shall apply only to those physical therapists or physical therapist

assistants who practice or work under a compact privilege.

SECTION 13. CONSTRUCTION AND SEVERABILITY

This Compact shall be liberally construed so as to effectuate its purposes. The provisions

of this Compact shall be severable, and if any phrase, clause, sentence, or provision of

this Compact is declared to be contrary to the constitution of any party state or of the

United States, or the Compact's applicability to any government, agency, person, or

circumstance is held invalid, it shall not affect the validity of the remainder of this

Compact and its applicability to any government, agency, person, or circumstance. If this

Compact is held contrary to the constitution of any party state, the Compact shall remain

in full effect as to the remaining party states, and shall remain in full effect in the affected

party state as to all severable matters.