Increasing Economic and Geographic Mobility
This Executive Order, titled Increasing Economic and Geographic Mobility, directs the federal government to reduce unnecessary occupational licensing barriers that limit where people can work. It emphasizes making licensing rules less burdensome while still protecting consumers, with a particular focus on improving mobility for workers who relocate between states and for military spouses. The order lays out six guiding principles for licensing reform, establishes reporting and review processes for federal agencies, and creates a pathway for recognizing licenses from other jurisdictions (license by endorsement) under defined conditions. It also requires agencies to study and report on opportunities to reward states that adopt compatible regulatory reforms. In short, the order aims to lower barriers to entry in various professions, promote competition, and facilitate geographic and economic mobility without compromising safety. It does not itself create new licensing requirements or rights; rather, it directs federal agencies to review rules, encourage state reforms, and publicize progress and best practices.
Key Points
- 1Six guiding principles for licensing reform:
- 2- All recognized licensure boards should be actively supervised by a designated government agency.
- 3- Licensing standards should be the least restrictive necessary to protect consumers from significant harm, while promoting competition.
- 4- States/Territories/Tribes should regularly review and, if needed, revise regulations to be as non-restrictive as appropriate.
- 5- Individuals with criminal records should be encouraged to submit preliminary license applications to determine eligibility.
- 6- A state should issue an equivalent license at the same level of practice if the applicant meets four criteria (out-of-state license in good standing, minimum requirements met, no revocation/discipline/pending investigations, and all fees paid).
- 7- Accommodations should be made for spouses of active-duty military members relocating due to orders.
- 8Federal review and reporting requirements (Sec. 2 and Sec. 3):
- 9- Agencies must review their authorities, regulations, guidance, and policies within 90 days of the order and every two years thereafter, and report needed changes.
- 10- Agencies must identify actions to recognize and reward states with compatible licensing reforms, and establish criteria to evaluate such states.
- 11Implementation and information sharing (Sec. 4):
- 12- The Small Business Administration (SBA), with other agencies, must seek information from states/territories/tribes about compliant policies and make results public.
- 13- If recommended actions are approved, agencies should implement them to reward states with compatible regulatory reforms.
- 14Definitions (Sec. 5):
- 15- Active supervision: pre-review of proposed licensing rules, ensuring least-restrictive criteria, and analysis of impacts on jobs, costs, and competition.
- 16- Agency: as defined in federal law, with some specific exclusions.
- 17- Occupational license and occupational regulation: licensing, certification, registration, and related inspections that grant permission to practice a given occupation.
- 18General provisions (Sec. 6):
- 19- The order does not diminish statutory authority or the President’s budget/administrative powers and is subject to existing law and appropriations. It does not create enforceable rights against the United States.