Everything You Need To Know About The Counseling Compact
Table of Contents
When Will The Counseling Compact Go Live?
The Counseling Compact is now live. Minnesota and Arizona began issuing Privileges To Practice on September 30th, 2025.
If you are fully licensed in either state, you can apply for the Privilege To Practice in those states.
The Minnesota Board of Behavioral Health and Therapy (BBHT) has issued 189 Privileges To Practice To Arizona Counseling licensees.
Arizona has issued only 13 Privileges To Practice to MN BBHT counselor licensees. The chief reason being that nearly one third of AZ licensees’ state of residence is not AZ.
Some participating states will issue many P2P while some states will issue few.
One of the reasons will be a matter of state administrative costs and managing what will, in terms of workload, be an additional license.
Georgia is a state that has generated much interest in Privileges To Practice. Georgia’s Counseling Board has taken a “wait and see” position on participation in the Counseling Compact to watch first how it is functioning in other states. Other states have taken the same position.
Therefore, it may be several months before Georgia’s Composite Board begins participating in the Counseling Compact.
If, for example Georgia and Florida begin issuing Privileges to Practice if you are licensed in, AZ, MN, FL or GA you’re eligible to apply in all 4 states.
There are several causes for the delay of states participation in the compact. A mechanism for exporting data from some very old state databases to the Compact Commission’s new database. State’s being willing and capable under their rules and law to accommodate the Compact Commissions strict requirements.
The source of the delay is primarily the compact itself as it continues to exert significant increasing regulatory control over licensees. This has become a burden for many states. There are points of disagreement.
The counseling compact is spreading through the United States, which is good news for therapists who want to expand their reach! This agreement between states lets licensed professionals work in one state and practice in others without requiring additional LPC licenses. The Compact Commission is making great progress.
39 States Have Now Passed Counseling Compact Law.
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Thirty nine states have now joined the counseling compact. In addition, Washington DC which counseling compact law effective 12-17-24.
- Georgia HB395: Counseling Compact Passed 5-10-2021.
- Maryland SB0571: Counseling Compact Passed 5-18-2021.
- Alabama SB99: Counseling Compact Passed 3/1/22.
- Mississippi HB1026: Counseling Compact Law passed 3/16/2022.
- W Virginia SB213: counseling compact passed 3-23-2022.
- Utah SB237: counseling compact law passed 3-24-2022.
- Maine LD1920: counseling compact law passed3-31-2022.
- Florida HB1521: counseling compact law passed 4/6/22.
- Kentucky HB65: compact legal law passed 4/8/22.
- Nebraska LB752: counseling compact law passed 4/18/22.
- Tennessee SB1027: counseling compact law passed 5/27/22.
- Colorado SB 22-077: counseling compact law passed 6/8/22.
- CO Governor Polis signs compact law. Further, “$104,538 has been appropriated to the department of regulatory agencies for use by the division of professions and occupations.” The monies are intended for hiring of an additional full-time employee and operating expenses,
- Louisiana HB 582: counseling compact law passed 6/10/22. Louisiana Gov Edwards signs compact into law. Largely bipartisan support.
- Ohio SB 204: Ohio Governor Mike DeWine signs Counseling Compact into law 9/13/22. The governor also signed MD and DC compacts sponsored by the same Senator, Kristina Roegner.
- Wyoming: passed Counseling Compact SF 0010 on 2/23/23.
- Indiana SB 360: counseling compact law passed 5/1/23.
- Iowa HF 671: compact law passed 6/14/22.
- Delaware SB 257: counseling compact law passed 8/4/22.
- New Hampshire SB 397: counseling compact law passed 6/24/22.
- North Carolina HB 791: counseling compact law enacted 7/7/22.
- Missouri SB 70: compact law passed 7/6/23.
- Wisconsin SB 196: counseling compact legislation passed 12/7/23.
- Arkansas HB 1181: counseling compact law passed 3/13/23.
- Oklahoma SB 575: compact law passed 4/28/23.
- Kansas HB 2288: Compact legislation passed 4/24/23.
- Iowa HF 671: counseling compact passed 6/1/23.
- Connecticut: HB 6835 compact law passed 6/29/23
- North Dakota SB 2187: compact law passed 4/27/23.
- South Dakota HB 1012: professional counselors compact passed 2/13/24.
- Washington HB 1069: counseling compact law passed 4/13/23.
- Montana LC 1304: counseling compact legislation passed 4/20/23.
- Vermont HB 62: compact law passed 5/12/23.
- New Jersey SB 3061: counseling compact enacted 1/16/24
Arizona SB 1173: counseling compact passed 4/3/24
South Carolina SB 1173: signed by the governor 5/15/24
Minnesota HB 5247: professional counselors interstate compact law signed by the governor 5/24/24.
- Rhode Island SB 7141 counseling law now passed 6/25/24. T
What Is the Counseling Compact?
The counseling compact simplifies the way therapists can work in different states. Here’s a summary of some key terms to get you started:
- Home State: This is the state where you hold an active professional counselor license (LMHC, LCPC, etc.).
- Member State: These are the states that have joined and where you can potentially be approved to practice.
- Single State License: These are the traditional licenses you obtain by applying directly to individual states outside your home state.
- Privilege To Practice: It grants you the legal right to provide counseling services in member states for which you’ve been approved.
While the Professional Counselors Licensure Compact Act legally permits counseling across state lines in other participating states, consider the counseling compact a streamlined system. The official organization managing the compact is the Compact Commission.
'license by conversion' and Changing State Of Residency
The ‘license conversion’ is perhaps the most complex and far-reaching aspect of the Compact since initial promulgation of Privilege To Practice rules.
If you change your state of residency and are a participant in the counseling compact, the law provides for a streamlined route to full licensure in that state but you’re previous state of licensure would theoretically convert your license into a privilege to practice. And you would no longer hold the privilege to practice in your new state of residency. Sounds confusing?
First, the above only applies to states that have passed compact law. Second, these processes have yet to be tested so it is not possible to know the actual outcome.
This system depends upon how the commission promulgates and enforces it’s rules and each state’s enforcement of their licensing rules and law.
That said, here is an example of how it could operate:
You are a Georgia LPC. You apply and are issued a Privilege to Practice in Virginia. Then you change your state of residency to Virginia. Virginia would ‘upgrade’ your P2P to a state license (in fact, you would be required to do this). Georgia would ‘downgrade’ your license to a P2P. Under compact law, if you are a compact participant you can only hold one “Home State license”.
There are many aspects of the commission’s rules promulgation that extend their tentacles into state’s mandate to issue and regulate state licenses.
There are many unanswered questions as to how this would operate in practical terms. One significant question is when a state downgrades a license to a P2P, does this mean the license is “deissued”, deactivated? Most states and certainly Georgia has no current mechanism for modifying licenses in that manner. The only processes are issuing, deactivating, or surrender or revocation. In other words, binary: you either have a state issued license or you don’t.
But watch this page as I will update it regularly and I will be working hard to obtain and press both states and the commission for answers.
When Does The Counseling Compact Become Effective.
The fees, launch date, and eligibility for the Counseling Compact is changing almost weekly. It’s a dynamic process. There will be more than one fee.
While the official launch date is still being finalized, we expect the Counseling Compact to begin issuing Privileges To Practice around the second half of 2025.
As regards the final launch date, a critical milestone is the Compact Commission’ database that receives state licensee data must be created and completed.
Currently, you can still help clients across state lines by obtaining individual state licenses or endorsements and reciprocity. Every LPC applicant is evaluated individually. If you take this route, it is a good idea to obtain personalized assistance with navigating state licensing requirements.
The compact organization will accept three exams: the NCE, the NCMHCE, and the CRCE, but, individual states still have some control over licensing requirements. In rare cases, state board rules might supersede the compact’s regulations.
The Professional Counselors Licensure Compact Act legally permits counseling across state lines in other participating states. Your state will begin issuing Privileges To Practice when all plans are fully implemented.
The Compact Commission, counselingcompact.org , is the organization that manages and administers the counseling compact.
Will The Counseling Compact Issue Me a Counselor License?
The counseling compact offers a fantastic way to expand your practice, but it’s important to clarify that it doesn’t issue licenses.
While not technically a license, the Privilege to Practice grants you similar legal rights to provide counseling services in member states you’ve been approved for. It streamlines the process compared to obtaining individual licenses in each state.
If You Don't Meet Current Counseling Compact Requirements
If You Were Licensed Many Years Ago/ Legacy Licenses.
The counseling compact is committed to including experienced therapists, even those licensed many years ago. The compact organization is exploring ways for legacy licensees to qualify for the Privilege to Practice, even if their degrees and supervision predate current requirements.
Compact Commission official rules will provide a path for legacy licensees. You just need to meet all other compact requirements such as having a clean license and having passed your national exam. You will not need to prove your degree, supervision, or work experience.
“[Under the Counseling Compact] Licensed Professional Counselors licensed for independent clinical practice prior to the effective date of their Home State becoming a Member State of the compact will be deemed compact eligible if they also meet all of the other requirements…”
If I Want To Practice In Other States, Must I Do It Through The Counseling Compact?
While the counseling compact brings new and exciting opportunities, it is not the only way to practice across states. Multi-state licensing might be a good fit if you only need to serve clients in a few specific states. But if you envision working across multiple states or want a more straightforward process, the counseling compact could be the way to go.
Below is a further breakdown to help you decide which approach is best for you:
Multi-State Licenses
Multi-state licensing offers a choose-your-own-adventure approach. You can choose which particular states you want to be licensed in, so it gives total power over the area where your license is valid. The fact that disciplinary actions are typically dealt with by each state might also be comforting because it could provide a more familiar process.
But multi-state licensing has its own challenges. There are myriad challenges of multiple counseling license. Be prepared for a possibly complex application process for every state, with separate fees and renewal demands. Along with that, you must keep up with the particular laws and rules of each state you work in – this can increase your homework load.
So, while multi-state licensing offers flexibility, it also requires a bigger commitment on your part in terms of time and organization.
Practicing Through The Counseling Compact
The counseling compact is like a one-stop shop for therapists looking to expand their practice across state lines. It streamlines the application process – you submit one application to serve clients in multiple member states. This can potentially save you money compared to obtaining individual licenses in each state. Plus, the compact establishes standardized qualifications, making it easier to navigate the requirements.
There’s a catch, though. The compact is only valid in states that have officially joined. So, your ability to practice across borders depends on where your clients are located. Another thing to consider: disciplinary actions by the compact organization can impact your privileges to practice in ALL member states, not just one. So, staying on top of your ethical game is even more important.
Fees
You will be required to pay to fees, 30.00 to the compact and a fee assessed by your home state.
Data Reporting
If you wish to practice in a member state, your home state licensing information will be transmitted to the Compact Commission in order to properly facilitate the Compact’s ability to monitor interstate practice.
State licensing boards will transmit licensing information to the council through various forms of electronic interface. Likely in Georgia, these would be individual licensee files exported as formatted text files.
There are apparent privacy concerns.
Of particular concern is the breadth of personal information transmitted into this newly created data system created by a small database development vendor and operated by a small organization to include social security numbers.
Further the proposed plan is for states to transmit this individual licensee information in bulk for all licensees regardless of whether you want to practice under the compact. You can contact your state board to express your concerns.
State’s collaboration and requirements for data reporting is complex and I will provide more details as soon as they become available.
Though 37 states have passed the counseling compact law as of February 4 2025, that doesn’t mean you can automatically practice across state lines yet.
- Effective, but not operational: “Effective” in this context means the organization itself can start setting up its internal systems and processes. It doesn’t mean therapists can immediately practice across state lines.
- States still need to agree: Each state that passed the law now needs to individually compare their licensing requirements and enter into agreements with other member states. Think of it like states shaking hands and agreeing on how the compact will work for them specifically.
- The waiting game: This process might happen one state at a time, so it could take some time before you can practice in multiple states. For instance, Maryland and Florida might agree on the compact terms quickly, but other state pairings could take longer. At least two states will need to be onboarded into the counseling compact system in order to officially kick this off.
If you need to serve clients across state lines right now, obtaining individual state licenses might be the faster option for now. Weigh the pros and cons of waiting for the Compact to become operational.
Which States Do Not Have Counseling Compact Law.
The counseling compact is a fantastic initiative, but some states haven’t crossed the finish line yet. Most notably New York and California are not in the counseling compact. When these states will pass compact law is up for grabs. Learn more about why some states oppose the counseling compact.
Conclusion
The counseling compact, is a “big deal” for many therapists who want to help clients from different states. Even though the official launch has not happened, we cannot deny the progress. Here at Ethics Demystified, we’re keeping pace with these advancements and offering you fresh information and resources.
We can help you comprehend the benefits of using the counseling compact for your work and guide you on getting “Privilege to Practice” in various states.
Contact us today to learn how we can help you expand your practice and reach more clients in need.
Further Reading
