Is Student Loan Money Subsidizing the Federation of Chiropractic Licensing Boards?
The National Board of Chiropractic Examiners (NBCE) and the Federation of Chiropractic Licensing Boards (FCLB) appear to have a very cozy relationship with the NBCE giving the FCLB the bulk of their operating revenue over the past five years.
The NBCE is part of the Summit Group of chiropractic trade organizations, schools and corporations which has as its mission expanding the role of chiropractors as physicians. The Summit is also heavily focused on third party pay and all organizations and schools in the Summit embrace chiropractic as the practice of primary care.
The International Federation of Chiropractors and Organizations (IFCO) and Sherman College are not members of the Summit Group.
According to a NBCE Press Release following their hosting of student representatives of Summit Group members, the students were welcomed by NBCE President Norman E. Ouzts, Jr., DC, who told the students:
"We ask only that you put aside preconceived notions about the NBCE. The day offers many opportunities to ask questions of NBCE senior management, and we hope you will take advantage of our willingness to share with you.”
While you might wonder what "preconceived notions" Ouzts is referring to, the NBCE actually has a sordid history when it comes to its management, financial dealings and its relationship to other members of the Summit Group.
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One relationship in particular is its relationship to the Federation of Chiropractic Licensing Boards (FCLB). Even the NBCE's press release focused on these issues and relationships:
"As in past years, the students were introduced to the foundations of NBCE testing, with special emphasis on explaining the relationship between the NBCE and state regulatory boards, the cost of exams and how these costs are set..."
The press release continued:
"Dr. Leroy Otto, president of the Federation of Chiropractic Licensing Boards (and NBCE Director), also presented a short overview of that organization and its role in gathering and sharing information on regulatory matters."
Dr. Otto serves on both the Board of Directors of the NBCE and is currently the President of the FCLB. Otto also serves on the Minnesota Board of Chiropractic. Otto received nearly $10,000.00 for his service on the NBCE in 2011 and nearly $20,000.00 in 2012.
Dr. Ouzts has received nearly $100,000.00 from the NBCE for his service as an NBCE director over the past five years.
According to public records the National Board of Chiropractic Examiners gave the FCLB the following amounts over the past five years:
2008: $500,632.00
2009: $520,400.00
2010: $515,000.00
2011: $502,161.00
2012: $511,482.00
Total: $2,549,675.00
These amounts represented over 70% of the FCLB revenue each year. The FCLB and NBCE share more than Directors, Officers and money. The FCLB offices are only 207 feet from the NBCE offices and tax records show the NBCE provides lease of facilities in the amount of $35,607.00 to the FCLB.
Such support appears to go back to at least 2006.
In its January 2013 minutes the FCLB noted "...past support from NBCE in the form of conference shared expenses. FCLB waives approximately 20 NBCE conference registrations".
The NBCE had revenue of nearly $50,000,000.00 (Fifty Million Dollars) over the past five years which appears to derive directly from its testing of students enrolled in chiropractic colleges. Some have questioned how much of that money is coming from student loans which then goes to the NBCE and makes up 70% of the revenue of the FCLB whose mission is to assist state regulatory boards.
