The American Association of State Counseling Boards was created in 1986 by an AACD (now ACA) committee headed by Willie Jackson, then the AACD Licensure Chairperson, at the Annual Convention in Los Angeles. The Committee was convened to "establish an organization to encourage communication of state licensing boards." Ted Remley (VA), Susan Sears (OH), and Kitty Altman (SC) were named members of the Committee along with Larry Gerstein. They were charged with developing plans for the implementation of an association of Licensure boards.

Representatives from several states with credentialing laws met and formed AASCB in October, 1986 at the Midwest Regional Conference in Kansas City. Among the states with licensing laws in attendance were: Alabama, Arkansas, Florida, Georgia, Idaho, Maryland, Nebraska, North Carolina, Ohio, Oklahoma, and South Carolina. A set of bylaws was adopted, and officers were elected (see the list of presidents and executive directors). The first annual AASCB Conference was held March 20-22, 1987, in Charleston, South Carolina. An annual conference has been held every year since then, including virtual conferences during the COVID pandemic years of 2021 and 2022.

AASCB has been a strong advocate for counselor licensure portability and reciprocity, including its sponsorship of the Counseling Credentials Registry database in the 1990s and early 2000s.

Over the years, AASCB has continued to grow and more counselor licensing boards have become member boards, with 38 currently actively engaged. AASCB has entertained into management agreements with a number of companies including the American Counseling Association (ACA) and the National Board of Certified Counselors/Center for Credentialing Excellence (NBCC/CCE).

AASCB has also established an affiliate membership program, provided monthly “hangouts” for Board members and staff, and recognized outstanding achievement through an annual awards program.

In 2021, AASCB entered into its current management agreement with CLEAR: The Council on Licensure, Enforcement, and Regulation, and Matt Grayson was named as the Executive Director.

Also in 2021-22, AASCB provided support and advocacy for the enactment of the Counseling Compact, a monumental achievement for the counseling profession. Since then, AASCB has grown and expanded member educational programming, including the creation of licensing board training modules.