State SealARIZONA HOUSE OF REPRESENTATIVES

 

HB 2523: administrative hearings; procedures

PRIME SPONSOR: Representative Syms, LD 28

BILL STATUS: Caucus & COW

                  JPS: DP 7-1-0-1

Legend: ALJ – Administrative law judge OAH – Office of Administrative Hearing ADEQ – Arizona Department of Environmental Quality Amendments – BOLD and Stricken (Committee)

 

Abstract

☐ Prop 105 (45 votes) ☐ Prop 108 (40 votes) ☐ Emergency (40 votes) ☐ Fiscal NoteRelating to administrative hearings.

Provisions

1.       Requires parties in adjudicative cases to be afforded an opportunity to participate in a settlement conference or mediation, unless both parties or the hearing officer decline. (Sec. 1)

2.       Allows parties in adjudicative cases to seek disposition of the case by motion if there is not genuine issue of material fact. (Sec. 1)

3.       Removes the definition of agency. (Sec. 2)

4.       Allows an ALJ to require an agency to pay administrative hearing costs and fees to a party if:

a.       The ALJ finds against an agency after prevailing in an initial agency determination; and

b.       A subsequent appeal is made to an appeals board resulting in a decision against the agency. (Sec. 2)

5.       Makes technical and conforming changes. (Sec. 1, 2)

Current Law

A.R.S. Title 41, Chapter 6, Article 6 outlines the adjudicative hearing procedures for contested cases of agencies exempt from the administrative hearing process. All parties must be afforded an opportunity for a hearing after reasonable notice. The notice must include a statement of all matters asserted with an opportunity for all parties to respond and present evidence and arguments on all involved issues. A hearing may be conducted in an informal manner without adherence to the rules of evidence in a judicial proceeding at any place determined by the agency, except as otherwise provided. All parties have a right to 1) council, 2) submit evidence in an open hearing; and 3) cross-examination. A final decision or order must be in writing or stated in the record. The final decision must include findings of fact and conclusions of law. An agency is required to provide an opportunity for a rehearing or review of the decision before the decision becomes final.

A.R.S. Title 41, Chapter 6, Article 10 outlines administrative hearing procedures for specific agencies. A person may file a notice of appeal or request a hearing on an appealable agency action or contested case. The agency submits a request for a hearing with OAH, which is then scheduled, assigned an ALJ and noticed with affected parties. OAH conducts a hearing and the ALJ issues a decision that is accepted, rejected or modified by the agency head. The agency head's decision is considered the final decision pending a rehearing or appeal to the superior court. A.R.S. § 41-1092.12 defines agency as ADEQ. If ADEQ takes action against a party that is arbitrary, capricious or not in accordance with the law, the action is considered an appealable agency action if specified conditions apply. If the party prevails, ADEQ must pay reasonable cost and fees to the party. If an appealable agency action is found to be frivolous, the ALJ may require the party to pay reasonable costs and fees to ADEQ.

 

 

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Fifty-third Legislature                  HB 2523

Second Regular Session                               Version 2: Caucus & COW

 

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