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ARIZONA HOUSE OF REPRESENTATIVESFifty-seventh Legislature First Regular Session |
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HB 2632: regulatory costs; rulemaking; legislative ratification
Sponsor: Representative Kolodin, LD 3
Committee on Regulatory Oversight
Overview
Prescribes the requirements for specified proposed agency rules to be ratified by the Legislature before enactment.
History
The mission of the Office of Economic Opportunity (OEO) is to expand economic opportunities for people in Arizona by leading the analysis and evaluation of Arizona's population and economy and investing in communities to power the state's economic growth (OEO).
Statute designates the Administrative Rules Oversight Committee (AROC) to oversee the adoption of rules by state agencies. The 11-member committee includes: 1) five members of the House of Representatives appointed by the Speaker; 2) five members of the Senate appointed by the President; and 3) the Governor or designee. Legislative Council serves as the staff for AROC (A.R.S.§ 41-1046).
Statute prohibits state agencies from conducting rulemaking without prior written approval of the Governor. State agencies may not adopt any new rule that would increase existing regulatory burdens on the free exercise of property rights or the freedom to engage in lawful business or occupation unless the rule reduces regulatory restraints or burdens, is necessary to implement the law or is required by a final court order or decision (A.R.S. § 41-1038 et al.).
Provisions
1.
Directs an
agency to submit a proposed rule to OEO for review if the rule is estimated to
increase state regulatory costs by more than $100,000 within five years after implementation. 
(Sec. 1)
2. Stipulates that if the OEO confirms estimated regulatory costs will increase by more than $500,000 within five years after the proposed rule's implementation, the rule may not become effective until the Legislature ratifies the proposed rule. (Sec. 1)
3. Instructs OEO to submit the proposed rule to AROC no later than 30 days before the next regular legislative session. (Sec. 1)
4. Requires AROC to submit the proposed rule to the Legislature as soon as practicable. (Sec. 1)
5. Authorizes any legislator to sponsor legislation to ratify the proposed rule, which is exempt from provisions relating to the time and manner of agency rulemaking. (Sec. 1)
6. Prohibits an agency from filing a final rule with the Secretary of State before obtaining legislative ratification of the proposed rule. (Sec. 1)
7. Requires an agency to publish a notice of termination in the register and terminate the proposed rulemaking if the Legislature does not enact legislation to ratify the proposed rule during the current legislative session. (Sec. 1)
8. Allows a legislator or person who is regulated by an agency proposing a rule to request OEO to review the rule. (Sec. 1)
9. Excludes emergency rules from the legislative ratification requirements. (Sec. 1)
10. States that, beginning on the general effective date, a rule is void and unenforceable unless the rule is ratified as prescribed. (Sec. 1)
11. Excludes the Arizona Corporation Commission from the requirements of legislative ratification of proposed agency rules. (Sec. 1)
12. Allows the Legislature to eliminate by concurrent resolution any agency rule that costs taxpayers more than $1,000,000 per year. (Sec. 1)
13. Allows citizens or businesses affected by an agency rule to request that OEO assess the rule's impact on taxpayers. (Sec. 1)
14. Requires OEO to complete the assessment and notify AROC, the public and the Legislature of the findings within six months. (Sec. 1)
15. Contains a severability clause. (Sec. 2)
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HB 2632
Initials DC/GG Page 0 Regulatory Oversight
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