First Substitute H.B. 343

Representative Chad E. Bennion proposes to substitute the following bill:

1 TIMELY AGENCY REVIEW OF CERTAIN
2 APPLICATIONS
3 2001 GENERAL SESSION
4 STATE OF UTAH
5 Sponsor: Chad E. Bennion
6 This act enacts statutes governing review and action by state agencies on applications and
7 other requests for permits, licenses, and authorizations from state agencies. The act sets a
8 time limit by which agency decisions are to be made, provides for relief to aggrieved citizens,
9 and makes requirements applicable to pending applications. The act modifies the name and
10 duties of the Administrative Rules Review Committee.
11 This act affects sections of Utah Code Annotated 1953 as follows:
12 AMENDS:
13 63-46a-11, as last amended by Chapter 332, Laws of Utah 1998
14 ENACTS:
15 63-98-101, Utah Code Annotated 1953
16 63-98-102, Utah Code Annotated 1953
17 63-98-201, Utah Code Annotated 1953
18 63-98-301, Utah Code Annotated 1953
19 Be it enacted by the Legislature of the state of Utah:
20 Section 1. Section 63-46a-11 is amended to read:
21 63-46a-11. Administrative Rules Review Committee.
22 (1) (a) There is created an Administrative Rules and Regulatory Permit Review Committee
23 of ten permanent members and four ex officio members.
24 (b) (i) The committee's permanent members shall be composed of five members of the
25 Senate, appointed by the president of the Senate, and five members of the House, appointed by the

26 speaker of the House, with no more than three senators and three representatives from the same
27 political party.
28 (ii) The permanent members shall convene at least once each month as a committee to
29 review new agency rules, amendments to existing agency rules, and repeals of existing agency
30 rules and to adjudicate, as required by Section 63-98-301 , agency failures to grant regulatory
31 permits within the time limits established by Section 63-98-201 . Meetings may be suspended at
32 the discretion of the committee chairs.
33 (iii) Members shall serve for two-year terms or until their successors are appointed.
34 (iv) A vacancy exists whenever a committee member ceases to be a member of the
35 Legislature, or when a member resigns from the committee. Vacancies shall be filled by the
36 appointing authority, and the replacement shall serve out the unexpired term.
37 (c) When the committee reviews existing rules, the committee's permanent members shall
38 invite the Senate and House chairmen of the standing committee and the Senate and House
39 chairmen of the appropriation subcommittee that have jurisdiction over the agency whose existing
40 rules are being reviewed to participate as nonvoting, ex officio members with the committee.
41 (d) Three representatives and three senators from the permanent members are a quorum for
42 the transaction of business at any meeting.
43 (2) Each agency rule as defined in Section 63-46a-2 shall be submitted to the committee
44 at the same time public notice is given under Section 63-46a-4 .
45 (3) (a) The committee shall exercise continuous oversight of the process of rulemaking.
46 (b) The committee shall examine rules submitted by each agency to determine:
47 (i) whether or not they are authorized by statute;
48 (ii) whether or not they comply with legislative intent;
49 (iii) their impact on the economy and the government operations of the state and local
50 political subdivisions; and
51 (iv) their impact on affected persons.
52 (c) To carry out these duties, the committee may examine any other issues that it considers
53 necessary. The committee may also notify and refer rules to the chairmen of the interim committee
54 which has jurisdiction over a particular agency when the committee determines that an issue
55 involved in an agency's rules may be more appropriately addressed by that committee.
56 (d) In reviewing the rules, the committee shall follow generally accepted principles of

57 statutory construction.
58 (4) The committee may request that the Office of the Legislative Fiscal Analyst prepare
59 a fiscal note on any rule.
60 (5) In order to accomplish its oversight functions, the committee has all the powers granted
61 to legislative interim committees as set forth in Section 36-12-11 .
62 (6) (a) The committee may prepare written findings of its review of each rule and may
63 include any recommendations, including legislative action.
64 (b) The committee shall provide to the agency that enacted the rule:
65 (i) a copy of its findings, if any; and
66 (ii) a request that the agency notify the committee of any changes it makes in the rule.
67 (c) The committee shall provide a copy of its findings to any member of the Legislature
68 and to any person affected by the rule who requests a copy.
69 (d) The committee shall provide a copy of its findings to the presiding officers of both the
70 House and the Senate, Senate and House chairmen of the standing committee, and the Senate and
71 House chairmen of the Appropriation Subcommittee that have jurisdiction over the agency whose
72 rules are the subject of the findings.
73 (7) (a) The committee may submit a report on its review of state agency rules to each
74 member of the Legislature at each regular session.
75 (b) The report shall include:
76 (i) the findings and recommendations made by the committee under Subsection (6);
77 (ii) any action taken by an agency in response to committee recommendations; and
78 (iii) any recommendations by the committee for legislation.
79 Section 2. Section 63-98-101 is enacted to read:
80 CHAPTER 98. UTAH FAIR GOVERNMENT PRACTICES ACT
81 Part 1. General Provisions
82 63-98-101. Title.
83 This chapter is known as the "Utah Fair Government Practices Act."
84 Section 3. Section 63-98-102 is enacted to read:
85 63-98-102. Definitions.
86 As used in this chapter:
87 (1) (a) "Agency" means the state of Utah or any department, division, or agency or other

88 administrative subunit of the state.
89 (b) "Agency" does not include:
90 (i) a court or other instrumentality of the judicial branch;
91 (ii) the Legislature or other instrumentality of the legislative branch;
92 (iii) a municipality, county, school district, or special district; or
93 (iv) an interlocal agency organized under Title 11, Chapter 13, Interlocal Cooperation Act,
94 unless an agency is a member.
95 (2) "Applicant" means the person or entity applying for a permit.
96 (3) "Application" means an application, petition, notice of intent, request for agency
97 action, or other request for a permit.
98 (4) "Complete application" means an application that contains all information sufficient
99 to evaluate the application as required by the applicable statute or rule governing the content of the
100 application.
101 (5) "Permit" means an approval, order, license, authorization, or other action by an agency
102 granting a right or entitlement to a person under the laws of the state.
103 Section 4. Section 63-98-201 is enacted to read:
104 Part 2. Action on Applications
105 63-98-201. Time within which to decide application -- Calculation of time --
106 Submittal of amended application -- Applicability to pending applications.
107 (1) State agencies shall act in a timely, efficient, and responsive manner in reviewing and
108 making decisions on applications by its citizens for permits.
109 (2) (a) Except as provided in this Subsection (2), each agency shall grant or deny each
110 application for a permit by a date no later than one year after the date a complete application is
111 submitted to the agency.
112 (b) For purposes of this chapter, the calculation of the time spent by an agency in deciding
113 to grant or deny a permit does not include any time spent in an appeal of the final decision of the
114 agency to an administrative board or other reviewing authority.
115 (c) If an applicant submits an amended application that contains substantive changes to
116 the original application, the one-year time limit within which to make a decision to grant or deny
117 the application shall begin on the date of submittal of the amended complete application.
118 (d) If both the applicant and agency sign a written stipulation agreeing to a new date by

119 which the agency must grant or deny an application for a permit, that new date supersedes the one
120 year date required by Subsection (1)(a).
121 (3) An agency may not deny an application merely because the time period established by
122 this section has expired.
123 (4) This chapter applies to:
124 (a) each application filed after May 1, 2001; and
125 (b) each complete application pending before an agency on May 1, 2001.
126 (5) The requirements of this section do not apply to:
127 (a) enforcement actions initiated by an agency;
128 (b) judicial or quasi-judicial proceedings of boards or commissions; or
129 (c) review of applications when statutes or rules expressly require or allow review periods
130 of more or less than one year.
131 Section 5. Section 63-98-301 is enacted to read:
132 Part 3. Remedies
133 63-98-301. Request and review by Administrative Rules and Regulatory Permit
134 Review Committee.
135 (1) If an agency fails to grant or deny a complete application for a permit within the time
136 period established by Subsection 63-98-201 ((2), the applicant may submit a request for review to
137 the Administrative Rules and Regulatory Permits Review Committee.
138 (2) When the committee receives the request, the chairs of the committee shall place the
139 issue on an agenda to be considered at a meeting held within 30 days from the date the committee
140 receives the request.
141 (3) At the meeting, the committee shall hear testimony from the applicant and from the
142 agency.
143 (4) The agency failing to make the decision shall report to the committee its reasons for
144 failing to make a timely decision.
145 (5) If the committee finds, by substantial evidence, that the agency has failed to grant or
146 deny a permit within the time limits established by Section 63-98-201 , the committee shall direct
147 the agency to refund the applicant's permit or application fee.