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S.B. 88 Enrolled






Chief Sponsor: Howard A. Stephenson

House Sponsor: Ben C. Ferry

             8      LONG TITLE
             9      General Description:
             10          This bill modifies the Utah Administrative Rulemaking Act to require agencies to
             11      notify the Administrative Rules Review Committee if the agencies already have a rule
             12      in place that meets the requirements of new legislation.
             13      Highlighted Provisions:
             14          This bill:
             15          .    requires that, when a statute is enacted that requires agency rulemaking and the
             16      affected agency already has rules in place that meet the statutory requirement, the
             17      agency shall submit the rules to the Administrative Rules Review Committee
             18      within 60 days after the statute takes effect.
             19      Monies Appropriated in this Bill:
             20          None
             21      Other Special Clauses:
             22          None
             23      Utah Code Sections Affected:
             24      AMENDS:
             25          63G-3-301, as last amended by Laws of Utah 2008, Chapter 300 and renumbered and
             26      amended by Laws of Utah 2008, Chapter 382
             28      Be it enacted by the Legislature of the state of Utah:
             29          Section 1. Section 63G-3-301 is amended to read:

             30           63G-3-301. Rulemaking procedure.
             31          (1) An agency authorized to make rules is also authorized to amend or repeal those
             32      rules.
             33          (2) Except as provided in Sections 63G-3-303 and 63G-3-304 , when making,
             34      amending, or repealing a rule agencies shall comply with:
             35          (a) the requirements of this section;
             36          (b) consistent procedures required by other statutes;
             37          (c) applicable federal mandates; and
             38          (d) rules made by the division to implement this chapter.
             39          (3) Subject to the requirements of this chapter, each agency shall develop and use
             40      flexible approaches in drafting rules that meet the needs of the agency and that involve persons
             41      affected by the agency's rules.
             42          (4) (a) Each agency shall file its proposed rule and rule analysis with the division.
             43          (b) Rule amendments shall be marked with new language underlined and deleted
             44      language struck out.
             45          (c) (i) The division shall publish the information required under Subsection (8) on the
             46      rule analysis and the text of the proposed rule in the next issue of the bulletin.
             47          (ii) For rule amendments, only the section or subsection of the rule being amended
             48      need be printed.
             49          (iii) If the director determines that the rule is too long to publish, the director shall
             50      publish the rule analysis and shall publish the rule by reference to a copy on file with the
             51      division.
             52          (5) Prior to filing a rule with the division, the department head shall consider and
             53      comment on the fiscal impact a rule may have on businesses.
             54          (6) If the agency reasonably expects that a proposed rule will have a measurable
             55      negative fiscal impact on small businesses, the agency shall consider, as allowed by federal
             56      law, each of the following methods of reducing the impact of the rule on small businesses:
             57          (a) establishing less stringent compliance or reporting requirements for small

             58      businesses;
             59          (b) establishing less stringent schedules or deadlines for compliance or reporting
             60      requirements for small businesses;
             61          (c) consolidating or simplifying compliance or reporting requirements for small
             62      businesses;
             63          (d) establishing performance standards for small businesses to replace design or
             64      operational standards required in the proposed rule; and
             65          (e) exempting small businesses from all or any part of the requirements contained in
             66      the proposed rule.
             67          (7) If during the public comment period an agency receives comment that the
             68      proposed rule will cost small business more than one day's annual average gross receipts, and
             69      the agency had not previously performed the analysis in Subsection (6), the agency shall
             70      perform the analysis described in Subsection (6).
             71          (8) The rule analysis shall contain:
             72          (a) a summary of the rule or change;
             73          (b) the purpose of the rule or reason for the change;
             74          (c) the statutory authority or federal requirement for the rule;
             75          (d) the anticipated cost or savings to:
             76          (i) the state budget;
             77          (ii) local governments;
             78          (iii) small businesses; and
             79          (iv) persons other than small businesses, businesses, or local governmental entities;
             80          (e) the compliance cost for affected persons;
             81          (f) how interested persons may review the full text of the rule;
             82          (g) how interested persons may present their views on the rule;
             83          (h) the time and place of any scheduled public hearing;
             84          (i) the name and telephone number of an agency employee who may be contacted
             85      about the rule;

             86          (j) the name of the agency head or designee who authorized the rule;
             87          (k) the date on which the rule may become effective following the public comment
             88      period; and
             89          (l) comments by the department head on the fiscal impact the rule may have on
             90      businesses.
             91          (9) (a) For a rule being repealed and reenacted, the rule analysis shall contain a
             92      summary that generally includes the following:
             93          (i) a summary of substantive provisions in the repealed rule which are eliminated from
             94      the enacted rule; and
             95          (ii) a summary of new substantive provisions appearing only in the enacted rule.
             96          (b) The summary required under this Subsection (9) is to aid in review and may not be
             97      used to contest any rule on the ground of noncompliance with the procedural requirements of
             98      this chapter.
             99          (10) A copy of the rule analysis shall be mailed to all persons who have made timely
             100      request of the agency for advance notice of its rulemaking proceedings and to any other person
             101      who, by statutory or federal mandate or in the judgment of the agency, should also receive
             102      notice.
             103          (11) (a) Following the publication date, the agency shall allow at least 30 days for
             104      public comment on the rule.
             105          (b) The agency shall review and evaluate all public comments submitted in writing
             106      within the time period under Subsection (11)(a) or presented at public hearings conducted by
             107      the agency within the time period under Subsection (11)(a).
             108          (12) (a) Except as provided in Sections 63G-3-303 and 63G-3-304 , a proposed rule
             109      becomes effective on any date specified by the agency that is no fewer than seven calendar
             110      days after the close of the public comment period under Subsection (11), nor more than 120
             111      days after the publication date.
             112          (b) The agency shall provide notice of the rule's effective date to the division in the
             113      form required by the division.

             114          (c) The notice of effective date may not provide for an effective date prior to the date
             115      it is received by the division.
             116          (d) The division shall publish notice of the effective date of the rule in the next issue
             117      of the bulletin.
             118          (e) A proposed rule lapses if a notice of effective date or a change to a proposed rule is
             119      not filed with the division within 120 days of publication.
             120          (13) (a) As used in this Subsection (13), "initiate rulemaking proceedings" means the
             121      filing, for the purposes of publication in accordance with Subsection (4), of an agency's
             122      proposed rule that is required by state statute.
             123          (b) A state agency shall initiate rulemaking proceedings no later than 180 days after
             124      the effective date of the statutory provision that specifically requires the rulemaking, except
             125      under Subsection (13)(c).
             126          (c) When a statute is enacted that requires agency rulemaking and the affected agency
             127      already has rules in place that meet the statutory requirement, the agency shall submit the rules
             128      to the Administrative Rules Review Committee for review within 60 days after the statute
             129      requiring the rulemaking takes effect.
             130          [(c)] (d) If a state agency does not initiate rulemaking proceedings in accordance with
             131      the time requirements in Subsection (13)(b), the state agency shall appear before the legislative
             132      Administrative Rules Review Committee and provide the reasons for the delay.

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