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House
File
718
-
Introduced
HOUSE
FILE
718
BY
WILLS
A
BILL
FOR
An
Act
establishing
processes
for
delay,
rescission,
and
1
approval
of
certain
administrative
rules
based
on
fiscal
2
impact
and
including
applicability
provisions.
3
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
4
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Section
1.
Section
17A.4,
subsection
4,
Code
2025,
is
1
amended
to
read
as
follows:
2
4.
Any
rule
filed
pursuant
to
this
section
or
section
3
17A.5
that
necessitates
additional
annual
expenditures
of
at
4
least
one
hundred
thousand
dollars
or
combined
expenditures
5
of
at
least
five
hundred
thousand
dollars
within
five
years
6
by
all
affected
persons,
including
the
agency
itself,
shall
7
be
accompanied
by
a
fiscal
impact
statement
outlining
the
8
expenditures.
The
agency
shall
promptly
deliver
a
copy
of
file
9
the
statement
to
with
the
legislative
services
agency
along
10
with
the
rule
filed
with
the
administrative
rules
coordinator
11
and
the
administrative
code
editor
pursuant
to
this
section
12
or
section
17A.5
.
To
the
extent
feasible,
the
legislative
13
services
agency
shall
analyze
the
statement
and
provide
a
14
summary
of
that
analysis
to
the
administrative
rules
review
15
committee.
If
the
agency
has
made
a
good-faith
effort
to
16
comply
with
the
requirements
of
this
subsection
,
the
rule
shall
17
not
be
invalidated
on
the
ground
that
the
contents
of
the
18
statement
are
insufficient
or
inaccurate.
19
Sec.
2.
NEW
SECTION
.
17A.25
Delay,
rescission,
and
approval
20
of
rules
——
fiscal
impact.
21
1.
a.
If
the
fiscal
impact
statement
prepared
by
an
agency
22
pursuant
to
section
17A.4,
subsection
4,
for
a
rule
adopted
23
pursuant
to
section
17A.5
indicates
the
rule
will
necessitate
24
additional
annual
expenditures
of
at
least
one
million
dollars,
25
or
combined
expenditures
of
at
least
five
million
dollars
26
within
five
years,
by
all
affected
persons,
including
the
27
agency
itself,
the
effective
date
of
the
rule
shall
be
delayed
28
until
the
adjournment
of
the
next
regular
session
of
the
29
general
assembly
that
convenes
after
the
rule
is
published
30
in
the
Iowa
administrative
bulletin.
The
agency
shall
note
31
the
delay
in
its
filing
submitted
to
the
administrative
32
rules
coordinator
and
administrative
code
editor
pursuant
to
33
section
17A.5,
subsection
1.
The
administrative
code
editor
34
shall
publish
notice
of
the
delay
in
the
Iowa
administrative
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bulletin.
The
agency
shall
not
adopt
such
a
rule
pursuant
to
1
section
17A.5,
subsection
2,
paragraph
“b”
,
unless
the
rule
was
2
also
adopted
pursuant
to
section
17A.4,
subsection
3.
3
b.
Upon
the
adjournment
of
the
regular
session
of
the
4
general
assembly
specified
in
paragraph
“a”
,
a
rule
delayed
5
pursuant
to
paragraph
“a”
is
rescinded
and
shall
not
become
6
effective.
As
soon
as
practicable
after
such
rescission,
7
the
administrative
code
editor
shall
publish
notice
of
the
8
rescission
in
the
Iowa
administrative
bulletin
and,
no
sooner
9
than
two
weeks
after
such
publication,
remove
the
rule
from
the
10
Iowa
administrative
code.
11
c.
During
the
period
of
a
delay
pursuant
to
paragraph
“a”
,
12
the
agency
may
do
any
of
the
following:
13
(1)
Engage
in
further
rulemaking
that
will
amend
or
repeal
14
a
rule
subject
to
the
delay.
However,
any
rule
that
amends
15
or
repeals
a
rule
subject
to
a
delay,
and
that
will
become
16
effective
during
the
delay,
shall
be
subject
to
that
delay
as
17
though
it
were
included
in
the
initially
delayed
rule.
18
(2)
Submit
a
notice
of
rescission
that
rescinds
the
rule
19
to
the
administrative
rules
coordinator
and
the
administrative
20
code
editor
for
publication
in
the
Iowa
administrative
21
bulletin.
Upon
publication
of
the
notice
of
rescission,
if
22
the
rule
has
not
already
become
effective
or
been
rescinded,
23
the
rule
is
rescinded
and
shall
not
become
effective.
As
24
soon
as
practicable,
but
no
sooner
than
two
weeks
after
such
25
publication,
the
administrative
code
editor
shall
remove
the
26
rule
from
the
Iowa
administrative
code.
27
d.
If
the
effective
date
of
a
rule
adopted
by
an
agency
that
28
would
otherwise
be
subject
to
a
delay
pursuant
to
subsection
1
29
may
occur
after
the
adjournment
of
the
regular
session
of
the
30
general
assembly
specified
in
paragraph
“a”
,
such
rule
shall
be
31
deemed
to
be
delayed
pursuant
to
subsection
1
and
subject
to
32
this
section.
33
e.
This
section
shall
not
apply
to
a
rule
adopted
pursuant
34
to
section
17A.4,
subsection
3.
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2.
The
general
assembly
may,
by
a
joint
resolution
approved
1
by
the
governor,
approve
a
rule
delayed
pursuant
to
subsection
2
1
prior
to
its
rescission
pursuant
to
subsection
1.
Upon
3
approval
of
the
joint
resolution
by
the
governor,
the
rule
4
shall
not
be
rescinded
and
shall
become
effective
upon
the
date
5
of
approval
of
the
joint
resolution
by
the
governor,
or
another
6
date
specified
in
the
joint
resolution.
This
subsection
shall
7
not
be
construed
to
prohibit
the
general
assembly
from
enacting
8
other
legislation
relating
to
a
rule
delayed
pursuant
to
9
subsection
1,
including
but
not
limited
to
a
joint
resolution
10
to
nullify
the
rule.
11
3.
For
purposes
of
this
section,
“additional
annual
12
expenditures”
includes
expenditures
by
political
subdivisions
13
or
agencies,
and
entities
which
contract
with
political
14
subdivisions,
to
provide
services
as
described
in
section
15
25B.6,
subsection
1.
“Additional
annual
expenditures”
does
not
16
include
an
expenditure
of
funds
by
the
agency
that
adopted
17
a
rule
if
the
funds
were
appropriated
to
the
agency
for
the
18
purpose
of
the
agency
program
or
other
function
implemented
by
19
the
rule.
20
Sec.
3.
APPLICABILITY.
This
Act
applies
to
rules
adopted
by
21
agencies
pursuant
to
section
17A.5
on
or
after
July
1,
2026.
22
EXPLANATION
23
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
24
the
explanation’s
substance
by
the
members
of
the
general
assembly.
25
This
bill
establishes
processes
for
delay,
rescission,
and
26
approval
of
certain
administrative
rules
(rules)
based
on
27
fiscal
impact
statements
prepared
by
agencies
as
required
under
28
Code
section
17A.4,
subsection
4.
29
The
bill
provides
that
if
the
fiscal
impact
statement
30
prepared
by
an
agency
for
an
adopted
rule
indicates
the
rule
31
will
necessitate
additional
annual
expenditures
of
at
least
$1
32
million,
or
combined
expenditures
of
at
least
$5
million
within
33
five
years,
by
all
affected
persons,
including
the
agency
34
itself,
the
effective
date
of
the
rule
shall
be
delayed
until
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the
adjournment
of
the
next
regular
session
of
the
general
1
assembly
that
convenes
after
the
rule
is
published
in
the
Iowa
2
administrative
bulletin
(bulletin).
3
The
bill
provides
that
upon
the
adjournment
of
the
specified
4
regular
session
of
the
general
assembly,
a
rule
delayed
in
this
5
manner
is
rescinded
and
shall
not
become
effective.
6
The
bill
authorizes
an
agency,
during
the
period
of
a
delay,
7
to
engage
in
further
rulemaking
that
will
amend
or
repeal
a
8
rule
subject
to
the
delay.
However,
any
rule
that
amends
9
or
repeals
a
rule
subject
to
a
delay,
and
that
will
become
10
effective
during
the
delay,
shall
be
subject
to
that
delay
as
11
though
it
were
included
in
the
initially
delayed
rule.
12
The
bill
authorizes
an
agency,
during
the
period
of
a
13
delay,
to
submit
a
notice
of
rescission
for
publication
in
14
the
bulletin
that
rescinds
the
rule.
Upon
publication
of
15
the
notice,
if
the
rule
has
not
already
become
effective
or
16
been
rescinded,
the
rule
is
rescinded
and
shall
not
become
17
effective.
18
The
bill
provides
that
the
general
assembly
may,
by
a
joint
19
resolution
approved
by
the
governor,
approve
a
rule
delayed
20
in
this
manner
prior
to
its
rescission.
Upon
approval
of
21
the
joint
resolution
by
the
governor,
the
rule
shall
not
22
be
rescinded
and
shall
become
effective
upon
the
date
of
23
approval
of
the
joint
resolution
by
the
governor,
or
another
24
date
specified
in
the
resolution.
The
bill
shall
not
be
25
construed
to
prohibit
the
general
assembly
from
enacting
other
26
legislation
relating
to
a
delayed
rule,
including
but
not
27
limited
to
a
joint
resolution
to
nullify
the
rule.
28
For
purposes
of
the
bill,
“additional
annual
expenditures”
29
includes
expenditures
by
political
subdivisions
or
agencies,
30
and
entities
which
contract
with
political
subdivisions,
to
31
provide
services
as
described
under
current
law,
but
does
not
32
include
an
expenditure
of
funds
by
the
agency
that
adopted
33
a
rule
if
the
funds
were
appropriated
to
the
agency
for
the
34
purpose
of
the
agency
program
or
other
function
implemented
by
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the
rule.
1
The
bill
addresses
how
the
procedures
provided
in
the
2
bill
apply
to
rules
adopted
pursuant
to
Code
section
17A.4,
3
subsection
3,
and
Code
section
17A.5,
subsection
2,
paragraph
4
“b”
(emergency
rules).
5
Under
current
law,
a
fiscal
impact
statement
that
is
6
required
for
a
noticed
or
adopted
rule
must
be
promptly
7
delivered
to
the
legislative
services
agency.
The
bill
8
provides
that
the
statement
must
be
included
with
a
rule
when
9
it
is
filed.
10
The
bill
applies
to
rules
adopted
by
agencies
on
or
after
11
July
1,
2026.
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