Regulatory review and rescission.

WORKING DRAFT
2013
STATE OF
WYOMING
13LSO-0122

HOUSE BILL
NO.

HB0113

Regulatory review and rescission.

Sponsored by:
Representative(s) Wallis and Senator(s) Case

A BILL

for

AN ACT relating to the administration of government; creating a procedure for regulatory review and rescission; requiring a cost benefit analysis of all proposed and selected existing administrative agency rules and executive orders as specified; prescribing the contents of a cost benefit analysis; granting rulemaking authority; authorizing the governor to rescind existing rules;
providing an appropriation;
and providing for an effective date.

Be It Enacted by the Legislature of the State of Wyoming:

Section 1.

W.S. 28
‑
9
‑
109 is created to read:

28
‑
9
‑
10
9
.

Rescission of rules by governor.

The governor may rescind any agency rule upon the recommendation of the legislative management council if the governor determines that the costs of the rule exceed its benefits, or if there is an adverse impact on employment or economic development in the state.

Section
2
.

W.S. 16
‑
3
‑
103(
a)(
i
) by creating a new subparagraph (H) and by creating a new subsection (j), 28
‑
9
‑
102(a)(
i
) and by creating a new subsection (b), 28
‑
9
‑
103(b) and (d), 28
‑
9
‑
106 by creating new subsections (c) and (d) and 28
‑
9
‑
108 are amended to read:

16
‑
3
‑
103.

Adoption, amendment and repeal of rules; notice; hearing; emergency rules; proceedings to contest; review and approval by governor
; cost benefit analysis
.

(a)

Prior to an agency's adoption, amendment or repeal of all rules other than interpretative rules or statements of general policy, the agency shall:

(
i
)

Give at least forty-five (45) days notice of its intended action. Notice shall be mailed to all persons making timely requests of the agency for advanced notice of its rulemaking proceedings and to the attorney general, the
secretary of state's office as registrar of rules, and the legislative service office if a state agency. The agency shall submit a copy of the proposed rules, in a format conforming to any requirements prescribed pursuant to subsection (f) of this section, with the notice given to the legislative service office. The notice shall include:

(H)

A
cost benefit
analysis of
the
proposed rule
, containing those items specified in subsection (j) of this section. However
,
i
f the agency finds that a proposed rule is a technical amendment with no substantive effect on the existing rule's costs and benefits, the agency shall not be required to prepare a cost benefit analysis of the rule under this
subparagraph
but shall include a statement explaining why there is no such effect.

(j)

The cost benefit analysis required
by
subparagraph (a
)(
i
)(H) of this section shall include:

(
i
)

An estimate of the primary and direct benefits of the rule, including the impact on:

(A)

Consumer protection;

(B)

Worker safety;

(C)

Employment;

(D)

Energy reliability;

(E)

The environment; and

(F)

Business competitiveness as it exists before the rule's adoption.

(ii)

An estimate of the secondary or indirect benefits of the rule and an explanation of how the conduct regulated by the rule is linked to the primary and secondary benefits;

(iii)

An estimate of any costs or savings to regulated persons, including individuals and businesses, as a result of the rule, including any costs or savings from:

(A)

A change in an existing regulatory requirement;

(B)

The imposition of a new requirement; or

(C)

The imposition of cumulative requirements.

(iv)

A
statement of the number of regulated persons, classified by industry sector, subject to the rule.

28
‑
9
‑
102.

Powers and duties.

(a)

The council may:

(
i
)

Examine the administrative rules and regulations of any agency
, and executive orders of the governor,
to determine if they properly implement legislative intent, are within the scope of delegated authority,
are reasonably expected to have benefits exceeding costs without adverse impact
on employment or economic development in the state

and are lawfully adopted;

(
b
)

The
council
, in consultation with the management audit committee, shall establish procedures to review selected existing rules, regulations and executive orders
in the same manner as proposed rules, regulations and orders.

28
‑
9
‑
103.

Submission of rules for review; notice to legislators.

(b)

An agency shall submit copies of adopted, amended or repealed rules
, along with the cost benefit analysis required by W.S. 16-3-103(a)(
i
)(H),
to the legislative service office for review pursuant to W.S. 28
‑
9
‑
104 within ten (10) days after the date of the agency's final action adopting, amending or repealing those rules.

(d)

Upon receipt of an agency's notice to adopt new rules pursuant to W.S. 16
‑
3
‑
103(
a)(
i
), the legislative service office shall give notice to the primary sponsor of the legislation, to members of the interim or standing committee which sponsored or acted upon the legislation authorizing the new rules and to any other legislator requesting notification. The notice given by the legislative service office shall state a copy of the rules
and the proposing agency's cost benefit analysis
will be sent if requested. Notice under this subsection is not
required for persons not currently serving in the legislature.

28
‑
9
‑
106.

Council recommendations to the agency; time.

(c)

The council shall review the agency's cost benefit analysis and may provide comment on the analysis to the agency and the governor.

(
d
)

The council
may recommend rescission of any existing rule to the governor if the
council
determines that the costs of the rule exceed the benefits of the rule, or if there is an adverse impact on employment or economic development in the state.

28
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9
‑
108.

Submitting rules to legislative service office required.

No rule shall be filed with the secretary of state pursuant to the Wyoming Administrative Procedure Act, except an emergency regulation adopted as provided by W.S. 16
‑
3
‑
103(
b), unless the rule
and a cost benefit analysis of
the
rule

has been submitted to the legislative service office for review as provided by this act.

Section 3.
There is appro
p
riated t
wo hundred fifty thousand dollars ($250,000.00) from the general fund to the governor's office. This appropriation shall be for the period beginning with the effective date of this act and ending June 30, 2014. This appropriation shall only be expended for the purpose of conducting a review of all existing executive branch rules and regulations to determine those that are obsolete or otherwise should be rescinded as provided in this act. Notwithstanding any other provision of law, this appropriation shall not be transferred or expended for any other purpose and any unexpended, unobligated funds remaining from this appropriation shall revert as provided by law on June 30, 2014. This appropriation shall not be included in the governor's 2015-2016 standard biennial budget
request
.

Section
4
.

This act is effective July 1, 2013.

(
END)

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HB0113