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S.F. No. 769 - Agency Rules Adoption Legislative Approval Requirement - As Amended by the Author's Amendment
 
Author: Senator Scott J. Newman
 
Prepared By: Stephanie James, Senate Counsel (651/296-0103)
 
Date: March 9, 2017



 

SF 769 prevents new rules from taking effect until approved by law if the rules meet one of the following conditions:

(1)   the rule is enacted without a specific authorization of rulemaking to enact rules to implement a specific statute section;

(2)   a sanction or penalty can be imposed for failure to comply with the rule; or

(3)    the regulating agency has the authority to adjudicate a dispute with a regulated entity about enforcement of or violation of the rule.

Section 1 [Generally] prevents a new rule adopted after a public hearing that meets specified conditions from taking effect until after the rule is approved by a law.

Section 2 [Publication of adopted rule; Effective date] prevents a new rule adopted without a public hearing that meets specified conditions from taking effect until after the rule is approved by a law.

Section 3 [Adoption] prevents a rule adopted using the expedited rulemaking process that meets specified conditions from taking effect until after the rule is approved by a law.

Section 4 [Affirmative defense] gives a person an affirmative defense against action to enforce a rule or impose a sanction or penalty for violation of a rule if the person demonstrates that the cost of compliance for that person exceeds $50,000.

Section 5 [Effective date; application] makes sections 1 through 4 effective the day after enactment and specifies that these sections apply to rules for which a notice of adoption is published on or after the effective date.

SF 769 does not create a legislative approval requirement for a rule that is exempt from rulemaking, either by meeting the requirements for good cause exemption or by being adopted under a specific law that exempts that rule from rulemaking.

 
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