Senate File 166 - Introduced SENATE FILE 166 BY BEHN , CHAPMAN , HOUSER , GREINER , FEENSTRA , GUTH , ROZENBOOM , ANDERSON , BERTRAND , SEGEBART , JOHNSON , BREITBACH , ZAUN , SINCLAIR , WHITVER , ZUMBACH , SCHNEIDER , KAPUCIAN , SORENSON , BOETTGER , and SMITH A BILL FOR An Act creating a negotiated rulemaking process. 1 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 2 TLSB 1828XS (3) 85 jr/rj

S.F. 166 Section 1. NEW SECTION . 17A.4B Negotiated rulemaking. 1 1. An agency shall create a negotiated rulemaking group if 2 required by statute. An agency may, on its own motion or upon 3 request, create a negotiated rulemaking group if the agency 4 determines that a negotiated rulemaking group can adequately 5 represent the interests that will be significantly affected by 6 a draft rule proposal and that it is feasible and appropriate 7 in the particular rulemaking. Notice of the creation of a 8 negotiated rulemaking group shall be published in the Iowa 9 administrative bulletin. Upon establishing a negotiated 10 rulemaking group, the agency shall also specify a time frame 11 for group deliberations. 12 2. Unless otherwise provided by statute, the agency shall 13 appoint a sufficient number of members to the group so that 14 a fair cross section of interests and opinions regarding the 15 draft rule proposal is represented. One person shall be 16 appointed to represent the agency. The group shall select its 17 own chairperson and adopt its rules of procedure. All meetings 18 of the group shall be open to the public. A majority of the 19 membership constitutes a quorum. Members shall not receive 20 any per diem payment but shall be reimbursed for all necessary 21 expenses. Any vacancy shall be filled in the same manner as 22 the initial appointment. 23 3. Prior to the publication of a notice of intended action, 24 the group shall consider the terms or substance of the rule 25 proposed by the agency and shall attempt to reach a consensus 26 on the advisability of adopting the draft rule proposal. 27 4. If a group reaches a consensus on a draft rule proposal, 28 the group shall transmit to the agency a report containing the 29 consensus on the draft rule proposal. If the group does not 30 reach a consensus on a draft rule proposal within the specified 31 time frame, the group shall transmit to the agency a report 32 stating that inability to reach a consensus and specifying any 33 areas in which the group reached a consensus. The group may 34 include in a report any other information, recommendations, 35 -1- LSB 1828XS (3) 85 jr/rj 1/ 2

S.F. 166 or materials that the group considers appropriate. Any group 1 member may include as an addendum to the report additional 2 information, recommendations, or materials. A report issued 3 under this subsection shall not be considered final agency 4 action for purposes of judicial review. 5 5. Unless otherwise provided by statute, following 6 consideration of a draft rule proposal by a negotiated 7 rulemaking group, the agency may commence rulemaking as 8 provided in section 17A.4. The group is automatically 9 abolished upon the agency’s adoption of the rule pursuant to 10 the provisions of section 17A.5. 11 EXPLANATION 12 If required by statute, this bill requires an agency to 13 create an ad hoc negotiated rulemaking group to review draft 14 rule proposals prior to commencing a rulemaking proceeding. 15 Where a statute does not require this review, the bill allows 16 an agency to create such a review group. Members are appointed 17 by the agency and the composition must adequately represent a 18 fair balance of the interests affected by the rule. Once such 19 a group is created, the agency may only commence rulemaking 20 after the group has considered the draft rule proposal in 21 question. This provision is based on similar provisions found 22 in the federal Administrative Procedures Act. 23 -2- LSB 1828XS (3) 85 jr/rj 2/ 2