Senate File 65 - Introduced



                                       SENATE FILE       
                                       BY  McKINLEY, HAHN, and BEHN


    Passed Senate, Date               Passed House,  Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to the review of administrative rules for their
  2    impact on small business.
  3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  4 TLSB 1887SS 81
  5 jr/pj/5

PAG LIN



  1  1    Section 1.  Section 15.106, Code 2005, is amended by adding
  1  2 the following new subsection:
  1  3    NEW SUBSECTION.  8A.  Analyze each notice of intended
  1  4 action or rule filed without notice which may have a
  1  5 substantial impact on small business and submit its analysis
  1  6 and findings on that impact as required by section 17A.4,
  1  7 subsection 3A.
  1  8    Sec. 2.  Section 17A.4, Code 2005, is amended by adding the
  1  9 following new subsection:
  1 10    NEW SUBSECTION.  3A.  Any notice of intended action or rule
  1 11 filed without notice pursuant to subsection 2, which may have
  1 12 a substantial impact on small business, as defined in section
  1 13 17A.4A, subsection 7, shall summarize that impact in the
  1 14 preamble of the notice of intended action or the preamble of a
  1 15 rule filed without notice.  In addition, the agency shall
  1 16 notify the department of economic development of this intended
  1 17 action or rule and its possible impact on small business.  The
  1 18 department of economic development shall analyze the
  1 19 rulemaking and determine whether the impact on small business
  1 20 is substantial, adverse, and whether any feasible alternatives
  1 21 exist to reduce the impact.  The department shall submit its
  1 22 analysis and findings to the administrative rules coordinator,
  1 23 the administrative rules review committee, and the agency.  A
  1 24 rule which is the subject of the notice of intended action
  1 25 shall not be adopted until the analysis has been completed.
  1 26 For a rule filed without notice, the analysis must be
  1 27 submitted within seventy days of the publication of the rule.
  1 28    Sec. 3.  Section 17A.4A, subsection 1, Code 2005, is
  1 29 amended to read as follows:
  1 30    1.  An agency shall issue a regulatory analysis of a
  1 31 proposed rule that complies with subsection 2, paragraph "a",
  1 32 if, within thirty=two days after the published notice of
  1 33 proposed rule adoption, a written request for the analysis is
  1 34 submitted to the agency by the administrative rules review
  1 35 committee or the administrative rules coordinator.  An agency
  2  1 shall issue a regulatory analysis of a proposed rule that
  2  2 complies with subsection 2, paragraph "b", if the rule would
  2  3 have a substantial impact on small business and if, within
  2  4 thirty=two days after the published notice of proposed rule
  2  5 adoption, a written request for analysis is submitted to the
  2  6 agency by the administrative rules review committee, the
  2  7 administrative rules coordinator, the department of economic
  2  8 development, at least twenty=five persons signing that request
  2  9 who each qualify as a small business or by an organization
  2 10 representing at least twenty=five such persons.  If a rule has
  2 11 been adopted without prior notice and an opportunity for
  2 12 public participation in reliance upon section 17A.4,
  2 13 subsection 2, the written request for an analysis that
  2 14 complies with subsection 2, paragraph "a" or "b", may be made
  2 15 within seventy days of publication of the rule.
  2 16    Sec. 4.  Section 17A.33, Code 2005, is amended to read as
  2 17 follows:
  2 18    17A.33  REVIEW BY ADMINISTRATIVE RULES REVIEW COMMITTEE.
  2 19    The administrative rules review committee shall review
  2 20 existing rules, as time permits, to determine if there are
  2 21 adverse or beneficial effects from these rules.  The committee
  2 22 shall give a high priority to review rules that are referred
  2 23 to it by small business as defined in section 17A.4A, and
  2 24 rules identified by the department of economic development as
  2 25 having a substantial and adverse impact on small business.
  2 26 The review of these rules shall be forwarded to the
  2 27 appropriate standing committees of the house and senate.
  2 28                           EXPLANATION
  2 29    This bill requires any new rule having a substantial impact
  2 30 on small business to indicate that fact in the preamble of the
  2 31 filing and requires the agency promulgating the rule to notify
  2 32 the department of economic development.  The department is
  2 33 then required to analyze this impact and determine whether any
  2 34 feasible alternatives exist to reduce that impact.  This
  2 35 analysis is to be provided to the administrative rules
  3  1 coordinator, the administrative rules review committee, and
  3  2 the agency.  The bill also authorizes the department of
  3  3 economic development to demand an agency to issue a small
  3  4 business regulatory flexibility analysis and requires the
  3  5 administrative rules review committee to review new rules
  3  6 identified as having a substantial and adverse impact on small
  3  7 business.
  3  8 LSB 1887SS 81
  3  9 jr:rj/pj/5