H.F. 2042 Section 1. NEW SECTION . 17A.4B Job impact statement. 1 1. a. “Benefit” means the reasonably identifiable and 2 quantifiable positive effect or outcome that is expected to 3 result from implementation of a rule. 4 b. “Cost” means reasonably identifiable, significant, direct 5 or indirect, economic impact that is expected to result from 6 implementation of and compliance with a rule. 7 c. “Cost-benefit analysis” means regulatory analysis 8 to provide the public with transparency regarding the 9 cost-effectiveness of a rule, including the economic costs and 10 the effectiveness weighed by the agency in adopting the rule. 11 “Cost-benefit analysis” includes a comparison of the probable 12 costs and benefits of a rule to the probable costs and benefits 13 of less intrusive or less expensive methods that exist for 14 achieving the purpose of the rule. 15 d. “Jobs” means private sector employment including 16 self-employment and areas for potential for employment growth. 17 e. “Jobs impact statement” means a statement that does all 18 of the following: 19 (1) Identifies the objective of a rule and the applicable 20 section of the statute that provides specific legal authority 21 for the agency to adopt the rule. 22 (2) Identifies and describes the cost that the agency 23 anticipates state agencies, local governments, the public, and 24 the regulated entities, including regulated businesses and 25 self-employed individuals, will incur due to the implementation 26 of and complying with a rule. 27 (3) Determines whether a rule would have a positive 28 or negative impact on private sector jobs and employment 29 opportunities in Iowa. 30 (4) Describes and quantifies the nature of the impact a rule 31 will have on private sector jobs and employment opportunities 32 including the categories of jobs and employment opportunities 33 that are affected by the rule, and the number of jobs or 34 potential job opportunities and the regions of the state 35 -1- LSB 5415HV (1) 84 jr/rj 1/ 3

H.F. 2042 affected by the rule. 1 (5) Identifies, where possible, the additional costs to 2 employers per employee due to implementation of and complying 3 with a rule. 4 (6) Includes other relevant analysis requested by the 5 administrative rules coordinator. 6 2. Prior to implementation of a rule, an agency shall 7 take steps to minimize the adverse impact on jobs and 8 the development of new employment opportunities due to 9 implementation of the rule. 10 3. An agency shall provide a jobs impact statement to the 11 administrative rules coordinator prior to publication of a 12 notice of intended action or the publication of a rule without 13 notice. 14 4. The jobs impact statement shall be published as part 15 of the preamble to the notice of rulemaking in the Iowa 16 administrative bulletin, unless the administrative rules 17 coordinator determines that publication of the entire jobs 18 impact statement would be unnecessary or impractical. 19 5. An agency shall accept comments and information 20 from stakeholders prior to final preparation of the jobs 21 impact statement. Any concerned private sector employer or 22 self-employed individual, potential employer, potential small 23 business, or member of the public may submit information 24 relating to a jobs impact statement upon a request for 25 information or prior to publication of a notice of intended 26 action by an agency. 27 6. If a jobs impact statement is revised after a notice 28 of intended action is published, the revised jobs impact 29 statement shall be published as part of the preamble to the 30 adopted version of the rule, unless the administrative rules 31 coordinator determines that publication of the entire jobs 32 impact statement would be unnecessary or impractical. 33 7. The analysis in the jobs impact statement shall give 34 particular weight to jobs in production sectors of the economy 35 -2- LSB 5415HV (1) 84 jr/rj 2/ 3

H.F. 2042 which includes the manufacturing and agricultural sectors of 1 the economy and includes analysis, where applicable, of the 2 impact of the rule on expansion of existing businesses or 3 facilities. 4 8. The administrative rules coordinator may waive the jobs 5 impact statement requirement for rules proposed on an emergency 6 basis or if unnecessary or impractical. 7 EXPLANATION 8 This bill requires that every proposed rule under a notice 9 of intended action or published without notice contain a jobs 10 impact statement which outlines the objective and statutory 11 authority of the rule and analyzes and sets out in detail 12 the impact of the proposed rule on state agencies, local 13 governments, the public, and the regulated entities, including 14 regulated businesses and self-employed individuals affected by 15 the rule. The statement must also determine whether a proposed 16 rule would have a positive or negative impact on private sector 17 jobs and employment opportunities. 18 As part of this requirement, an agency is required to 19 take steps to minimize the adverse impact on jobs and the 20 development of new employment opportunities before proposing 21 a rule. 22 The administrative rules coordinator may waive the jobs 23 impact statement requirement for emergency-filed rules or if 24 unnecessary or impractical. 25 -3- LSB 5415HV (1) 84 jr/rj 3/ 3