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HF 203

1st Unofficial Engrossment - 87th Legislature (2011 - 2012) Posted on 04/11/2011 10:41am

KEY: stricken = removed, old language.
underscored = added, new language.
1.1A bill for an act
1.2relating to regulatory reform; providing that certain rules take effect only
1.3upon legislative approval; amending Minnesota Statutes 2010, section 14.19;
1.4proposing coding for new law in Minnesota Statutes, chapter 14; repealing
1.5Minnesota Statutes 2010, section 14.127.

1.7    Section 1. [14.1271] LEGISLATIVE APPROVAL REQUIRED.
1.8    Subdivision 1. Cost thresholds. An agency must determine if the annual cost
1.9of complying with a proposed rule will exceed $10,000 for any person or entity in any
1.10year after the rule takes effect.
1.11    Subd. 2. Agency determination. An agency must make the determination required
1.12by subdivision 1 before the close of the hearing record, or before the agency submits the
1.13record to the administrative law judge if there is no hearing. The administrative law judge
1.14must review and approve or disapprove the agency determination under this section.
1.15    Subd. 3. Legislative approval required. If the agency determines that the cost
1.16exceeds the threshold in subdivision 1, or if the administrative law judge disapproves the
1.17agency's determination that the cost does not exceed the threshold in subdivision 1, the
1.18rules may not take effect until the rules are approved by a law enacted after the agency
1.20    Subd. 4. Exceptions. (a) Subdivision 3 does not apply if the administrative law
1.21judge approves an agency's determination that the legislature has appropriated money to
1.22sufficiently fund the expected cost of the rule upon the people or entities proposed to
1.23be regulated by the rule.
2.1(b) Subdivision 3 does not apply if the administrative law judge approves an
2.2agency's determination that the rule has been proposed pursuant to a specific federal
2.3statutory or regulatory mandate.
2.4(c) This section does not apply if the rule is adopted under section 14.388 or under
2.5another law specifying that the rulemaking procedures of this chapter do not apply.
2.6(d) This section does not apply to a rule adopted by the Public Utilities Commission.
2.7    Subd. 5. Severability. If an administrative law judge determines that part of a
2.8proposed rule exceeds the threshold specified in subdivision 1, but that a severable portion
2.9of a proposed rule does not exceed the threshold in subdivision 1, the administrative law
2.10judge may provide that the severable portion of the rule that does not exceed the threshold
2.11may take effect without legislative approval.

2.12    Sec. 2. Minnesota Statutes 2010, section 14.19, is amended to read:
2.14Within 180 days after issuance of the administrative law judge's report or that of the
2.15chief administrative law judge, the agency shall submit its notice of adoption, amendment,
2.16or repeal to the State Register for publication. If the agency has not submitted its notice to
2.17the State Register within 180 days, the rule is automatically withdrawn. The agency may
2.18not adopt the withdrawn rules without again following the procedures of sections 14.05
2.19to 14.28, with the exception of section 14.101, if the noncompliance is approved by the
2.20chief administrative law judge. The agency shall report to the Legislative Coordinating
2.21Commission, other appropriate committees of the legislature, and the governor its failure
2.22to adopt rules and the reasons for that failure. The 180-day time limit of this section
2.23does not include:
2.24(1) any days used for review by the chief administrative law judge or the commission
2.25if the review is required by law;
2.26(2) days during which the rule cannot be adopted, because of votes by legislative
2.27committees under section 14.126; or
2.28(3) days during which the rule cannot be adopted because approval of the legislature
2.29is required under section 14.127 14.1271.

2.30    Sec. 3. REPEALER.
2.31Minnesota Statutes 2010, section 14.127, is repealed.

2.32    Sec. 4. EFFECTIVE DATE.
3.1Sections 1 to 3 are effective the day following final enactment, and apply to any
3.2rule for which the hearing record has not closed before that date, or if there is not a
3.3public hearing, for which the agency has not submitted the record to the administrative
3.4law judge before that date.