1.2                          A bill for an act 
  1.3             relating to state government; allowing elected local 
  1.4             governing bodies to petition for amendment or repeal 
  1.5             of agency rules; providing procedures for 
  1.6             consideration of petitions; proposing coding for new 
  1.7             law in Minnesota Statutes, chapter 14. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  [14.091] [PETITIONS FOR UNITS OF LOCAL 
  1.10  GOVERNMENT.] 
  1.11     Subdivision 1.  [PETITION.] The elected governing body of a 
  1.12  unit of local government subject to and affected by an agency 
  1.13  rule may petition for amendment or repeal of the rule or a 
  1.14  specified portion of the rule.  The petition must be adopted by 
  1.15  resolution of the elected governing body and must be submitted 
  1.16  in writing to the agency and to the office of administrative 
  1.17  hearings.  The petition must specify exactly what amendment or 
  1.18  repeal is requested and must demonstrate that at least one of 
  1.19  the following have become available since the adoption of the 
  1.20  rule in question: 
  1.21     (1) new evidence relating to the need and reasonableness of 
  1.22  the rule; or 
  1.23     (2) less costly or intrusive methods of achieving the 
  1.24  purpose of the rule. 
  1.25  The petitioner may submit evidence to the agency and to the 
  1.26  office of administrative hearings in support of the petition. 
  2.1      Subd. 2.  [AGENCY RESPONSE.] Within 60 days of receiving a 
  2.2   petition under subdivision 1, an agency shall reply in writing, 
  2.3   stating either: 
  2.4      (1) that within 90 days of the agency reply to the petition 
  2.5   the agency will publish notice, as required by section 14.14 or 
  2.6   14.22, of intent to adopt the rule amendment or repeal requested 
  2.7   by the petitioner; or 
  2.8      (2) that the agency does not intend to amend or repeal the 
  2.9   rule in the manner requested by the petitioner and that the 
  2.10  agency has requested the office of administrative hearings to 
  2.11  review the petition. 
  2.12  If the agency does not reply within 60 days of receiving a 
  2.13  petition, the office of administrative hearings shall review the 
  2.14  petition. 
  2.15     Subd. 3.  [HEARING.] (a) If the agency does not intend to 
  2.16  amend or repeal the rule in the manner requested by the 
  2.17  petitioner, the agency shall request the office of 
  2.18  administrative hearings to review the petition and, if required, 
  2.19  to schedule a public hearing on the petition.  If a public 
  2.20  hearing is required, it must be held within 120 days of initial 
  2.21  receipt of the petition by the agency. 
  2.22     (b) Before scheduling a public hearing, the administrative 
  2.23  law judge assigned to the matter must conduct a preliminary 
  2.24  review to determine whether the petitioner has demonstrated the 
  2.25  existence of new information regarding the rule, as required by 
  2.26  subdivision 1.  In conducting this review, the administrative 
  2.27  law judge may consult with and may consider written material 
  2.28  submitted by interested persons.  The administrative law judge 
  2.29  shall dismiss the petition if the judge determines that the 
  2.30  petitioner has not demonstrated the existence of new information 
  2.31  regarding the rule or if the judge concludes that there is no 
  2.32  reason to believe that, if a hearing were held, the petitioner 
  2.33  would be able to demonstrate that the rule or portion of the 
  2.34  rule that is the subject of the petition is not needed or not 
  2.35  reasonable. 
  2.36     (c) At least 30 days before the date set for the public 
  3.1   hearing, the agency shall give notice of the hearing in the same 
  3.2   manner required for notice of a proposed rule hearing, under 
  3.3   section 14.14, subdivision 1a.  The notice must include the 
  3.4   amendment to the rule or repeal of the rule proposed in the 
  3.5   petition.  The notice must be approved by the office of 
  3.6   administrative hearings before publication. 
  3.7      (d) The administrative law judge assigned by the chief 
  3.8   administrative law judge shall conduct the hearing.  At the 
  3.9   hearing, the agency, the petitioning unit of local government, 
  3.10  and any other person may submit written and oral evidence.  At 
  3.11  the public hearing, the agency shall make an affirmative 
  3.12  presentation of facts establishing the need for and 
  3.13  reasonableness of the agency rule or portion of the rule that is 
  3.14  the subject of the petition.  The agency may, in addition to its 
  3.15  affirmative presentation, rely upon facts presented by others on 
  3.16  the record to support the rule or portion of the rule. 
  3.17     Subd. 4.  [REPORT.] After the hearing, the administrative 
  3.18  law judge shall write a report, determining whether the agency 
  3.19  has established the need for and reasonableness of the rule or 
  3.20  portion of the rule that is the subject of the petition.  
  3.21  Section 14.15, subdivisions 1 and 2, govern the time for 
  3.22  preparation of the report, the deadline for its completion, and 
  3.23  extensions to that deadline.  If the administrative law judge 
  3.24  determines that the agency has not established the need for and 
  3.25  reasonableness of the rule or some portion of the rule, the rule 
  3.26  or portion for which the agency has not established need and 
  3.27  reasonableness does not have the force of law, effective 90 days 
  3.28  after the issuance of the administrative law judge's report, or 
  3.29  upon adjournment of the next regular annual session of the 
  3.30  legislature, whichever is later. 
  3.31     Subd. 5.  [RULES.] The chief administrative law judge may 
  3.32  adopt rules prescribing the form for petitions under this 
  3.33  section and prescribing further procedures for their submission, 
  3.34  consideration, and disposition.