Minnesota Legislature
HF 1725
Conference Committee Report - 89th Legislature (2015 - 2016) Posted on 05/16/2015 10:43am
KEY: stricken = removed, old language.
underscored = added, new language.
1.1CONFERENCE COMMITTEE REPORT ON H. F. No. 1725
1.3relating to state government; permitting electronic filing for hearings in contested
1.4cases at the Office of Administrative Hearings;amending Minnesota Statutes
1.52014, section 14.58.
1.6May 15, 2015
1.7The Honorable Kurt L. Daudt
1.8Speaker of the House of Representatives
1.9The Honorable Sandra L. Pappas
1.10President of the Senate
1.11We, the undersigned conferees for H. F. No. 1725 report that we have agreed upon
1.12the items in dispute and recommend as follows:
1.13That the Senate recede from its amendment and that H. F. No. 1725 be further
1.14amended as follows:
1.15Delete everything after the enacting clause and insert:
1.16 "Section 1. Minnesota Statutes 2014, section 14.05, is amended by adding a subdivision
1.17to read:
1.18 Subd. 7. Electronic documents permitted. An agency may file rule-related
1.19documents with the Office of Administrative Hearings by electronic transmission in the
1.20manner approved by that office and the Office of the Revisor of Statutes by electronic
1.21transmission in the manner approved by that office.
1.22 Sec. 2. Minnesota Statutes 2014, section 14.08, is amended to read:
1.2314.08 APPROVAL OF RULE AND RULE FORM; COSTS.
1.24(a) One copy of a rule adopted under section14.26 must be submitted by the agency
1.25to the chief administrative law judge. The chief administrative law judge shall request
1.26from the revisor certified copies of the rule when it is submitted by the agency under
1.27section14.26 . Within five days after the request for certification of the rule is received by
1.28the revisor, excluding weekends and holidays, the revisor shall either return the rule with
2.1a certificate of approval of the form of the rule to the chief administrative law judge or
2.2notify the chief administrative law judge and the agency that the form of the rule will not
2.3be approved.
2.4If the chief administrative law judge disapproves a rule, the agency may modify it
2.5and the agency shall submit one copy of the modified rule, approved as to form by the
2.6revisor, to the chief administrative law judge.
2.7(b) One copy of a rule adopted after a public hearing must be submitted by the
2.8agency to the chief administrative law judge. The chief administrative law judge shall
2.9request from the revisor certified copies of the rule when it is submitted by the agency.
2.10Within five working days after receipt of the request, the revisor shall either return the
2.11rule with a certificate of approval to the chief administrative law judge or notify the chief
2.12administrative law judge and the agency that the form of the rule will not be approved.
2.13(c) If the revisor refuses to approve the form of the rule, the revisor's notice must
2.14revise the rule so it is in the correct form.
2.15(d) After the agency has notified the chief administrative law judge that it has
2.16adopted the rule, the chief administrative law judge shall promptly file four paper copies
2.17or an electronic copy of the adopted rule in the Office of the Secretary of State. The
2.18secretary of state shall forward one copy of each rule filed to the agency, to the revisor
2.19of statutes, and to the governor.
2.20(d) (e) The chief administrative law judge shall assess an agency for the actual cost
2.21of processing rules under this section. Each agency shall include in its budget money to
2.22pay the assessments. Receipts from the assessment must be deposited in the administrative
2.23hearings account established in section14.54 .
2.24 Sec. 3. Minnesota Statutes 2014, section 14.16, subdivision 3, is amended to read:
2.25 Subd. 3. Filing. After the agency hasadopted provided the chief administrative law
2.26judge with a signed order adopting the rule, theagency chief administrative law judge
2.27shall promptly filethree four paper copies or an electronic copy of it the adopted rule in
2.28the Office of the Secretary of State. The secretary of state shall forward one copy of each
2.29rule filed to the agency, to the revisor of statutes, and to the governor.
2.30 Sec. 4. Minnesota Statutes 2014, section 14.26, subdivision 3, is amended to read:
2.31 Subd. 3. Review. (a) Within 14 days, the administrative law judge shall approve
2.32or disapprove the rule as to its legality and its form to the extent that the form relates to
2.33legality, including the issues of whether the rule if modified is substantially different, as
2.34determined under section14.05, subdivision 2 , from the rule as originally proposed,
3.1whether the agency has the authority to adopt the rule, and whether the record demonstrates
3.2a rational basis for the need for and reasonableness of the proposed rule. If the rule is
3.3approved, the administrative law judge shall promptly file four paper copies or an electronic
3.4copy ofit the adopted rule in the Office of the Secretary of State. The secretary of state
3.5shall forward one copy of each rule to the revisor of statutes,one to the agency, and one to
3.6the governor. If the rule is disapproved, the administrative law judge shall state in writing
3.7the reasons for the disapproval and make recommendations to overcome the defects.
3.8(b) The written disapproval must be submitted to the chief administrative law
3.9judge for approval. If the chief administrative law judge approves of the findings of the
3.10administrative law judge, the chief administrative law judge shall send the statement of the
3.11reasons for disapproval of the rule to the agency, the Legislative Coordinating Commission,
3.12the house of representatives and senate policy committees with primary jurisdiction over
3.13state governmental operations, and the revisor of statutes and advise the agency and the
3.14revisor of statutes of actions that will correct the defects. The rule may not be filed in the
3.15Office of the Secretary of State, nor be published, until the chief administrative law judge
3.16determines that the defects have been corrected or, if applicable, that the agency has
3.17satisfied the rule requirements for the adoption of a substantially different rule.
3.18(c) If the chief administrative law judge determines that the need for or
3.19reasonableness of the rule has not been established, and if the agency does not elect
3.20to follow the suggested actions of the chief administrative law judge to correct that
3.21defect, then the agency shall submit the proposed rule to the Legislative Coordinating
3.22Commission and to the house of representatives and senate policy committees with
3.23primary jurisdiction over state governmental operations for advice and comment. The
3.24agency may not adopt the rule until it has received and considered the advice of the
3.25commission and committees. However, the agency need not wait for advice for more than
3.2660 days after the commission and committees have received the agency's submission.
3.27(d) The administrative law judge shall disregard any error or defect in the proceeding
3.28due to the agency's failure to satisfy any procedural requirements imposed by law or
3.29rule if the administrative law judge finds:
3.30(1) that the failure did not deprive any person or entity of an opportunity to
3.31participate meaningfully in the rulemaking process; or
3.32(2) that the agency has taken corrective action to cure the error or defect so that the
3.33failure did not deprive any person or entity of an opportunity to participate meaningfully
3.34in the rulemaking process.
4.1 Sec. 5. Minnesota Statutes 2014, section 14.26, is amended by adding a subdivision to
4.2read:
4.3 Subd. 3a. Filing. If the rule is approved, the administrative law judge shall promptly
4.4file four paper copies or an electronic copy of the adopted rule in the Office of the
4.5Secretary of State. The secretary of state shall forward one copy of each rule to the revisor
4.6of statutes, to the agency, and to the governor.
4.7 Sec. 6. Minnesota Statutes 2014, section 14.386, is amended to read:
4.814.386 PROCEDURE FOR ADOPTING EXEMPT RULES; DURATION.
4.9(a) A rule adopted, amended, or repealed by an agency, under a statute enacted
4.10after January 1, 1997, authorizing or requiring rules to be adopted but excluded from
4.11the rulemaking provisions of chapter 14 or from the definition of a rule, has the force
4.12and effect of law only if:
4.13(1) the revisor of statutes approves the form of the rule by certificate;
4.14(2) the person authorized to adopt the rule on behalf of the agency signs an order
4.15adopting the rule;
4.16(3) the Office of Administrative Hearings approves the rule as to its legality within
4.1714 days after the agency submits it for approval and files four paper copies or an electronic
4.18copy of the adopted rule with the revisor's certificate in the Office of the Secretary of
4.19State; and
4.20(4) a copy is published by the agency in the State Register.
4.21The secretary of state shall forward one copy of the rule to the governor.
4.22A statute enacted after January 1, 1997, authorizing or requiring rules to be adopted
4.23but excluded from the rulemaking provisions of chapter 14 or from the definition of a
4.24rule does not excuse compliance with this section unless it makes specific reference to
4.25this section.
4.26(b) A rule adopted under this section is effective for a period of two years from the
4.27date of publication of the rule in the State Register. The authority for the rule expires at
4.28the end of this two-year period.
4.29(c) The chief administrative law judge shall adopt rules relating to the rule approval
4.30duties imposed by this section and section14.388 , including rules establishing standards
4.31for review.
4.32(d) This section does not apply to:
4.33(1) any group or rule listed in section14.03 , subdivisions 1 and 3, except as
4.34otherwise provided by law;
5.1(2) game and fish rules of the commissioner of natural resources adopted under
5.2section84.027, subdivision 13 , or sections
97A.0451 to
97A.0459 ;
5.3(3) experimental and special management waters designated by the commissioner of
5.4natural resources under sections97C.001 and
97C.005 ;
5.5(4) game refuges designated by the commissioner of natural resources under section
5.697A.085
; or
5.7(5) transaction fees established by the commissioner of natural resources for
5.8electronic or telephone sales of licenses, stamps, permits, registrations, or transfers under
5.9section84.027, subdivision 15 , paragraph (a), clause (3).
5.10(e) If a statute provides that a rule is exempt from chapter 14, and section14.386
5.11does not apply to the rule, the rule has the force of law unless the context of the statute
5.12delegating the rulemaking authority makes clear that the rule does not have force of law.
5.13 Sec. 7. Minnesota Statutes 2014, section 14.58, is amended to read:
5.1414.58 NOTICE AND HEARING.
5.15In any contested case all parties shall be afforded an opportunity for hearing after
5.16reasonable notice. The notice shall state the time, place and issues involved, but if, by
5.17reason of the nature of the case, the issues cannot be fully stated in advance of the hearing,
5.18or if subsequent amendment of the issues is necessary, they shall be fully stated as soon
5.19as practicable, and opportunity shall be afforded all parties to present evidence and
5.20argument with respect thereto. Prior to assignment of a case to an administrative law
5.21judge as provided by sections14.48 to
14.56 , all papers shall be filed with the agency.
5.22Subsequent to assignment of the case, the agency shall certify the official record to the
5.23Office of Administrative Hearings, and thereafter, all papers shall be filed with that
5.24office. The agency and any other party to a contested case may file all necessary notices,
5.25documents, and other necessary information with the Office of Administrative Hearings
5.26by any reliable method of electronic transmission in the manner approved by that office.
5.27The Office of Administrative Hearings shall maintain the official record which shall
5.28include subsequent filings, testimony and exhibits. All filings are deemed effective upon
5.29receipt. The record shall contain a written transcript of the hearing only if preparation
5.30of a transcript is requested by the agency, a party, or the chief administrative law judge.
5.31The agency or party requesting a transcript shall bear the cost of preparation. When the
5.32chief administrative law judge requests preparation of the transcript, the agency shall
5.33bear the cost of preparation. Upon issuance of the administrative law judge's report, the
5.34official record shall be certified to the agency.
6.1 Sec. 8. EFFECTIVE DATE; APPLICATION.
6.2(a) Sections 1 to 6 are effective January 1, 2016, and apply to a rule for which a notice
6.3of intent to adopt a rule without a public hearing, a notice of hearing, a dual notice, or a
6.4notice of the proposed rule repeal is published in the State Register on or after that date.
6.5(b) Section 7 is effective January 1, 2016, and applies to a contested case initiated on
6.6or after that date."
6.7Delete the title and insert:
6.9relating to state government; permitting electronic filing for hearings in contested
6.10cases at the Office of Administrative Hearings; permitting the electronic transfer
6.11of certain rulemaking documents;amending Minnesota Statutes 2014, sections
6.1214.05, by adding a subdivision; 14.08; 14.16, subdivision 3; 14.26, subdivision
6.133, by adding a subdivision; 14.386; 14.58."
1.3relating to state government; permitting electronic filing for hearings in contested
1.4cases at the Office of Administrative Hearings;amending Minnesota Statutes
1.52014, section 14.58.
1.6May 15, 2015
1.7The Honorable Kurt L. Daudt
1.8Speaker of the House of Representatives
1.9The Honorable Sandra L. Pappas
1.10President of the Senate
1.11We, the undersigned conferees for H. F. No. 1725 report that we have agreed upon
1.12the items in dispute and recommend as follows:
1.13That the Senate recede from its amendment and that H. F. No. 1725 be further
1.14amended as follows:
1.15Delete everything after the enacting clause and insert:
1.16 "Section 1. Minnesota Statutes 2014, section 14.05, is amended by adding a subdivision
1.17to read:
1.18 Subd. 7. Electronic documents permitted. An agency may file rule-related
1.19documents with the Office of Administrative Hearings by electronic transmission in the
1.20manner approved by that office and the Office of the Revisor of Statutes by electronic
1.21transmission in the manner approved by that office.
1.22 Sec. 2. Minnesota Statutes 2014, section 14.08, is amended to read:
1.2314.08 APPROVAL OF RULE AND RULE FORM; COSTS.
1.24(a) One copy of a rule adopted under section
1.25to the chief administrative law judge. The chief administrative law judge shall request
1.26from the revisor certified copies of the rule when it is submitted by the agency under
1.27section
1.28the revisor, excluding weekends and holidays, the revisor shall either return the rule with
2.1a certificate of approval of the form of the rule to the chief administrative law judge or
2.2notify the chief administrative law judge and the agency that the form of the rule will not
2.3be approved.
2.4If the chief administrative law judge disapproves a rule, the agency may modify it
2.5and the agency shall submit one copy of the modified rule, approved as to form by the
2.6revisor, to the chief administrative law judge.
2.7(b) One copy of a rule adopted after a public hearing must be submitted by the
2.8agency to the chief administrative law judge. The chief administrative law judge shall
2.9request from the revisor certified copies of the rule when it is submitted by the agency.
2.10Within five working days after receipt of the request, the revisor shall either return the
2.11rule with a certificate of approval to the chief administrative law judge or notify the chief
2.12administrative law judge and the agency that the form of the rule will not be approved.
2.13(c) If the revisor refuses to approve the form of the rule, the revisor's notice must
2.14revise the rule so it is in the correct form.
2.15(d) After the agency has notified the chief administrative law judge that it has
2.16adopted the rule, the chief administrative law judge shall promptly file four paper copies
2.17or an electronic copy of the adopted rule in the Office of the Secretary of State. The
2.18secretary of state shall forward one copy of each rule filed to the agency, to the revisor
2.19of statutes, and to the governor.
2.20
2.21of processing rules under this section. Each agency shall include in its budget money to
2.22pay the assessments. Receipts from the assessment must be deposited in the administrative
2.23hearings account established in section
2.24 Sec. 3. Minnesota Statutes 2014, section 14.16, subdivision 3, is amended to read:
2.25 Subd. 3. Filing. After the agency has
2.26judge with a signed order adopting the rule, the
2.27shall promptly file
2.28the Office of the Secretary of State. The secretary of state shall forward one copy of each
2.29rule filed to the agency, to the revisor of statutes, and to the governor.
2.30 Sec. 4. Minnesota Statutes 2014, section 14.26, subdivision 3, is amended to read:
2.31 Subd. 3. Review. (a) Within 14 days, the administrative law judge shall approve
2.32or disapprove the rule as to its legality and its form to the extent that the form relates to
2.33legality, including the issues of whether the rule if modified is substantially different, as
2.34determined under section
3.1whether the agency has the authority to adopt the rule, and whether the record demonstrates
3.2a rational basis for the need for and reasonableness of the proposed rule. If the rule is
3.3approved, the administrative law judge shall promptly file four paper copies or an electronic
3.4copy of
3.5shall forward one copy of each rule to the revisor of statutes,
3.6the governor. If the rule is disapproved, the administrative law judge shall state in writing
3.7the reasons for the disapproval and make recommendations to overcome the defects.
3.8(b) The written disapproval must be submitted to the chief administrative law
3.9judge for approval. If the chief administrative law judge approves of the findings of the
3.10administrative law judge, the chief administrative law judge shall send the statement of the
3.11reasons for disapproval of the rule to the agency, the Legislative Coordinating Commission,
3.12the house of representatives and senate policy committees with primary jurisdiction over
3.13state governmental operations, and the revisor of statutes and advise the agency and the
3.14revisor of statutes of actions that will correct the defects. The rule may not be filed in the
3.15Office of the Secretary of State, nor be published, until the chief administrative law judge
3.16determines that the defects have been corrected or, if applicable, that the agency has
3.17satisfied the rule requirements for the adoption of a substantially different rule.
3.18(c) If the chief administrative law judge determines that the need for or
3.19reasonableness of the rule has not been established, and if the agency does not elect
3.20to follow the suggested actions of the chief administrative law judge to correct that
3.21defect, then the agency shall submit the proposed rule to the Legislative Coordinating
3.22Commission and to the house of representatives and senate policy committees with
3.23primary jurisdiction over state governmental operations for advice and comment. The
3.24agency may not adopt the rule until it has received and considered the advice of the
3.25commission and committees. However, the agency need not wait for advice for more than
3.2660 days after the commission and committees have received the agency's submission.
3.27(d) The administrative law judge shall disregard any error or defect in the proceeding
3.28due to the agency's failure to satisfy any procedural requirements imposed by law or
3.29rule if the administrative law judge finds:
3.30(1) that the failure did not deprive any person or entity of an opportunity to
3.31participate meaningfully in the rulemaking process; or
3.32(2) that the agency has taken corrective action to cure the error or defect so that the
3.33failure did not deprive any person or entity of an opportunity to participate meaningfully
3.34in the rulemaking process.
4.1 Sec. 5. Minnesota Statutes 2014, section 14.26, is amended by adding a subdivision to
4.2read:
4.3 Subd. 3a. Filing. If the rule is approved, the administrative law judge shall promptly
4.4file four paper copies or an electronic copy of the adopted rule in the Office of the
4.5Secretary of State. The secretary of state shall forward one copy of each rule to the revisor
4.6of statutes, to the agency, and to the governor.
4.7 Sec. 6. Minnesota Statutes 2014, section 14.386, is amended to read:
4.814.386 PROCEDURE FOR ADOPTING EXEMPT RULES; DURATION.
4.9(a) A rule adopted, amended, or repealed by an agency, under a statute enacted
4.10after January 1, 1997, authorizing or requiring rules to be adopted but excluded from
4.11the rulemaking provisions of chapter 14 or from the definition of a rule, has the force
4.12and effect of law only if:
4.13(1) the revisor of statutes approves the form of the rule by certificate;
4.14(2) the person authorized to adopt the rule on behalf of the agency signs an order
4.15adopting the rule;
4.16(3) the Office of Administrative Hearings approves the rule as to its legality within
4.1714 days after the agency submits it for approval and files four paper copies or an electronic
4.18copy of the adopted rule with the revisor's certificate in the Office of the Secretary of
4.19State; and
4.20(4) a copy is published by the agency in the State Register.
4.21The secretary of state shall forward one copy of the rule to the governor.
4.22A statute enacted after January 1, 1997, authorizing or requiring rules to be adopted
4.23but excluded from the rulemaking provisions of chapter 14 or from the definition of a
4.24rule does not excuse compliance with this section unless it makes specific reference to
4.25this section.
4.26(b) A rule adopted under this section is effective for a period of two years from the
4.27date of publication of the rule in the State Register. The authority for the rule expires at
4.28the end of this two-year period.
4.29(c) The chief administrative law judge shall adopt rules relating to the rule approval
4.30duties imposed by this section and section
4.31for review.
4.32(d) This section does not apply to:
4.33(1) any group or rule listed in section
4.34otherwise provided by law;
5.1(2) game and fish rules of the commissioner of natural resources adopted under
5.2section
5.3(3) experimental and special management waters designated by the commissioner of
5.4natural resources under sections
5.5(4) game refuges designated by the commissioner of natural resources under section
5.7(5) transaction fees established by the commissioner of natural resources for
5.8electronic or telephone sales of licenses, stamps, permits, registrations, or transfers under
5.9section
5.10(e) If a statute provides that a rule is exempt from chapter 14, and section
5.11does not apply to the rule, the rule has the force of law unless the context of the statute
5.12delegating the rulemaking authority makes clear that the rule does not have force of law.
5.13 Sec. 7. Minnesota Statutes 2014, section 14.58, is amended to read:
5.1414.58 NOTICE AND HEARING.
5.15In any contested case all parties shall be afforded an opportunity for hearing after
5.16reasonable notice. The notice shall state the time, place and issues involved, but if, by
5.17reason of the nature of the case, the issues cannot be fully stated in advance of the hearing,
5.18or if subsequent amendment of the issues is necessary, they shall be fully stated as soon
5.19as practicable, and opportunity shall be afforded all parties to present evidence and
5.20argument with respect thereto. Prior to assignment of a case to an administrative law
5.21judge as provided by sections
5.22Subsequent to assignment of the case, the agency shall certify the official record to the
5.23Office of Administrative Hearings, and thereafter, all papers shall be filed with that
5.24office. The agency and any other party to a contested case may file all necessary notices,
5.25documents, and other necessary information with the Office of Administrative Hearings
5.26by any reliable method of electronic transmission in the manner approved by that office.
5.27The Office of Administrative Hearings shall maintain the official record which shall
5.28include subsequent filings, testimony and exhibits. All filings are deemed effective upon
5.29receipt. The record shall contain a written transcript of the hearing only if preparation
5.30of a transcript is requested by the agency, a party, or the chief administrative law judge.
5.31The agency or party requesting a transcript shall bear the cost of preparation. When the
5.32chief administrative law judge requests preparation of the transcript, the agency shall
5.33bear the cost of preparation. Upon issuance of the administrative law judge's report, the
5.34official record shall be certified to the agency.
6.1 Sec. 8. EFFECTIVE DATE; APPLICATION.
6.2(a) Sections 1 to 6 are effective January 1, 2016, and apply to a rule for which a notice
6.3of intent to adopt a rule without a public hearing, a notice of hearing, a dual notice, or a
6.4notice of the proposed rule repeal is published in the State Register on or after that date.
6.5(b) Section 7 is effective January 1, 2016, and applies to a contested case initiated on
6.6or after that date."
6.7Delete the title and insert:
6.9relating to state government; permitting electronic filing for hearings in contested
6.10cases at the Office of Administrative Hearings; permitting the electronic transfer
6.11of certain rulemaking documents;amending Minnesota Statutes 2014, sections
6.1214.05, by adding a subdivision; 14.08; 14.16, subdivision 3; 14.26, subdivision
6.133, by adding a subdivision; 14.386; 14.58."