BILL ANALYSIS Ó
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THIRD READING
Bill No: AB 12
Author: Cooley (D)
Amended: 5/24/13 in Assembly
Vote: 21
SENATE GOVERNMENTAL ORGANIZATION COMMITTEE : 11-0, 6/25/13
AYES: Wright, Nielsen, Berryhill, Calderon, Cannella, Correa,
De León, Galgiani, Hernandez, Lieu, Padilla
SENATE ENVIRONMENTAL QUALITY COMMITTEE : 9-0, 7/3/13
AYES: Hill, Gaines, Calderon, Corbett, Fuller, Hancock,
Jackson, Leno, Pavley
SENATE APPROPRIATIONS COMMITTEE : 7-0, 8/30/13
AYES: De León, Walters, Gaines, Hill, Lara, Padilla, Steinberg
ASSEMBLY FLOOR : 77-0, 5/29/13 - See last page for vote
SUBJECT : Administrative Procedure Act: standardized
regulatory impact
analyses: report
SOURCE : Author
DIGEST : This bill requires the Department of Finance (DOF)
and the Office of Administrative Law (OAL) to review annually
the standardized regulatory impact analyses for adherence to the
regulations adopted by a state agency, and report back to the
Legislature; requires the legislative report to include any
recommendations improving state agency performance and
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compliance; and requires the OAL to post the report and notice
of noncompliance on the Internet.
ANALYSIS : The Administrative Procedure Act governs the
procedures for the adoption, amendment, or repeal of regulations
by state agencies and for the review of those regulatory actions
by the OAL.
Existing law:
1. Requires each state agency to prepare a standardized
regulatory impact analysis, as specified, with respect to the
adoption, amendment, or repeal of a major regulation, as
defined, that is proposed on or after November 1, 2013.
2. Requires DOF and OAL to periodically review the standardized
regulatory impact analyses for adherence to regulations
adopted by DOF.
This bill:
1. Requires DOF and OAL to review annually the standardized
regulatory impact analyses for adherence to the regulations
adopted by a state agency, and report back to the
Legislature.
2. Requires the legislative report to include any
recommendations improving state agency performance and
compliance.
3. Requires OAL to post the report and notice of noncompliance
on the Internet.
Background
Existing statutes require DOF and OAL to review the standardized
regulatory impact analyses for adherence to the regulations
adopted by the state agency, and thereafter report to the
Legislature by November 1, 2015. This bill requires DOF and OAL
to annually review the standardized regulatory impact analyses
and report to the Legislature on an annual basis, and requires
OAL to include in its annual report a discussion of agency
noncompliance, and any recommendations the Legislature might
consider for improving state agency performance and compliance
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in the creation of the standardized regulatory impact analyses.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
According to the Senate Appropriations Committee, ongoing costs
likely to be about $75,000 per year for DOF to review
standardized regulatory analyses (General Fund). Given the
anticipated workload (generally 5-10 qualifying analyses per
year), DOF will likely need a partial position for these
reviews. In some years, depending on workload and the
complexity of the analysis, DOF may need additional, outside
consultant services, at additional cost.
SUPPORT : (Verified 8/30/13)
Alliance of Automobile Manufacturers
American Council of Engineering Companies of California
California Asian Pacific Chamber of Commerce
California Association of Health Facilities
California Business Properties Association
California Chamber of Commerce
California Construction and Industrial Materials Association
California Hotel & Lodging Association
California Independent Oil Marketers Association
California Manufacturers & Technology Association
California Retailers Association
California Service Station & Automotive Repair Association
California Trucking Association
Chemical Industry Council of California
Consumer Specialty Products Association
Golden State Builders Exchanges
Industrial Environmental Association
National Aerosol Association
Pacific Merchant Shipping Association
United Contractors
Western States Petroleum Association
ARGUMENTS IN SUPPORT : According to the author's office, this
bill increases accountability and legislative oversight in the
regulatory adoption process by requiring DOF to review major
regulatory impact analysis reports and issue its findings
annually to the Legislature on state agencies' compliance in
creating the reports. It further increases government
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transparency by instructing the OAL to make public notice on its
Web site of any state agency failing to issue a standardized
regulatory impact report or failing to comply with the
guidelines set out by DOF in creating the report.
Supporters believe that this bill will "strengthen transparency
and accountability related to the requirement that agencies
conduct regulatory impact analysis for major regulations.
Annual reviews of agency compliance levels, recommendations for
legislative action to improve compliance, and internet posting
of noncompliance will raise awareness about the costs and
benefits of major regulations and ensure legislators have the
information they need to improve California's regulatory
environment."
ASSEMBLY FLOOR : 77-0, 5/29/13
AYES: Achadjian, Alejo, Allen, Ammiano, Atkins, Bigelow, Bloom,
Blumenfield, Bocanegra, Bonilla, Bonta, Bradford, Brown,
Buchanan, Ian Calderon, Campos, Chau, Chávez, Chesbro, Conway,
Cooley, Dahle, Daly, Dickinson, Donnelly, Eggman, Fong, Fox,
Frazier, Beth Gaines, Garcia, Gatto, Gomez, Gonzalez, Gordon,
Gorell, Gray, Grove, Hagman, Hall, Harkey, Roger Hernández,
Jones, Jones-Sawyer, Levine, Linder, Logue, Lowenthal,
Maienschein, Mansoor, Medina, Melendez, Mitchell, Morrell,
Mullin, Muratsuchi, Nazarian, Nestande, Olsen, Pan, Perea, V.
Manuel Pérez, Quirk, Quirk-Silva, Rendon, Salas, Skinner,
Stone, Ting, Wagner, Waldron, Weber, Wieckowski, Wilk,
Williams, Yamada, John A. Pérez
NO VOTE RECORDED: Holden, Patterson, Vacancy
MW:d 8/30/13 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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