BILL ANALYSIS Ó
SB 401
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Date of Hearing: July 3, 2013
ASSEMBLY COMMITTEE ON ACCOUNTABILITY AND ADMINISTRATIVE REVIEW
Jim Frazier, Chair
SB 401 (Hueso) - As Amended: April 8, 2013
SENATE VOTE : 39-0
SUBJECT : Administrative practices.
SUMMARY : Requires the initial statement of reasons for building
standards regulations proposed by state agencies to include the
estimated cost of compliance, the estimated potential benefits,
and the assumptions used to determine these estimates.
EXISTING LAW :
1) Establishes the Administrative Procedure Act in the
Government Code to require state agencies adopting
regulations, including those related to building standards,
to conduct certain analyses of the impacts of the proposed
regulation and follow specific procedures for allowing
public input and review of the proposed regulation.
2) Generally requires agencies promulgating regulations to
analyze the potential impact of a proposed regulation on
businesses or job creation in the state and potential
financial impacts on state agencies.
3) Requires state agencies adopting building standards that
impact housing to include estimated benefits and costs of
compliance, as well as underlying assumptions, in an
initial statement of reasons.
FISCAL EFFECT : According to the Senate Appropriations
Committee, this bill could cost the Building Standards
Commission (BSC) as much as $89,000 annually for estimating
impacts and underlying assumptions for all building standards,
and for sections of the model codes upon request. Also, there
could be minor costs to other state agencies that propose
building standards regulations.
COMMENTS : This bill would require state agencies, when
adopting any building standards regulations, to disclose
specified information on the costs of compliance, potential
SB 401
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benefits of the regulation, and related assumptions used to
perform the economic analysis. For model codes, which are codes
proposed by national code-writing entities, that are added to
the Building Standards Code, these requirements would not be
necessary unless an interested party requested cost and benefit
information about a particular model code.
This bill subjects the process for promulgating regulations for
non-residential building standards to the same requirements as
those used for residential building standards. According to the
author, it is critical to consider the impacts of changes in
state building standards on all businesses, not just on the
residential construction industry. The author states that if an
agency is able to make the determination that a new standard
will have no significant impact on business, it should know what
the proposed standard will cost.
REGISTERED SUPPORT / OPPOSITION :
Support
American Council of Engineering Companies - California
Building Owners and Managers Association of California
California Apartment Association
California Association of Realtors
California Building Industry Association
California Business Properties Association
California Chamber of Commerce
Commercial Real Estate Development Association - National
Association of Industrial And Office Properties of California
International Council of Shopping Centers
Opposition
None on file
Analysis Prepared by : Scott Herbstman / A. & A.R. / (916)
319-3600