BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 401
                                                                  Page  1

          Date of Hearing:   August 14, 2013

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mike Gatto, Chair

                     SB 401 (Hueso) - As Amended:  April 8, 2013 

          Policy Committee:                               
          AccountabilityVote:10 - 0 

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:              

           SUMMARY  

          This bill 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.

           FISCAL EFFECT  

          1)Moderate costs, likely of less than $100,000 per year, for the  
            Building Standards Commission to estimate the impacts and  
            underlying cost assumptions related to all new building  
            standards, and for model codes upon request (Building  
            Standards Administration Fund). 

          2)Minor costs for state agencies that propose building standards  
            regulations. 

           COMMENTS  

           1)Purpose  . SB 401 would require state agencies, when adopting  
            any building standards regulations, to disclose specified  
            information on the costs of compliance, potential benefits of  
            the regulation, and related assumptions used to perform the  
            economic analysis.  

            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.  








                                                                  SB 401
                                                                  Page  2

             

           2)Related Legislation  .  AB 1612 (Lara; Chapter 471, Statutes of  
            2012) required 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.



           Analysis Prepared by  :    Julie Salley-Gray / APPR. / (916)  
          319-2081