BILL ANALYSIS
AB 1822
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Date of Hearing: April 11, 2000
ASSEMBLY COMMITTEE ON CONSUMER PROTECTION, GOVERNMENTAL
EFFICIENCY, AND ECONOMIC DEVELOPMENT
Susan Davis, Chair
AB 1822 (Wayne) - As Amended: April 5, 2000
SUBJECT : Administrative Procedure Act.
SUMMARY : Makes numerous modifications to the Administrative
Procedure Act intended to clarify state rulemaking provisions.
Specifically, this bill :
1)Allows for the use of electronic communications to deliver and
publish rulemaking documents and notice statements, so long as
electronic communication is not the only means used to publish
or distribute the information.
2)Authorizes state agencies to consult with interested parties
prior to the commencement of a regulatory action.
3)Modifies numerous provisions relating to rulemaking
procedures, including the specification of findings, use of
plain English, necessity of requiring oral testimony, and the
handling of repetitive or irrelevant comments, as defined and
specified.
4)Modifies provisions relating to the content and availability
of the rulemaking file, as well as ensuring that certain
rulemaking requirements apply to the proposed repeal of a
regulation in addition to the adoption or amendment of a
regulation.
5)Creates exceptions to rulemaking requirements for the
establishment of criteria or guidelines used by state agency
staff in performing an examination, inspection, investigation
or audit, among other situations, as specified.
6)Modifies provisions relating to the requirement that a state
agency demonstrate the necessity of a proposed regulation, as
specified.
7)Modifies time frames relating to emergency regulations such
that they may be valid for 180 days and require 30 working
days before they may be made permanent.
AB 1822
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8)Expands judicial review to include an order of repeal of a
regulation as well as the establishment of the regulation, as
specified.
9)Requires state agencies to notify the Office of Administrative
Law (OAL) when they choose not to proceed with a proposed
action, as specified.
10)Changes the name of the California Regulatory Code Supplement
to the California Code of Regulations Supplement.
11)Modifies the format required for submission of State Water
Resources Control Board policies, plans, and guidelines to
OAL, as specified.
12)Modifies the definition of selected terms used in the
regulatory process, as specified.
EXISTING LAW details the requirements that regulations must
adhere to prior to their adoptions. These requirements include
public comment periods on proposed regulations, review periods,
publication requirements, and implementation procedures. OAL is
the state government entity that oversees the adoption of
regulations.
FISCAL EFFECT : Possible minor savings to state agencies to the
extent that the regulatory process is clearer and more
efficient, thereby requiring less staff resources.
COMMENTS :
1)Intent of Bill
According to the sponsor of the bill, the California Law
Revision Commission (CLRC), AB 1822 is the product of a
lengthy study conducted by the CLRC at the direction of the
Legislature. The CLRC worked with state agencies and
representatives of the private sector to develop the proposals
in the bill. These proposals are intended to meet three major
objectives: a) adding useful provisions reflecting the
increase of e-mail and Internet communication, b) resolving
existing ambiguities to clarify the regulatory process, and c)
ratifying existing common-sense Administrative Procedure Act
provisions.
AB 1822
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2)Most Recent Set of Amendments Seek to Clarify Concerns Raised
by Businesses; Additional Corresponding Changes Proposed by
Author
In the March 13 version of this bill, numerous provisions
substituted the word "believes" for the word "determines" when
explaining agency-proposed administrative regulations. For
example, where current law states that "If a state agency, in
proposing to adopt or amend any administrative regulation,
determines that the action may have a significant adverse
economic impact on business,?", the previous version of AB
1822 restated that provision to read "If a state agency, in
proposing to adopt, amend, or repeal any administrative
regulation, believes that the action may have a significant
adverse economic impact on business,?".
The "believes/determines" provisions created questions from
both majority and minority committee staff, as well as
segments of the business community. The most recent set of
amendments to the bill delete most references to "believes" as
the onus for regulation. The author's office has indicated
that they wish to make three additional amendments deleting
"believes" or "belief" and replacing it with the appropriate
variation of "initial determination." These changes appear on
page 25 of the April 5, 2000 version of the bill on lines 10,
36, and 37.
Additionally, the April 5 amendments define when a comment in
the regulatory process is "irrelevant," and delete a new
expansive definition of "evidence" as used in the regulatory
process.
3)Should Bill Include More Explicit Provisions Relating to Small
Business ?
The bill generally seeks to make things easier for small
businesses to understand and participate in the regulatory
process if desired. The author and sponsor should explain
what additional steps, if any, were considered in the course
of the study to increase small business participation in the
regulatory process, for example increasing requirements that
public meetings be held at times where concerned individuals
and/or businesses may participate.
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The author may wish to amend the bill to include additional
specific provisions aimed at encouraging small businesses to
become involved in and better understand the regulatory
process.
REGISTERED SUPPORT / OPPOSITION :
Support
California Law Revision Commission (sponsor)
American Federation of State, County and Municipal Employees
(AFSCME)
Opposition
None on file
Analysis Prepared by : Robert Herrell / C.P., G.E. & E.D. /
(916) 319-2089