Florida Senate - 2017                                    SB 1640
       
       
        
       By Senator Broxson
       
       
       
       
       
       1-01435-17                                            20171640__
    1                        A bill to be entitled                      
    2         An act relating to administrative procedures; amending
    3         ss. 120.54, 120.541, and 120.56, F.S.; requiring an
    4         agency to prepare a statement of estimated regulatory
    5         costs before adoption, amendment, or repeal of any
    6         rule other than an emergency rule; conforming
    7         provisions and a cross-reference to changes made by
    8         the act; providing an effective date.
    9          
   10  Be It Enacted by the Legislature of the State of Florida:
   11  
   12         Section 1. Paragraphs (a) and (b) of subsection (3) of
   13  section 120.54, Florida Statutes, are amended to read:
   14         120.54 Rulemaking.—
   15         (3) ADOPTION PROCEDURES.—
   16         (a) Notices.—
   17         1. Prior to the adoption, amendment, or repeal of any rule
   18  other than an emergency rule, an agency, upon approval of the
   19  agency head, shall give notice of its intended action, setting
   20  forth a short, plain explanation of the purpose and effect of
   21  the proposed action; the full text of the proposed rule or
   22  amendment and a summary thereof; a reference to the grant of
   23  rulemaking authority pursuant to which the rule is adopted; and
   24  a reference to the section or subsection of the Florida Statutes
   25  or the Laws of Florida being implemented or interpreted. The
   26  notice must include a summary of the agency’s statement of the
   27  estimated regulatory costs, if one has been prepared, based on
   28  the factors set forth in s. 120.541(2); a statement that any
   29  person who wishes to provide the agency with information
   30  regarding the statement of estimated regulatory costs, or to
   31  provide a proposal for a lower cost regulatory alternative as
   32  provided by s. 120.541(1), must do so in writing within 21 days
   33  after publication of the notice; and a statement as to whether,
   34  based on the statement of the estimated regulatory costs or
   35  other information expressly relied upon and described by the
   36  agency if no statement of regulatory costs is required, the
   37  proposed rule is expected to require legislative ratification
   38  pursuant to s. 120.541(3). The notice must state the procedure
   39  for requesting a public hearing on the proposed rule. Except
   40  when the intended action is the repeal of a rule, the notice
   41  must include a reference both to the date on which and to the
   42  place where the notice of rule development that is required by
   43  subsection (2) appeared.
   44         2. The notice shall be published in the Florida
   45  Administrative Register not less than 28 days prior to the
   46  intended action. The proposed rule shall be available for
   47  inspection and copying by the public at the time of the
   48  publication of notice.
   49         3. The notice shall be mailed to all persons named in the
   50  proposed rule and to all persons who, at least 14 days prior to
   51  such mailing, have made requests of the agency for advance
   52  notice of its proceedings. The agency shall also give such
   53  notice as is prescribed by rule to those particular classes of
   54  persons to whom the intended action is directed.
   55         4. The adopting agency shall file with the committee, at
   56  least 21 days prior to the proposed adoption date, a copy of
   57  each rule it proposes to adopt; a copy of any material
   58  incorporated by reference in the rule; a detailed written
   59  statement of the facts and circumstances justifying the proposed
   60  rule; a copy of any statement of estimated regulatory costs that
   61  has been prepared pursuant to s. 120.541; a statement of the
   62  extent to which the proposed rule relates to federal standards
   63  or rules on the same subject; and the notice required by
   64  subparagraph 1.
   65         (b) Special matters to be considered in rule adoption.—
   66         1. Statement of estimated regulatory costs.—Before the
   67  adoption, amendment, or repeal of any rule other than an
   68  emergency rule, an agency is required encouraged to prepare a
   69  statement of estimated regulatory costs of the proposed rule, as
   70  provided by s. 120.541. However, an agency must prepare a
   71  statement of estimated regulatory costs of the proposed rule, as
   72  provided by s. 120.541, if:
   73         a. The proposed rule will have an adverse impact on small
   74  business; or
   75         b. The proposed rule is likely to directly or indirectly
   76  increase regulatory costs in excess of $200,000 in the aggregate
   77  in this state within 1 year after the implementation of the
   78  rule.
   79         2. Small businesses, small counties, and small cities.—
   80         a. Each agency, before the adoption, amendment, or repeal
   81  of a rule, shall consider the impact of the rule on small
   82  businesses as defined by s. 288.703 and the impact of the rule
   83  on small counties or small cities as defined by s. 120.52.
   84  Whenever practicable, an agency shall tier its rules to reduce
   85  disproportionate impacts on small businesses, small counties, or
   86  small cities to avoid regulating small businesses, small
   87  counties, or small cities that do not contribute significantly
   88  to the problem the rule is designed to address. An agency may
   89  define “small business” to include businesses employing more
   90  than 200 persons, may define “small county” to include those
   91  with populations of more than 75,000, and may define “small
   92  city” to include those with populations of more than 10,000, if
   93  it finds that such a definition is necessary to adapt a rule to
   94  the needs and problems of small businesses, small counties, or
   95  small cities. The agency shall consider each of the following
   96  methods for reducing the impact of the proposed rule on small
   97  businesses, small counties, and small cities, or any combination
   98  of these entities:
   99         (I) Establishing less stringent compliance or reporting
  100  requirements in the rule.
  101         (II) Establishing less stringent schedules or deadlines in
  102  the rule for compliance or reporting requirements.
  103         (III) Consolidating or simplifying the rule’s compliance or
  104  reporting requirements.
  105         (IV) Establishing performance standards or best management
  106  practices to replace design or operational standards in the
  107  rule.
  108         (V) Exempting small businesses, small counties, or small
  109  cities from any or all requirements of the rule.
  110         b.(I) If the agency determines that the proposed action
  111  will affect small businesses as defined by the agency as
  112  provided in sub-subparagraph a., the agency shall send written
  113  notice of the rule to the rules ombudsman in the Executive
  114  Office of the Governor at least 28 days before the intended
  115  action.
  116         (II) Each agency shall adopt those regulatory alternatives
  117  offered by the rules ombudsman in the Executive Office of the
  118  Governor and provided to the agency no later than 21 days after
  119  the rules ombudsman’s receipt of the written notice of the rule
  120  which it finds are feasible and consistent with the stated
  121  objectives of the proposed rule and which would reduce the
  122  impact on small businesses. When regulatory alternatives are
  123  offered by the rules ombudsman in the Executive Office of the
  124  Governor, the 90-day period for filing the rule in subparagraph
  125  (e)2. is extended for a period of 21 days.
  126         (III) If an agency does not adopt all alternatives offered
  127  pursuant to this sub-subparagraph, it shall, before rule
  128  adoption or amendment and pursuant to subparagraph (d)1., file a
  129  detailed written statement with the committee explaining the
  130  reasons for failure to adopt such alternatives. Within 3 working
  131  days after the filing of such notice, the agency shall send a
  132  copy of such notice to the rules ombudsman in the Executive
  133  Office of the Governor.
  134         Section 2. Paragraphs (a) and (b) of subsection (1) of
  135  section 120.541, Florida Statutes, are amended, and present
  136  paragraphs (c) through (g) of that subsection are redesignated
  137  as paragraphs (b) through (f), respectively, to read:
  138         120.541 Statement of estimated regulatory costs.—
  139         (1)(a) Within 21 days after publication of the notice
  140  required under s. 120.54(3)(a), a substantially affected person
  141  may submit to an agency a good faith written proposal for a
  142  lower cost regulatory alternative to a proposed rule which
  143  substantially accomplishes the objectives of the law being
  144  implemented. The proposal may include the alternative of not
  145  adopting any rule if the proposal explains how the lower costs
  146  and objectives of the law will be achieved by not adopting any
  147  rule. If such a proposal is submitted, the 90-day period for
  148  filing the rule is extended 21 days. Upon the submission of the
  149  lower cost regulatory alternative, the agency shall prepare a
  150  statement of estimated regulatory costs as provided in
  151  subsection (2), or shall revise its prior statement of estimated
  152  regulatory costs, and either adopt the alternative or provide a
  153  statement of the reasons for rejecting the alternative in favor
  154  of the proposed rule.
  155         (b) If a proposed rule will have an adverse impact on small
  156  business or if the proposed rule is likely to directly or
  157  indirectly increase regulatory costs in excess of $200,000 in
  158  the aggregate within 1 year after the implementation of the
  159  rule, the agency shall prepare a statement of estimated
  160  regulatory costs as required by s. 120.54(3)(b).
  161         Section 3. Paragraph (a) of subsection (2) of section
  162  120.56, Florida Statutes, is amended to read:
  163         120.56 Challenges to rules.—
  164         (2) CHALLENGING PROPOSED RULES; SPECIAL PROVISIONS.—
  165         (a) A petition alleging the invalidity of a proposed rule
  166  shall be filed within 21 days after the date of publication of
  167  the notice required by s. 120.54(3)(a); within 10 days after the
  168  final public hearing is held on the proposed rule as provided by
  169  s. 120.54(3)(e)2.; within 20 days after the statement of
  170  estimated regulatory costs or revised statement of estimated
  171  regulatory costs, if applicable, has been prepared and made
  172  available as provided in s. 120.541(1)(c) s. 120.541(1)(d); or
  173  within 20 days after the date of publication of the notice
  174  required by s. 120.54(3)(d). The petitioner has the burden to
  175  prove by a preponderance of the evidence that the petitioner
  176  would be substantially affected by the proposed rule. The agency
  177  then has the burden to prove by a preponderance of the evidence
  178  that the proposed rule is not an invalid exercise of delegated
  179  legislative authority as to the objections raised. A person who
  180  is not substantially affected by the proposed rule as initially
  181  noticed, but who is substantially affected by the rule as a
  182  result of a change, may challenge any provision of the resulting
  183  proposed rule.
  184         Section 4. This act shall take effect July 1, 2017.