HB 1537

1
A bill to be entitled
2An act relating to rulemaking; amending s. 120.54, F.S.;
3requiring each agency, before adopting, amending, or
4repealing a rule, to determine whether the rule would
5adversely affect small businesses or increase the
6regulatory costs of small businesses; requiring the agency
7to conduct an independent economic analysis under certain
8circumstances; prohibiting a state agency from producing
9its own economic analysis or an economic analysis for
10another state agency; requiring that the economic analysis
11be certified as valid by the Office of Economic and
12Demographic Research; requiring the agency to request
13further independent analysis if the rule would adversely
14affect or increase the regulatory costs of small
15businesses; requiring a rule to be ratified by the
16Legislature if the state agency cannot prove that the rule
17creates new jobs and lowers the unemployment rate for the
18state; requiring that rules subject to ratification be
19accompanied by a report from the agency explaining why the
20rule does not create new private sector jobs and reduce
21the unemployment rate for the state; providing that such
22requirements do not applicable to certain rules; providing
23an effective date.
24
25Be It Enacted by the Legislature of the State of Florida:
26
27     Section 1.  Paragraph (b) of subsection (3) of section
28120.54, Florida Statutes, is amended to read:
29     120.54  Rulemaking.-
30     (3)  ADOPTION PROCEDURES.-
31     (b)  Special matters to be considered in rule adoption.-
32     1.  Statement of estimated regulatory costs.-Prior to the
33adoption, amendment, or repeal of any rule other than an
34emergency rule, an agency is encouraged to prepare a statement
35of estimated regulatory costs of the proposed rule, as provided
36by s. 120.541. However, an agency shall prepare a statement of
37estimated regulatory costs of the proposed rule, as provided by
38s. 120.541, if the proposed rule will have an impact on small
39business.
40     2.  Small businesses, small counties, and small cities.-
41     a.  Each agency, before the adoption, amendment, or repeal
42of a rule, shall consider the impact of the rule on small
43businesses as defined by s. 288.703 and the impact of the rule
44on small counties or small cities as defined by s. 120.52.
45Whenever practicable, an agency shall tier its rules to reduce
46disproportionate impacts on small businesses, small counties, or
47small cities to avoid regulating small businesses, small
48counties, or small cities that do not contribute significantly
49to the problem the rule is designed to address. An agency may
50define "small business" to include businesses employing more
51than 200 persons, may define "small county" to include those
52with populations of more than 75,000, and may define "small
53city" to include those with populations of more than 10,000, if
54it finds that such a definition is necessary to adapt a rule to
55the needs and problems of small businesses, small counties, or
56small cities. The agency shall consider each of the following
57methods for reducing the impact of the proposed rule on small
58businesses, small counties, and small cities, or any combination
59of these entities:
60     (I)  Establishing less stringent compliance or reporting
61requirements in the rule.
62     (II)  Establishing less stringent schedules or deadlines in
63the rule for compliance or reporting requirements.
64     (III)  Consolidating or simplifying the rule's compliance
65or reporting requirements.
66     (IV)  Establishing performance standards or best management
67practices to replace design or operational standards in the
68rule.
69     (V)  Exempting small businesses, small counties, or small
70cities from any or all requirements of the rule.
71     b.
72     (I)  If the agency determines that the proposed action will
73affect small businesses as defined by the agency as provided in
74sub-subparagraph a., the agency shall send written notice of the
75rule to the Small Business Regulatory Advisory Council and the
76Office of Tourism, Trade, and Economic Development not less than
7728 days prior to the intended action.
78     (II)  Each agency shall adopt those regulatory alternatives
79offered by the Small Business Regulatory Advisory Council and
80provided to the agency no later than 21 days after the council's
81receipt of the written notice of the rule which it finds are
82feasible and consistent with the stated objectives of the
83proposed rule and which would reduce the impact on small
84businesses. When regulatory alternatives are offered by the
85Small Business Regulatory Advisory Council, the 90-day period
86for filing the rule in subparagraph (e)2. is extended for a
87period of 21 days.
88     (III)  If an agency does not adopt all alternatives offered
89pursuant to this sub-subparagraph, it shall, prior to rule
90adoption or amendment and pursuant to subparagraph (d)1., file a
91detailed written statement with the committee explaining the
92reasons for failure to adopt such alternatives. Within 3 working
93days of the filing of such notice, the agency shall send a copy
94of such notice to the Small Business Regulatory Advisory
95Council. The Small Business Regulatory Advisory Council may make
96a request of the President of the Senate and the Speaker of the
97House of Representatives that the presiding officers direct the
98Office of Program Policy Analysis and Government Accountability
99to determine whether the rejected alternatives reduce the impact
100on small business while meeting the stated objectives of the
101proposed rule. Within 60 days after the date of the directive
102from the presiding officers, the Office of Program Policy
103Analysis and Government Accountability shall report to the
104Administrative Procedures Committee its findings as to whether
105an alternative reduces the impact on small business while
106meeting the stated objectives of the proposed rule. The Office
107of Program Policy Analysis and Government Accountability shall
108consider the proposed rule, the economic impact statement, the
109written statement of the agency, the proposed alternatives, and
110any comment submitted during the comment period on the proposed
111rule. The Office of Program Policy Analysis and Government
112Accountability shall submit a report of its findings and
113recommendations to the Governor, the President of the Senate,
114and the Speaker of the House of Representatives. The
115Administrative Procedures Committee shall report such findings
116to the agency, and the agency shall respond in writing to the
117Administrative Procedures Committee if the Office of Program
118Policy Analysis and Government Accountability found that the
119alternative reduced the impact on small business while meeting
120the stated objectives of the proposed rule. If the agency will
121not adopt the alternative, it must also provide a detailed
122written statement to the committee as to why it will not adopt
123the alternative.
124     3.  Job creation.-
125     a.  Except as provided in sub-subparagraph g., each agency
126shall initially determine, before adopting, amending, or
127repealing a rule, whether the rule would:
128     (I)  Adversely affect small businesses; or
129     (II)  Increase regulatory costs to those small businesses
130affected.
131     b.  If the agency initially determines the rule would
132adversely affect small businesses or increase the regulatory
133costs of small businesses, the agency shall retain an
134independent entity to conduct an economic analysis to determine
135the extent to which the rule as adopted, amended, or repealed,
136would adversely affect a small business or increase its
137regulatory costs. The agency shall also initiate an independent
138economic analysis if it receives an electronic or written
139request from the Small Business Regulatory Advisory Council to
140do so.
141     c.  The independent entity used to conduct the analysis may
142be the Legislature or a third party. However, the agency
143proposing the rule may not conduct its own economic analysis and
144an agency may not conduct an analysis for any other agency. The
145completed analysis must be certified as valid by the Office of
146Economic and Demographic Research.
147     d.  If the independent analysis shows that the rule would
148adversely affect small businesses or increase the regulatory
149costs of small businesses, the agency shall request the
150independent entity to further analyze whether the rule as
151adopted, amended, or repealed, would:
152     (I)  Result in the net creation of new private sector jobs;
153and
154     (II)  Reduce the state's unemployment rate.
155     e.  If an agency cannot demonstrate that the rule as
156adopted, amended, or repealed would result in the net creation
157of new private sector jobs and reduce the state's unemployment
158rate, the rule may not take effect until the rule is submitted
159to and ratified by the Legislature.
160     f.  Rules subject to ratification by the Legislature must
161be accompanied by a report from the agency which explains why
162the rule does not result in the creation of new private sector
163jobs and does not reduce the state's unemployment rate.
164     g.  A proposed rule is not subject to this subparagraph if
165the proposed rule is initiated by an agency pursuant to its
166emergency rulemaking powers.
167     Section 2.  This act shall take effect July 1, 2010.


CODING: Words stricken are deletions; words underlined are additions.