HB 1934 — Administrative Process Act; certain regulations to require legislative approval.

SESSION INTRODUCEDENGROSSED 23103138D I HOUSE BILL NO.

1934 OfferedHouse JanuaryAmendments 11,in 2023[ N] Prefiled- January 10,30, 2023 T A BAct;BILL to amend and reenact § 2.2-4007.04 of the Code of Virginia, relating to Administrative Process Act;

certain regulations to require legislative approval.ginia,approval. relating to Administrative PRocess –––––––––– Patrons––Fowler and Webert O –––––––––– D Referred to Committee on General Laws –––––––––– U Be it enacted by the General Assembly of Virginia:

C–––––––––– 1.Patron Prior to––––––––––nt––Delegate Fowler Referred to Committee on General Laws –––––––––– E Be it enacted by the General Assembly of Virginia:

N 1.

A.§ 2.2-4007.04.

BeforeEconomic deliveringimpact anyanalysis; proposed regulation under consideration to the Registrar as required in § 2.2-4007.05, the agency shall submit on the Virginia Regulatory Town Hall a copy of that regulation to the Department of Planning and Budget.

Incostly additionregulations; to determining the public benefit, the Department of Planning and Budget in coordination with the agency shall, within 45 days, prepare an economic impact analysis of the proposed regulation, as follows:

1.legislative approval.

TheG economicA. impact analysis shall include but need not be limited to the projected number of businesses or other entities to which the regulation would apply;

Before delivering any proposed regulation under consideration to the Registrar as requireR in § 2.2-4007.05, the agency shall submit on the Virginia Regulatory Town Hall a copy of that regulation to the Department of Planning and Budget.

In addition to determining the public benefit, the Department impact analysis of the proposed regulation, as follows:shall, within 45 days, prepare an economSc 1.

The economic impact analysis shall include but need not be limited to the projected numbeS of businesses or other entities to which the regulation would apply;

the projected number of persons property,and includingemployment additionalpositions costs related to thebe developmentaffected; of real estate for commercial orivate residential purposes;

and the projectedimpact costsof tothe affectedregulation businesses,on localities,the oruse entitiesand value of implementingpDivate orproperty, complyingincluding withadditional thecosts regulations,related includingto the estimateddevelopment fiscal impact on such localities and9sources of potentialreal fundsestate tofor implementcommercial andor complyresidential withpurposes; such regulation.

Aand copythe projected costs to affected businesses, localities, or entities of implementing or complying with the economicregulations, including the estimated fiscal impact ana4ysison shallsuch belocalities providedand sources of potential funds to theimplement Jointand Commissioncomply onwith Administrativesuch Rules;regulation.

andA 2.copy of the economic impact analysis shall be provided to the Joint Commission on Administrative Rules;

Ifand the regulation may have an adverse effect on small businesses, the economic impact analysis shall also include (i) an identification and estimate of the number of small businesses subject to the regulation;

(ii) the projected reporting, recordkeeping, and other administrative costs requiredrequireH for small businesses to comply with the regulation, including the type of professional skills necessary for preparing required reports and other documents;

(iii) a statement of the probable effect of thethe9regulation regulation on affected small businesses;

and (iv) a description of any less intrusive or less costly alternativealter4ative methods of achieving the purpose of the regulation.

35 B.

In the event the Department cannot complete an economic impact statement within the 45-day 3635 period, it shall advise the agency and the Joint Commission on Administrative Rules as to the reasons / 37 forforC. the delay.

InAgencies no event shall provide the delayDepartment exceedwith 30such daysestimated beyondfiscal theimpacts originalon 45-daylocalities period.and 38 sources of potential funds.

38The C.Department may request the assistance of any other agency in preparing 39 the analysis.

Agencies shall provide the Department with such estimated fiscal impacts on localities and the analysis.

The analysis shall represent the Department's best estimate for the purposes of public review and comment on the proposed any failure to comply with or otherwise follow the procedures set forth in this subsection create anyhall cause of action or provide standing for any person under Article 5 (§ 2.2-4025 et seq.) or otherwise to challenge the actions of the Department hereunder or the action of the agency in adopting the proposed regulation.

The accuracy of the estimate shall in no way affect the validity of the regulation, nor shall any failure to comply with or otherwise follow the procedures set forth in this subsection create any cause of action or provide standing for any person under Article 5 (§ 2.2-4025 et seq.) or otherwise to challenge the actions of the Department hereunder or the action of the agency in adopting the proposed regulation.

In the event the economic impact analysis completed by the Department reveals that the proposed regulation would have an adverse economic impact on businesses or would impose a significant adverse economic impact on a locality, business, or entity particularly affected, the Department shall advise the Joint Commission on Administrative Rules, the House Committee on Appropriations, and the Senate Administrative Rules shall review such rule or regulation and issue a statement containing the HB1934 2 of 2 Commission's findings in accordance with § 30-73.3.

HB1934E 2 of 2 E.

[ No such regulation shall be effective if such regulation conflicts with any joint resolution expressing the sense of the General Assembly with respect thereto.