HF 854 — A bill for an act providing for delinquency fees for executive branch agencies for untimely rulemaking in certain circumstances and including effective date and retroactive applicability provisions. (Formerly HF 809, HSB 264.)

House File 854 - IntroducedReprinted HOUSE FILE 854 BY COMMITTEE ON WAYS AND MEANS (SUCCESSOR TO HF 809) (SUCCESSOR TO HSB 264) (As Amended and Passed by the House April 6, 2021) A BILL FOR An Act providing for delinquency fees for executive branch agencies for untimely rulemaking in certain circumstances and including effective date and retroactive applicability provisions.

TLSBHF 2438HZ854 (1)(2) 89 je/rnje/rn/md H.F.

No later than fourteen calendar days after receiving written notice of a delinquency fee pursuant to paragraph “c”, LSBHF 2438HZ854 (1)(2) 89 -1- je/rnje/rn/md 1/31/2 H.F.

(1) Remit the amount of such fee to the treasurer of state who shall deposit the moneys in the general fund of the state.state and provide written notification to the committee that the remittance was paid.

The agency shall only pay such remittance from funds available for salaries, support, maintenance, or other administrative costs of the agency.

e.

If the committee has not received written notification from an agency that either of the actions required pursuant to paragraph “d” were carried out within the period provided in paragraph “d”, the committee shall provide a written notification to the department of management.

The department shall then transfer the amount of unpaid delinquency fees due from any funds available to the agency for support, maintenance, or other administrative costs to the general fund.

EXPLANATIONHF The854 inclusion(2) of89 this-2- explanationje/rn/md does2/2 not constitute agreement with the explanation’s substance by the members of the general assembly.

Under Code section 17A.4, subsection 9, if a provision of an Act of the general assembly expressly requires rulemaking by an executive branch agency, or if another statute that governs or is directly related to a provision of an Act of the general assembly expressly requires rulemaking by the agency, the agency must, within 180 days of the effective date of the provision, submit a notice of intended action to commence the rulemaking or submit written notification explaining the delay to the administrative rules review committee (ARRC).

This bill authorizes the ARRC, by a majority vote, to reject such a written notification for an Act of the general assembly that expressly requires rulemaking.

The bill also authorizes the ARRC to find by a majority vote that an agency did not make a timely submission for a provision of an Act of the general assembly that expressly requires rulemaking by the agency as LSB 2438HZ (1) 89 -2- je/rn 2/3 H.F.

854 required pursuant to Code section 17A.4, subsection 9.

If the ARRC takes either of these actions, the bill authorizes the ARRC, by a majority vote, to impose a delinquency fee on the agency of $1,000 per Act.

The ARRC must provide a representative of the agency an opportunity to address the ARRC concerning the rejection or lack of submission before imposing such a fee and must notify the agency in writing of the amount of the fee and the Acts of the general assembly for which the fee was imposed.

An agency must, no later than 14 days after receiving written notice of a delinquency fee, take one of two specified actions.

First, the agency may remit the amount of the fee to the treasurer of state for deposit in the general fund of the state.

The agency shall only pay such remittance from funds available for salaries, support, maintenance, or other administrative costs of the agency.

The agency shall not pay such remittance from funds allocated for any program or nonadministrative duty or function of the agency.

Second, the agency may submit a notice of intended action to commence the rulemaking and provide written notification to the ARRC that the submission was made.

The bill defines “provision of an Act of the general assembly that expressly requires rulemaking” as a provision within the text of an Act of the general assembly that explicitly requires rulemaking, without reference to any statutory provision that is not included in the text of the Act.

The bill takes effect upon enactment and applies retroactively to January 11, 2021.

LSB 2438HZ (1) 89 -3- je/rn 3/3