HB 2576 — notice; violation; deficiency correction

Fifty-seventhHouse LegislatureEngrossed Firstnotice; Regular Session COMMITTEE ON NATURAL RESOURCES, ENERGY & WATER HOUSE OF REPRESENTATIVES AMENDMENTS TO H.B.

2576violation; (Reference to printed bill) Amendment instruction key:

[GREENdeficiency UNDERLININGcorrection INState BRACKETS]of indicatesArizona textHouse addedof toRepresentatives statuteFifty-seventh orLegislature previouslyFirst enactedRegular sessionSession law.HOUSE BILL 2576 AN ACT AMENDING SECTION 41-1009, ARIZONA REVISED STATUTES;

[GreenRELATING underliningTO inADMINISTRATIVE brackets]PROCEDURE. indicates text added to new session law or text restoring existing law.

[GREEN(TEXT STRIKEOUTOF INBILL BRACKETS]BEGINS indicatesON newNEXT textPAGE) removed- fromi statute- orH.B. previously enacted session law.

[Green2576 strikeoutBe init brackets]enacted indicatesby textthe removedLegislature fromof existingthe statute,State previouslyof enactedArizona: session law or new session law.

<<Green carets>> indicate a section added to the bill.

<<Green strikeout in carets>> indicates a section removed from the bill.

The bill as proposed to be amended is reprinted as follows:

House(c) AmendmentsCopies toof H.B.any analysis performed on samples taken during the inspection.

2576 (c) Copies of any analysis performed on samples taken during the inspection.

(b)- Participation1 in- anH.B. interview is voluntary, unless the person is legally compelled to participate in the interview.

2576 (b) Participation in an interview is voluntary, unless the person is legally compelled to participate in the interview.

On initiation of an audit or an inspection [of]of [ININ WHICH AN AGENCY INSPECTOR, AUDITOR OR REGULATOR ENTERS]ENTERS any premises of a regulated person, [an]an [THE]THE agency inspector, auditor or regulator shall provide the following in writing:

A notice that if the information and documents provided to the agency inspector, auditor or regulator become a public record, the -2-regulated Houseperson Amendmentsmay redact trade secrets and proprietary and confidential information unless the information and documents are confidential pursuant to H.B.statute.

2576 regulated person may redact trade secrets and proprietary and confidential information unless the information and documents are confidential pursuant to statute.

[An]An [FORFOR AN AUDIT OR INSPECTION IN WHICH AN AGENCY INSPECTOR, AUDITOR OR REGULATOR ENTERS THE PREMISES OF A REGULATED PERSON, THE]THE agency inspector, auditor or regulator shall obtain the signature of the regulated person or on-site representative of the regulated person on the writing prescribed in subsection B of this section and section 41-1001.01, subsection C, if applicable, indicating that the regulated person or on-site representative of the regulated person has read the writing prescribed- in2 subsection- BH.B. of this section and section 41-1001.01, subsection C, if applicable, and is notified of the regulated person's or on-site representative of the regulated person's inspection or audit and due process rights.

2576 prescribed in subsection B of this section and section 41-1001.01, subsection C, if applicable, and is notified of the regulated person's or on-site representative of the regulated person's inspection or audit and due process rights.

An agency that conducts an inspection [BYBY ENTERING THE PREMISES OF A REGULATED PERSON]PERSON shall [PRODUCEPRODUCE AN INSPECTION REPORT AND]AND give a copy of the inspection report to the regulated person or on-site representative of the regulated person either:

The inspection report [REQUIREDREQUIRED PURSUANT TO SUBSECTION D OF THIS SECTION]SECTION shall contain alleged deficiencies identified during an inspection.

Unless otherwise provided by state or federal law, the agency shall provide the regulated person an opportunity to correct the alleged deficiencies unless the agency documents in writing as part of the inspection report [OROR IN A NOTICE OF VIOLATION ISSUED PURSUANT TO SUBSECTION K OF THIS SECTION],SECTION, ALONG WITH SPECIFIC EVIDENCE, that the alleged deficiencies are:

-3-2. House Amendments to H.B.

2576 2.

If the agency allows the regulated person an opportunity to correct the alleged deficiencies pursuant to subsection E of this section, the- regulated3 person- shallH.B. notify the agency when the alleged deficiencies have been corrected.

2576 the regulated person shall notify the agency when the alleged deficiencies have been corrected.

If the regulated person fails to correct the alleged deficiencies or the agency determines the alleged deficiencies have not been corrected within a reasonable period of time, [UNLESSUNLESS OTHERWISE REQUIRED BY STATE OR FEDERAL LAW,]LAW, the agency may take any enforcement action authorized by law for the alleged deficiencies[,deficiencies ] ONLY IF THE REGULATED PERSON FAILS TO CORRECT THE ALLEGED DEFICIENCIES[,DEFICIENCIES ]OR [OR] THE AGENCY DETERMINES THE ALLEGED DEFICIENCIES HAVE NOT BEEN CORRECTED WITHIN A REASONABLE PERIOD OF TIMETIME. [OR THE ALLEGED DEFICIENCIES MEET THE CRITERIA PRESCRIBED IN SUBSECTION E OF THIS SECTION].

For agencies with authority under title 49, if, as a result of an inspection or any other investigation, an agency alleges that a regulated person is not in compliance with licensure or other applicable regulatory requirements, the agency shall provide written A [WRITTEN]WRITTEN notice of that allegation [ANAN OPPORTUNITY TO CORRECT OR A NOTICE OF]OF -4-VIOLATION Houseto Amendmentsthe toregulated H.B.person.

2576The VIOLATIONEITHER [tonotice shall contain the regulatedfollowing person].information:

[The] [EITHER] notice [OF VIOLATION] shall contain the following information:

L.- 4 - H.B.

Subsection2576 KL. of this section applies only to inspections [or any other investigations] [THAT ARE] necessary for the issuance of a license or to determine compliance with licensure or other regulatory requirements.

Subsection K of this section applies only to inspections or any other investigations THAT ARE necessary for the issuance of a license or to determine compliance with licensure or other regulatory requirements.

Issuance of a notice [OF VIOLATION] under subsection K of this section is not a prerequisite to otherwise lawful agency actions [TOTO COMPLY WITH A REQUIREMENT OF FEDERAL LAW OR IN]IN seeking an injunction or issuing an order if the agency determines that the action is necessary on an expedited basis to abate an imminent and substantial endangerment to public health or the environment and documents the basis for that determination in the documents initiating the action.

[THEM. AGENCY MAY TAKE ANY ENFORCEMENT ACTION AUTHORIZED BY LAW ONLY IF ANY OF THE FOLLOWING OCCURS:

1.

THE REGULATED PERSON FAILS TO CORRECT THE ALLEGED DEFICIENCIES.

2.

THE AGENCY DETERMINES THAT THE ALLEGED DEFICIENCIES HAVE NOT BEEN CORRECTED IN A REASONABLE PERIOD OF TIME.

3.

THE REGULATED PERSON INTENTIONALLY MISREPRESENTS INFORMATION OR ACTS UNLAWFULLY.