By Chisum                                              H.B. No. 448
       74R3297 MI-F
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to cost-benefit analysis of environmental rules proposed
    1-3  for adoption by a state agency.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Subchapter B, Chapter 2001, Government Code, is
    1-6  amended by adding Section 2001.0225 to read as follows:
    1-7        Sec. 2001.0225.  COST-BENEFIT ANALYSIS OF ENVIRONMENTAL
    1-8  RULES.  (a)  Before adopting an environmental rule a state agency
    1-9  shall consider:
   1-10              (1)  the economic impact the proposed rule will have
   1-11  on, and the environmental benefit the proposed rule will provide
   1-12  for, residents of this state; and
   1-13              (2)  the fiscal impact of the proposed rule on state
   1-14  and local governmental agencies.
   1-15        (b)  Before giving notice of a proposed environmental rule as
   1-16  required by Sections 2001.023 and 2001.024, a state agency shall
   1-17  develop a written economic and fiscal impact statement that,
   1-18  specifically and in detail:
   1-19              (1)  describes the need for, and the environmental
   1-20  benefits likely to accrue from adoption of, the proposed rule;
   1-21              (2)  estimates the capital cost and the annual cost to
   1-22  the regulated community of implementing the proposed rule;
   1-23              (3)  estimates the initial cost and annual cost to the
   1-24  agency adopting the rule and to other state and local governmental
    2-1  agencies of implementing and enforcing the proposed rule, including
    2-2  estimated costs of necessary paperwork;
    2-3              (4)  describes, where applicable, reasonable
    2-4  alternative methods for achieving the purpose of the rule that were
    2-5  considered by the agency and states reasons for rejecting those
    2-6  alternatives in favor of the proposed rule or substantive
    2-7  modification; and
    2-8              (5)  identifies the data and methodology used in making
    2-9  estimates required by this section.
   2-10        (c)  The written report required by this section shall be
   2-11  incorporated into the fiscal note required by Section 2001.024.
   2-12        (d)  This section does not apply to the adoption of an
   2-13  environmental rule that is:
   2-14              (1)  proposed and adopted under a delegation agreement
   2-15  or contract between the state and an agency or representative of
   2-16  the federal government for the implementation of a new state and
   2-17  federal program, if the rule does not impose requirements more
   2-18  stringent than federal requirements; or
   2-19              (2)  expressly required by state law.
   2-20        (e)  In this section, "environmental rule" means an agency
   2-21  rule the specific intent of which is to regulate an activity to
   2-22  protect the environment or reduce risks to human health from
   2-23  environmental exposure.
   2-24        SECTION 2.  This Act takes effect September 1, 1995, and
   2-25  applies only to an environmental rule proposed by a state agency on
   2-26  or after that date.
   2-27        SECTION 3.  The importance of this legislation and the
    3-1  crowded condition of the calendars in both houses create an
    3-2  emergency and an imperative public necessity that the
    3-3  constitutional rule requiring bills to be read on three several
    3-4  days in each house be suspended, and this rule is hereby suspended.