1-1 By: Duncan S.B. No. 382
1-2 (In the Senate - Filed February 3, 1999; February 4, 1999,
1-3 read first time and referred to Committee on State Affairs;
1-4 February 15, 1999, reported favorably, as amended, by the following
1-5 vote: Yeas 7, Nays 0; February 15, 1999, sent to printer.)
1-6 COMMITTEE AMENDMENT NO. 1 By: Bernsen
1-7 Amend S.B. No. 382 at page 1, before line 62, to add Section
1-8 2001.039 to read as follows:
1-9 Sec. 2001.039. SCOPE AND EFFECT OF ORDER INVALIDATING AGENCY
1-10 RULE. If a court finds that an agency has not substantially
1-11 complied with one or more procedural requirements of Sections
1-12 2001.0225 through 2001.034, the court may remand the rule, or a
1-13 portion of the rule, to the agency and provide a reasonable time
1-14 for the agency to either revise or readopt the rule through
1-15 established procedure. During the remand period, the rule shall
1-16 remain effective unless the court finds good cause to invalidate
1-17 the rule or a portion of the rule, effective as of the date of the
1-18 court's order.
1-19 A BILL TO BE ENTITLED
1-20 AN ACT
1-21 relating to the requirements for state agency orders adopting rules
1-22 and substantial compliance with rulemaking requirements.
1-23 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-24 SECTION 1. Section 2001.033, Government Code, is amended to
1-25 read as follows:
1-26 Sec. 2001.033. State Agency Order Adopting Rule. A state
1-27 agency order finally adopting a rule must include:
1-28 (1) a reasoned justification for [of] the rule as a
1-29 whole consisting solely of[, including]:
1-30 (A) a summary of comments received from parties
1-31 interested in the rule that shows the names of interested groups or
1-32 associations offering comment on the rule and whether they were for
1-33 or against its adoption;
1-34 (B) a summary [restatement] of the [rule's]
1-35 factual basis for the rule as adopted; and
1-36 (C) the reasons why the agency disagrees with
1-37 party submissions and proposals;
1-38 (2) a concise restatement of the particular statutory
1-39 provisions under which the rule is adopted and of how the agency
1-40 interprets the provisions as authorizing or requiring the rule; and
1-41 (3) a certification that the rule, as adopted, has
1-42 been reviewed by legal counsel and found to be a valid exercise of
1-43 the agency's legal authority.
1-44 SECTION 2. Section 2001.035, Government Code, is amended to
1-45 read as follows:
1-46 Sec. 2001.035. Substantial Compliance Requirement; Time
1-47 Limit on Procedural Challenge. (a) A rule [adopted after January
1-48 1, 1976,] is voidable [not valid] unless a state agency adopts it
1-49 in substantial compliance with Sections 2001.023 through 2001.034.
1-50 (b) A person must initiate a proceeding to contest a rule on
1-51 the ground of noncompliance with the procedural requirements of
1-52 Sections 2001.023 through 2001.034 not later than the second
1-53 anniversary of the effective date of the rule.
1-54 (c) A state agency substantially complies with the
1-55 requirements of Section 2001.033 if the agency's reasoned
1-56 justification demonstrates in a relatively clear and logical
1-57 fashion that the rule is a reasonable means to a legitimate
1-58 objective.
1-59 (d) A mere technical defect that does not result in
1-60 prejudice to a person's rights or privileges is not grounds for
1-61 invalidation of a rule.
1-62 SECTION 3. (a) Section 2001.030, Government Code, is
1-63 repealed.
2-1 (b) Sections 2 and 3, Chapter 1067, Acts of the 75th
2-2 Legislature, Regular Session, 1997, are repealed.
2-3 SECTION 4. This Act takes effect September 1, 1999. The
2-4 change in law made by this Act applies to all rules adopted by a
2-5 state agency on or after January 1, 1998, except that the change in
2-6 law made by this Act does not apply to a challenge to a rule in a
2-7 court action that is brought before September 1, 1999.
2-8 SECTION 5. The importance of this legislation and the
2-9 crowded condition of the calendars in both houses create an
2-10 emergency and an imperative public necessity that the
2-11 constitutional rule requiring bills to be read on three several
2-12 days in each house be suspended, and this rule is hereby suspended.
2-13 * * * * *