SRC-TJG H.B. 425 78(R)    BILL ANALYSIS


Senate Research CenterH.B. 425
By: Christian (West, Royce)
Administration
5-22-2003
Engrossed

DIGEST AND PURPOSE 

Currently, state agencies engaged in rulemaking may not always consider
legislative intent when proposing rules.  Also, many state agencies often
do not inform legislative authors and sponsors about rules relating to
their respective bills, and the agencies are only required to publish
proposed rules related to legislation in the Texas Register.  This leaves
a potential gap between the legislature's intent and the implementation of
the resulting rule.  Rules written by an agency can influence the effect
of a piece of legislation, and such rules should reflect the intent of the
legislation.  Under current law, agencies with broad rulemaking authority
may interpret legislation in a way that could conflict with the intent of
the legislature.  H.B. 425 implements procedures to ensure that agency
rules are consistent with legislative intent.   

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to
a state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 2001.032, Government Code, as follows:

Sec. 2001.032.  New heading: LEGISLATIVE REVIEW AND NOTIFICATION.   (a)
Requires the state agency, in the process of developing new rules and
before the agency gives notice of its intention of adopting a rule under
Sections 2001.023 and 2001.024, to research the legislative history of the
law and prepare a legislative history document on the bill or amendment
that authorizes a state agency to adopt the rule.  Requires the state
agency, to effectively research and prepare a legislative history
document, to meet certain conditions. 

(b) Provides that in this section, a reference to the law under which a
rule is or would be adopted includes a reference to the law that
authorizes a state agency to adopt the rule and to the law that the rule
would implement or enforce. 
 
(c) Requires a state agency, before the agency gives notice of its
intention to adopt a rule under Sections 2001.023 and 2001.024, to
establish an internal review process to ensure that the proposed rule is
consistent with the legislative history in enacting or otherwise affecting
the law under which the rule would be adopted. 
 
(d) Requires a state agency, before the agency gives notice of its
intention to adopt a rule under Sections 2001.023 and 2001.024, to inform
the primary author and sponsor of legislation that became law and that
added, amended, or clearly affected the law under which the rule would be
adopted, if the primary author or sponsor is still a member of the
legislature, that the adoption of a rule related to the member's
legislation is being considered. 
 
(e) Requires the agency, concurrently with the state agency's filing of
the notice with the secretary of state, to deliver a copy of the notice of
the proposed rule required by Sections 2001.023 and 2001.024 to the
primary author and sponsor as described in the legislative history if the
primary author or sponsor is still a member of the legislature. 
 (f) Requires the agency, not later than the seventh day before the date
the state agency considers the rule for final adoption, to deliver to the
primary author and sponsor a copy of the rule as proposed for final
adoption if the text of the rule differs from the text of the proposed
rule published under Section 2001.024 and if the author or sponsor is
still a member of the legislature. Requires the state agency also to
notify the primary author and sponsor in a timely manner of the time and
place of a public hearing held in connection with the contemplated
rulemaking if the primary author or sponsor is still a member of the
legislature. 
 
(g)  Requires the state agency to deliver a copy of an emergency rule
adopted under Section 2001.034 and the written reasons for its adoption to
the primary author and sponsor as determined by the legislative history
with respect to the law under which the emergency rule was adopted
concurrently with the agency's filing of the rule and the reasons for its
adoption with the secretary of state.  Requires the agency, if the state
agency gives an abbreviated notice or conducts a hearing in connection
with the adoption of the emergency rule, to also promptly furnish the
primary author and sponsor with a copy of the notice and to timely inform
the primary author and sponsor of the time and place of the hearing. 
 
(h) Provides that failure to provide notice under this section does not
invalidate an action taken or rule adopted.  Deletes text relating to
referring each proposed state agency rule to the appropriate standing
committee.  Deletes text relating to delivering a copy of the notice of a
proposed rule to certain individuals.  Deletes text relating to
authorizing a standing committee, on the vote of a majority of its
members, to send to a state agency a certain statement. 

SECTION 2.  Amends Section 2001.024(a), Government Code, to require the
notice of a proposed rule to include certain items. 

SECTION 3.  Amends Section 2001.033, Government Code, by making conforming
and nonsubstantive changes. 

SECTION 4.  Provides that the change in law made by this Act applies only
to rules and emergency rules adopted after a certain date.   

SECTION 5.  Effective date: September 1, 2003.