BILL ANALYSIS
By: Christian
Committee Report (Substituted)
BACKGROUND AND PURPOSE
Local governments across Texas are facing significant challenges in funding the functions of government. Under current law, a state agency can adopt rules imposing additional costs on local governments or persons without considering how those costs will be paid for and without obtaining express authorization from the legislature. These rules make it more difficult for local government to find the funds to pay for the operations of the city, county or other local government. This bill would establish procedures that place restrictions on a state agency's ability to adopt rules imposing such costs.
RULEMAKING AUTHORITY
It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS
This bill amends the Government Code to redefine the authority of state agencies to adopt rules that impose certain costs on local governments or persons. The bill provides that, unless expressly authorized by the legislature in compliance with the provisions of the bill, a state agency is prohibited from adopting a rule for which the notice given includes a fiscal note estimating additional costs to local governments as a result of enforcing or administering the rule, or a note stating probable economic costs to persons required to comply with the rule. However, this not apply to a rule adopted by the School Land Board or the land commissioner for the enforcement or implementation of a provision of the Natural Resources Code relating to the management of state-owned land or the protection of the state's natural resources.
The bill does authorizes a state agency to adopt a rule, for which the notice estimating the costs as described is given, if the legislature by law expressly authorizes the adoption of the rule with those costs. The bill provides that a state agency order finally adopting a rule having such cost implications must include a reference to the law authorizing the adoption of the rule with those costs.
Lastly the bill states this applies to rules proposed by a state agency for which notice is given on or after December 1, 2007.
EFFECTIVE DATE
September 1, 2007.
COMPARISON OF ORIGINAL TO SUBSTITUTE
This substitute bill excludes the School Land Board or the land commissioner when implementing a provision of the Natural Resources Code relating to the management of state-owned land or the protection of the state's natural resources; whereas the original bill does not.