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HB 168: "An Act relating to regulation notice and review by the legislature; and relating to the Administrative Regulation Review Committee."

00 HOUSE BILL NO. 168 01 "An Act relating to regulation notice and review by the legislature; and relating to the 02 Administrative Regulation Review Committee." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 16.43.120(b) is amended to read: 05 (b) AS 44.62.010 - 44.62.319 [AS 44.62.010 - 44.62.320] and 44.62.640 apply 06 to regulations adopted by the commission. 07 * Sec. 2. AS 18.56.088(a) is amended to read: 08 (a) Except for AS 44.62.310 - 44.62.319 (Open Meetings Act), AS 44.62 09 (Administrative Procedure Act) does not apply to this chapter. The corporation shall 10 make available to members of the public copies of the regulations adopted under (b) - 11 (e) of this section. [WITHIN 45 DAYS AFTER ADOPTION, THE CHAIRMAN OF 12 THE BOARD SHALL SUBMIT A REGULATION ADOPTED UNDER (b) - (e) OF 13 THIS SECTION TO THE CHAIRMAN OF THE ADMINISTRATIVE 14 REGULATION REVIEW COMMITTEE UNDER AS 24.20.400 - 24.20.460.]

01 * Sec. 3. AS 24.05.182(a) is amended to read: 02 (a) A standing committee of the legislature may, consistent with the 03 committee's jurisdiction as provided in the uniform rules of the legislature, 04 [FURNISHED NOTICE OF A PROPOSED ACTION UNDER AS 44.62.190 05 SHALL] review a [THE] proposed or adopted regulation, amendment of a regulation, 06 or repeal of a regulation [BEFORE THE DATE THE REGULATION IS 07 SCHEDULED BY THE DEPARTMENT OR AGENCY TO BE ADOPTED, 08 AMENDED, OR REPEALED]. 09 * Sec. 4. AS 24.08.060(b) is amended to read: 10 (b) Bills introduced by the legislative council shall be delivered with a letter of 11 explanation to the rules committee of either house and bear the inscription "Rules 12 Committee by Request of the Legislative Council"; [BILLS INTRODUCED BY THE 13 ADMINISTRATIVE REGULATION REVIEW COMMITTEE SHALL BE 14 DELIVERED WITH A LETTER OF EXPLANATION TO THE RULES 15 COMMITTEE OF EITHER HOUSE AND BEAR THE INSCRIPTION "RULES 16 COMMITTEE BY REQUEST OF THE ADMINISTRATIVE REGULATION 17 REVIEW COMMITTEE";] bills introduced by the Legislative Budget and Audit 18 Committee shall be delivered with a letter of explanation to the rules committee of 19 either house and bear the inscription "Rules Committee by Request of the Legislative 20 Budget and Audit Committee." Bills presented by the governor shall be delivered with 21 a letter to the rules committee of either house and bear the inscription "Rules 22 Committee by Request of the Governor"; bills so presented and inscribed shall be 23 received as bills carrying the approval of the governor as to policy and budget impact. 24 The governor may submit a statement of purpose and effect with each bill and appear 25 personally or through a representative before any committee considering legislation. 26 * Sec. 5. AS 26.27.110(b) is amended to read: 27 (b) Except for AS 44.62.310 - 44.62.319 (Open Meetings Act), the provisions 28 of AS 44.62 (Administrative Procedure Act) regarding the adoption of regulations do 29 not apply to the corporation. The corporation shall make available to members of the 30 public copies of the regulations adopted under this section. [WITHIN 45 DAYS 31 AFTER ADOPTION OF A REGULATION UNDER THIS SECTION, THE CHAIR

01 OF THE CORPORATION SHALL SUBMIT THE REGULATION ADOPTED TO 02 THE CHAIR OF THE ADMINISTRATIVE REGULATION REVIEW 03 COMMITTEE UNDER AS 24.20.400 - 24.20.460.] 04 * Sec. 6. AS 30.17.120 is amended to read: 05 Sec. 30.17.120. Administrative procedure. The provisions of the 06 Administrative Procedure Act regarding the adoption of regulations under 07 AS 44.62.040 - 44.62.319 [AS 44.62.040 - 44.62.320] apply to the authority. 08 * Sec. 7. AS 31.25.130(a) is amended to read: 09 (a) Except for AS 44.62.310 - 44.62.319 (Open Meetings Act), AS 44.62 10 (Administrative Procedure Act) does not apply to this chapter. The corporation shall 11 make available to members of the public copies of the regulations adopted under (b) - 12 (e) of this section. [WITHIN 45 DAYS AFTER ADOPTION, THE CHAIR OF THE 13 BOARD SHALL SUBMIT A REGULATION ADOPTED UNDER (b) - (e) OF THIS 14 SECTION TO THE CHAIR OF THE ADMINISTRATIVE REGULATION REVIEW 15 COMMITTEE UNDER AS 24.20.400 - 24.20.460.] 16 * Sec. 8. AS 37.13.206(g) is amended to read: 17 (g) A regulation adopted under this section takes effect immediately upon its 18 adoption by the board or at another time specified in the order of adoption. The 19 regulation shall be submitted to the lieutenant governor for publication in the Alaska 20 Administrative Code and Register. [WITHIN 45 DAYS AFTER ADOPTION OF A 21 REGULATION UNDER THIS SECTION, THE CORPORATION SHALL 22 PROVIDE A COPY OF THE ADOPTED REGULATION TO THE CHAIR OF THE 23 ADMINISTRATIVE REGULATION REVIEW COMMITTEE (AS 24.20.400).] 24 * Sec. 9. AS 38.35.190(a) is amended to read: 25 (a) AS 44.62.010 - 44.62.319 [AS 44.62.010 - 44.62.320], 44.62.640 and 26 44.62.950 apply to regulations adopted by the commissioner under the authority of 27 this chapter. 28 * Sec. 10. AS 42.40.920(b) is amended to read: 29 (b) Unless specifically provided otherwise in this chapter, the following laws 30 do not apply to the operations of the corporation: 31 (1) AS 19;

01 (2) AS 30.15; 02 (3) AS 35; 03 (4) AS 36.30, except as specifically provided in that chapter; 04 (5) AS 37.05, except as specifically provided in AS 37.05.210; 05 (6) AS 37.07; 06 (7) AS 37.10.010 - 37.10.060; 07 (8) AS 37.10.085; 08 (9) AS 37.20; 09 (10) AS 37.25; 10 (11) AS 38; 11 (12) AS 44.62.010 - 44.62.319 [AS 44.62.010 - 44.62.320]. 12 * Sec. 11. AS 44.62.020 is amended to read: 13 Sec. 44.62.020. Authority to adopt, administer, or enforce regulations. 14 Except for the authority conferred on [UPON] the lieutenant governor in 15 AS 44.62.130 - 44.62.170, AS 44.62.010 - 44.62.319 [AS 44.62.010 - 44.62.320] do 16 not confer authority on [UPON] or augment the authority of a state agency to adopt, 17 administer, or enforce a regulation. To be effective, each regulation adopted must be 18 within the scope of authority conferred and in accordance with standards prescribed by 19 other provisions of law. 20 * Sec. 12. AS 44.62.040(c) is amended to read: 21 (c) Before submitting the regulations and orders of repeal to the lieutenant 22 governor under (a) of this section, every state agency that by statute possesses 23 regulation making authority, except the Regulatory Commission of Alaska, the Board 24 of Fisheries, the Board of Game, the Alaska Oil and Gas Conservation Commission, 25 the office of victims' rights, and the office of the ombudsman, shall submit to the 26 governor for review a copy of every regulation or order of repeal adopted by the 27 agency, except regulations and orders of repeal identified in (a)(1) and (2) of this 28 section. The governor may review the regulations and orders of repeal received under 29 this subsection. The governor may return the regulations and orders of repeal to the 30 adopting agency before they are submitted to the lieutenant governor for filing under 31 (a) of this section within 30 days [(1)] if they are inconsistent with the faithful

01 execution of the laws [, OR (2) TO ENABLE THE ADOPTING AGENCY TO 02 RESPOND TO SPECIFIC ISSUES RAISED BY THE ADMINISTRATIVE 03 REGULATION REVIEW COMMITTEE]. The governor may not delegate the 04 governor's review authority under this subsection to a person other than the lieutenant 05 governor. 06 * Sec. 13. AS 44.62.190(a) is amended to read: 07 (a) At least 30 days before the adoption, amendment, or repeal of a regulation, 08 notice of the proposed action shall be 09 (1) published in the newspaper of general circulation or trade or 10 industry publication that the state agency prescribes and posted on the Alaska Online 11 Public Notice System; in the discretion of the state agency giving the notice, the 12 requirement of publication in a newspaper or trade or industry publication may be 13 satisfied by using a combination of publication and broadcasting; when broadcasting 14 the notice, an agency may use an abbreviated form of the notice if the broadcast 15 provides the name and date of the newspaper or trade or industry journal and the 16 Internet address of the Alaska Online Public Notice System where the full text of the 17 notice can be found; 18 (2) furnished to every person who has filed a request for notice of 19 proposed action with the state agency; 20 (3) if the agency is within a department, furnished to the commissioner 21 of the department; 22 (4) when appropriate in the judgment of the agency, 23 (A) furnished to a person or group of persons whom the agency 24 believes is interested in the proposed action; and 25 (B) published in the additional form and manner the state 26 agency prescribes; 27 (5) furnished to the Department of Law together with a copy of the 28 proposed regulation, amendment, or order of repeal for the department's use in 29 preparing the opinion required after adoption and before filing by AS 44.62.060; 30 (6) furnished by electronic format to all incumbent State of Alaska 31 legislators [, AND FURNISHED TO THE LEGISLATIVE AFFAIRS AGENCY;

01 (7) FURNISHED BY ELECTRONIC FORMAT, ALONG WITH A 02 COPY OF THE PROPOSED REGULATION, AMENDMENT, OR ORDER OF 03 REPEAL, AS REQUIRED BY AS 24.20.105(c)]. 04 * Sec. 14. AS 44.62.245(c) is amended to read: 05 (c) The state agency shall also send the notice described in (b)(2) of this 06 section to 07 (1) a person who has placed the person's name on a distribution list 08 kept by the agency that lists persons who want to receive the notice; the agency may 09 allow a person to request that distribution of the notice be by electronic means and 10 shall honor that request if appropriate means are available; and 11 (2) the regulations attorney in the Department of Law [; AND 12 (3) THE MEMBERS OF THE ADMINISTRATIVE REGULATION 13 REVIEW COMMITTEE]. 14 * Sec. 15. AS 44.62.290(a) is amended to read: 15 (a) AS 44.62.180 - 44.62.290 do not apply to a regulation not required to be 16 submitted to the lieutenant governor under AS 44.62.010 - 44.62.319 [AS 44.62.010 - 17 44.62.320]. 18 * Sec. 16. AS 44.62.300(a) is amended to read: 19 (a) An interested person may get a judicial declaration on the validity of a 20 regulation by bringing an action for declaratory relief in the superior court. In addition 21 to any other ground the court may declare the regulation invalid 22 (1) for a substantial failure to comply with AS 44.62.010 - 44.62.319 23 [AS 44.62.010 - 44.62.320]; or 24 (2) in the case of an emergency regulation or order of repeal, upon the 25 ground that the facts recited in the statement do not constitute an emergency under 26 AS 44.62.250. 27 * Sec. 17. AS 44.62.640(a) is amended to read: 28 (a) In AS 44.62.010 - 44.62.319 [AS 44.62.010 - 44.62.320], unless the 29 context otherwise requires, 30 (1) "lieutenant governor" means the office of the lieutenant governor in 31 the executive branch of the state government, or another agency designated by

01 executive order under the constitution; 02 (2) "order of repeal" means a resolution, order, or other official act of a 03 state agency that expressly repeals a regulation in whole or in part; 04 (3) "regulation" means every rule, regulation, order, or standard of 05 general application or the amendment, supplement, or revision of a rule, regulation, 06 order, or standard adopted by a state agency to implement, interpret, or make specific 07 the law enforced or administered by it, or to govern its procedure, except one that 08 relates only to the internal management of a state agency; "regulation" does not 09 include a form prescribed by a state agency or instructions relating to the use of the 10 form, but this provision is not a limitation upon a requirement that a regulation be 11 adopted under this chapter when one is needed to implement the law under which the 12 form is issued; "regulation" includes "manuals," "policies," "instructions," "guides to 13 enforcement," "interpretative bulletins," "interpretations," and the like, that have the 14 effect of rules, orders, regulations, or standards of general application, and this and 15 similar phraseology may not be used to avoid or circumvent this chapter; whether a 16 regulation, regardless of name, is covered by this chapter depends in part on whether it 17 affects the public or is used by the agency in dealing with the public; 18 (4) "state agency" means a department, office, agency, or other 19 organizational unit of the executive branch, except one expressly excluded by law, but 20 does not include an agency in the judicial or legislative branches of the state 21 government. 22 * Sec. 18. AS 44.62.710(a) is amended to read: 23 (a) The purpose of AS 44.62.710 - 44.62.800 is to establish a framework for 24 the conduct of negotiated regulation making consistent with AS 44.62.010 - 44.62.319 25 [AS 44.62.010 - 44.62.320]. Negotiated regulation making is not a substitute for the 26 requirements of AS 44.62.010 - 44.62.319 [AS 44.62.010 - 44.62.320] but may be 27 used as a supplemental procedure to permit the direct participation of affected interests 28 in the development of new regulations or the amendment or repeal of existing 29 regulations. A consensus agreement reached by a negotiated regulation making 30 committee may be modified by an agency head as a result of the subsequent regulation 31 making process. AS 44.62.710 - 44.62.800 may not be construed as an attempt to limit

01 innovation and experimentation with the negotiated regulation making process or to 02 limit other means to obtain public participation in the regulation making process. 03 * Sec. 19. AS 44.62.720(a) is amended to read: 04 (a) In addition to the regulation adoption requirements under AS 44.62.010 - 05 44.62.319 [AS 44.62.010 - 44.62.320], an agency head may determine that the use of a 06 negotiated regulation making committee to negotiate and develop a proposed 07 regulation is in the public interest. In making that determination, the agency head is 08 advised to consider whether 09 (1) there is a need for a regulation, including whether any legal action 10 is pending that might resolve the need; 11 (2) there are a limited number of identifiable interests that are held by 12 more than one person and that will be significantly affected by the regulation; 13 (3) there is a reasonable likelihood that a committee can be convened 14 with a balanced representation of persons who 15 (A) can adequately represent the interests identified under (2) 16 of this section; and 17 (B) are willing to negotiate in good faith to reach a consensus 18 on the proposed regulation; 19 (4) there is a reasonable likelihood that a committee will reach a 20 consensus on the proposed regulation within a fixed period of time; 21 (5) the negotiated regulation making procedure will not unreasonably 22 delay the adoption of the final regulation; 23 (6) the agency has adequate resources and is willing to commit those 24 resources, including technical assistance, to the committee; and 25 (7) the agency head, to the maximum extent possible consistent with 26 the legal or other obligations of the agency, will use the consensus of the committee as 27 the basis for the regulation proposed by the agency under AS 44.62.010 - 44.62.319 28 [AS 44.62.010 - 44.62.320]. 29 * Sec. 20. AS 44.62.740(e) is amended to read: 30 (e) A negotiated regulation making committee terminates upon adoption under 31 AS 44.62.010 - 44.62.319 [AS 44.62.010 - 44.62.320] of the final regulation under

01 consideration unless the agency head specifies an earlier termination date. 02 * Sec. 21. AS 44.62.790 is amended to read: 03 Sec. 44.62.790. Relationship to other requirements. The negotiated 04 regulation making authorized by AS 44.62.710 - 44.62.800 is in addition to the 05 procedures required under AS 44.62.010 - 44.62.319 [AS 44.62.010 - 44.62.320] for 06 adopting, amending, or repealing regulations, and, if an agency head decides to use 07 negotiated regulation making, the negotiated regulation making shall, where possible, 08 occur before the procedures under AS 44.62.010 - 44.62.319 [AS 44.62.010 - 09 44.62.320] begin. 10 * Sec. 22. AS 44.88.085(a) is amended to read: 11 (a) Except for AS 44.62.310 - 44.62.319 (Open Meetings Act), the provisions 12 of the Administrative Procedure Act regarding the adoption of regulations 13 (AS 44.62.040 - 44.62.319) [(AS 44.62.040 - 44.62.320)] do not apply to the 14 authority. The authority shall make available to members of the public copies of the 15 regulations adopted under this section. [WITHIN 45 DAYS AFTER ADOPTION OF 16 A REGULATION UNDER THIS SECTION, THE CHAIRMAN OF THE 17 AUTHORITY SHALL SUBMIT THE REGULATION ADOPTED TO THE 18 CHAIRMAN OF THE ADMINISTRATIVE REGULATION REVIEW 19 COMMITTEE UNDER AS 24.20.400 - 24.20.460.] 20 * Sec. 23. AS 24.05.182(b), 24.05.182(c), 24.05.182(d); AS 24.08.035(f)(2); AS 24.20.105, 21 24.20.400, 24.20.410, 24.20.420, 24.20.430, 24.20.440, 24.20.445, 24.20.450, 24.20.460; 22 AS 40.25.120(a)(11); and AS 44.62.320 are repealed.