Amendment ASA2-AB384

LRBs0177/2

MED:all

2017 - 2018 LEGISLATURE

ASSEMBLY SUBSTITUTE AMENDMENT 2, TO ASSEMBLY BILL 384

November 6, 2017 - Offered by Representatives Ballweg and Steineke.

AB384-ASA2,1,5 An Act to renumber 227.15 (3); to amend 13.56 (3), 227.114 (2) (intro.), 227.15 (7) and 990.01 (30m); and to create 35.93 (2) (b) 3. gm., 35.93 (2) (b) 3. gn., 35.93 (2) (b) 3. gp., 35.93 (2) (c) 2m., 35.93 (3) (g), 227.135 (1) (g), 227.137 (3) (h), 227.15 (3) (b), 227.225 and 227.31 of the statutes; relating to: informational materials published by an agency and the expiration of administrative rules.

Analysis by the Legislative Reference Bureau

This substitute amendment establishes a process for readopting each chapter of the administrative code every nine years. Under the substitute amendment, any chapter of the administrative code that is not readopted will expire nine years after promulgation.

Under current law, an agency may promulgate administrative rules when it is granted rule-making authority. Once promulgated, administrative rules remain in effect indefinitely unless repealed or amended by the agency or suspended by the Joint Committee for Review of Administrative Rules.

This substitute amendment provides that each chapter of the code expires nine years after a rule that creates or repeals and recreates the chapter takes effect, or after the chapter is readopted. The substitute amendment requires JCRAR to establish a schedule for the expiration or readoption of all existing code chapters that are in effect on the effective date of the substitute amendment. Under the substitute amendment, two years before a code chapter is set to expire, an agency must send a notice proposing to readopt the chapter to JCRAR and the appropriate standing committees of the legislature. If none of the members of JCRAR or the standing committees object to the readoption notice, the chapter is considered readopted without further action. If one or more members of JCRAR or either standing committee object to readoption of a chapter that is set to expire, JCRAR must meet as a whole and vote on whether to concur in the objection. If JCRAR votes to concur in the objection, the chapter expires on its expiration date unless the agency promulgates a rule to readopt the chapter using the standard rule-making process. Otherwise, the chapter is considered readopted without further action. Under the substitute amendment, JCRAR may extend the effective date of the chapter that is set to expire for up to one year to accommodate readoption of the chapter through the standard rule-making process.

This bill also requires an agency to provide a statutory or administrative rule citation for any statement or interpretation that the agency provides in its informational materials.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

AB384-ASA2,1 Section 1 . 13.56 (3) of the statutes is amended to read:

AB384-ASA2,2,3 13.56 (3) Powers and duties. The committee has the powers and duties specified under ss. 227.19, 227.225, 227.24 and 227.26.

AB384-ASA2,2 Section 2 . 35.93 (2) (b) 3. gm. of the statutes is created to read:

AB384-ASA2,2,6 35.93 (2) (b) 3. gm. Notices of readoption of Wisconsin administrative code chapters received under s. 227.225 (2) (a).

AB384-ASA2,3 Section 3 . 35.93 (2) (b) 3. gn. of the statutes is created to read:

AB384-ASA2,2,8 35.93 (2) (b) 3. gn. Objections to readoption notices under s. 227.225 (2) (e).

AB384-ASA2,4 Section 4 . 35.93 (2) (b) 3. gp. of the statutes is created to read:

AB384-ASA2,2,11 35.93 (2) (b) 3. gp. Statements of extension of Wisconsin administrative code chapters received under s. 227.225 (4) (c).

AB384-ASA2,5 Section 5 . 35.93 (2) (c) 2m. of the statutes is created to read:

AB384-ASA2,3,2 35.93 (2) (c) 2m. Chapters of the Wisconsin administrative code removed under sub. (3) (g).

AB384-ASA2,6 Section 6 . 35.93 (3) (g) of the statutes is created to read:

AB384-ASA2,3,6 35.93 (3) (g) On or after the date that a chapter of the Wisconsin administrative code expires under s. 227.225, the legislative reference bureau shall remove the chapter from the Wisconsin administrative code.

AB384-ASA2,7 Section 7 . 227.114 (2) (intro.) of the statutes is amended to read:

AB384-ASA2,3,10 227.114 (2) (intro.) When an agency proposes or revises promulgates a rule that may have an effect on small businesses, the agency shall consider each of the following methods for reducing the impact of the rule on small businesses:

AB384-ASA2,8 Section 8 . 227.135 (1) (g) of the statutes is created to read:

AB384-ASA2,3,13 227.135 (1) (g) If the rule is a rule to readopt a chapter of the code under s. 227.225 (3), a statement to that effect.

AB384-ASA2,9 Section 9 . 227.137 (3) (h) of the statutes is created to read:

AB384-ASA2,3,17 227.137 (3) (h) If the proposed rule seeks to readopt a chapter of the code under s. 227.225 (3), an analysis of how actual costs for the rule compare to a previous economic impact analysis, if any, for a rule affecting the chapter.

AB384-ASA2,10 Section 10 . 227.15 (3) of the statutes is renumbered 227.15 (3) (a).

AB384-ASA2,11 Section 11 . 227.15 (3) (b) of the statutes is created to read:

AB384-ASA2,4,2 227.15 (3) (b) When a proposed readoption notice for a chapter of the code under s. 227.225 (2) is before a standing committee of the legislature or the joint committee for review of administrative rules, the legislative council staff shall report to that committee on what actions, if any, were taken by standing committees or the joint committee for review of administrative rules the last time a readoption notice for that chapter was considered or a rule affecting that chapter of the code was before the legislature under s. 227.19.

AB384-ASA2,12 Section 12 . 227.15 (7) of the statutes is amended to read:

AB384-ASA2,4,7 227.15 (7) Rules procedures manual. The legislative council staff and the legislative reference bureau shall prepare a manual to provide agencies with information on drafting, promulgation and legislative review of rules. The manual shall prescribe the format for readoption rules under s. 227.225 (3).

AB384-ASA2,13 Section 13 . 227.225 of the statutes is created to read:

AB384-ASA2,4,10 227.225 Expiration and readoption of rules. (1) (a) Each chapter of the code expires on the January 1 of the 9th year after one of the following:

AB384-ASA2,4,13 1. The year in which a rule creating or repealing and recreating that chapter of the code took effect as provided in s. 227.22, unless the rule provides for an earlier repeal date.

AB384-ASA2,4,14 2. The year in which the chapter was readopted under sub. (2) (d) or (e).

AB384-ASA2,4,17 3. For a chapter that is readopted under sub. (3), the year after the year in which the readoption notice for that chapter was filed under sub. (2) (a), unless the readopted chapter provides for an earlier repeal date.

AB384-ASA2,4,21 (b) 1. Notwithstanding par. (a), a chapter of the code that was in effect on the effective date of this subdivision .... [LRB inserts date], and that is not repealed and recreated by a rule prior to January 1, 2030, shall expire in accordance with the schedule established under subd. 2. unless it is repealed earlier.

AB384-ASA2,5,3 2. The joint committee for review of administrative rules, in consultation with the affected agencies, shall, no later than December 1, 2018, establish a schedule for the expiration of all chapters described under subd. 1. The schedule may provide for the expiration of code chapters on any January 1 beginning with January 1, 2021, and ending with January 1, 2030. The joint committee for review of administrative rules shall have the schedule published on the legislature's Internet site and in the register and shall provide a copy of the schedule to each affected agency.

AB384-ASA2,5,5 (c) A change made by the legislative reference bureau under s. 13.92 (4) (b) does not affect a chapter's expiration date under par. (a) or (b).

AB384-ASA2,5,7 (d) This subsection does not apply to emergency rules promulgated under s. 227.24.

AB384-ASA2,5,19 (2) (a) No earlier than January 1 and no later than March 1 of the year that is 2 years before the expiration date of a chapter of the code under sub. (1), an agency shall submit a notice to the chief clerk of each house of the legislature and to the joint committee for review of administrative rules that it intends to readopt the chapter. The notice shall be submitted in triplicate. An agency may include multiple chapters in a given notice. The presiding officer of each house of the legislature shall, within 10 working days after the date on which the notice is received, direct the appropriate chief clerk to refer the notice to one standing committee and to enter a statement that a proposed code chapter readoption notice has been received in the journal of his or her house. The agency shall submit a copy of the notice, in an electronic format approved by the legislative reference bureau, to the legislative reference bureau for publication in the register. The notice shall contain all of the following:

AB384-ASA2,5,20 1. A brief statement explaining the basis and purpose of the chapter.

AB384-ASA2,5,23 1m. A statement as to whether the agency recommends that the chapter be readopted, readopted with changes through the rule-making process under sub. (3), or allowed to expire.

AB384-ASA2,6,2 2. A reference to each statute that is interpreted by any rules contained in the chapter, each statute that authorizes the promulgation of any rules contained in that chapter, and an explanation of the agency's authority to promulgate the rules contained in the chapter under those statutes.

AB384-ASA2,6,10 3. A statement as to whether all rules contained in the chapter are in compliance with the requirements under this subchapter and whether they are in need of revision due to changes to state or federal law or for any other reason. If any such revisions are needed, the notice shall also indicate what, if any, plans the agency has to revise the chapter. This statement may also contain a statement as to whether any statutorily required rules in the chapter are obsolete or have been rendered unnecessary and whether the agency recommends a statutory change so that the rules can be repealed.

AB384-ASA2,6,15 4. A list of all guidance documents that the agency has developed relating to the chapter. Upon request of any member of either standing committee to which the notice is referred or any member of the joint committee for review of administrative rules, the agency shall provide the member with a copy of any such guidance document.

AB384-ASA2,6,19 (b) Upon receipt of a readoption notice under par. (a), the chairperson or chairpersons of each standing committee and the joint committee for review of administrative rules shall provide a copy of the notice to each other member of the committee.

AB384-ASA2,6,22 (c) 1. The review period for each standing committee and the joint committee for review of administrative rules extends for 30 working days after the agency submits a readoption notice under par. (a).

AB384-ASA2,6,25 2. Any member of either standing committee or of the joint committee for review of administrative rules may object to readoption of a code chapter included in the notice within the review period under subd. 1.

AB384-ASA2,7,4 3. A member shall submit an objection under subd. 2. in writing to the chairperson or cochairpersons of the committee. The member shall specify which sections in a given chapter the member objects to and shall explain the reasons for his or her objection.

AB384-ASA2,7,8 4. If a committee member objects to the readoption of a code chapter, the chairperson or chairpersons of the committee shall provide a copy of the objection to each other committee that received the notice under par. (a), to the agency that submitted the notice, and to the legislative reference bureau.

AB384-ASA2,7,11 (d) If the review period under par. (c) 1. expires without a notice of objection being filed to a code chapter under par. (c) 2., the chapter shall be considered readopted for purposes of sub. (1) (a) without further action.