Add §§201-b & 202-g, St Ad Proc Act; add §68, Leg L; add §13, Exec L
Enacts the "regulatory fiscal accountability act of 2023"; requires every proposed rule, authorized by law and having a fiscal impact in excess of ten million dollars, to be approved by a two-thirds vote of each of the appropriate legislative committees; requires proposed rules and executive orders affecting political subdivisions to include fiscal notes.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A5749
SPONSOR: Slater TITLE OF BILL:
An act to amend the state administrative procedure act, the legislative
law and the executive law, in relation to requiring legislative commit-
tee approval of certain proposed rules and in relation to fiscal notes
on proposed rules and executive orders affecting political subdivisions
PURPOSE OR GENERAL IDEA OF BILL:
This bill enacts the "Regulatory Fiscal Accountability Act of 2023"
which would require approval by no less than two-thirds majority vote by
all members in each committee in the senate and assembly with jurisdic-
tion to consider proposed rules that will have a fiscal impact of $10
million or more, prior to beginning the rule making process under
section 202 of the state administrative procedure act.
SUMMARY OF PROVISIONS:
Section one establishes the short title, this act shall be known and may
be cited as the "Regulatory Fiscal Accountability Act of 2023".
Section two amends the state administrative procedure act by adding two
new sections 201-b and 202-f. Section 201-b, regarding fiscal notes on
proposed rules, establishes that each agency proposing a rule shall
attach a fiscal note to a proposed rule which would affect the revenues
or expenses, or both, of any political subdivision. Such fiscal notes
shall fully disclose the costs and source of funding for every provision
of the proposed rule which would affect the revenue or expenses of any
political subdivision. Fiscal notes shall not be required for proposed
rules which provide discretionary authority to political subdivisions.
Section 202-f establishes provisions regarding legislative approval.
This provision states that prior to the submission of a notice of
proposed rulemaking to the secretary of the state for publication in the
state register, an agency shall submit any proposed rule with a fiscal
impact in excess of $10 million, intended to implement legislation, to
the appropriate committees in the senate and assembly having jurisdic-
tion of the subject matter for their approval. No such rule shall take
effect unless it has been approved by a two-thirds majority vote of each
committee with jurisdiction to which it has been referred.
Section three amends the legislative law by adding a new section 68
regarding approval of legislative committees. The provision states that
state agencies intending to promulgate any rule with a fiscal impact in
excess of $10 million must submit such a proposed rule to the chair of
each appropriate committee in the senate and assembly for consideration
and approval of the proposed rule. The appropriate senate and assembly
committees shall have jurisdiction to consider and approve a proposed
rule, if that committee approved the bill that provides the statutory
authority for which the proposed rule is intended to implement. The
committees must consider the proposed rule during the first scheduled
committee meeting immediately following receipt of the proposed rule by
the committee chair. A vote to approve the proposed rule by no less than
two-thirds of all committee members, by every committee with jurisdic-
tion to consider and approve the proposed rule shall be required before
the state agency can proceed to propose the rule.
Section four amends the executive law by adding a new section 13 which
requires the governor to attach a fiscal note to every executive order
which would affect the revenues or expenses, or both, .of any political.
Such fiscal notes shall fully disclose the costs and source of funding
for every provision of the executive order which would affect the reven-
ue or expenses of any political subdivision. Fiscal notes shall not be
required by executive orders which provide discretionary authority to
Political subdivisions.
Section five establishes the effective date.
JUSTIFICATION:
For decades, state agencies have enacted rules and regulations that
greatly affect businesses and local governments. Too often, regulations
have been inconsistent with the legislative, intent of the statutes for
which the rules have been promulgated. Overregulation has hurt busi-
nesses and local governments and legislators, elected to represent the
people of this state, have not been allowed to curtail such burdensome
rule making.
This bill seeks to provide lawmakers with the ability to consider those
rules that will have a fiscal impact of at least ten million dollars and
to vote to approve, or deny such rules. This bill will place a much
needed check on state agencies that wish to promulgate costly rules and
regulations.
Pursuant to section 51 of the legislative law, fiscal impact notes for
legislation that will substantially affect revenue and/or expenses for
local governments, are required. Fiscal notes promote government trans-
parency and assist political subdivisions in planning for the fiscal
consequences of legislation. This bill seeks to further promote trans-
parency by requiring fiscal impact notes for all executive orders and
rules and regulations.
PRIOR LEGISLATIVE HISTORY:
2017-2018: S.304
2015-2016: A.10450/S.7725
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
None
EFFECTIVE DATE:
January 1, 2024
STATE OF NEW YORK
________________________________________________________________________
5749
2023-2024 Regular Sessions
IN ASSEMBLY
March 23, 2023
___________
Introduced by M. of A. SLATER -- read once and referred to the Committee
on Governmental Operations
AN ACT to amend the state administrative procedure act, the legislative
law and the executive law, in relation to requiring legislative
committee approval of certain proposed rules and in relation to fiscal
notes on proposed rules and executive orders affecting political
subdivisions
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Short title. This act shall be known and may be cited as
2 the "regulatory fiscal accountability act of 2023".
3 § 2. The state administrative procedure act is amended by adding two
4 new sections 201-b and 202-g to read as follows:
5 § 201-b. Fiscal notes on proposed rules. 1. For the purposes of this
6 section, the term "political subdivision" means any county, city, town,
7 village, special district or school district.
8 2. Each agency proposing a rule shall attach a fiscal note to a
9 proposed rule which would affect the revenues or expenses, or both, of
10 any political subdivision. Such fiscal notes shall fully disclose the
11 costs and source of funding of every provision of the proposed rule
12 which would affect the revenue or expenses of any political subdivision.
13 3. Fiscal notes shall not, however, be required for proposed rules
14 which provide discretionary authority to political subdivisions.
15 § 202-g. Legislative approval. In addition to the procedure required
16 pursuant to section two hundred two of this article and prior to the
17 submission of a notice of proposed rulemaking to the secretary of state
18 for publication in the state register, an agency shall submit any
19 proposed rule with a fiscal impact in excess of ten million dollars,
20 intended to implement legislation, to the appropriate committees in the
21 senate and assembly having jurisdiction of the subject matter for their
22 approval. No such rule shall take effect unless it has been approved by
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD09737-01-3
A. 5749 2
1 a two-thirds majority vote of each committee with jurisdiction to which
2 it has been referred.
3 § 3. The legislative law is amended by adding a new section 68 to read
4 as follows:
5 § 68. Approval of legislative committees. 1. State agencies intending
6 to promulgate any rule with a fiscal impact in excess of ten million
7 dollars must submit such a proposed rule to the chair of each appropri-
8 ate committee in the senate and assembly for consideration and approval
9 of the proposed rule.
10 2. The appropriate committees in the senate and assembly shall have
11 jurisdiction to consider and approve a proposed rule, if that committee
12 approved the bill that provides the statutory authority for which the
13 proposed rule is intended to implement.
14 3. The appropriate committees in the senate and assembly with juris-
15 diction to consider and approve a rule must consider the proposed rule
16 during the first scheduled committee meeting, immediately following
17 receipt of the proposed rule by the committee chair.
18 4. All members of the appropriate committees in the senate and assem-
19 bly shall be provided a copy of the proposed rule and be allowed suffi-
20 cient time to debate the merits of the proposed rule, including the
21 fiscal impact of the proposal and the need to promulgate the proposed
22 rule in order to implement the law as intended.
23 5. After the proposed rule has been debated and prior to conclusion of
24 the committee meeting, all members of the committee must vote to either
25 approve or reject the proposed rule.
26 6. The chair of the appropriate committee shall provide the results of
27 the committee vote to the state agency that provided the proposed rule.
28 7. A vote to approve a proposed rule by no less than two-thirds of all
29 committee members, by every committee with jurisdiction to consider and
30 approve the proposed rule, shall be required before the state agency can
31 proceed to propose the rule pursuant to section two hundred two of the
32 state administrative procedure act.
33 § 4. The executive law is amended by adding a new section 13 to read
34 as follows:
35 § 13. Fiscal notes on executive orders affecting political subdivi-
36 sions. 1. For the purposes of this section, the term "political subdivi-
37 sion" means any county, city, town, village, special district or school
38 district.
39 2. The governor shall attach a fiscal note to every executive order
40 which would affect the revenues or expenses, or both, of any political
41 subdivision. Such fiscal notes shall fully disclose the costs and source
42 of funding of every provision of the executive order which would affect
43 the revenue or expenses of any political subdivision.
44 3. Fiscal notes shall not, however, be required for executive orders
45 which provide discretionary authority to political subdivisions.
46 § 5. This act shall take effect on January 1, 2024.
