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Bill Detail: HB19-1163

 

Title Reduce Regulatory Burden Rules On Businesses
Status Introduced In House - Assigned to Energy & Environment + Appropriations (01/30/2019)
Bill Subjects
  • State Government
House Sponsors T. Carver (R)
Senate Sponsors J. Smallwood (R)
J. Tate (R)
House Committee Energy and Environment
Senate Committee
Date Introduced 01/30/2019
Description

Prior to adopting rules under the State Administrative Procedure
Act (APA), a state agency (agency) is required to prepare a regulatory
flexibility analysis in which the agency considers using regulatory
methods that will accomplish the objectives of applicable statutes while
minimizing the adverse impact on small businesses. For purposes of the

regulatory flexibility analysis, the bill defines small business as a
business that is independently owned and operated and employs 100 or
fewer employees.
When preparing the regulatory flexibility analysis, an agency is
required to consider methods to reduce the impact on small businesses,
including the following:
  • Establishing less stringent compliance or reporting
requirements;
  • Establishing less stringent schedules or deadlines for
compliance or reporting requirements;
  • Consolidating or simplifying compliance or reporting
requirements;
  • Establishing different performance standards; and
  • Exempting small businesses from compliance
requirements.
The agency is also required to:
  • Determine the necessity for the proposed rules;
  • Identify the fiscal impact of the rules;
  • Identify and analyze the least costly alternatives to the rules
and adopt the least costly alternatives unless the agency
provides written justification for adopting a more costly
regulatory approach; and
  • Analyze whether small businesses should be exempted
from the rules or whether less burdensome rules should be
applied to small businesses and adopt exemptions or less
burdensome rules, unless the agency provides written
justification for a more burdensome regulatory approach.
The agency is required to file the regulatory flexibility analysis
with the secretary of state for publication in the Colorado register at the
same time that it files its notice of proposed rule-making and the draft of
proposed rules.
The existing provision in the APA on forming a representative
group to give input on proposed rules is amended to require an agency
proposing rules that are likely to have an impact on small businesses to
expand outreach to and actively solicit representatives of small businesses
to participate in the representative group and in the rule-making hearing
for the rules. The agency must make good faith efforts to expand outreach
and notification to small businesses that lack a trade association or
lobbyist to represent the types of small businesses impacted by the
proposed rules.
The executive director of the department of regulatory agencies
(executive director), or the executive director's designee, shall develop a
one-stop location on the department's website that provides a place for
small businesses and the public to access the regulatory flexibility
analyses that agencies prepare.
A small business that is adversely affected or aggrieved by the
failure of an agency to comply with the regulatory flexibility analysis
requirements may:
  • File a request with the executive director to require the
agency to prepare a cost-benefit analysis of the proposed
rules and to direct the agency to adjust the rule-making
schedule to allow for the preparation of the cost-benefit
analysis; or
  • Request a hearing on the matter before an administrative
law judge.

Committee Reports
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