REPORT TITLE: 
Admin. Rules; Conformity


DESCRIPTION:
Ensures that whenever an administrative rule is adopted,
amended, or repealed, the rule conforms to the related statutes.
Gives head of the agency affected by administrative rules more
accountability for compliance and conformity to statutes.
Allows an interested party to appeal the adoption of a rule by
filing a petition for regulatory review under the Hawaii Small
Business Regulatory Flexibility Act (Act 168, SLH 1998).
Extends the sunset date of Act 168, SLH 1998, from June 30,
2002, to June 30, 2006.

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        2188 
HOUSE OF REPRESENTATIVES                H.B. NO.           
TWENTIETH LEGISLATURE, 2000                                
STATE OF HAWAII                                            
                                                             
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                     A BILL FOR AN ACT

RELATING TO ADMINISTRATIVE PROCEDURE.



BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 1      SECTION 1.  The legislature finds that under the current
 
 2 practice of the executive branch, a rule undergoes a series of
 
 3 reviews by several agencies, including the department of budget
 
 4 and finance, the department of business, economic development,
 
 5 and tourism, and the department of the attorney general, before
 
 6 it can actually be approved in its final form.  Final approval is
 
 7 issued by an executive memorandum.  The legislature finds that
 
 8 this practice is inefficient and recommends allowing a single
 
 9 department head to have the authority to sign off on a rule
 
10 without having to obtain the approval of multiple departments.
 
11      The purpose of this Act is to speed up the State's
 
12 rulemaking process by:
 
13      (1)  Ensuring that whenever an administrative rule is
 
14           adopted, amended, or repealed, the rule conforms to the
 
15           related statutes;
 
16      (2)  Giving the head of the agency affected by
 
17           administrative rules more accountability for compliance
 
18           and conformity to statutes;
 
19      (3)  Allowing an interested party to appeal the adoption of
 
20           a rule by filing a petition for regulatory review under
 

 
Page 2                                                     2188 
                                     H.B. NO.           
                                                        
                                                        

 
 1           the Hawaii Small Business Regulatory Flexibility Act,
 
 2           Act 168, Session Laws of Hawaii (SLH) 1998; and
 
 3      (4)  Extending the sunset date of Act 168, SLH 1998, from
 
 4           June 30, 2002, to June 30, 2006.
 
 5      SECTION 2.  Chapter 91, Hawaii Revised Statutes, is amended
 
 6 by adding a new section to be appropriately designated and to
 
 7 read as follows:
 
 8      "�91-     Rulemaking procedure.  (a)  When making, amending,
 
 9 or repealing rules, agencies shall comply with:
 
10      (1)  The requirements of this section; and
 
11      (2)  Applicable federal mandates.
 
12      (b)  Subject to the requirements of this chapter, each
 
13 agency shall develop and use flexible approaches in making,
 
14 amending, or repealing rules that meet the needs of the agency
 
15 and that involve persons affected by the agency's rules.  In
 
16 making, amending, or repealing rules, the head of the agency
 
17 shall assign a designated representative the responsibility of
 
18 ensuring that the rules are developed in concert with the spirit
 
19 and intent of the law.
 
20      (c)  After a public hearing has been held on any rule as
 
21 required by section 91-3, the proposed rule shall not be adopted
 
22 unless the head of the agency concurs that the proposed rule has
 
23 a rational nexus to the law and conforms to the letter, spirit,
 
24 and intent of the law.
 

 
Page 3                                                     2188 
                                     H.B. NO.           
                                                        
                                                        

 
 1      (d)  An interested party may appeal the adoption of a rule
 
 2 by filing a petition for regulatory review as provided for in
 
 3 section    -6 of the Hawaii Small Business Regulatory Flexibility
 
 4 Act, Act 168, Session Laws of Hawaii 1998."
 
 5      SECTION 3.  Section 91-3, Hawaii Revised Statutes, is
 
 6 amended by amending subsection (c) to read as follows:
 
 7      "(c)  The adoption, amendment, or repeal of any rule by any
 
 8 state agency shall be subject to the [approval of the governor.]
 
 9 the provisions of section 91-  .  The adoption, amendment, or
 
10 repeal of any rule by any county agency shall be subject to the
 
11 approval of the mayor of the county.  This subsection shall not
 
12 apply to the adoption, amendment, and repeal of the rules of the
 
13 county boards of water supply."
 
14      SECTION 4.  Act 168, Session Laws of Hawaii 1998, is amended
 
15 by amending section 5 to read as follows:
 
16      "SECTION 5.  This Act shall take effect on July 1, 1998, and
 
17 shall be repealed [as of] on June 30, [2002.] 2006."
 
18      SECTION 5.  Statutory material to be repealed is bracketed.
 
19 New statutory material is underscored.
 
20      SECTION 6.  This Act shall take effect upon its approval.
 
21 
 
22                           INTRODUCED BY:_________________________