Administrative Rules; Repeal

Provides an expedited process for the repeal of obsolete or
unauthorized administrative rules.  Repeals administrative rules
that are unnecessary or obsolete.  (SD2)

HOUSE OF REPRESENTATIVES                H.B. NO.           H.D. 1
TWENTIETH LEGISLATURE, 2000                                S.D. 2
STATE OF HAWAII                                            

                   A  BILL  FOR  AN  ACT



 1      SECTION 1.  The legislature finds that the "slice waste and
 2 tape", or "SWAT", regulatory reform initiative is designed to
 3 improve state government by eliminating unnecessary, null and
 4 void, and overly complex administrative rules that deter economic
 5 development and hamper government efficiency.  The intent of this
 6 initiative is to reduce the burden of government regulation and
 7 minimize its negative effects on Hawaii's residents, businesses,
 8 the economy, and government operations. Strategies to achieve
 9 these objectives include such measures as improving public access
10 to rules, eliminating null and void rules, and reviewing and
11 overhauling the rulemaking process.
12      The legislature finds that in those cases in which an agency
13 seeks only to repeal certain administrative rules that are null
14 and void or unnecessary, the agency must comply with the same
15 lengthy process specified under the Hawaii Administrative
16 Procedure Act that is used when the agency seeks to adopt, amend,
17 or compile administrative rules.  That process requires giving
18 advanced notice, providing a public hearing, and distributing
19 copies of proposed rules to be adopted, amended, or repealed.
20 The legislature finds that with respect to the repeal of null and

Page 2                                                     2582
                                     H.B. NO.           H.D. 1
                                                        S.D. 2

 1 void or unnecessary rules, compliance with this time-consuming
 2 and cumbersome process unreasonably prolongs the inevitable
 3 repeal of those rules.
 4      Accordingly, the purpose of this Act is to reduce the number
 5 of administrative rules by specifying that where an agency seeks
 6 only to repeal as null and void or unnecessary certain specific
 7 sections, chapters, or subchapters of the Hawaii administrative
 8 rules, the agency need only publish a public notice of those
 9 sections, chapters, or subchapters that are being repealed,
10 without any accompanying description of those provisions, and
11 without the need for a public hearing.  Agencies that propose to
12 adopt, amend, or compile administrative rules, whether separately
13 or in combination with the repeal of rules, must continue to
14 comply with the existing requirements of the Administrative
15 Procedure Act.  The legislature finds that this Act will further
16 help to streamline government and increase government efficiency.
17      SECTION 2.  Section 91-3, Hawaii Revised Statutes, is
18 amended to read as follows:
19      "91-3   Procedure for adoption, amendment, or repeal of
20 rules.(a)  [Prior] Except as provided in subsection (f), prior
21 to the adoption of any rule authorized by law, or the amendment
22 or repeal thereof, the adopting agency shall:
23      (1)  Give at least thirty days' notice for a public hearing.

Page 3                                                     2582
                                     H.B. NO.           H.D. 1
                                                        S.D. 2

 1           The notice shall include:
 2           (A)  A statement of the topic of the proposed rule
 3                adoption, amendment, or repeal or a general
 4                description of the subjects involved; [and]
 5           (B)  A statement that a copy of the proposed rule to be
 6                adopted, the proposed rule amendment, or the rule
 7                proposed to be repealed will be mailed to any
 8                interested person who requests a copy, pays the
 9                required fees for the copy and the postage, if
10                any, together with a description of where and how
11                the requests may be made;
12           (C)  A statement of when, where, and during what times
13                the proposed rule to be adopted, the proposed rule
14                amendment, or the rule proposed to be repealed may
15                be reviewed in person; and
16           (D)  The date, time, and place where the public hearing
17                will be held and where interested persons may be
18                heard on the proposed rule adoption, amendment, or
19                repeal.
20                The notice shall be mailed to all persons who have
21           made a timely written request of the agency for advance
22           notice of its rulemaking proceedings, given at least
23           once statewide for state agencies and in the county for

Page 4                                                     2582
                                     H.B. NO.           H.D. 1
                                                        S.D. 2

 1           county agencies.  Proposed state agency rules shall
 2           also be posted on the Internet as provided in section
 3           91-2.6; and
 4      (2)  Afford all interested persons opportunity to submit
 5           data, views, or arguments, orally or in writing.  The
 6           agency shall fully consider all written and oral
 7           submissions respecting the proposed rule.  The agency
 8           may make its decision at the public hearing or announce
 9           then the date when it intends to make its decision.
10           Upon adoption, amendment, or repeal of a rule, the
11           agency, if requested to do so by an interested person,
12           shall issue a concise statement of the principal
13           reasons for and against its determination.
14      (b)  Notwithstanding the foregoing, if an agency finds that
15 an imminent peril to the public health, safety, or morals, or to
16 livestock and poultry health, requires adoption, amendment, or
17 repeal of a rule upon less than thirty days' notice of hearing,
18 and states in writing its reasons for such finding, it may
19 proceed without prior notice or hearing or upon such abbreviated
20 notice and hearing, including posting the abbreviated notice and
21 hearing on the Internet as provided in section 91-2.6, as it
22 finds practicable to adopt an emergency rule to be effective for
23 a period of not longer than one hundred twenty days without

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                                     H.B. NO.           H.D. 1
                                                        S.D. 2

 1 renewal.
 2      (c)  The adoption, amendment, or repeal of any rule by any
 3 state agency shall be subject to the approval of the governor.
 4 The adoption, amendment, or repeal of any rule by any county
 5 agency shall be subject to the approval of the mayor of the
 6 county.  This subsection shall not apply to the adoption,
 7 amendment, and repeal of the rules of the county boards of water
 8 supply.
 9      (d)  The requirements of subsection (a) may be waived by the
10 governor in the case of the State, or by the mayor in the case of
11 a county, whenever a state or county agency is required by
12 federal provisions to adopt rules as a condition to receiving
13 federal funds and the agency is allowed no discretion in
14 interpreting the federal provisions as to the rules required to
15 be adopted; provided that the agency shall make the adoption,
16 amendment, or repeal known to the public by:
17      (1)  Giving public notice of the substance of the proposed
18           rule at least once statewide prior to the waiver of the
19           governor or the mayor; and
20      (2)  Posting the full text of the proposed rulemaking action
21           on the Internet as provided in section 91-2.6.
22      (e)  No adoption, amendment, or repeal of any rule shall be
23 invalidated solely because of:

Page 6                                                     2582
                                     H.B. NO.           H.D. 1
                                                        S.D. 2

 1      (1)  The inadvertent failure to mail an advance notice of
 2           rulemaking proceedings;
 3      (2)  The inadvertent failure to mail or the nonreceipt of
 4           requested copies of the proposed rule to be adopted,
 5           the proposed rule amendment, or the rule proposed to be
 6           repealed; or
 7      (3)  The inadvertent failure on the part of a state agency
 8           to post on the website of the office of the lieutenant
 9           governor all proposed rulemaking actions of the agency
10           and the full text of the agency's proposed rules as
11           provided in section 91-2.6.
12 Any challenge to the validity of the adoption, amendment, or
13 repeal of an administrative rule on the ground of noncompliance
14 with statutory procedural requirements shall be forever barred
15 unless the challenge is made in a proceeding or action, including
16 an action pursuant to section 91-7, that is begun within three
17 years after the effective date of the adoption, amendment, or
18 repeal of the rule.
19      (f)  Whenever an agency seeks only to repeal one or more
20 sections, chapters, or subchapters of the agency's rules because
21 the rules are either obsolete or unauthorized, and not adopt,
22 amend, or compile any other rules, the agency, for the
23 convenience of the public, need only:

Page 7                                                     2582
                                     H.B. NO.           H.D. 1
                                                        S.D. 2

 1      (1)  Give 45 days' public notice at least once statewide of
 2           the proposed date of repeal and of:
 3           (A)  A list of the sections, chapters, or subchapters,
 4                as applicable, being repealed;
 5           (B)  A statement of when, where, and during what times
 6                the sections, chapters, or subchapters proposed to
 7                be repealed may be reviewed in person; and
 8           (C)  A statement of the reason for the proposed bill
 9                repeal;
10      (2)  Post the full text of the proposed sections, chapters,
11           or subchapters to be repealed on the Internet as
12           provided in section 91-2.6; and
13      (3)  Hold a public hearing if any person files a written
14           petition to hold a public hearing with the agency
15           seeking the repeal of a particular section, chapter, or
16           subchapter.
17      This subsection does not apply to the repeal of one or more
18 subsections, paragraphs, subparagraphs, clauses, words, phrases,
19 or other material within a section that does not constitute the
20 entire section to be repealed."
21      SECTION 3.  Notwithstanding any law to the contrary, the
22 following Hawaii Administrative Rules are hereby repealed, having
23 been found to be unnecessary.

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                                     H.B. NO.           H.D. 1
                                                        S.D. 2

 2           (A)  Title 1, chapter 3, Long-Term Care Service
 3                Development Fund; and
 4           (B)  Title 1, chapter 4, Renovation and Conversion of
 5                Existing Facilities for Long-Term Care Programs.
 7           Elections:
 8           Title 2, chapter 38, Adoption, Amendment, or Repeal of
 9           Rules by Chief Election Officer.
11           (A)  Title 3, chapter 11, Rules and Regulations for the
12                Administration and Accountability of Petty Cash
13                Funds; and
14           (B)  Title 3, chapter 12, Rules Governing the Reporting
15                of Funds Not Deposited in the State Treasury.
17           (A)  Title 4, chapter 3, Rules and Regulations
18                Governing the Kauai Planning and Development
19                Program;
20           (B)  Title 4, chapter 25, Meat Inspection; and
21           (C)  Title 4, chapter 26, Poultry Inspection.
23           (A)  Title 6, chapter 11, Veterans Loan Program;

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                                     H.B. NO.           H.D. 1
                                                        S.D. 2

 1           (B)  Title 6, chapter 100, General Provisions - Hawaii
 2                Information Network Corporation;
 3           (C)  Title 6, chapter 101, Marketing and Promotion
 4                Activities;
 5           (D)  Title 6, chapter 102, HAWAII INC Service Bureau;
 6                and
 7           (E)  Title 6, chapter 103, Hawaii FYI Electronic
 8                Services Gateway.
10           Title 10, chapter 100, Leases to Hawaiians.
12           (A)  Title 11, chapter 3, Physical Therapists;
13           (B)  Title 11, chapter 6, State Health Insurance
14                Program;
15           (C)  Title 11, chapter 14, Housing;
16           (D)  Title 11, chapter 16, Recreational Trailer Camps;
17           (E)  Title 11, chapter 30, Frozen Desserts;
18           (F)  Title 11, chapter 34, Poisons;
19           (G)  Title 11, chapter 42, Vehicular Noise Control for
20                Oahu; and
21           (H)  Title 11, chapter 158, Venereal Disease.
23           (A)  Title 12, chapter 1, except section 12-1-5,

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                                     H.B. NO.           H.D. 1
                                                        S.D. 2

 1                Petition for declaratory ruling; and
 2           (B)  Title 12, chapter 507, Aloha State Specialized
 3                Employment and Training Program.
 5           (A)  Title 13, chapter 2, Conservation Districts;
 6           (B)  Title 13, chapter 4, Waimanu Estuarine Sanctuary;
 7           (C)  Title 13, chapter 6, Conservation Districts;
 8           (D)  The following sections of Title 13, chapter 233,
 9                Motor Vehicle and Parking Rules:
10                (i)  Section 13-233-11, Vehicles or equipment,
11                     size, weight, and load restrictions;
12               (ii)  Section 13-233-12, Restrictions as to tire
13                     equipment;
14              (iii)  Section 13-233-21, Designation of parking
15                     meter stalls;
16               (iv)  Section 13-233-22, Placement and design of
17                     parking meters;
18                (v)  Section 13-233-23, Method of parking;
19               (vi)  Section 13-233-25, Operation of parking
20                     meters; and
21              (vii)  Section 41, Designation of parking stalls.
23           (A)  Title 16, chapter 2, Hawaii Temporary Disability

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                                     H.B. NO.           H.D. 1
                                                        S.D. 2

 1                Insurance Risk Spreading Plan;
 2           (B)  Title 16, chapter 4, Hawaii Insurance Guaranty
 3                Association Plan of Operation;
 4           (C)  Title 16, chapter 9, Licensing Examination Fees;
 5           (D)  Title 16, chapter 10, Unfair Discrimination Solely
 6                on the Basis of Blindness or Partial Blindness;
 7           (E)  Title 16, chapter 11, Multiple Peril Policy Rate
 8                Sheet;
 9           (F)  Title 16, chapter 12A, Medicare Supplement
10                Policies;
11           (G)  Title 16, chapter 12B, Transitional Requirements
12                for the Conversion of Medicare Supplement
13                Insurance Benefits and Premiums to Conform to
14                Repeal of Medicare Catastrophic Coverage Act; and
15           (H)  Title 16, chapter 173, Hawaii Property Insurance
16                Association.
18           (A)  Title 19, chapter 5, Service Charge for Dishonored
19                Negotiable Instruments at the Department of
20                Transportation; and
21           (B)  Title 19, chapter 28, Aircraft Noise Control.
22      SECTION 4.  Notwithstanding any law to the contrary, the
23 following administrative rules of the Hawaii Administrative Rules

Page 12                                                    2582
                                     H.B. NO.           H.D. 1
                                                        S.D. 2

 1 that are null and void are hereby repealed by virtue of the fact
 2 that they are already null and void:
 3      (1)  OFFICE OF THE LIEUTENANT GOVERNOR Administration:
 4           (A)  Title 2, chapter 29, Hawaii Criminal Justice
 5                Commission Administrative Practice and Procedure.
 7           (A)  Title 3, chapter 56, Rules Providing Value
 8                Engineering Incentives in Public Works Contracts.
10           (A)  Title 4, chapter 6, Orchards Development Program;
11           (B)  Title 4, chapter 7, Hawaii Agricultural Products
12                Program;
13           (C)  Title 4, chapter 10, The Independent Sugar Grower
14                Loan Program; and
15           (D)  Title 4, chapter 47, Agricultural Marketing Orders
16                and Agreements.
18           (A)  Title 6, chapter 15, Grants, Subsidies, and
19                Purchases of Service.
21           (A)  Title 11, chapter 141, Midwives.
23           (A)  Title 12, chapter 9, Work Incentive Program for

Page 13                                                    2582
                                     H.B. NO.           H.D. 1
                                                        S.D. 2

 1                AFDC Recipients;
 2           (B)  Title 12, chapter 23, Relating to Discriminatory
 3                Practices;
 4           (C)  Title 12, chapter 34, State Program for the
 5                Unemployed; and
 6           (D)  Title 12, chapter 35, Displaced Homemaker Program.
 8           (A)  Title 13, chapter 59, Kawaaloa-Moomomi Bays
 9                Subsistence Fishing Pilot Demonstration Project,
10                Molokai.
12           TOURISM:
13           (A)  Title 15, chapter 3, Fishing Vessel Loan Programs;
14           (B)  Title 15, chapter 7, Molokai Loan Program;
15           (C)  Title 15, chapter 13, The Hawaii State Plan Policy
16                Council; and
17           (D)  Title 15, chapter 14, Commission on Population and
18                the Hawaiian Future Rules of Practice and
19                Procedure.
21           (A)  Title 16, chapter 8, Patient's Compensation Fund;
22           (B)  Title 16, chapter 29, Branch Bank of University of
23                Hawaii Manoa Campus;

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                                     H.B. NO.           H.D. 1
                                                        S.D. 2

 1           (C)  Title 16, chapter 109, Factory-Built Housing;
 2           (D)  Title 16, chapter 111, Real Estate Collection
 3                Servicing Agents; and
 4           (E)  Title 16, chapter 316, Hawaiian Home Lands Trust
 5                Individual Claims Review Panel Administrative
 6                Practice and Procedure.
 8           (A)  Title 18, chapter 234, Natural Disaster Claims
 9                Commissions.
10      SECTION 5.  Notwithstanding section 91-3, Hawaii Revised
11 Statutes, or any other law to the contrary, no agency affected by
12 any section, chapter, or subchapter of the Hawaii Administrative
13 Rules that has been repealed by this Act shall be required to
14 give advanced public notice, provide a public hearing, distribute
15 copies of repealed rules, or take any other action required by
16 chapter 91, Hawaii Revised Statutes with respect to those
17 administrative rules that have been repealed by this Act.
18      SECTION 6.  All contracts entered into pursuant to
19 administrative rules that have been repealed by this Act shall
20 continue to be honored until their termination.  The provisions
21 of this Act shall not be applied so as to impair any contract
22 existing as of the effective date of this Act or to otherwise
23 violate either the Hawaii State Constitution or Article I,

Page 15                                                    2582
                                     H.B. NO.           H.D. 1
                                                        S.D. 2

 1 section 10, of the United States Constitution.
 2      SECTION 7.  Statutory material to be repealed is bracketed.
 3 New statutory material is underscored.
 4      SECTION 8.  This Act shall take effect upon its approval.