AN ACT

 

1Amending Title 2 (Administrative Law and Procedure) of the
2Pennsylvania Consolidated Statutes, extensively revising
3provisions on practice and procedure and judicial review of
4administrative adjudications; and establishing the Office of
5Administrative Hearings.

6The General Assembly of the Commonwealth of Pennsylvania
7hereby enacts as follows:

8Section 1. Section 101 of Title 2 of the Pennsylvania
9Consolidated Statutes is amended by adding definitions to read:

10§ 101. Definitions.

11Subject to additional definitions contained in subsequent
12provisions of this title which are applicable to specific
13provisions of this title, the following words and phrases when
14used in this title shall have, unless the context clearly
15indicates otherwise, the meanings given to them in this section:

16* * *

17"Agency action." Any of the following:

18(1) The whole or part of an order or regulation.

19(2) The failure to issue an order or promulgate a
20regulation.

1(3) Performing or failing to perform a function required
2by law.

3"Agency head." The individual in whom, or one or more
4members of the body of individuals in which, the ultimate legal
5authority of an agency is vested.

6"Agency record." Any of the following:

7(1) The hearing record under section 506 (relating to
8hearing record).

9(2) The record for review compiled under section 707(b)
10(relating to agency record on judicial review; exceptions).

11* * *

12"Contested case." An adjudication in which an opportunity
13for an evidentiary hearing is required by the Constitution of
14the United States, a Federal statute, the Constitution of
15Pennsylvania or a statute.

16* * *

17"Electronic." Relating to technology having electrical,
18digital, magnetic, wireless, optical, electromagnetic or similar
19capabilities.

20"Emergency adjudication." An adjudication in a contested
21case when the public health, safety or welfare requires
22immediate action.

23"Evidentiary hearing." A hearing for the receipt of evidence
24on issues on which a decision of the presiding officer may be
25made in a contested case.

26* * *

27"Final agency action." An act of an agency which, as a 
28result of an administrative proceeding, imposes an obligation, 
29grants or denies a right, confers a benefit or determines a 
30legal relationship. The term does not include failure to act.

1"Final decision maker." The person with the power to issue a
2final order in an adjudication.

3"Final order." The order issued:

4(1) by the agency head sitting as the presiding officer
5in a contested case;

6(2) following the agency head review of a recommended
7order;

8(3) following the agency head review of an initial
9order; or

10(4) by the presiding officer when the presiding officer
11has been delegated final decisional authority with no
12subsequent agency head review.

13* * *

14"Index." A searchable list in a record of subjects and
15titles with page numbers, hyperlinks or other connectors which
16link each index entry to the text to which it refers.

17"Initial order." An order which:

18(1) is issued by a presiding officer with final
19decisional authority; but

20(2) is subject to discretionary review by the agency.

21* * *

22"Notice." A record containing information required to be
23sent to a person by this title.

24"Notify." To take steps reasonably required to inform a
25person, regardless of whether the person actually comes to know
26of the information.

27"Office." The Office of Administrative Hearings established
28in section 601 (relating to establishment and function).

29"Order." An agency decision that determines or declares the
30rights, duties, privileges, immunities or other interests of a

1specific person. The term includes a final order, an initial
2order and a recommended order.

3* * *

4"Proceeding." A formal or informal agency process commenced
5or conducted by an agency. The term includes an adjudication, a
6rulemaking and an investigation.

7"Recommended order." An order which:

8(1) is issued by a presiding officer without final
9decisional authority; and

10(2) is subject to review by the agency head.

11"Record." Information that is inscribed on a tangible medium
12or that is stored in an electronic or other medium and is
13retrievable in perceivable form.

14"Regulation." As follows:

15(1) The whole or a part of an agency statement of
16general applicability which:

17(i) implements, interprets or prescribes law or
18policy or the organization, procedure or practice
19requirements of an agency; and

20(ii) has the force of law.

21(2) The term includes the amendment or repeal of an
22existing regulation.

23(3) The term does not include any of the following:

24(i) A statement which:

25(A) concerns only the internal management of an
26agency; and

27(B) does not affect private rights or procedures
28available to the public.

29(ii) An intergovernmental or interagency memorandum,
30directive or communication which does not affect private

1rights or procedures available to the public.

2(iii) An opinion of the Attorney General.

3(iv) A statement which establishes criteria or
4guidelines if all of the following clauses apply:

5(A) The criteria or guidelines are to be used by
6the staff of an agency in:

7(I) performing audits, investigations or
8inspections;

9(II) settling commercial disputes;

10(III) negotiating commercial arrangements;
11or

12(IV) defending, prosecuting or settling
13cases.

14(B) Disclosure of the criteria or guidelines
15would enable persons violating the law to:

16(I) avoid detection;

17(II) facilitate disregard of requirements
18imposed by law; or

19(III) give an improper advantage to persons
20that are in an adverse position to the
21Commonwealth.

22(v) A form developed by an agency to implement or
23interpret agency law or policy.

24(vi) A guidance document.

25"Rulemaking." The process for the adoption of a new
26regulation or the amendment or deletion of an existing
27regulation.

28"Sign." With present intent to authenticate or adopt a
29record:

30(1) to execute or adopt a tangible symbol; or

1(2) to attach to or logically associate with the record
2an electronic symbol, sound or process.

3* * *

4"Writing." A record inscribed on a tangible medium.

5Section 2. Subchapter A of Chapter 5 of Title 2 is amended
6to read:

7SUBCHAPTER A

8PRACTICE AND PROCEDURE OF

9COMMONWEALTH AGENCIES

10[Sec.

11501. Scope of subchapter.

12502. Representation.

13503. Discipline.

14504. Hearing and record.

15505. Evidence and cross-examination.

16505.1. Interpreters for the deaf (Deleted by amendment).

17506. Briefs and oral argument.

18507. Contents and service of adjudications.

19508. Notice to Department of Justice.

20§ 501. Scope of subchapter.

21(a) General rule.--Except as provided in subsection (b),
22this subchapter shall apply to all Commonwealth agencies.

23(b) Exception.--None of the provisions of this subchapter
24shall apply to:

25(1) Proceedings before the Department of Revenue,
26Auditor General or Board of Finance and Revenue, involving
27the original settlement, assessment or determination or
28resettlement, reassessment or redetermination, review or
29refund of taxes, interest or payments made into the
30Commonwealth treasury.

1(2) Proceedings before the Secretary of the Commonwealth
2under the act of June 3, 1937 (P.L.1333, No.320), known as
3the Pennsylvania Election Code.

4(3) Proceedings before the Department of Transportation
5involving matters reviewable under 42 Pa.C.S. § 933 (relating
6to appeals from government agencies).

7(4) Proceedings before the State System of Higher
8Education involving student discipline.

9§ 502. Representation.

10Any party may be represented before a Commonwealth agency.

11§ 503. Discipline.

12Any Commonwealth agency may, upon hearing and good cause
13shown, preclude any person from practice before it.

14§ 504. Hearing and record.

15No adjudication of a Commonwealth agency shall be valid as to
16any party unless he shall have been afforded reasonable notice
17of a hearing and an opportunity to be heard. All testimony shall
18be stenographically recorded and a full and complete record
19shall be kept of the proceedings.

20§ 505. Evidence and cross-examination.

21Commonwealth agencies shall not be bound by technical rules
22of evidence at agency hearings, and all relevant evidence of
23reasonably probative value may be received. Reasonable
24examination and cross-examination shall be permitted.

25§ 506. Briefs and oral argument.

26All parties shall be afforded opportunity to submit briefs
27prior to adjudication by a Commonwealth agency. Oral argument
28upon substantial issues may be heard by the agency.

29§ 507. Contents and service of adjudications.

30All adjudications of a Commonwealth agency shall be in

1writing, shall contain findings and the reasons for the
2adjudication, and shall be served upon all parties or their
3counsel personally, or by mail.

4§ 508. Notice to Department of Justice.

5Before notice of any hearing leading to an adjudication is
6given by a Commonwealth agency (except the Pennsylvania Public
7Utility Commission), the agency shall submit the matter to its
8representative in the Department of Justice who shall pass upon
9the legality of the proposed action or defense. Failure of the
10agency to submit the matter to the department shall not
11invalidate any adjudication.]

12Sec.

13501. Scope of subchapter.

14502. Presiding officer.

15503. Procedure.

16504. Evidence.

17505. Notice in adjudication.

18506. Hearing record.

19507. Emergency adjudication procedure.

20508. Ex parte communications.

21509. Intervention.

22510. Subpoenas.

23511. Discovery.

24512. Default.

25513. Orders.

26514. Agency review of initial order.

27515. Agency review of recommended order.

28516. Reconsideration.

29517. Stay.

30518. Availability of orders; index.

1§ 501. Scope of subchapter.

2This subchapter applies to an adjudication made by an agency.

3§ 502. Presiding officer.

4(a) Requirement.--A presiding officer must be one of the
5following:

6(1) An administrative law judge.

7(2) The agency head.

8(b) Prohibition.--

9(1) This subsection applies to an individual who:

10(i) at any stage in a matter subject to an
11adjudication, has served as investigator, prosecutor or
12advocate; or

13(ii) is subject to the authority, direction or
14discretion of an individual identified in subparagraph
15(i).

16(2) Except as set forth in paragraph (3), an individual
17under paragraph (1) may not serve as the presiding officer in
18an adjudication of the matter.

19(3) An agency head who has participated in a
20determination of probable cause or other preliminary
21determination in an adjudication may serve as the presiding
22officer or final decision maker in the adjudication unless a
23party demonstrates grounds for disqualification under
24subsection (c).

25(c) Disqualification.--

26(1) A presiding officer or agency head acting as a final
27decision maker is subject to disqualification for:

28(i) bias;

29(ii) prejudice;

30(iii) financial interest;

1(iv) violation of section 508 (relating to ex parte
2communications); or

3(v) any other factor which would cause a reasonable
4person to question the impartiality of the presiding
5officer or agency head.

6(2) A presiding officer or agency head, after making a
7reasonable inquiry, shall disclose to the parties any known
8facts related to grounds for disqualification which are
9material to the impartiality of the presiding officer or
10agency head in the proceeding.

11(d) Petition for the disqualification.--

12(1) A party must petition for the disqualification of a
13presiding officer or agency head:

14(i) upon notice that the individual will preside; or

15(ii) upon discovering facts establishing a ground
16for disqualification.

17(2) The petition must state with particularity the
18ground on which it is claimed that a fair and impartial
19hearing cannot be accorded or the applicable rule or canon of
20practice or ethics that requires disqualification.

21(3) The petition may be denied if the party fails to
22exercise due diligence in requesting disqualification after
23discovering a ground for disqualification.

24(e) Decision on disqualification.--A presiding officer or
25agency head whose disqualification is requested shall decide
26whether to grant the petition and state in a record facts and
27reasons for the decision. The decision to deny disqualification
28is not subject to interlocutory judicial review.

29(f) Substitute presiding officer.--If a substitute presiding
30officer is required, the substitute shall be appointed by:

1(1) the Governor, if the original presiding officer is
2an elected official; or

3(2) the appointing authority, if the original presiding
4officer is an appointed official.

5(g) Participation of agency head.--If participation of the
6agency head is necessary to enable the agency to take action,
7the agency head may continue to participate notwithstanding a
8ground for disqualification or exclusion.

9§ 503. Procedure.

10(a) Scope.--

11(1) Except as set forth in paragraph (2), this section
12states the procedural requirements for an adjudication.

13(2) This section does not apply to an adjudication under
14section 507 (relating to emergency adjudication procedure).

15(b) Notice.--

16(1) An agency shall give notice of the agency decision
17to a person when the agency takes an action as to which the
18person has a right to a hearing.

19(2) The notice must:

20(i) be in writing;

21(ii) set forth the agency action;

22(iii) inform the person of the right, procedure and
23time limit to file a pleading; and

24(iv) provide a copy of the agency procedures
25governing the adjudication.

26(c) Authority of presiding officer.--

27(1) The presiding officer shall give all parties a
28timely opportunity to file pleadings, motions and objections.

29(2) The presiding officer may give all parties the
30opportunity to file:

1(i) briefs;

2(ii) proposed findings of fact and conclusions of
3law; and

4(iii) proposed recommended orders, initial orders
5and final orders.

6(3) The presiding officer, with the consent of all
7parties, may refer the parties in an adjudication to
8mediation or other dispute resolution procedure.

9(d) Duty of presiding officer.--To the extent necessary for
10full disclosure of all relevant facts and issues, the presiding
11officer shall give all parties the opportunity to do all of the
12following:

13(1) Respond.

14(2) Present evidence and argument.

15(3) Conduct cross-examination.

16(4) Submit rebuttal evidence.

17(e) Means for conduct of hearing.--

18(1) Except as otherwise provided by law other than this
19title, the presiding officer may conduct all or part of an
20evidentiary hearing or a prehearing conference by telephone,
21television, video conference or other electronic means. The
22hearing may be conducted by telephone or other method by
23which the witnesses may not be seen only if all parties
24consent or the presiding officer finds that this method will
25not impair reliable determination of the credibility of
26testimony.

27(2) Each party shall be given an opportunity to attend,
28hear and be heard at the proceeding as it occurs.

29(3) This subsection does not prevent an agency from
30providing by regulation for electronic hearings.

1(f) Open to the public.--Except as otherwise provided in
2subsection (g), a hearing shall be open to the public. A hearing
3conducted by telephone, television, video conference or other
4electronic means is open to the public if members of the public
5have an opportunity to attend the hearing at the place where the
6presiding officer is located or to hear the proceeding as it
7occurs.

8(g) Closing of a hearing.--A presiding officer may close a
9hearing to the public:

10(1) on a ground on which a court could close a judicial
11proceeding to the public; or

12(2) under a statute other than this title.

13(h) Rights of parties.--Unless prohibited by statute other
14than this title, a party, at the party's expense, may be
15represented by counsel or may be advised, accompanied or
16represented by another individual.

17(i) Hearing record.--

18(1) A presiding officer shall ensure that a hearing
19record is established. The hearing record must contain all of
20the following:

21(i) A recording of the proceeding.

22(ii) Notice of the proceeding.

23(iii) Prehearing orders.

24(iv) Motions, pleadings, briefs, petitions, requests
25and intermediate rulings.

26(v) Evidence admitted.

27(vi) A statement of a matter officially noticed.

28(vii) A proffer of proof and objection and ruling on
29the objection.

30(viii) Any proposed finding, requested order and

1exception.

2(ix) A transcript under paragraph (2).

3(x) Any recommended order, final order or order on
4reconsideration.

5(xi) A matter placed on the hearing record under
6section 508(f) (relating to ex parte communications).

7(2) The agency may prepare a transcript of the
8proceeding.

9(j) Basis of decision.--

10(1) The decision in an adjudication must be based on the
11hearing record and contain a statement of the factual and
12legal bases of the decision.

13(2) If a finding of fact is set forth in language of a
14statute other than this title, it must be accompanied by a
15concise and explicit statement of the underlying facts
16supporting the finding of fact.

17(3) The decision shall be prepared electronically and,
18on request, made available in writing.

19(k) Protection of party rights.--The following may include
20provisions more protective than the requirements of this section
21of the rights of parties other than the agency:

22(1) Regulations by which an agency conducts an
23adjudication.

24(2) The provisions of 1 Pa. Code Pt. II (relating to
25general rules of administrative practice and procedure).

26(l) Case disposition.--Unless prohibited by statute other
27than this title, an agency may dispose of an adjudication
28without a hearing by stipulation, agreed settlement, consent
29order or default.

30§ 504. Evidence.

1The following apply:

2(1) Except as otherwise provided in paragraph (2), all
3relevant evidence is admissible, including hearsay evidence,
4if it is of a type commonly relied on by a reasonably prudent
5individual in the conduct of the affairs of the individual.

6(2) Exclusion of evidence is as follows:

7(i) This paragraph applies to evidence which is:

8(A) irrelevant, immaterial or unduly
9repetitious; or

10(B) excludable on:

11(I) constitutional grounds;

12(II) statutory grounds; or

13(III) the basis of a judicially recognized
14evidentiary privilege.

15(ii) The presiding officer may exclude evidence
16subject to subparagraph (i) in the absence of an
17objection.

18(iii) The presiding officer shall exclude evidence
19subject to subparagraph (i) if objection is made at the
20time the evidence is offered.

21(3) If the presiding officer excludes evidence with or
22without objection, the offering party may make an offer of
23proof before further evidence is presented or at a later time
24determined by the presiding officer.

25(4) Evidence may be received in a hearing record if
26doing so will expedite the hearing without substantial
27prejudice to a party. Documentary evidence may be received in
28the form of a copy if the original is not readily available
29or by incorporation by reference. On request, parties shall
30be given an opportunity to compare the copy with the

1original.

2(5) Testimony shall be made under oath or affirmation.

3(6) Evidence shall be made part of the hearing record.
4Information or evidence may not be considered in determining
5the case unless it is part of the hearing record. If the
6hearing record contains information which is confidential,
7the presiding officer may do all of the following:

8(i) Conduct a closed hearing to discuss the
9information.

10(ii) Issue a necessary protective order.

11(iii) Seal all or part of the hearing record.

12(7) The presiding officer may take official notice of
13facts of which judicial notice may be taken and of
14scientific, technical or other facts within the specialized
15knowledge of the agency. A party shall be notified at the
16earliest practicable time of the facts proposed to be noticed
17and their source, including staff memoranda or data. The
18party shall be afforded an opportunity to contest any
19officially noticed fact before the decision becomes final.

20(8) The experience, technical competence and specialized
21knowledge of the presiding officer may be used in evaluating
22the evidence in the hearing record.

23§ 505. Notice in adjudication.

24(a) Requirement.--Except as otherwise set forth in section
25507 (relating to emergency adjudication procedure), an agency
26shall give notice which complies with this section.

27(b) Contents.--

28(1) In an adjudication initiated by a person other than
29an agency, not later than five days after filing, the agency
30shall give notice to all parties that the case has been

1commenced. The notice must contain all of the following:

2(i) The official file or other reference number, the
3name of the proceeding and a general description of the
4subject matter.

5(ii) Contact information for communicating with the
6agency. This subparagraph includes the agency mailing
7address, electronic mail address, facsimile number and
8telephone number.

9(iii) A statement of the date, time, place and
10nature of a prehearing conference or hearing.

11(iv) The name, official title, mailing address,
12electronic mail address, facsimile number and telephone
13number of an attorney or employee who has been designated
14to represent the agency.

15(v) The names and last known addresses of all
16parties and other persons that are being given notice by
17the agency.

18(vi) Other matters that the presiding officer
19considers desirable to expedite the proceedings.

20(2) In an adjudication initiated by an agency, the
21agency shall give notice to the party against which the
22action is brought. The notice must contain all of the
23following:

24(i) A statement that a case that may result in an
25order has been commenced against the party.

26(ii) A short and plain statement of the matters
27asserted. This subparagraph includes a statement of the
28issues involved.

29(iii) A statement of the legal authority under which
30the hearing will be held citing statutes and regulations

1involved.

2(iv) The official file or other reference number and
3the name of the proceeding.

4(v) The name, official title, mailing address,
5electronic mail address, facsimile number and telephone
6number of the presiding officer of the agency's
7representative.

8(vi) A statement that a party that fails to attend
9or participate in a subsequent proceeding in the case may
10be held in default.

11(vii) A statement that the party served may request
12a hearing. This subparagraph includes instructions about
13how to request a hearing.

14(viii) The names and last known addresses of all
15parties and other persons that are being given notice by
16the agency.

17(ix) Other matters that the presiding officer
18considers desirable to expedite the proceedings.

19(c) Hearings and conferences.--When a hearing or prehearing
20conference is scheduled, the agency shall give parties notice
21which contains the information required by subsection (b) at
22least 30 days before the hearing or prehearing conference.

23§ 506. Hearing record.

24(a) Retention.--An agency shall maintain the hearing record
25under section 503(i) (relating to procedure).

26(b) Basis.--The hearing record constitutes the exclusive
27basis for agency action in an adjudication.

28§ 507. Emergency adjudication procedure.

29(a) Authorization.--Unless prohibited by statute other than
30this title, an agency may conduct an emergency adjudication in

1an adjudication under this section.

2(b) Justification.--An agency may take action and issue an
3order under this section only to deal with an imminent peril to
4the public health, safety or welfare.

5(c) Due process.--Before issuing an order under this
6section, an agency, if practicable, shall give notice and an
7opportunity to be heard to the person to which the agency action
8is directed. The notice of the hearing and the hearing may be
9oral or written and may be by telephone, facsimile or other
10electronic means.

11(d) Order.--An order issued under this section must briefly
12explain the factual and legal reasons for using emergency
13adjudication procedures.

14(e) Notice of order.--An agency must give notice to the
15person to whom the agency action is directed that an order has
16been issued.

17(f) Hearing.--After issuing an order under this section, an
18agency shall proceed as soon as practicable to provide notice
19and an opportunity for a hearing following the procedure under
20section 503 (relating to procedure) to determine the issues
21underlying the order.

22(g) Effectiveness.--

23(1) An order under this section takes effect when signed
24by the agency head or the designee of the agency head.

25(2) An order issued under this section terminates upon
26the earlier of:

27(i) 180 days after it takes effect under paragraph
28(1); or

29(ii) the termination date specified in the order.

30§ 508. Ex parte communications.

1(a) Scope.--For the purpose of this section, an adjudication
2is pending from the earlier of:

3(1) the issuance of the agency's pleading; or

4(2) an application for an agency decision.

5(b) Due process.--While an adjudication is pending under
6subsection (a), all of the following apply:

7(1) Except as set forth in paragraph (3) or in
8subsection (c), (d) or (e), the presiding officer may not
9communicate with any person concerning the case without
10notice and opportunity for all parties to participate in the
11communication.

12(2) Except as set forth in paragraph (3) or in
13subsection (c), (d) or (e), the final decision maker may not
14communicate with any person concerning the case without
15notice and opportunity for all parties to participate in the
16communication.

17(3) If a presiding officer is a member of a multimember
18body of individuals who constitute the agency head, the
19presiding officer may communicate with the other members of
20that body when sitting as the presiding officer and final
21decision maker.

22(c) Statutory authorization or uncontested procedure.--A
23presiding officer or final decision maker may communicate about
24a pending adjudication if any of the following apply:

25(1) The communication is required for the disposition of
26ex parte matters authorized by statute.

27(2) The communication concerns an uncontested procedural
28issue.

29(d) Legal and ministerial communications.--A presiding
30officer or final decision maker may communicate about a pending

1adjudication if all of the following paragraphs apply:

2(1) The communication:

3(i) is with an individual authorized by law to
4provide legal advice to the presiding officer or final
5decision maker; or

6(ii) is on ministerial matters with an individual
7who serves on the administrative staff of the presiding
8officer or final decision maker.

9(2) The individual referred to in paragraph (1) has not
10served as investigator, prosecutor or advocate in any stage
11of the case.

12(3) The communication does not augment, diminish or
13modify the evidence in the hearing record.

14(e) Staff communications.--An agency head who is the
15presiding officer or final decision maker in a pending
16adjudication may communicate about that case with an employee or
17representative of the agency if all of the following paragraphs
18apply:

19(1) The employee or representative has not served as
20investigator, prosecutor or advocate at any stage of the
21case.

22(2) The employee or representative has not otherwise had
23a communication with any person about the case other than a
24communication authorized under subsection (c) or (d) or this
25subsection.

26(3) The communication does not augment, diminish or
27modify the evidence in the hearing record.

28(4) The communication is:

29(i) an explanation of the technical or scientific
30basis of, or technical or scientific terms in, the

1evidence in the hearing record;

2(ii) an explanation of the precedent, policies or
3procedures of the agency; or

4(iii) a communication which does not address:

5(A) the quality, sufficiency or weight of the
6evidence in the hearing record; or

7(B) the credibility of witnesses.

8(f) Documentation.--If a presiding officer or final decision
9maker makes or receives a communication in violation of this
10section, the following apply:

11(1) If the communication is in a record, the presiding
12officer or final decision maker shall do all of the
13following:

14(i) Make the record of the communication a part of
15the hearing record.

16(ii) Prepare and make part of the hearing record a
17memorandum which contains:

18(A) the response of the presiding officer or
19final decision maker to the communication; and

20(B) the identity of the person that
21communicated.

22(2) If the communication is oral, the presiding officer
23or final decision maker shall prepare a memorandum which
24contains:

25(i) the substance of the verbal communication;

26(ii) the response of the presiding officer or final
27decision maker to the communication; and

28(iii) the identity of the person that communicated.

29(g) Response.--If a communication prohibited by this section
30is made, the presiding officer or final decision maker:

1(1) shall notify all parties of the prohibited
2communication;

3(2) shall permit parties to respond in a record not
4later than 15 days after the notice is given; and

5(3) for good cause, may permit additional testimony in
6response to the prohibited communication.

7(h) Remedial action.--If necessary to eliminate the effect
8of a communication received in violation of this section, all of
9the following apply:

10(1) The presiding officer or final decision maker may be
11disqualified under section 502(c) (relating to presiding
12officer).

13(2) The parts of the hearing record pertaining to the
14communication may be sealed by protective order.

15(3) Other appropriate relief may be granted. This
16paragraph includes an adverse ruling on the merits of the
17case or dismissal of the application.

18§ 509. Intervention.

19(a) Mandatory.--A presiding officer shall grant a timely
20petition for intervention in an adjudication, with notice to all
21parties, if any of the following apply:

22(1) The petitioner has a right under statute other than
23this title to initiate or to intervene in the case.

24(2) The petitioner has an interest which may be
25adversely affected by the outcome of the case, and that
26interest is not adequately represented by existing parties.

27(b) Discretionary.--Subject to subsection (d), a presiding
28officer may grant a timely petition for intervention in an
29adjudication, with notice to all parties, if any of the
30following apply:

1(1) The petitioner has a permissive right to intervene
2under statute other than this title.

3(2) The petitioner's claim or defense is based on the
4same transaction or occurrence as the case.

5(c) Conditions.--A presiding officer may impose conditions
6at any time on an intervener's participation in the
7adjudication.

8(d) Provisional intervention.--A presiding officer may
9permit intervention under subsection (b) provisionally and, at
10any time later in the adjudication or at the end of the case,
11may revoke the provisional intervention.

12(e) Hearing.--The presiding officer may hold a hearing on
13the intervention petition on:

14(1) request by:

15(i) a petitioner; or

16(ii) a party;

17(2) volition of the presiding officer.

18(f) Notice.--A presiding officer shall promptly give notice
19of an order granting, denying or revoking intervention to the
20petitioner for intervention and to the parties. The notice must
21allow parties a reasonable time to prepare for the hearing on
22the merits.

23§ 510. Subpoenas.

24(a) Issuance.--On a request in a hearing record by a party
25in an adjudication, the presiding officer, on a showing of
26general relevance and reasonable scope of the evidence sought
27for use at the hearing, shall issue a subpoena for the
28attendance of a witness and the production of books, records and
29other documentary evidence.

30(b) Enforcement.--If a party does not comply with a

1subpoena, the agency may do any of the following:

2(1) Seek an injunction in Commonwealth Court to enforce
3the subpoena.

4(2) Impose sanctions similar to those under Pa.R.C.P.
5No. 4019 (relating to sanctions).

6§ 511. Discovery.

7(a) Scope.--This section does not apply to a hearing under
8section 507 (relating to emergency adjudication procedure).

9(b) Authorization.--

10(1) Unless otherwise provided by agency regulation under
11subsection (e), a party, on written notice to another party
12at least 30 days before an evidentiary hearing, may do all of
13the following:

14(i) Obtain the names and addresses of witnesses the
15other party will present at the hearing to the extent
16known to the other party.

17(ii) Inspect and copy any of the following material
18in the possession, custody or control of the other party:

19(A) Evidence the other party proposes to offer.

20(B) Statements of parties and witnesses proposed
21to be called by the other party.

22(C) Records, including reports of mental,
23physical and blood examinations.

24(D) Investigative reports made by or on behalf
25of the agency or other party pertaining to the
26subject matter of the adjudication.

27(E) Exculpatory material in the possession of
28the agency.

29(F) Other materials for good cause.

30(2) Parties to an adjudication shall supplement

1responses under paragraph (1) to include information acquired
2after the case, to the extent that the information will be
3relied on in the hearing.

4(c) Protective orders.--On petition, the presiding officer
5may issue a protective order as to discovery of any of the
6following:

7(1) Material which, by statute other than this title, is
8exempt, privileged or otherwise made confidential or
9protected from disclosure.

10(2) Material the disclosure of which would result in
11annoyance, embarrassment, oppression or undue burden or
12expense to a person.

13(d) Compulsion.--

14(1) On petition, the presiding officer shall issue an
15order compelling discovery for refusal to comply with a
16discovery request unless good cause exists for refusal.

17(2) If a party does not comply with an order under
18paragraph (1), the agency may do any of the following:

19(i) Seek an injunction in Commonwealth Court to
20enforce the subpoena.

21(ii) Impose sanctions similar to those under
22Pa.R.C.P. No. 4019 (relating to sanctions).

23(e) Exemptions.--An agency may provide by regulation that
24some or all discovery procedures under this section do not apply
25to a specified program or category of cases if it finds all of
26the following:

27(1) Availability of discovery would unduly complicate or
28interfere with the hearing process in its regulatory program,
29because of the volume of the applicable caseload and the need
30for expedition and informality in that process.

1(2) Alternative procedures for the sharing of relevant
2information are sufficient to ensure the fundamental fairness
3of the proceedings.

4(f) Definition.--As used in this section, the term
5"statement" includes a record of a person's written statement
6signed by the person and a record which summarizes an oral
7statement made by the person.

8§ 512. Default.

9(a) Authorization.--Unless otherwise provided by statute
10other than this title, if a party without good cause fails to
11attend or participate in a prehearing conference or hearing in
12an adjudication, the presiding officer may issue a default
13order.

14(b) Effect.--If a default order is issued, the presiding
15officer:

16(1) may conduct any further proceedings necessary to
17complete the adjudication without the defaulting party; and

18(2) shall determine all issues in the adjudication,
19including those affecting the defaulting party.

20(c) Basis of order.--

21(1) A recommended order, an initial order or a final
22order issued against a defaulting party may be based on the
23defaulting party's admissions or other evidence which may be
24used without notice to the defaulting party.

25(2) If the burden of proof is on the defaulting party to
26establish that the party is entitled to the agency action
27sought, the presiding officer may issue a recommended order,
28an initial order or a final order without taking evidence.

29(d) Vacation of order.--

30(1) Not later than 15 days after notice to a party

1subject to a default order that a recommended order, an
2initial order or a final order has been rendered against the
3party, the party must petition the presiding officer to
4vacate the recommended order, initial order or final order.

5(2) After a petition under paragraph (1), the following
6apply:

7(i) If good cause is shown for the party's failure
8to appear, the presiding officer shall:

9(A) vacate the decision; and

10(B) after proper service of notice, conduct
11another evidentiary hearing.

12(ii) If good cause is not shown for the party's
13failure to appear, the presiding officer shall deny the
14motion to vacate.

15§ 513. Orders.

16(a) Final orders.--If the presiding officer is the agency
17head, the presiding officer shall issue a final order.

18(b) Recommended and initial orders.--Except as otherwise
19provided by statute other than this title, the following apply:

20(1) The presiding officer shall issue a recommended
21order if the presiding officer:

22(i) is not the agency head; and

23(ii) has not been delegated final decisional
24authority.

25(2) The presiding officer shall issue an initial order
26if the presiding officer:

27(i) is not the agency head; and

28(ii) has been delegated final decisional authority.

29(3) An initial order under paragraph (2) shall become a
30final order 30 days after issuance unless the order is

1reviewed by the agency head on:

2(i) the initiative of the agency head under section
3514(a) (relating to agency review of initial order); or

4(ii) petition of a party under section 514(b).

5(c) Contents.--

6(1) A recommended order, an initial order or a final
7order shall separately state all of the following:

8(i) Findings of fact on material issues. The
9presiding officer may permit a party to submit proposed
10findings of fact under this subparagraph.

11(ii) Conclusions of law on material issues. The
12presiding officer may permit a party to submit proposed
13conclusions of law under this subparagraph.

14(iii) Exercise of discretion.

15(iv) Remedy prescribed.

16(v) Action taken on a petition for a stay.

17(vi) Available procedures and time limits for
18seeking reconsideration or other administrative relief.

19(vii) Time limits for seeking judicial review.

20(2) A recommended order or an initial order shall state
21the circumstances under which it may, without further notice,
22become a final order.

23(d) Findings of fact.--Findings of fact must be based
24exclusively on the evidence and matters officially noticed in
25the hearing record in the adjudication.

26(e) Hearsay evidence.--Hearsay evidence may be used to
27supplement or explain other evidence, but, on timely objection,
28is not sufficient by itself to support a finding of fact unless
29it would be admissible over objection in a civil action.

30(f) Issuance of orders.--An order is issued under this

1section when it is signed by the agency head, the presiding
2officer or an individual authorized by statute other than this
3title.

4(g) Service.--

5(1) Except as set forth in paragraph (2), a recommended
6order, an initial order or a final order shall be served in a
7hearing record on each party and the agency head within 90
8days of the later of:

9(i) the end of the hearing;

10(ii) the closing of the hearing record; or

11(iii) the last date for submission of memoranda,
12briefs or proposed findings.

13(2) The presiding officer may extend the time under
14paragraph (1) by stipulation, waiver or a finding of good
15cause.

16(h) Effective date of final order.--

17(1) Except as set forth in paragraph (2), a final order
18is effective 30 days after all parties are notified of the
19order.

20(2) Paragraph (1) does not apply if action is taken
21under:

22(i) section 516 (relating to reconsideration); or

23(ii) section 517 (relating to stay).

24§ 514. Agency review of initial order.

25(a) Review on initiative of agency head.--

26(1) An agency head may review an initial order on the
27initiative of the agency head.

28(2) In a review under this subsection, all of the
29following apply:

30(i) The agency head shall give notice in a record to

1the parties that it intends to review the order.

2(ii) Except as set forth in subparagraph (iii), the
3notice shall be given not later than 15 days after the
4parties are notified of the order.

5(iii) The time period in subparagraph (ii) is tolled
6by the submission of a timely petition under section 516
7(relating to reconsideration). A new time period under
8subparagraph (ii) begins on disposition of the petition
9for reconsideration.

10(b) Review on petition by a party.--

11(1) A party must petition for review of an initial
12order.

13(2) All of the following apply to petition under this
14subsection:

15(i) The party must file the petition with:

16(A) the agency head; or

17(B) a person designated by agency regulation.

18(ii) Except as set forth in subparagraph (iii), the
19petition must be filed not later than 15 days after
20notice to the parties of the order.

21(iii) The time period in subparagraph (ii) is tolled
22by the submission of a timely petition under section 516.
23A new time period under subparagraph (ii) begins on
24disposition of the petition for reconsideration.

25(3) On petition under paragraph (2), the agency head
26may:

27(i) deny the petition; or

28(ii) review the initial order.

29(c) Tolling.--If an order is subject both to a petition
30under subsection (b) and a petition under section 516, the

1petition under section 516 shall be disposed of first unless the
2agency head determines that action on that petition has been
3unreasonably delayed.

4(d) Duties of agency head.--

5(1) In reviewing an initial order, the following apply:

6(i) Except as set forth in subparagraph (ii), the
7agency head shall exercise the decision-making power that
8the agency head would have had if the agency head had
9conducted the hearing which produced the order.

10(ii) Subparagraph (i) does not apply to the extent
11that the issues subject to review are limited by:

12(A) statute other than this title; or

13(B) order of the agency head on notice to the
14parties.

15(2) In reviewing findings of fact in an initial order,
16the agency head shall consider the presiding officer's
17opportunity to observe the witnesses and to determine the
18credibility of witnesses.

19(3) The agency head shall consider the hearing record or
20parts of the hearing record designated by the parties.

21(4) On remanding a matter, the agency head may order
22temporary relief as authorized and appropriate.

23(e) Contents, delivery and notice.--A final order or an
24order remanding the matter for further proceedings shall comply
25with all of the following:

26(1) The order shall identify any difference between the
27order and the initial order and state all of the following:

28(i) The fact in the hearing record which supports a
29difference in a finding of fact. Findings of fact under
30this subparagraph must be based exclusively on the

1evidence and matters officially noticed in the hearing
2record in the adjudication.

3(ii) The law which supports a difference in a
4conclusion of law.

5(iii) The policy which supports a difference in the
6exercise of discretion.

7(2) A final order under this section shall include, or
8incorporate by express reference to the initial order, the
9matters required by section 513(c) (relating to orders).

10(3) The agency head shall deliver the order to the
11presiding officer and notify the parties of the order.

12(f) Disposition.--

13(1) If an agency head reviews an initial order, the
14agency head must, not later than 120 days after the decision
15to review the initial order:

16(i) issue a final order disposing of the proceeding;
17or

18(ii) remand the matter for further proceedings with
19instructions to the presiding officer who issued the
20initial order.

21(2) The initial order becomes a final order under
22section 513(b)(3) if all of the following subparagraphs
23apply:

24(i) There is no initiative under subsection (a).

25(ii) There is:

26(A) no filing under subsection (b)(1) and (2);

27(B) a denial under subsection (b)(3)(i); or

28(C) failure to comply with the time limit under 
29paragraph (1).

30§ 515. Agency review of recommended order.

1(a) Duty of agency head.--An agency head shall review a
2recommended order under this section.

3(b) Discretion.--

4(1) In reviewing an initial order, the following apply:

5(i) Except as set forth in subparagraph (ii), the
6agency head shall exercise the decision-making power that
7the agency head would have had if the agency head had
8conducted the hearing which produced the order.

9(ii) Subparagraph (i) does not apply to the extent
10that the issues subject to review are limited by:

11(A) statute other than this title; or

12(B) order of the agency head on notice to the
13parties.

14(2) In reviewing findings of fact in an initial order,
15the agency head shall consider the presiding officer's
16opportunity to observe the witnesses and to determine the
17credibility of witnesses.

18(3) The agency head shall consider the hearing record or
19parts of the hearing record designated by the parties.

20(c) Authority of agency head.--

21(1) An agency head may:

22(i) render a final order disposing of the
23proceeding; or

24(ii) remand the matter for further proceedings with
25instructions to the presiding officer who rendered the
26recommended order.

27(2) On remanding a matter, the agency head may order
28temporary relief as authorized and appropriate.

29(d) Contents, delivery and notice.--A final order or an
30order remanding the matter for further proceedings shall comply

1with all of the following:

2(1) The order shall identify any difference between the
3order and the initial order and state all of the following:

4(i) The fact in the hearing record which supports a
5difference in a finding of fact. Findings of fact under
6this subparagraph must be based exclusively on the
7evidence and matters officially noticed in the hearing
8record in the adjudication.

9(ii) The law which supports a difference in a
10conclusion of law.

11(iii) The policy which supports a difference in the
12exercise of discretion.

13(2) A final order under this section shall include, or
14incorporate by express reference to the initial order, the
15matters required by section 513(c) (relating to orders).

16(3) The agency head shall deliver the order to the
17presiding officer and notify the parties of the order.

18§ 516. Reconsideration.

19(a) Petition for reconsideration.--A party may seek
20reconsideration as follows:

21(1) The party must prepare a petition for
22reconsideration, stating the specific grounds on which relief
23is requested.

24(2) The party must file the petition within 15 days
25after notice to the parties that a final order has been
26issued.

27(3) The party must file the petition in accordance with:

28(i) agency regulations; and

29(ii) requirements stated in the final order.

30(b) Time for filing petition for judicial review.--

1(1) If the conditions in paragraph (2) are met, the time
2for filing a petition for judicial review does not begin
3until the agency disposes of the petition for reconsideration
4as provided in section 503(l) (relating to procedure).

5(2) Paragraph (1) applies if all of the following apply:

6(i) A petition for reconsideration is timely filed.

7(ii) The petitioner has complied with the agency's
8procedural regulations for reconsideration.

9(c) Decision maker.--Not later than 20 days after a petition
10is filed under subsection (a), the decision maker shall issue a
11written order doing one of the following:

12(1) Denying the petition.

13(2) Granting the petition. An order under this paragraph
14must state findings of facts, conclusions of law and the
15reasons for granting the petition. The order shall:

16(i) dissolve or modify the final order; or

17(ii) set the matter for further proceedings.

18(d) Deemed denial.--If the decision maker fails to respond
19to the petition not later than 30 days after filing, or a longer
20period agreed to by the parties, the petition is deemed denied.

21§ 517. Stay.

22(a) Request.--Except as otherwise provided by statute other
23than this title, a party, not later than seven days after the
24parties are notified of the order, may request the agency to
25stay a final order pending judicial review.

26(b) Grant.--

27(1) The agency may grant the request for a stay pending
28judicial review if the agency finds that justice requires.

29(2) The agency may grant or deny the request for stay of
30the order before, on or after the effective date of the

1order.

2§ 518. Availability of orders; index.

3(a) Index.--Except as otherwise provided in subsections (b)
4and (c), an agency shall create an index of all final orders in
5adjudications and make the index and all final orders available
6for public inspection and copying, at cost, in its principal
7offices.

8(b) Records not included in the index.--Except as otherwise
9provided in subsection (c), final orders that are exempt,
10privileged or otherwise made confidential or protected from
11disclosure by the act of February 14, 2008 (P.L.6, No.3), known
12as the Right-to-Know Law, are not public records and may not be
13indexed. The final order may be excluded from an index and
14disclosed only by order of the presiding officer with a written
15statement of reasons attached to the order.

16(c) Redaction.--If the presiding officer determines it is
17possible to redact a final order which is exempt, privileged or
18otherwise made confidential or protected from disclosure by
19statute other than this title so that it complies with the
20requirements of that statute, the redacted order may be placed
21in the index and published.

22(d) Reliance on final orders.--An agency may not rely on a
23final order adverse to a party other than the agency as
24precedent in future adjudications unless all of the following
25apply:

26(1) The agency designates the order as a precedent.

27(2) The order has been published, placed in an index,
28and made available for public inspection.

29Section 3. Title 2 is amended by adding a chapter to read:

30CHAPTER 6

1OFFICE OF ADMINISTRATIVE HEARINGS

2Sec.

3601. Establishment and function.

4602. Organization.

5603. Administrative law judges.

6604. Chief administrative law judge.

7605. Cooperation.

8§ 601. Establishment and function.

9(a) Establishment.--The Office of Administrative Hearings is
10established as an independent office in the Executive Department
11of State government.

12(b) Function.--The office shall administer the resolution of
13all contested cases unless the agency head hears the case
14without delegation or assignment to an administrative law judge.

15§ 602. Organization.

16(a) Head.--The office is headed by a chief administrative
17law judge appointed by the Governor with the advice and consent
18of two-thirds of the members of the Senate.

19(b) Qualifications.--The chief administrative law judge must
20meet all of the following:

21(1) Have been an attorney at law for at least five
22years.

23(2) Be an attorney at law in good standing with the
24Supreme Court.

25(3) Have substantial experience in administrative law.

26(c) Tenure.--

27(1) The chief administrative law judge shall serve a
28term of five years and until a successor is appointed and
29qualifies for office. A chief administrative law judge may be
30reappointed.

1(2) The chief administrative law judge may be removed
2from office only for cause and only after notice and hearing.
3This paragraph is subject to Chs. 5 Subch. A (relating to
4practice and procedure of Commonwealth agencies) and 7 Subch.
5A (relating to judicial review of Commonwealth agency
6action).

7(d) Salary.--The salary of the chief administrative law
8judge shall be set under section 709 of the act of April 9, 1929
9(P.L.177, No.175), known as The Administrative Code of 1929.

10(e) Obligations.--

11(1) The chief administrative law judge shall devote full
12time to the duties of the office and may not engage in the
13private practice of law.

14(2) The chief administrative law judge is subject to the
15code of conduct under section 604(8) (relating to chief
16administrative law judge).

17(f) Oath.--The chief administrative law judge must take the
18oath of office required by law before beginning duties as an
19administrative law judge.

20§ 603. Administrative law judges.

21(a) Appointment.--

22(1) The chief administrative law judge shall appoint
23administrative law judges under the act of August 5, 1941
24(P.L.752, No.286), known as the Civil Service Act.

25(2) An administrative law judge is a management
26employee:

27(i) subject to the administrative supervision of the
28chief administrative law judge; and

29(ii) entitled to employment security under the Civil
30Service Act.

1(b) Qualifications.--To be eligible for appointment as an
2administrative law judge, an individual must comply with all of
3the following:

4(1) Meet the requirements of the Civil Service Act.

5(2) Have been an attorney at law for at least three
6years.

7(3) Be an attorney at law in good standing with the
8Supreme Court.

9(c) Oath.--An administrative law judge must take the oath of
10office required by law before beginning duties as an
11administrative law judge.

12(d) Code of conduct.--An administrative law judge is subject
13to the code of conduct for administrative law judges adopted
14under section 604(8) (relating to chief administrative law
15judge).

16(e) Compensation.--An administrative law judge is entitled
17to the compensation under section 709 of the act of April 9,
181929 (P.L.177, No.175), known as The Administrative Code of
191929.

20(f) Prohibition.--An administrative law judge may not
21perform an act inconsistent with the duties and responsibilities
22of an administrative law judge.

23(g) Powers and duties.--

24(1) In a contested case, the following apply:

25(i) The chief administrative law judge shall assign
26an administrative law judge to be the presiding officer.

27(ii) If the administrative law judge is delegated
28final decisional authority, the administrative law judge
29shall issue a final order.

30(iii) If the administrative law judge is not

1delegated final decisional authority, the administrative
2law judge shall issue to the agency head a recommended
3order in the contested case.

4(2) Except as otherwise provided by statute other than
5this chapter, if a contested case is referred to the office
6by an agency, the agency may not take further action with
7respect to the proceeding, except as a party, until a
8recommended, initial or final order is issued.

9(3) An administrative law judge may perform duties
10authorized by statute other than this chapter.

11§ 604. Chief administrative law judge.

12(a) Powers and duties.--The chief administrative law judge
13has the following powers and duties:

14(1) Supervise and manage the office.

15(2) Serve as an administrative law judge in a contested
16case referred to the office.

17(3) Assign an administrative law judge in a contested
18case referred to the office.

19(4) Assure the decisional independence of each
20administrative law judge.

21(5) Establish and implement standards for equipment,
22supplies and technology for administrative law judges.

23(6) Provide and coordinate continuing education programs
24and services for administrative law judges and advise them of
25changes in the law concerning their duties.

26(7) Promulgate regulations to implement this chapter.

27(8) Adopt a code of conduct for administrative law
28judges.

29(9) Monitor the quality of orders issued by
30administrative law judges.

1(10) If necessary, establish classifications for case
2assignment on the basis of subject matter, expertise and case
3complexity.

4(11) Promulgate necessary amendments to 1 Pa. Code Pt.
5II (relating to general rules of administrative practice and
6procedure) and issue policy statements on administrative
7hearings.

8(12) Discipline, under the act of August 5, 1941
9(P.L.752, No.286), known as the Civil Service Act,
10administrative law judges who do not meet appropriate
11standards of conduct and competence.

12(13) Accept grants and gifts for the benefit of the
13office.

14(14) Contract with other Commonwealth agencies for
15services provided by the office.

16(15) Assess reasonable fees to cover administrative
17expenses of the office. Fees under this paragraph shall not
18be charged to:

19(i) Commonwealth agencies; or

20(ii) petitioners who are determined by the office to
21be unable to pay the fees.

22(16) Furnish administrative law judges on a contractual
23basis to political subdivisions and municipal authorities and
24instrumentalities.

25(b) Report.--The chief administrative law judge shall submit
26an annual report on the activities of the office to the
27Governor, the Secretary of the Senate and the Chief Clerk of the
28House of Representatives.

29§ 605. Cooperation.

30(a) General rule.--Commonwealth agencies shall cooperate

1with the chief administrative law judge in the discharge of the
2duties of the office.

3(b) Rejection of administrative law judge.--(Reserved).

4Section 4. Subchapter A of Chapter 7 of Title 2 is amended
5to read:

6SUBCHAPTER A

7JUDICIAL REVIEW OF COMMONWEALTH

8AGENCY ACTION

9[Sec.

10701. Scope of subchapter.

11702. Appeals.

12703. Scope of review.

13704. Disposition of appeal.

14§ 701. Scope of subchapter.

15(a) General rule.--Except as provided in subsection (b),
16this subchapter shall apply to all Commonwealth agencies
17regardless of the fact that a statute expressly provides that
18there shall be no appeal from an adjudication of an agency, or
19that the adjudication of an agency shall be final or conclusive,
20or shall not be subject to review.

21(b) Exceptions.--None of the provisions of this subchapter
22shall apply to:

23(1) Any matter which is exempt from Subchapter A of
24Chapter 5 (relating to practice and procedure of Commonwealth
25agencies).

26(2) Any appeal from a Commonwealth agency which may be
27taken initially to the courts of common pleas under 42 
28Pa.C.S. § 933 (relating to appeals from government agencies).

29§ 702. Appeals.

30Any person aggrieved by an adjudication of a Commonwealth

1agency who has a direct interest in such adjudication shall have
2the right to appeal therefrom to the court vested with
3jurisdiction of such appeals by or pursuant to Title 42
4(relating to judiciary and judicial procedure).

5§ 703. Scope of review.

6(a) General rule.--A party who proceeded before a
7Commonwealth agency under the terms of a particular statute
8shall not be precluded from questioning the validity of the
9statute in the appeal, but such party may not raise upon appeal
10any other question not raised before the agency (notwithstanding
11the fact that the agency may not be competent to resolve such
12question) unless allowed by the court upon due cause shown.

13(b) Equitable relief.--The remedy at law provided by
14subsection (a) shall not in any manner impair the right to
15equitable relief heretofore existing, and such right to
16equitable relief is hereby continued notwithstanding the
17provisions of subsection (a).

18§ 704. Disposition of appeal.

19The court shall hear the appeal without a jury on the record
20certified by the Commonwealth agency. After hearing, the court
21shall affirm the adjudication unless it shall find that the
22adjudication is in violation of the constitutional rights of the
23appellant, or is not in accordance with law, or that the
24provisions of Subchapter A of Chapter 5 (relating to practice
25and procedure of Commonwealth agencies) have been violated in
26the proceedings before the agency, or that any finding of fact
27made by the agency and necessary to support its adjudication is
28not supported by substantial evidence. If the adjudication is
29not affirmed, the court may enter any order authorized by 42 
30Pa.C.S. § 706 (relating to disposition of appeals).]

1Sec.

2701. Right to judicial review; final agency action reviewable.

3702. Relation to other judicial review law and rules.

4703. Time to seek judicial review of agency action;
5limitations.

6704. Stays pending appeal.

7705. Standing.

8706. Exhaustion of administrative remedies.

9707. Agency record on judicial review; exceptions.

10708. Scope of review.

11§ 701. Right to judicial review; final agency action
12reviewable.

13(a) Judicial review.--Except to the extent that a statute
14other than this title limits or precludes judicial review, a
15person that meets the requirements of this subchapter is
16entitled to judicial review of a final agency action.

17(b) Judicial review of a final agency action.--A person
18entitled to judicial review under subsection (a) is entitled to
19judicial review of an agency action which is not final if
20postponement of judicial review would result in an inadequate
21remedy or irreparable harm that outweighs the public benefit
22derived from postponing judicial review.

23(c) Authority of court.--A court may compel an agency to
24take action that is unlawfully withheld or unreasonably delayed.

25§ 702. Relation to other judicial review law and rules.

26(a) Procedural rules.--Judicial review of final agency
27action must be taken only as provided by the Pennsylvania Rules
28of Appellate Procedure.

29(b) Review.--This subchapter does not limit use of or the
30scope of judicial review available under other means of review,

1redress, relief or trial de novo provided by statute other than
2this title. Except to the extent that prior, adequate and
3exclusive opportunity for judicial review is available under
4this subchapter or under statute other than this title, final
5agency action is subject to judicial review in civil or criminal
6proceedings for judicial enforcement.

7§ 703. Time to seek judicial review of agency action;
8limitations.

9(a) Commencement of action.--

10(1) Judicial review of a regulation on the grounds of
11noncompliance with the procedural requirements of this title
12must be commenced not later than two years after the
13effective date of the regulation.

14(2) Judicial review of an order or other final agency
15action other than a regulation must be commenced not later
16than 30 days after the date the parties are notified of the
17order or other agency action.

18(b) Tolling.--The time for seeking judicial review under
19this section is tolled during the time a party pursues before
20the agency an administrative remedy which must be exhausted as a
21condition of judicial review.

22§ 704. Stays pending appeal.

23A petition for judicial review does not automatically stay an
24agency decision. A challenging party must request the reviewing
25court for a stay on the same basis as stays are granted under
26the Pennsylvania Rules of Appellate Procedure, and the reviewing
27court may grant a stay regardless of whether the challenging
28party first sought a stay from the agency.

29§ 705. Standing.

30The following persons have standing to obtain judicial review

1of a final agency action:

2(1) A person aggrieved or adversely affected by the
3agency action.

4(2) A person that has standing under statute other than
5this title.

6§ 706. Exhaustion of administrative remedies.

7(a) Requirement.--Subject to subsection (c) or statute other
8than this title which provides that a person need not exhaust
9administrative remedies, a person may file a petition for
10judicial review under this title only after exhausting all
11administrative remedies available within:

12(1) the agency the action of which is being challenged;
13and

14(2) any other agency authorized to exercise
15administrative review.

16(b) Effect of certain filings.--Filing a petition for
17reconsideration or a stay of proceedings is not a prerequisite
18for seeking judicial review.

19(c) Authority of court.--The court may relieve a petitioner
20of the requirement to exhaust an administrative remedy to the
21extent that:

22(1) the administrative remedy is inadequate; or

23(2) the requirement would result in irreparable harm.

24§ 707. Agency record on judicial review; exceptions.

25(a) Scope of court review.--If an agency was required by
26statute other than this title to maintain an agency record
27during the proceeding that gave rise to the action under review,
28the court review is confined to that record and to matters
29arising from that record.

30(b) Record for review.--If subsection (a) does not apply,

1the record for review consists of the unprivileged materials
2that agency decision makers directly or indirectly considered,
3or which were submitted for consideration by any person, in
4connection with the action under review, including information
5that is adverse to the agency's position. If the agency action
6was ministerial or was taken on the basis of a minimal or no
7administrative record, the court may receive evidence relating
8to the agency's basis for taking the action.

9(c) Authority of court.--The court may supervise an agency's
10compilation of the agency record. If a challenging party makes a
11substantial showing of need, the court may allow discovery or
12other evidentiary proceedings and consider evidence outside the
13agency record to:

14(1) ensure that the agency record is complete as
15required by this title and other applicable law;

16(2) adjudicate allegations of procedural error not
17disclosed by the record; or

18(3) prevent manifest injustice.

19§ 708. Scope of review.

20(a) Rules.--Except as provided by statute other than this
21title, in judicial review of an agency action, the following
22apply:

23(1) The burden of demonstrating the invalidity of agency
24action is on the party asserting invalidity.

25(2) The court shall make a ruling on each material issue
26on which the court's decision is based.

27(3) The court may grant relief only if it determines
28that a person seeking judicial review has been prejudiced by
29any of the following:

30(i) The agency erroneously interpreted the law.

1(ii) The agency committed an error of procedure.

2(iii) The agency action is arbitrary, capricious, an
3abuse of discretion or otherwise not in accordance with
4law.

5(iv) An agency determination of fact in a contested
6case is not supported by substantial evidence in the
7record as a whole.

8(v) To the extent that the facts are subject to a
9trial de novo by the reviewing court, the action was
10unwarranted by the facts.

11(b) Duties of court.--In making a determination under this
12section, the court shall review the agency record or the parts
13designated by the parties and shall apply the rule of harmless
14error.

15Section 5. This act shall apply as follows:

16(1) Except as provided under paragraph (2), this act
17shall apply to administrative proceedings commenced on or
18after the effective date of this section.

19(2) Paragraph (1) shall not apply to the following
20provisions:

21(i) The addition of the definition of "office" in 2
22Pa.C.S. § 101.

23(ii) The addition of 2 Pa.C.S. Ch. 6.

24Section 6. This act shall take effect as follows:

25(1) The following provisions shall take effect in 180
26days:

27(i) The addition of the definition of "office" in 2
28Pa.C.S. § 101.

29(ii) The addition of 2 Pa.C.S. Ch. 6.

30(2) This section shall take effect immediately.

1(3) The remainder of this act shall take effect in 60
2days.