Trial Engrossment of Amendment A06705 to House Bill 1237 P.N. 2996, Regular Session 2017-2018

A06705

THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

No.

1237

Session of

2017

INTRODUCED BY KEEFER, BLOOM, SACCONE, RYAN, HEFFLEY, DIAMOND,

BARRAR, MACKENZIE, BAKER, MILLARD, McGINNIS, ORTITAY, DUNBAR,

KAUFFMAN, IRVIN, DOWLING, ZIMMERMAN, PICKETT, EVERETT,

M. QUINN, SCHEMEL, W. KELLER, SAYLOR, WARD, HELM, RAPP,

CAUSER, WHEELAND, MAHER, RADER, PHILLIPS-HILL, MILNE, PYLE,

GROVE, DUSH, GILLEN, CORR, C. QUINN, FRITZ, METCALFE, ROAE,

NELSON, CUTLER, GREINER AND KLUNK, APRIL 17, 2017

AS REPORTED FROM COMMITTEE ON STATE GOVERNMENT, HOUSE OF

REPRESENTATIVES, AS AMENDED, FEBRUARY 6, 2018

AN ACT

Amending the act of June 25, 1982 (P.L.633, No.181), entitled

"An act providing for independent oversight and review of

regulations, creating an Independent Regulatory Review

Commission, providing for its powers and duties and making

repeals," further providing for definitions, for proposed

regulations and procedures for review and for final-form

regulations and final-omitted regulations and procedures for

review; PROVIDING FOR REGULATIONS DEEMED WITHDRAWN; FURTHER

PROVIDING FOR PROCEDURES FOR SUBSEQUENT REVIEW OF DISAPPROVED

FINAL-FORM OR FINAL-OMITTED REGULATIONS BY THE COMMISSION;

and providing for concurrent resolution required for

economically significant regulations.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1. Section 3 of the act of June 25, 1982 (P.L.633,

No.181), known as the Regulatory Review Act, is amended by

adding a definition DEFINITIONS to read:

Section 3. Definitions.

The following words and phrases when used in this act shall

have, unless the context clearly indicates otherwise, the

meanings given to them in this section:

* * *

"Economically significant regulation." A regulation that, if

promulgated and implemented, may reasonably be expected to

result in direct or indirect cost to the Commonwealth, to its

political subdivisions and to the private sector in excess of

$1,000,000 on an annual basis.

* * *

Section 2. Sections 5(a)(4) and 5.1(l) of the act are

amended to read:

"LEGISLATIVE DAY." A DAY WHEN BOTH HOUSES OF THE GENERAL

ASSEMBLY ARE IN VOTING SESSION.

* * *

SECTION 2. SECTION 5(A)(1.1) AND (4) OF THE ACT ARE AMENDED

AND THE SECTION IS AMENDED BY ADDING SUBSECTIONS TO READ:

Section 5. Proposed regulations; procedures for review.

(a) On the same date that an agency submits a proposed

regulation to the Legislative Reference Bureau for publication

of notice of proposed rulemaking in the Pennsylvania Bulletin as

required by the Commonwealth Documents Law, the agency shall

submit to the commission and the committees a copy of the

proposed regulation and a regulatory analysis form which

includes the following:

* * *

(1.1) A SPECIFIC CITATION TO THE FEDERAL OR STATE

STATUTORY OR REGULATORY AUTHORITY OR THE DECISION OF A

FEDERAL OR STATE COURT UNDER WHICH THE AGENCY IS PROPOSING

THE REGULATION, WHICH THE REGULATION IS DESIGNED TO IMPLEMENT

OR WHICH MAY MANDATE OR AFFECT COMPLIANCE WITH THE

REGULATION. IN THE CASE OF A CITATION OF STATE STATUTORY

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AUTHORITY, THE CITATION MUST BE TO A PROVISION OF THE STATUTE

THAT EXPLICITLY STATES THAT THE AGENCY MAY PROMULGATE

REGULATIONS FOR THE SPECIFIC PURPOSE CITED IN THE STATEMENT

OF NEED FOR THE REGULATION UNDER PARAGRAPH (3).

* * *

(4) Estimates of the direct and indirect costs to the

Commonwealth, to its political subdivisions and to the

private sector. [Insofar as the proposed regulation relates

to costs to the Commonwealth, the agency may submit in lieu

of its own statement the fiscal note prepared by the Office

of the Budget pursuant to section 612 of the act of April 9,

1929 (P.L.177, No.175), known as "The Administrative Code of

1929."] The estimates shall be verified by the Independent

Fiscal Office prior to the agency submitting them to the

commission.

* * * 1929."] THE ESTIMATES SHALL BE PREPARED BY THE

INDEPENDENT FISCAL OFFICE AND SUBMITTED TO THE AGENCY FOR

INCLUSION IN THE REGULATORY ANALYSIS FORM AND SHALL INCLUDE

AN ESTIMATE OF THE ANNUAL COSTS TO BE USED TO DETERMINE

WHETHER THE REGULATION IS AN ECONOMICALLY SIGNIFICANT

REGULATION.

* * *

(D.1) THE COMMITTEES SHALL, DURING THE PUBLIC COMMENT

PERIOD, CONDUCT A PUBLIC HEARING TO RECEIVE COMMENTS REGARDING A

PROPOSED ECONOMICALLY SIGNIFICANT REGULATION. THE AGENCY SHALL

APPEAR AT THE HEARING IF REQUESTED TO DO SO BY THE CHAIR OF THE

COMMITTEE.

* * *

(I) ALL FORMS REQUIRED FOR IMPLEMENTATION OF A REGULATION

MUST BE INCLUDED WITH THE REGULATORY ANALYSIS FORM WHEN

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SUBMITTED TO THE LEGISLATIVE REFERENCE BUREAU, THE COMMITTEES

AND THE COMMISSION UNDER SUBSECTION (A).

(J) THE COMMISSION SHALL TRANSMIT COMMENTS REGARDING THE

COST ESTIMATES REQUIRED UNDER SUBSECTION (A)(4) TO THE

INDEPENDENT FISCAL OFFICE FOR REVIEW.

SECTION 3. SECTION 5.1(E), (J.2), (J.3) AND (L) OF THE ACT

ARE AMENDED TO READ:

Section 5.1. Final-form regulations and final-omitted

regulations; procedures for review.

* * *

(E) THE COMMISSION MAY HAVE UNTIL ITS NEXT SCHEDULED MEETING

WHICH OCCURS NO LESS THAN 30 DAYS AFTER RECEIPT OF THE FINAL-

FORM OR FINAL-OMITTED REGULATION TO APPROVE OR DISAPPROVE THE

FINAL-FORM OR FINAL-OMITTED REGULATION. NOTWITHSTANDING

SUBSECTIONS (J.1) AND (J.2), AT ANY TIME PRIOR TO 24 HOURS

BEFORE THE COMMISSION'S MEETING TO CONSIDER A REGULATION, A

COMMITTEE MAY NOTIFY THE COMMISSION AND THE AGENCY THAT THE

COMMITTEE DISAPPROVES OR INTENDS TO FURTHER REVIEW THE FINAL-

FORM REGULATION. IF NOTIFIED BY A COMMITTEE THAT THE COMMITTEE

DISAPPROVES OF A REGULATION, THE COMMISSION MAY NOT APPROVE OR

DISAPPROVE THE REGULATION FOR A PERIOD OF 30 DAYS OR NINE

LEGISLATIVE DAYS, WHICHEVER IS LONGER. IF NOTIFIED BY A

COMMITTEE THAT THE COMMITTEE INTENDS TO FURTHER REVIEW A FINAL-

FORM REGULATION, THE COMMISSION MAY NOT APPROVE OR DISAPPROVE

THE REGULATION FOR A PERIOD OF 14 DAYS OR SIX LEGISLATIVE DAYS,

WHICHEVER IS LONGER. THE COMMISSION SHALL NOTIFY THE AGENCY AND

THE COMMITTEES OF ITS APPROVAL OR DISAPPROVAL. IF THE COMMISSION

DOES NOT DISAPPROVE THE FINAL-FORM OR FINAL-OMITTED REGULATION

WITHIN THE TIME ALLOTTED IN THIS SUBSECTION, THE COMMISSION

SHALL BE DEEMED TO HAVE APPROVED THE FINAL-FORM OR FINAL-OMITTED

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REGULATION.

* * *

(J.2) (1) AT ANY TIME DURING THE COMMISSION'S REVIEW PERIOD

UP TO 24 HOURS PRIOR TO THE OPENING OF THE COMMISSION'S

PUBLIC MEETING, A COMMITTEE MAY NOTIFY THE COMMISSION AND THE

AGENCY THAT IT HAS APPROVED OR DISAPPROVED A FINAL-FORM OR

FINAL-OMITTED REGULATION OR THAT IT INTENDS TO REVIEW THE

REGULATION.

(2) IF THE COMMISSION APPROVES A REGULATION AND A

COMMITTEE HAS NOT NOTIFIED THE COMMISSION AND THE AGENCY THAT

IT HAS DISAPPROVED THE REGULATION OR THAT IT INTENDS TO

REVIEW THE REGULATION, THE AGENCY MAY PROMULGATE THE

REGULATION. IF THE COMMISSION APPROVES A REGULATION AND A

COMMITTEE HAS NOTIFIED THE COMMISSION AND THE AGENCY THAT IT

HAS DISAPPROVED THE REGULATION OR THAT IT INTENDS TO REVIEW

THE REGULATION, THE AGENCY MAY NOT PROMULGATE THE REGULATION

FOR 14 DAYS OR SIX LEGISLATIVE DAYS, WHICHEVER IS LONGER,

AFTER THE COMMITTEE HAS RECEIVED THE COMMISSION'S APPROVAL

ORDER.

(3) DURING [THIS 14-DAY PERIOD] THE PERIOD ESTABLISHED

UNDER PARAGRAPH (2), THE COMMITTEE MAY TAKE ACTION ON THE

REGULATION PURSUANT TO SECTION 7(D). IF AT THE EXPIRATION OF

THE [14-DAY] PERIOD ESTABLISHED UNDER PARAGRAPH (2) THE

COMMITTEE HAS NOT TAKEN ACTION ON THE REGULATION PURSUANT TO

SECTION 7(D), THE AGENCY MAY PROMULGATE THE REGULATION.

(J.3) IF THE COMMITTEES ARE PREVENTED FROM COMPLETING THEIR

[14-DAY] REVIEW DURING THE PERIOD ESTABLISHED UNDER SUBSECTION

(J.2)(2) BECAUSE OF ADJOURNMENT SINE DIE OR EXPIRATION OF THE

LEGISLATIVE SESSION IN AN EVEN-NUMBERED YEAR, THEIR REVIEW OF

THE FINAL-FORM OR FINAL-OMITTED REGULATION SHALL AUTOMATICALLY

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BE SUSPENDED UNTIL THE FOURTH MONDAY IN JANUARY OF THE NEXT

YEAR. ON THAT DATE, THE AGENCY SHALL RESUBMIT THE FINAL-FORM OR

FINAL-OMITTED REGULATION AND REQUIRED MATERIAL TO THE COMMITTEES

AND THE COMMISSION. IF EITHER COMMITTEE HAS NOT BEEN DESIGNATED

BY THE FOURTH MONDAY IN JANUARY, THE AGENCY MAY NOT DELIVER THE

FINAL-FORM OR FINAL-OMITTED REGULATION AND REQUIRED MATERIAL TO

THE COMMITTEES AND THE COMMISSION UNTIL BOTH COMMITTEES ARE

DESIGNATED. IF THE AGENCY DOES NOT DELIVER THE FINAL-FORM OR

FINAL-OMITTED REGULATION AND REQUIRED MATERIAL TO THE COMMISSION

AND THE COMMITTEES BY THE SECOND MONDAY AFTER THE DATE BY WHICH

BOTH COMMITTEE DESIGNATIONS HAVE BEEN PUBLISHED IN THE

PENNSYLVANIA BULLETIN, THE AGENCY SHALL BE DEEMED TO HAVE

WITHDRAWN THE FINAL-FORM OR FINAL-OMITTED REGULATION. IN

DETERMINING THE REMAINING TIME FOR COMMITTEE REVIEW, THE NUMBER

OF DAYS IN WHICH THE COMMITTEES HAVE HAD THE FINAL-FORM OR THE

FINAL-OMITTED REGULATION UNDER REVIEW AS OF THE ADJOURNMENT SINE

DIE OR EXPIRATION OF THE PRIOR SESSION SHALL BE SUBTRACTED FROM

THE [14-DAY] COMMITTEE REVIEW PERIOD ESTABLISHED UNDER

SUBSECTION (J.2)(2), BUT THE COMMITTEE REVIEW PERIOD IN THE NEXT

SUCCEEDING LEGISLATIVE SESSION SHALL NOT BE LESS THAN TEN DAYS.

AN AGENCY MAY NOT SUBMIT A FINAL-FORM OR FINAL-OMITTED

REGULATION TO THE COMMISSION OR THE COMMITTEES FOR REVIEW DURING

THE PERIOD FROM THE ADJOURNMENT SINE DIE OR EXPIRATION OF THE

LEGISLATIVE SESSION OF AN EVEN-NUMBERED YEAR TO THE DATE BY

WHICH BOTH COMMITTEES HAVE BEEN DESIGNATED IN THE NEXT

SUCCEEDING LEGISLATIVE SESSION. THIS SUBSECTION SHALL NOT APPLY

TO EMERGENCY-CERTIFIED REGULATIONS ADOPTED PURSUANT TO THE

PROVISIONS OF SECTION 6(D).

* * *

(l) Except for emergency-certified regulations adopted under

A06705 - 6 -

section 6(d), an agency may not promulgate a regulation until

completion of the review provided for in this act[.] and, if the

regulation is an economically significant regulation, the

General Assembly adopts a concurrent resolution under section

7.2.

Section 3 4. The act is amended by adding a section to read:

SECTION 5.3. REGULATIONS DEEMED WITHDRAWN.

(a) A REGULATION SHALL BE DEEMED WITHDRAWN IF THERE IS NO

PROVISION OF A STATE STATUTE WHICH EXPLICITLY STATES THAT THE

AGENCY MAY PROMULGATE REGULATIONS FOR THE SPECIFIC PURPOSE CITED

IN THE STATEMENT OF NEED FOR THE REGULATION UNDER SECTION 5(A)

(3) AND THE REGULATORY ANALYSIS FORM SUBMITTED FOR THE

REGULATION DOES NOT COMPLY WITH THE REQUIREMENTS OF SECTION 5(A)

(1.1).

(b) Subsection (a) shall not apply to any regulation adopted

and promulgated pursuant to 51 Pa.C.S. Pt. V (relating to

employment preferences and pensions).

SECTION 5. SECTION 7(D) OF THE ACT IS AMENDED TO READ:

SECTION 7. PROCEDURES FOR SUBSEQUENT REVIEW OF DISAPPROVED

FINAL-FORM OR FINAL-OMITTED REGULATIONS.

* * *

(D) UPON RECEIPT OF THE COMMISSION'S ORDER PURSUANT TO

SUBSECTION (C.1) OR AT THE EXPIRATION OF THE COMMISSION'S REVIEW

PERIOD IF THE COMMISSION DOES NOT ACT ON THE REGULATION OR DOES

NOT DELIVER ITS ORDER PURSUANT TO SUBSECTION (C.1), [ONE] THE

FOLLOWING APPLY:

(1) ONE OR BOTH OF THE COMMITTEES MAY, WITHIN 14 CALENDAR

DAYS OR SIX LEGISLATIVE DAYS, WHICHEVER IS LONGER, REPORT TO THE

HOUSE OF REPRESENTATIVES OR SENATE A CONCURRENT RESOLUTION AND

NOTIFY THE AGENCY. DURING THE [14-CALENDAR-DAY] PERIOD SPECIFIED

A06705 - 7 -

IN THIS PARAGRAPH, THE AGENCY MAY NOT PROMULGATE THE FINAL-FORM

OR FINAL-OMITTED REGULATION. IF, BY THE EXPIRATION OF THE [14-

CALENDAR-DAY] PERIOD SPECIFIED IN THIS PARAGRAPH, NEITHER

COMMITTEE REPORTS A CONCURRENT RESOLUTION, THE COMMITTEES SHALL

BE DEEMED TO HAVE APPROVED THE FINAL-FORM OR FINAL-OMITTED

REGULATION, AND THE AGENCY MAY PROMULGATE THAT REGULATION.

(2) IF EITHER COMMITTEE REPORTS A CONCURRENT RESOLUTION

BEFORE THE EXPIRATION OF THE [14-DAY] PERIOD SPECIFIED IN

PARAGRAPH (1), THE [SENATE AND THE HOUSE OF REPRESENTATIVES]

CHAMBER TO WHICH THE CONCURRENT RESOLUTION IS REPORTED SHALL

[EACH] HAVE 30 CALENDAR DAYS OR TEN LEGISLATIVE DAYS, WHICHEVER

IS LONGER, FROM THE DATE ON WHICH THE CONCURRENT RESOLUTION HAS

BEEN REPORTED, TO ADOPT THE CONCURRENT RESOLUTION[.] AND

TRANSMIT IT TO THE OTHER CHAMBER. THE OTHER CHAMBER SHALL HAVE

30 CALENDAR DAYS OR TEN LEGISLATIVE DAYS, WHICHEVER IS LONGER,

FROM THE DATE ON WHICH THE CONCURRENT RESOLUTION HAS BEEN

TRANSMITTED, TO ADOPT THE CONCURRENT RESOLUTION.

(3) IF THE GENERAL ASSEMBLY ADOPTS THE CONCURRENT RESOLUTION

BY MAJORITY VOTE IN BOTH THE SENATE AND THE HOUSE OF

REPRESENTATIVES WITHIN 60 CALENDAR DAYS OR 20 LEGISLATIVE DAYS,

WHICHEVER IS LONGER, FROM THE DATE ON WHICH A CONCURRENT

RESOLUTION HAS BEEN REPORTED OUT BY A COMMITTEE, THE CONCURRENT

RESOLUTION SHALL BE PRESENTED TO THE GOVERNOR IN ACCORDANCE WITH

SECTION 9 OF ARTICLE III OF THE CONSTITUTION OF PENNSYLVANIA.

(4) IF THE GOVERNOR DOES NOT RETURN THE CONCURRENT

RESOLUTION TO THE GENERAL ASSEMBLY WITHIN TEN CALENDAR DAYS

AFTER IT IS PRESENTED, THE GOVERNOR SHALL BE DEEMED TO HAVE

APPROVED THE CONCURRENT RESOLUTION.

(5) IF THE GOVERNOR VETOES THE CONCURRENT RESOLUTION, THE

GENERAL ASSEMBLY MAY OVERRIDE THAT VETO BY A TWO-THIRDS VOTE IN

A06705 - 8 -

EACH HOUSE. THE SENATE AND THE HOUSE OF REPRESENTATIVES SHALL

EACH HAVE 30 CALENDAR DAYS OR TEN LEGISLATIVE DAYS, WHICHEVER IS

LONGER, TO OVERRIDE THE VETO. IF THE GENERAL ASSEMBLY DOES NOT

ADOPT THE CONCURRENT RESOLUTION OR OVERRIDE THE VETO IN THE TIME

PRESCRIBED IN THIS [SUBSECTION] PARAGRAPH, IT SHALL BE DEEMED TO

HAVE APPROVED THE FINAL-FORM OR FINAL-OMITTED REGULATION.

(6) NOTICE AS TO ANY FINAL DISPOSITION OF A CONCURRENT

RESOLUTION CONSIDERED IN ACCORDANCE WITH THIS [SECTION]

SUBSECTION SHALL BE PUBLISHED IN THE PENNSYLVANIA BULLETIN.

(7) THE BAR ON PROMULGATION OF THE FINAL-FORM OR FINAL-

OMITTED REGULATION SHALL CONTINUE UNTIL THAT REGULATION HAS BEEN

APPROVED OR DEEMED APPROVED IN ACCORDANCE WITH THIS SUBSECTION.

(8) IF THE GENERAL ASSEMBLY ADOPTS THE CONCURRENT RESOLUTION

AND THE GOVERNOR APPROVES OR IS DEEMED TO HAVE APPROVED THE

CONCURRENT RESOLUTION OR IF THE GENERAL ASSEMBLY OVERRIDES THE

GOVERNOR'S VETO OF THE CONCURRENT RESOLUTION, THE AGENCY SHALL

BE BARRED FROM PROMULGATING THE FINAL-FORM OR FINAL-OMITTED

REGULATION.

(9) IF THE GENERAL ASSEMBLY DOES NOT ADOPT THE CONCURRENT

RESOLUTION OR IF THE GOVERNOR VETOES THE CONCURRENT RESOLUTION

AND THE GENERAL ASSEMBLY DOES NOT OVERRIDE THE GOVERNOR'S VETO,

THE AGENCY MAY PROMULGATE THE FINAL-FORM OR FINAL-OMITTED

REGULATION.

(10) THE GENERAL ASSEMBLY MAY, AT ITS DISCRETION, ADOPT A

CONCURRENT RESOLUTION DISAPPROVING THE FINAL-FORM OR FINAL-

OMITTED REGULATION TO INDICATE THE INTENT OF THE GENERAL

ASSEMBLY BUT PERMIT THE AGENCY TO PROMULGATE THAT REGULATION.

SECTION 6. THE ACT IS AMENDED BY ADDING A SECTION TO READ:

Section 7.2. Concurrent resolution required for economically

significant regulations.

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(a) If the commission issues an order to approve a final-

form regulation or final-omitted regulation that is an

economically significant regulation or if the agency decides to

proceed with a regulation the commission disapproved FINAL-FORM

REGULATION OR FINAL-OMITTED REGULATION THAT IS AN ECONOMICALLY

SIGNIFICANT REGULATION FOR WHICH THE COMMISSION ISSUED A

DISAPPROVAL ORDER , the agency shall submit a copy of the order

and, if applicable, the agency response to the Senate and the

House of Representatives and shall request a concurrent

resolution approving the order. REGULATION. THE CONCURRENT

RESOLUTION SHALL BE REFERRED TO THE APPLICABLE STANDING

COMMITTEE OF THE SENATE AND THE APPLICABLE STANDING COMMITTEE OF

THE HOUSE OF REPRESENTATIVES. A CONCURRENT RESOLUTION THAT IS

REPORTED FROM THE STANDING COMMITTEE OF THE SENATE SHALL BE

PLACED ON THE SENATE CALENDAR. A CONCURRENT RESOLUTION THAT IS

REPORTED FROM THE STANDING COMMITTEE OF THE HOUSE OF

REPRESENTATIVES SHALL BE PLACED ON THE HOUSE CALENDAR. The

Senate and the House of Representatives shall each have 30

calendar days or TEN legislative days, whichever is longer, from

the date on which the agency requested the concurrent resolution

TO CONSIDER THE CONCURRENT RESOLUTION . If the General Assembly

does not adopt the concurrent resolution in the time prescribed

in this subsection, the final-form regulation or final-omitted

regulation shall be deemed not approved and the regulation shall

not take effect.

(b) This section shall not apply to emergency-certified

regulations adopted under section 6(d).

Section 4 7. This act shall apply to any regulation prepared

in final form on or after the effective date of this section.

Section 5 8. This act shall take effect in 60 days.

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