HOUSE BILL 124

56th legislature - STATE OF NEW MEXICO - second session, 2024

INTRODUCED BY

Randall T. Pettigrew and James G. Townsend and Jared A. Hembree and Candy Spence Ezzell

 

 

 

 

AN ACT

RELATING TO LEGISLATIVE AFFAIRS; CREATING THE INTERIM ADMINISTRATIVE RULE OVERSIGHT COMMITTEE; REQUIRING LEGISLATIVE REVIEW OF EXECUTIVE AGENCY PROPOSED RULES; AMENDING THE STATE RULES ACT'S NOTICE OF PROPOSED RULEMAKING TO INCLUDE A FISCAL IMPACT STATEMENT IF THE ESTIMATED COST OF IMPLEMENTING A PROPOSED RULE IS GREATER THAN ONE MILLION DOLLARS ($1,000,000); MAKING AN APPROPRIATION.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     SECTION 1. A new section of Chapter 2 NMSA 1978 is enacted to read:

     "[NEW MATERIAL] INTERIM ADMINISTRATIVE RULE OVERSIGHT COMMITTEE--CREATED--APPOINTMENT.--

          A. The "interim administrative rule oversight committee" is created. The committee consists of twelve members who shall be appointed as follows:

                (1) three members shall be appointed by the majority floor leader of the house of representatives;

                (2) three members shall be appointed by the minority floor leader of the house of representatives;

                (3) three members shall be appointed by the majority floor leader of the senate; and

                (4) three members shall be appointed by the minority floor leader of the senate.

          B. The position of chair shall alternate between the house and the senate and the two political parties having the most members in both houses each year; provided that at no time shall the political parties having the most members in both houses not be represented as either a chair or a vice chair.

          C. Members shall be appointed for two-year terms that shall expire on the first day of each odd-numbered year regular session. The term of a member shall terminate when the member ceases to be a member of the legislature. A member may be removed at any time by the member's appointing authority. Vacancies on the committee shall be filled for the unexpired term by the respective appointing authority that makes the original appointments.

          D. The committee shall meet no less than one time per month during the interim."

     SECTION 2. A new section of Chapter 2 NMSA 1978 is enacted to read:

     "[NEW MATERIAL] INTERIM ADMINISTRATIVE RULE OVERSIGHT COMMITTEE--DUTIES--POWERS.--

          A. The interim administrative rule oversight committee shall:

                (1) review rules proposed by an executive agency, committee staff analysis of the rules and fiscal impacts associated with the rules two weeks prior to the public rule hearing for the rules, except when the legislature is in session;

                (2) make recommendations on the rules to the proposing executive agency;

                (3) recommend changes to the authorizing statutes of a rule to clarify legislative intent; and

                (4) direct the work of committee staff.

          B. The interim administrative rule oversight committee may endorse legislation as is necessary to amend or repeal a statute authorizing an agency to promulgate rules."

     SECTION 3. A new section of Chapter 2 NMSA 1978 is enacted to read:

     "[NEW MATERIAL] INTERIM ADMINISTRATIVE RULE OVERSIGHT COMMITTEE--STAFF.--The legislative council service shall hire no more than four staff members for the interim administrative rule oversight committee."

     SECTION 4. A new section of Chapter 2 NMSA 1978 is enacted to read:

     "[NEW MATERIAL] INTERIM ADMINISTRATIVE RULE OVERSIGHT COMMITTEE--RULE REVIEW PROCEDURES.--

          A. The legislative council service shall distribute a notice of proposed rulemaking received by an executive agency pursuant to Section 14-4-5.2 NMSA 1978 to the staff and members of the interim administrative rule oversight committee when a notice is received. Staff of the interim administrative rule oversight committee shall develop a written analysis of the proposed rule that shall consider:

                (1) the proposed rule in relation to the scope of the authorizing statute;

                (2) the necessity of the proposed rule;

                (3) the fiscal impact of the proposed rule on state agencies, political subdivisions, regulated persons, businesses and all other foreseeable stakeholders if a fiscal impact statement is required pursuant to Section 14-4-5.2 NMSA 1978 or otherwise requested by the committee pursuant to Subsection B of this section;

                (4) legal implications of the proposed rule on existing federal and state laws; and

                (5) the proposing agency's compliance with notice requirements provided pursuant to the State Rules Act.

          B. The interim administrative rule oversight committee and its staff at the request of committee members may request a fiscal impact statement from the agency proposing a rule after receiving the rule even if the fiscal impact of the rule does not exceed one million dollars ($1,000,000).

          C. The staff of the interim administrative rule oversight committee shall provide to committee members the written analysis and the corresponding rule at least ten days prior to the committee meeting at which the proposed rule will be reviewed.

          D. The interim administrative rule oversight committee shall review the proposed rule and approve recommendations to be provided to the proposing agency. Following a meeting at which the proposed rule is reviewed, committee staff shall submit the committee's approved recommendations in writing to the proposing agency during the public comment period for the proposed rule as provided pursuant to the State Rules Act. These written recommendations shall also be submitted to the office of the attorney general and the governor.

          E. The requirements of this section shall not apply to emergency rules, as provided pursuant to the State Rules Act."

     SECTION 5. Section 14-4-5.2 NMSA 1978 (being Laws 2017, Chapter 137, Section 4) is amended to read:

     "14-4-5.2. NOTICE OF PROPOSED RULEMAKING.--

          A. Not later than thirty days before a public rule hearing, the agency proposing the rule shall provide to the public and publish in the New Mexico register a notice of proposed rulemaking. The notice shall include:

                (1) a summary of the full text of the proposed rule;

                (2) a short explanation of the purpose of the proposed rule;

                (3) an estimate of the cost of implementing the proposed rule; provided that the agency shall include a fiscal impact statement pursuant to Section 14-4-5.9 NMSA 1978 if the cost of implementing the proposed rule is estimated to be greater than one million dollars ($1,000,000);

                [(3)] (4) a citation to the specific legal authority authorizing the proposed rule and the adoption of the rule;

                [(4)] (5) information on how a copy of the full text of the proposed rule may be obtained;

                [(5)] (6) information on how a person may comment on the proposed rule, where comments will be received and when comments are due;

                [(6)] (7) information on where and when a public rule hearing will be held and how a person may participate in the hearing; and

                [(7)] (8) a citation to technical information, if any, that served as a basis for the proposed rule, and information on how the full text of the technical information may be obtained.

          B. An agency may charge a reasonable fee for providing any records in nonelectronic form when provided to a person pursuant to this section. An agency shall not charge a fee for providing any records in electronic form when provided to a person pursuant to this section.

          C. An internet link providing free access to the full text of the proposed rule shall be included on the notice of proposed rulemaking.

          D. If the agency changes the date of the public rule hearing or the deadline for submitting comments as stated in the notice, the agency shall provide notice to the public of the change.

          E. The state records administrator or the administrator's designee shall timely publish the notice of proposed rulemaking in the next publication of the New Mexico register."

     SECTION 6. A new section of the State Rules Act, Section 14-4-5.9 NMSA 1978, is enacted to read:

     "14-4-5.9. [NEW MATERIAL] FISCAL IMPACT STATEMENT--REQUIREMENTS.--

          A. A fiscal impact statement required pursuant to Paragraph (3) of Subsection A of Section 14-4-5.2 NMSA 1978 shall include:

                (1) the fiscal impact of the proposed rule on other agencies, municipalities, counties, business sectors and other entities that will be impacted by the proposed rule;

                (2) the necessity of the rule;

                (3) a statement of whether and how the rule is consistent with the legislative intent of the authorizing statute;

                (4) whether the rule amounts to a mandate on counties and municipalities and, if so, whether that mandate is funded or unfunded; and

                (5) whether the rule is necessary to comply with a federal mandate.

          B. The interim administrative rule oversight committee and its staff at the request of committee members may request a fiscal impact statement from the agency proposing a rule after receiving the rule even if the fiscal impact of the rule does not exceed one million dollars ($1,000,000) pursuant to Section 4 of this 2024 act."

     SECTION 7. APPROPRIATION.--Two million dollars ($2,000,000) is appropriated from the general fund to the legislative council service for expenditure in fiscal year 2025 to staff the interim administrative rule oversight committee and for other costs incidental to establishing the committee. Any unexpended or unencumbered balance remaining at the end of fiscal year 2025 shall revert to the general fund.

- 9 -