82R13656 YDB-F By: Watson S.B. No. 1537 A BILL TO BE ENTITLED AN ACT relating to the fiscal note associated with certain proposed state agency rules. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 2001.024, Government Code, is amended by adding Subsection (d) to read as follows: (d) A fiscal note provided under Subsection (a)(4) must assign an estimated dollar amount for any cost to a state or local government in enforcing or administering a proposed rule. A state agency may not determine that the cost to a state or local government of enforcing or administering a proposed rule is insignificant because the state or local government can pass on the cost to a customer or other third party associated with the proposed rule. SECTION 2. Section 2001.0225(c), Government Code, is amended to read as follows: (c) When giving notice of a major environmental rule subject to this section, a state agency shall incorporate into the fiscal note required by Section 2001.024 a draft impact analysis describing the anticipated effects of the proposed rule. The draft impact analysis, at a minimum, must: (1) identify the benefits that the agency anticipates from adoption and implementation of the rule, including reduced risks to human health, safety, or the environment; (2) identify the costs, in an estimated dollar amount, that the agency anticipates state agencies, local governments, the public, and the regulated community will experience after implementation of the rule; (3) describe the benefits and costs anticipated from implementation of the rule in as quantitative a manner as feasible, but including a qualitative description when a quantitative description is not feasible or adequately descriptive; (4) describe reasonable alternative methods for achieving the purpose of the rule that were considered by the agency and provide the reasons for rejecting those alternatives in favor of the proposed rule; (5) identify the data and methodology used in performing the analysis required by this section; (6) provide an explanation of whether the proposed rule specifies a single method of compliance, and, if so, explain why the agency determines that a specified method of compliance is preferable to adopting a flexible regulatory approach, such as a performance-oriented, voluntary, or market-based approach; (7) state that there is an opportunity for public comment on the draft impact analysis under Section 2001.029 and that all comments will be addressed in the publication of the final regulatory analysis; and (8) provide information in such a manner that a reasonable person reading the analysis would be able to identify the impacts of the proposed rule. SECTION 3. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2011.