89R9168 CS-F
By: Hughes S.B. No. 943
A BILL TO BE ENTITLED
AN ACT
relating to the establishment and duties of the Texas Regulatory
Efficiency Office and the Texas Regulatory Efficiency Advisory
Panel.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subtitle E, Title 4, Government Code, is amended
by adding Chapter 465 to read as follows:
CHAPTER 465. REGULATORY AND RULEMAKING EFFICIENCY
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 465.0001. DEFINITIONS. (a) The definitions in
Chapter 2001 apply to this chapter.
(b) In this chapter:
(1) "Institution of higher education" has the meaning
assigned by Section 61.003, Education Code.
(2) "Office" means the Texas Regulatory Efficiency
Office.
(3) "Panel" means the Texas Regulatory Efficiency
Advisory Panel.
Sec. 465.0002. APPLICATION OF SUNSET ACT TO OFFICE AND
PANEL. (a) The Texas Regulatory Efficiency Office and the Texas
Regulatory Efficiency Advisory Panel are subject to Chapter 325
(Texas Sunset Act).
(b) Unless continued in existence as provided by Chapter 325
(Texas Sunset Act), the office and panel are abolished September 1,
2037.
SUBCHAPTER B. TEXAS REGULATORY EFFICIENCY OFFICE
Sec. 465.0051. ESTABLISHMENT OF OFFICE. The Texas
Regulatory Efficiency Office is established as an office within the
office of the governor.
Sec. 465.0052. PURPOSES OF OFFICE. (a) The office is
established to:
(1) identify and expand opportunities for
implementing efficiencies in:
(A) the process by which state agencies adopt
rules;
(B) the regulatory review process; and
(C) the manner in which contested cases are
conducted;
(2) assist state agencies in identifying:
(A) unnecessary and ineffective rules;
(B) the effect and cost to this state and
regulated persons of the agencies' rules and proposed rules; and
(C) opportunities to repeal or amend rules to
provide effective protection to the public with the least cost and
inconvenience to regulated persons;
(3) coordinate with the secretary of state, the
Department of Information Resources, and other state agencies in
the secretary of state's efforts under Section 2001.007 to:
(A) improve public access to information
regarding state agency rules, forms, and filings; and
(B) create an interactive Internet website for
use by the public to search and obtain information regarding rules,
forms, and filings applicable to specific regulated occupations,
industries, professions, and activities;
(4) establish a goal for each state agency to reduce
rules or other regulatory requirements, including by:
(A) eliminating unnecessary or ineffective rules
or other regulatory requirements; and
(B) reducing the inefficiencies resulting from
rules or other regulatory requirements adopted by the agency by:
(i) reducing required training hours;
(ii) reducing the number of forms a
regulated person is required to complete;
(iii) reducing the amount of information
required by forms that a regulated person is required to complete;
(iv) reducing the amount of or eliminating
fees imposed by the rules;
(v) reducing the number of activities
covered by the rules; or
(vi) creating waivers for or exemptions
from the rules under certain circumstances; and
(5) prepare and publish written manuals, guides, or
other publications as required by this chapter.
(b) The office shall coordinate with the panel, state
agencies, and the governor's office to accomplish the purposes of
the office.
Sec. 465.0053. REGULATORY ECONOMIC ANALYSIS MANUAL. (a)
The office shall prepare and publish a regulatory economic analysis
manual.
(b) The manual required by Subsection (a) must identify and
describe best practices for state agencies related to:
(1) preparing a local employment impact statement
under Section 2001.022;
(2) conducting a regulatory analysis under Section
2001.0225;
(3) preparing a fiscal note under Section 2001.024;
and
(4) preparing a note regarding public benefits and
costs under Section 2001.024.
(c) The office shall ensure that the manual required by
Subsection (a) is written in plain language that may be easily
understood by the public.
Sec. 465.0054. REGULATORY REDUCTION GUIDE. (a) The office
shall prepare and publish a regulatory reduction guide.
(b) The purpose of the guide required by Subsection (a) is
to assist each state agency to:
(1) meet the goal established by the agency under
Section 465.0052(a)(4); and
(2) document that the agency met the goal described by
Subdivision (1).
(c) The office shall ensure that the guide required by
Subsection (a) is written in plain language that may be easily
understood by the public.
Sec. 465.0055. RULEMAKING AND REGULATORY EFFICIENCY FORUM.
The office shall establish a forum for interested persons described
by Section 2001.021(d) to assist the office and the panel to
accomplish the purposes of the office and panel.
SUBCHAPTER C. TEXAS REGULATORY EFFICIENCY ADVISORY PANEL
Sec. 465.0101. ESTABLISHMENT OF PANEL. The Texas
Regulatory Efficiency Advisory Panel is established as an advisory
panel to the governor and the legislature.
Sec. 465.0102. ADMINISTRATIVE ATTACHMENT AND SUPPORT. (a)
The panel is administratively attached to the office of the
governor.
(b) The office established under this chapter shall provide
staff, facilities, and other administrative support necessary to
assist the panel in performing the panel's duties under this
chapter.
Sec. 465.0103. COMPOSITION OF PANEL. (a) The panel is
composed of the following seven members appointed by the governor:
(1) one member who represents regulated small
businesses;
(2) one member who represents regulated large
businesses;
(3) one member who holds an occupational license
issued by a state agency;
(4) one member employed by an institution of higher
education who conducts research at the institution and has
experience addressing issues related to state agency rules;
(5) one member who represents state agencies that
adopt rules; and
(6) two members of the public.
(b) In making appointments under Subsection (a), the
governor shall give priority to individuals with expertise in state
agency rules and the rulemaking process, including expertise in
regulatory research, compliance, cost, and impact analysis, and
related law and procedure.
Sec. 465.0104. TERMS; VACANCY. (a) Members of the panel
serve two-year terms.
(b) A vacancy on the panel shall be filled in the same manner
and is subject to the same qualifications as the original
appointment. A panel member appointed to fill a vacancy on the
panel shall serve the remainder of the unexpired term.
Sec. 465.0105. REIMBURSEMENT FOR EXPENSES. Members of the
panel serve without compensation but are entitled to reimbursement
for actual and necessary expenses incurred in performing official
duties under this chapter.
Sec. 465.0106. PRESIDING OFFICER. The governor shall
appoint one member of the panel to serve as the panel's presiding
officer.
Sec. 465.0107. MEETINGS. The panel shall meet at the call
of the panel's presiding officer.
Sec. 465.0108. PURPOSES OF PANEL. The panel is established
to:
(1) use the knowledge and expertise of regulated
persons, small and large businesses, institutions of higher
education, and state agencies to identify and expand opportunities
for implementing efficiencies in:
(A) the process by which state agencies adopt
rules;
(B) the regulatory review process; and
(C) the manner in which contested cases are
conducted; and
(2) assist the office and state agencies in
identifying:
(A) unnecessary and ineffective rules;
(B) the effect and cost to this state and
regulated persons of the agencies' rules and proposed rules; and
(C) opportunities to repeal or amend rules to
provide effective protection to the public with the least cost and
inconvenience to regulated persons.
Sec. 465.0109. APPLICATION OF OTHER LAW. Chapter 2110 does
not apply to the panel.
SUBCHAPTER D. REPORTING REQUIREMENT
Sec. 465.0151. BIENNIAL REPORT. (a) Not later than
December 1 of each even-numbered year, the office shall prepare and
submit to the governor and the Legislative Budget Board a written
report that describes:
(1) the activities undertaken by the office during the
two-year period preceding the date of the report to accomplish the
purposes of the office;
(2) any findings and recommendations of the office
related to the office's purposes under this chapter; and
(3) any legislative recommendations of the office to
accomplish and further the findings and recommendations described
by Subdivision (2).
(b) The panel may assist the office in preparing the report
required by Subsection (a).
SECTION 2. Section 2001.007, Government Code, is amended by
adding Subsection (e) to read as follows:
(e) The secretary of state, Department of Information
Resources, and Texas Regulatory Efficiency Office shall jointly
coordinate with each other state agency to establish an Internet
website that allows a person to search the rules and related
information made available by state agencies under Subsection (a)
by:
(1) the general topic of the rule;
(2) the type of activity or business regulated by the
rule; and
(3) if applicable, the North American Industry
Classification System (NAICS) sector code for the type of activity
or business regulated by the rule.
SECTION 3. (a) As soon as practicable after the effective
date of this Act, but not later than January 1, 2026, the governor
shall appoint the members of the Texas Regulatory Efficiency
Advisory Panel as required by Section 465.0103, Government Code, as
added by this Act.
(b) Not later than the 60th day after the date the governor
appoints the members of the Texas Regulatory Efficiency Advisory
Panel under Subsection (a) of this section, the panel shall hold its
first meeting.
SECTION 4. 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, 2025.