GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1993

S	1 

SENATE BILL 1261

Short Title:  Econ. Impact of Rules Study.	(Public)
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Sponsors: Senator Sherron.
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Referred to:  Rules and Operation of the Senate.
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June 29, 1993

A BILL TO BE ENTITLED
AN ACT TO ESTABLISH THE ECONOMIC IMPACT OF RULES STUDY COMMISSION AND TO CAUSE THE RULES REVIEW COMMISSION TO SUBMIT MONTHLY SUMMARIES OF RULES TO THE GOVERNOR AND THE JOINT LEGISLATIVE COMMISSION ON GOVERNMENTAL OPERATIONS.
Whereas, the number of rules adopted by agencies of the North Carolina State government each year rivals the number of rules adopted by all of the agencies of the federal government combined; and 
Whereas, administrative rules can and do engender significant economic and social costs as well as benefits; and 
Whereas, continued economic development depends upon a highly competitive and attractive business climate with only the minimum of government rules necessary; and 
Whereas, citizens have the right to know the economic and social costs and benefits of proposed rules; and 
Whereas, agencies of the federal government have been required to prepare assessments of the economic and social costs and benefits for more than 12 years; and 
Whereas, the General Assembly has imposed upon itself the requirement for fiscal notes on proposed legislation; and 
Whereas, knowing the economic and social costs and benefits of certain proposed rules would help State agencies and the public determine the need for and efficacy of proposed rules; Now, therefore,
The General Assembly of North Carolina enacts:
Section 1.  The Economic Impact of Rules Study Commission is created.  The Commission shall consist of 12 members:  three Senators and a member of the Rules Review Commission appointed by the President Pro Tempore of the Senate, three Representatives and a representative of local government appointed by the Speaker of the House of Representatives, and four members to be appointed by the Governor, one of whom shall be a representative of State government, and three of whom shall be members of the public at large.  The President Pro Tempore of the Senate and the Speaker of the House of Representatives shall each designate a cochairman from their appointees.  Either cochairman may call the first meeting of the Study Commission.  Vacancies shall be filled in the same manner as the original appointments were made.
Sec. 2.  The Economic Impact of Rules Study Commission shall study:
(1)	The advisability of requiring all State agencies subject to the rule-making provisions of Chapter 150B of the General Statutes to determine and provide to the public for review and comment an assessment of the economic costs and benefits of proposed rules;
(2)	The costs to State agencies of producing assessments of the economic costs and benefits of proposed rules; and 
(3)	Any other issues related to State agency rule making that the Commission chooses to study.
Sec. 3.  The Study Commission may submit an interim report of its findings and recommendations and the status of its work on or before the first day of the 1994 Regular Session of the 1993 General Assembly.  The Commission shall submit a final report of its findings and recommendations to the General Assembly on or before the first day of the 1995 Session of the General Assembly by filing the report with the President Pro Tempore of the Senate and the Speaker of the House of Representatives.  Upon filing its final report, the Commission shall terminate.
Sec. 4.  The Commission, while in the discharge of its official duties, may exercise all the powers provided for under the provisions of G.S. 120-19 through 120-19.4.  The Commission may meet at any time upon the joint call of the cochairs.  The Commission may meet in the Legislative Building or the Legislative Office Building.
Sec. 5.  Members of the Commission shall be paid per diem, subsistence, and travel allowances as follows:
(1)	Commission members who are also members of the General Assembly, at the rate established in G.S. 120-3.1;
(2)	Commission members who are officials or employees of the State or local government agencies, at the rate established in G.S. 138-6; and 
(3)	All other Commission members, at the rate established in G.S. 138-5.
Sec. 6.  There is allocated from the General Fund to the General Assembly the sum of twenty-five thousand dollars ($25,000) for each of the 1993-94 and 1994-95 fiscal years for the expenses of the Commission.
Sec. 7.  The Legislative Services Commission, through the Legislative Administrative Officer, shall assign professional staff to assist in the work of the Commission.  The Senate's and the House of Representative's Supervisors of Clerks shall assign clerical staff to the Commission, upon the direction of the Legislative Services Commission.  The expenses relating to clerical employees shall be borne by the Commission.
Sec. 8.  Beginning September 15, 1993, and each month thereafter, the Rules Review Commission shall prepare or cause to be prepared and shall submit to the Governor and to the Joint Legislative Commission on Governmental Operations by the fifteenth of each month a summary of all rules proposed and all rules adopted by State agencies during the preceding month.  Each department and agency of the State required to file proposed and adopted rules with the Rules Review Commission shall cooperate with the Rules Review Commission in the production of the rule summaries.
Sec. 9.  This act becomes effective upon ratification.