S T A T E O F N E W Y O R K
________________________________________________________________________
5933
2009-2010 Regular Sessions
I N A S S E M B L Y
February 23, 2009
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Introduced by M. of A. TOWNS, KOLB -- read once and referred to the
Committee on Governmental Operations
AN ACT to amend the state administrative procedure act, in relation to
regulatory relief for health care providers, small businesses and
other regulated parties and to repeal paragraph (c) of subdivision 3
of section 202-a of such act relating thereto
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subdivision 9 of section 102 of the state administrative
procedure act, as amended by chapter 850 of the laws of 1990, is amended
to read as follows:
9. "Substantial revision" means any addition, deletion or other change
in the text of a rule proposed for adoption, which THE OFFICE OR THE
AGENCY DETERMINES materially alters its purpose, meaning or effect, [but
shall not include any change which merely defines or clarifies such text
and does not materially alter its purpose, meaning or effect. To deter-
mine] OR WHICH WOULD CAUSE A REGULATED PERSON TO INCUR COSTS, INCLUDING
BUT NOT LIMITED TO FINANCIAL, PERSONNEL, CAPITAL, OPERATIONAL, AND MAIN-
TENANCE COSTS, OR OTHERWISE ACT IN A MANNER MATERIALLY DIFFERENT THAN
REQUIRED BY THE MOST RECENT PUBLISHED VERSION OF THE PROPOSED RULE. IN
DETERMINING if the revised text of a proposed rule contains a substan-
tial revision, the revised text shall be compared to the text of the
rule for which a notice of proposed rule making was published in the
state register; provided, however, if a notice of revised rule making
was previously published in the state register, the revised text shall
be compared to the revised text for which the most recent notice of
revised rule making was published.
S 2. Section 102 of the state administrative procedure act is amended
by adding a new subdivision 12 to read as follows:
12. "OFFICE" MEANS THE OFFICE FOR REGULATORY REFORM.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD08623-01-9
A. 5933 2
S 3. Paragraph (a) of subdivision 5 of section 202 of the state admin-
istrative procedure act, as amended by chapter 850 of the laws of 1990,
is amended to read as follows:
(a) When an agency files a rule with the secretary of state, such
agency shall also submit a notice of adoption to the secretary of state
for publication in the state register. Except as provided in subdivision
six of this section, an agency may not file a rule with, or submit a
notice of adoption to, the secretary of state unless:
(I) the agency has previously submitted a notice of proposed rule
making and complied with the provisions of this section, AND
(II) THE AGENCY SUBMITS A REGULATORY IMPACT STATEMENT OR A REVISED
REGULATORY IMPACT STATEMENT PREPARED PURSUANT TO SECTION TWO HUNDRED
TWO-A OF THIS ARTICLE THAT CONTAINS A COMPLETE COST ESTIMATE FOR SUCH
RULE AS REQUIRED BY PARAGRAPH (C) OF SUBDIVISION THREE OF SUCH SECTION;
PROVIDED, HOWEVER, THAT A BEST ESTIMATE OF COSTS PREPARED PURSUANT TO
SUCH PARAGRAPH (C) SHALL NOT BE DEEMED COMPLETE COST FOR THE PURPOSES OF
THIS PARAGRAPH.
S 4. Paragraph (c) of subdivision 3 of section 202-a of the state
administrative procedure act is REPEALED and a new paragraph (c) is
added to read as follows:
(C) COSTS. A STATEMENT DETAILING THE ESTIMATED COSTS OF THE RULE,
INCLUDING BUT NOT LIMITED TO ITS FINANCIAL, PERSONNEL, CAPITAL, OPERA-
TIONAL AND MAINTENANCE COSTS, AND PURSUANT TO SUBPARAGRAPH (VI) OF THIS
PARAGRAPH ANY CHANGE IN REVENUE CAUSED BY THE RULE. SUCH STATEMENT SHALL
CONTAIN:
(I) THE ESTIMATED COSTS FOR THE IMPLEMENTATION OF, AND CONTINUING
COMPLIANCE WITH, THE RULE TO REGULATED PERSONS;
(II) THE ESTIMATED COSTS FOR THE IMPLEMENTATION OF, AND CONTINUED
ADMINISTRATION OF, THE RULE TO THE AGENCY AND TO THE STATE AND ITS LOCAL
GOVERNMENTS;
(III) THE SOURCE OF SUCH COST ESTIMATES, PROVIDED, HOWEVER, WHERE COST
ESTIMATES FOR THE RULE HAVE BEEN SUBMITTED TO THE AGENCY BY REGULATED
PERSONS, SUCH STATEMENT SHALL IDENTIFY THE MANNER AND EXTENT TO WHICH
EACH SUCH SUBMITTED ESTIMATE WAS INCORPORATED INTO OR EXCLUDED FROM THE
COST ESTIMATE PREPARED BY THE AGENCY;
(IV) AN IDENTIFICATION, AS SPECIFICALLY AS POSSIBLE, OF THE PORTION OF
THE ESTIMATED COSTS THAT WOULD BE PAID FOR BY THE STATE AND BY A REGU-
LATED PERSON OR PERSONS;
(V) FOR RULES AFFECTING HEALTH CARE PROVIDERS REGULATED BY THE DEPART-
MENT OF HEALTH, INFORMATION ON WHETHER SUFFICIENT STATE FUNDS HAVE BEEN
APPROPRIATED AND ARE AVAILABLE TO IMPLEMENT THE RULE OR TO REIMBURSE
REGULATED PERSONS FOR THE COSTS INCURRED IN COMPLYING WITH THE RULE,
PROVIDED, HOWEVER, THAT A DECLARATION TO THIS EFFECT BY THE AGENCY,
WHICH IS APPROVED BY THE DIVISION OF THE BUDGET, SHALL BE SUFFICIENT TO
MEET THIS REQUIREMENT;
(VI) AN EVALUATION OF ANY REVENUE CHANGE THAT WILL BE INCURRED BY
REGULATED PERSONS AS A RESULT OF THE IMPLEMENTATION OF ANY RULE AFFECT-
ING HEALTH CARE PROVIDERS REGULATED BY THE DEPARTMENT OF HEALTH;
(VII) THE INFORMATION AND METHODOLOGY UPON WHICH THE COST ESTIMATE IS
BASED; AND
(VIII) A STATEMENT SETTING FORTH ITS BEST ESTIMATE OF SUCH COSTS WHEN
THE AGENCY FINDS THAT THE COST INFORMATION REQUIRED BY THIS PARAGRAPH
CANNOT BE FULLY PROVIDED. SUCH BEST ESTIMATE SHALL INDICATE THE INFORMA-
TION AND METHODOLOGY UPON WHICH SUCH BEST ESTIMATE IS BASED AND THE
REASON OR REASONS WHY A COMPLETE ESTIMATE CANNOT BE PROVIDED;
A. 5933 3
S 5. Paragraph (h) of subdivision 3 of section 202-a of the state
administrative procedure act, as amended by chapter 520 of the laws of
1992, is amended to read as follows:
(h) Federal standards. A statement [identifying whether the rule
exceeds any minimum standards of the federal government for the same or
similar subject areas and, if so, an explanation of why the rule exceeds
such standards] COMPARING THE REQUIREMENTS OF THE RULE WITH ANY RELATED
FEDERAL REQUIREMENTS AND:
(I) IDENTIFY WHETHER SUCH RULE EXCEEDS ANY MINIMUM STANDARDS OF THE
FEDERAL GOVERNMENT, AND, IF SO, EXPLAIN THE MANNER IN WHICH SUCH RULE
EXCEEDS THOSE STANDARDS, AND
(II) COMPARE THE REQUIREMENTS OF SUCH RULE WITH ANY RELATED FEDERAL
REQUIREMENTS AND ASCERTAIN THE COMPATIBILITY OF SUCH RULE WITH THOSE
REQUIREMENTS. SUCH STATEMENT SHALL ALSO DESCRIBE THE MANNER IN WHICH
REGULATED PERSONS MAY ACHIEVE COMPLIANCE DURING THE PENDENCY OF ANY
CONFLICT BETWEEN SUCH RULE AND ANY OTHER RELATED FEDERAL REQUIREMENT;
and
S 6. Section 202-a of the state administrative procedure act is
amended by adding a new subdivision 7 to read as follows:
7. THE OFFICE SHALL PROMULGATE RULES THAT ESTABLISH GUIDELINES FOR THE
PREPARATION OF ANY STATEMENT REQUIRED PURSUANT TO THIS SECTION. SUCH
GUIDELINES SHALL SPECIFY MINIMUM STANDARDS FOR COMPLYING WITH THIS
SECTION WHICH SHALL INCLUDE, BUT NOT BE LIMITED TO, THE FORM, CONTENT,
AND MANNER OF SUBMISSION OF ANY COST ESTIMATES SUBMITTED TO AN AGENCY BY
A REGULATED PERSON, AND THE MINIMUM CONTENT OF ANY BEST ESTIMATE AND OF
THE COMPLETE COST ESTIMATE.
S 7. Section 202-b of the state administrative procedure act is
amended by adding a new subdivision 9 to read as follows:
9. THE OFFICE SHALL PROMULGATE RULES THAT ESTABLISH GUIDELINES FOR
PREPARING AN ANALYSIS AS REQUIRED PURSUANT TO THIS SECTION. SUCH GUIDE-
LINES SHALL SPECIFY MINIMUM STANDARDS FOR COMPLYING WITH THIS SECTION.
S 8. This act shall take effect on the first of October next succeed-
ing the date on which it shall have become a law and shall apply to rule
making notices submitted to the secretary of state pursuant to section
202 of the state administrative procedure act on and after such effec-
tive date; provided, however, that any rule or regulation necessary for
the timely implementation of this act on its effective date shall be
promulgated on or before such effective date.