2024 House Bill 5672

Administrative procedure: rules; adoption of rules by state agencies more stringent than federal regulations; prohibit.

A bill to amend 1969 PA 306, entitled “Administrative procedures act of 1969,” by amending sections 32 and 45 (MCL 24.232 and 24.245), as amended by 2023 PA 104.

AI Analysis – Experimental

This bill seeks to clarify definitions, rules of construction, and the non-discriminatory nature of rules, emphasizing that violations are considered crimes only if specified by statute. It details the process for adopting codes or standards by reference, ensuring public availability, and states that guidelines and interpretive statements are advisory, not enforceable by law. The bill limits the general applicability of orders and sets conditions under which rules can be more stringent than federal standards, with exceptions for special education programs. It mandates electronic submission of proposed rules for formal certification and requires an agency report after public hearings, which includes comments, changes made, a regulatory impact statement, and specific comparisons to federal standards and impacts on small businesses. Additionally, it outlines requirements for proposing more stringent rules than federal standards, including a clear and convincing need and exceptional circumstances, and mandates a comprehensive analysis of the rule's impact on behaviors, harms, compliance costs, and particularly on small businesses, including the feasibility of market-based regulatory alternatives and the economic impact on small businesses. The bill also emphasizes the involvement of small businesses in the development of rules, estimates of primary and direct benefits, cost reductions, revenue increases, secondary benefits, and a detailed recitation of efforts to reduce the disproportionate impact on small businesses, along with a requirement for public availability of regulatory impact statements before hearings.