SB 298-2_ Filed 04/29/2005, 16:19 ChairPerson
Adopted 04/29/2005



COMMITTEE REPORT

    Madam President: Pursuant to Joint Rule 20, your Committee on Rules and Legislative Procedure, to which was referred Engrossed Senate Bill 298 because it conflicts with HEA 1822-2005 without properly recognizing the existence of HEA 1822-2005, has had Engrossed Senate Bill 298 under consideration and begs leave to report back to the Senate with the recommendation that Engrossed Senate Bill 298 be corrected as follows:

            
    In the conference committee report for ESB 298, delete page 1, lines 2 through 21.
    In the conference committee report for ESB 298, delete page 2, lines 1 through 41, begin a new paragraph and insert:
    "SECTION 1. IC 4-22-2-28, AS AMENDED BY HEA 1822-2005, SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2005]: Sec. 28. (a) As used in this section, "total estimated economic impact" means the annual economic impact of a rule on all regulated persons after the rule is fully implemented under subsection (g).
    (a) (b) The Indiana economic development corporation established by IC 5-28-3-1:
        (1) shall review a proposed rule that:
            (A) imposes requirements or costs on small businesses (as defined in IC 4-22-2.1-4); and
            (B) is referred to the corporation by an agency under IC 4-22-2.1-5(c); and
        (2) may review a proposed rule that imposes requirements or costs on businesses other than small businesses (as defined in IC 4-22-2.1-4).
After conducting a review under subdivision (1) or (2), the corporation may suggest alternatives to reduce any regulatory burden that the proposed rule imposes on small businesses or other businesses. The agency that intends to adopt the proposed rule shall respond in writing to the Indiana economic development corporation concerning the corporation's comments or suggested alternatives before adopting the proposed rule under section 29 of this chapter.
    (b) The (c) Subject to subsection (f) and not later than fifty (50) days before the public hearing required by section 26 of this chapter, an agency shall submit a proposed rule with an to the

legislative services agency for a review under subsection (d) if the agency proposing the rule determines that the rule will have a total estimated economic impact greater than five hundred thousand dollars ($500,000) on the all regulated entities. persons. to the legislative services agency after the preliminary adoption of the rule. In determining the total estimated economic impact under this subsection, the agency shall consider any applicable information submitted by the regulated persons affected by the rule. To assist the legislative services agency in preparing the fiscal impact statement required by subsection (d), the agency shall submit, along with the proposed rule, the data used and assumptions made by the agency in determining the total estimated economic impact of the rule.
     (d) Except as provided in subsection (c), (e), before the adoption of the rule, the legislative services agency shall prepare, and not more than forty-five (45) days after receiving a proposed rule under subsection (c), the legislative services agency shall prepare, using the data and assumptions provided by the agency proposing the rule, along with any other data or information available to the legislative services agency, a fiscal analysis impact statement concerning the effect that compliance with the proposed rule will have on: the:
        (1) the state; and
        (2) all entities persons regulated by the proposed rule.
The fiscal analysis impact statement must contain an estimate of the total estimated economic impact of the proposed rule and a determination concerning the extent to which the proposed rule creates an unfunded mandate on a state agency or political subdivision. The fiscal analysis impact statement is a public document. The legislative services agency shall make the fiscal analysis impact statement available to interested parties upon request. The agency proposing the rule shall consider the fiscal analysis impact statement as part of the rulemaking process and shall provide the legislative services agency with the information necessary to prepare the fiscal analysis, impact statement, including any economic impact statement prepared by the agency under IC 4-22-2.1-5. The legislative services agency may also receive and consider applicable information from the regulated entities persons affected by the rule in preparation of the fiscal analysis. impact statement.
    (c) (e) With respect to a proposed rule subject to IC 13-14-9:
        (1) the department of environmental management shall give

written notice to the legislative services agency of the proposed date of preliminary adoption of the proposed rule not less than sixty-six (66) days before that date; and
        (2) the legislative services agency shall prepare the fiscal analysis impact statement referred to in subsection (b) (d) not later than twenty-one (21) days before the proposed date of preliminary adoption of the proposed rule.".
    In the conference committee report for ESB 298, delete page 3, line 19 through page 4, line 16, begin a new paragraph and insert:
    "SECTION 3. IC 20-19-4-8, AS ADDED BY HEA 1288-2005, SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2005] Sec. 8. (a) As used in this section, "total estimated fiscal impact" means the annual fiscal impact of a recommendation on all affected entities after the recommendation is fully implemented under subsection (e).
    (a) (b) Subject to subsection (d), before providing a recommendation under section 7 of this chapter, the roundtable shall prepare an analysis of the total estimated fiscal impact that the recommendation will have on the state, political subdivisions, and and all private schools affected by the recommendation. In preparing an analysis under this subsection, the roundtable shall consider any applicable information submitted by entities affected by the recommendation. The analysis prepared under this subsection must be submitted with the recommendation under section 7 of this chapter.
    (b) (c) If the roundtable provides a recommendation under section 7 of this chapter and the total estimated fiscal impact analysis prepared under subsection (a) (b) indicates that the impact of the recommendation will be at least five hundred thousand dollars ($500,000), the roundtable shall submit a copy of the recommendation and the fiscal impact analysis prepared under subsection (a) (b) to the legislative services agency for review. This recommendation must be in an electronic format under IC 5-14-6. Not more than forty-five (45) days after receiving a copy of the recommendation and fiscal impact analysis, the legislative services agency shall prepare a fiscal analysis impact statement concerning the effect that compliance with the recommendation will have on:
        (1) the state; and
        (2) all:
            (A)
political subdivisions; and
            (3) (B) nonpublic schools;
        affected by the proposed recommendation.


The fiscal analysis impact statement must contain an estimate of the direct total estimated fiscal impact of the recommendation and a determination concerning the extent to which the recommendation creates an unfunded mandate on the state, a political subdivision, or a nonpublic school affected by the proposed recommendation. The fiscal analysis impact statement is a public document. The legislative services agency shall make the fiscal analysis impact statement available to interested parties upon request. The roundtable shall provide the legislative services agency with the information necessary to prepare the fiscal analysis. impact statement. The legislative services agency may also receive and consider applicable information from the entities affected by the recommendation in preparation of the fiscal analysis. impact statement. The legislative services agency shall provide copies of its fiscal analysis impact statement to each of the persons described in section 7 of this chapter.".
    In the conference committee report for ESB 298, page 4, line 17, delete "(e) and insert " (d)".
    In the conference committee report for ESB 298, page 4, line 23, delete "(f) and insert " (e)".
    In the conference committee report for ESB 298, page 4, line 46, delete "IC 20-1-20.5-8," and insert " IC 20-19-4-8,".
    (Reference is to ESB 298 as printed March 22, 2005, and as amended by the conference committee report adopted April 28, 2005.)

_______________________________________________

Senator GARTON, Chairperson

_______________________________________________

Senator R YOUNG, R.M.M.

_______________________________________________

Senator YOUNG R. MICHAEL


JR 029801/DI 55
2005