The bill amends the Administrative Procedures Act of 1969 by updating sections 79 and 106 to enhance the impartiality and review process of contested cases. It specifies that presiding officers, which can include agency members or designated hearing officers, must conduct hearings in an impartial manner and are required to conduct a de novo review. Additionally, if a party files a timely affidavit claiming bias or disqualification of a presiding officer, the agency must address this as part of the case record, and its determination will be subject to judicial review. The bill also allows for the assignment of a new presiding officer if the original is disqualified or unable to continue, provided that this does not cause substantial prejudice to any party involved.

Furthermore, the bill modifies the judicial review process outlined in section 106, stating that courts must conduct a de novo review without deferring to the agency's decisions. It establishes criteria under which a court may set aside an agency's decision if it violates constitutional or statutory provisions, exceeds the agency's authority, involves unlawful procedures, lacks substantial evidence, is arbitrary or capricious, or contains significant legal errors. The court is empowered to affirm, reverse, modify, or remand cases for further proceedings as necessary.

Statutes affected:
House Introduced Bill: 24.279, 24.306
As Passed by the House: 24.279, 24.306