This bill mandates that state agencies conduct a cost-benefit analysis for any proposed administrative rules, ensuring that the projected benefits of a rule exceed its costs. It introduces new definitions for terms such as "benefit," "cost," "best practices," and "stakeholder," which will guide the analysis process. Agencies are required to publish preliminary and final cost-benefit analyses when proposing and adopting rules, respectively, and must consult with the commissioner of management and budget to assess the impact on local governments. The bill also specifies that certain exempt rules are not subject to these requirements.

Additionally, the bill amends existing statutes to enhance transparency and accountability in the rulemaking process. It requires agencies to notify legislative committees about the adoption of exempt rules and includes provisions for public review of the need and reasonableness of proposed rules. The bill establishes that a rule may be declared invalid if it is found to be supported by a significantly deficient cost-benefit analysis. The act will take effect the day after final enactment and will apply to rules adopted or amended thereafter.

Statutes affected:
Introduction: 14.002, 14.02, 14.131, 14.14, 14.15, 14.386, 14.388, 14.389, 14.44, 14.45