TITLE 34. PUBLIC FINANCE

PART 1. COMPTROLLER OF PUBLIC ACCOUNTS

CHAPTER 11. GOVERNMENT GROWTH IMPACT STATEMENT

34 TAC §11.1

The Comptroller of Public Accounts proposes new §11.1, concerning government growth impact statements. This section is proposed to be located in new Chapter 11, entitled "Government Growth Impact Statements."

The proposal is to comply with Government Code, §2001.0221(c), which was enacted by House Bill 1290, 85th Legislature, 2017. Government Code, §2001.0221(c) requires the comptroller to adopt rules to implement Government Code, §2001.0221, concerning government growth impact statements.

Subsection (a) provides definitions.

Subsection (b) requires a state agency to prepare a government growth impact statement for each rule that is proposed for adoption in a formal rulemaking proceeding under Government Code, Chapter 2001, Subchapter B (Rulemaking).

Subsection (c) requires a state agency to incorporate the government growth impact statement into the notice required by Government Code, §2001.024 (Content of Notice).

Subsection (d) outlines the content of the government growth impact statement. As required by House Bill 1290, the government growth impact statement must address whether a proposed rule: creates or eliminates a government program; requires the creation of new employee positions or the elimination of existing employee positions; requires an increase or decrease in future legislative appropriations to the agency; requires an increase or decrease in fees paid to the agency; creates a new regulation; expands, limits, or repeals an existing regulation; increases or decreases the number of individuals subject to the rule's applicability; and positively or adversely affects this state's economy.

Subsection (e) requires a state agency to write the government growth impact statement in plain language.

Subsection (f) provides that in preparing the government growth impact statement, a state agency should use information that is readily available to the state agency.

Tom Currah, Chief Revenue Estimator, has determined that for the first five-year period the rule will be in effect, there will be no significant revenue impact on the state or units of local government.

Mr. Currah also has determined that for each year of the first five years the rule is in effect, the public benefit anticipated as a result of enforcing the rule will be by informing them of the impacts related to the implementation of state agency rules. The proposed new rule would have no fiscal impact on the state government, units of local government, or individuals. There is no significant anticipated economic cost to individuals who are required to comply with the proposed rule.

Comments on the proposal may be submitted to David Zimmerman, Assistant General Counsel, Agency Affairs, Comptroller of Public Accounts, at david.zimmerman@cpa.texas.gov or at P.O. Box 13528, Austin, Texas 78711-3528. Comments must be received no later than 30 days from the date of publication of the proposal in the Texas Register.

The new section is proposed under Government Code, §2001.0221(c).

The new section implements Government Code, §2001.0221.

§11.1.Government Growth Impact Statements.

(a) The following words and terms, when used in this section, shall have the following meanings, unless the context clearly indicates otherwise.

(1) Regulation--A rule.

(2) Rule--

(A) a state agency statement of general applicability that:

(i) implements, interprets, or prescribes law or policy; or

(ii) describes the procedure or practice requirements of a state agency;

(B) includes the amendment or repeal of a prior rule; and

(C) does not include a statement regarding only the internal management or organization of a state agency and not affecting private rights or procedures.

(3) State agency--A state officer, board, commission, or department with statewide jurisdiction that makes rules or determines contested cases. The term includes the State Office of Administrative Hearings for the purpose of determining contested cases. The term does not include:

(A) a state agency wholly financed by federal money;

(B) the legislature;

(C) the courts;

(D) the Texas Department of Insurance, as regards proceedings and activities under Labor Code, Title 5 (Workers' Compensation), of the department, the commissioner of insurance, or the commissioner of workers' compensation; or

(E) an institution of higher education.

(b) A state agency shall prepare a government growth impact statement for each rule that is proposed for adoption in a formal rulemaking proceeding under Government Code, Chapter 2001, Subchapter B (Rulemaking).

(c) A state agency shall incorporate the government growth impact statement into the notice required by Government Code, §2001.024 (Content of Notice).

(d) A state agency shall reasonably describe in the government growth impact statement whether, during the first five years that the proposed rule would be in effect:

(1) the proposed rule creates or eliminates a government program;

(2) implementation of the proposed rule requires the creation of new employee positions or the elimination of existing employee positions;

(3) implementation of the proposed rule requires an increase or decrease in future legislative appropriations to the agency;

(4) the proposed rule requires an increase or decrease in fees paid to the agency;

(5) the proposed rule creates a new regulation;

(6) the proposed rule expands, limits, or repeals an existing regulation;

(7) the proposed rule increases or decreases the number of individuals subject to the rule's applicability; and

(8) the proposed rule positively or adversely affects this state's economy.

(e) The state agency must write the government growth impact statement in plain language.

(f) In preparing the government growth impact statement, a state agency shall utilize information that is readily available to the state agency.

The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.

Filed with the Office of the Secretary of State on July 14, 2017.

TRD-201702641

Lita Gonzalez

General Counsel

Comptroller of Public Accounts

Earliest possible date of adoption: August 27, 2017

For further information, please call: (512) 475-0387