Starting June 30, 2026, state agencies must undergo regular regulation reviews, while costly rules need approval from both legislative chambers.
Regulations estimated to cost at least $1 million over five years must receive approval from both legislative chambers.
State agencies must have their regulations reviewed every five to eight years, and agencies that fall far behind may be barred from proposing most new rules.
Courts must decide what statutes and regulations mean for themselves during agency appeals, while factual review limits remain.
Agencies must share public comments with the small-business review committee and repeat public notice when they make major unreviewed changes to proposed rules.
The Senate and House must approve a regulation through a joint resolution when its estimated economic impact reaches at least $1 million over five years. This applies to regulations covered by a final economic assessment report. The Office of Research and Statistics must prepare and publish the final assessment report after the public hearing. The report must show an estimated impact of at least $1 million over five years. The act takes effect upon the Governor’s approval, which the supplied text dates to June 30, 2026.
The Legislative Audit Council must schedule and conduct formal reviews of state-agency regulations. The reviews cover regulations issued by state agencies and must check whether they remain within legal authority or have become outdated. Reviews must occur at least once every five to eight years. If an agency misses the review deadline and does not finish within 90 days, it may not file proposed new regulations, except emergency rules or rules required by federal law. The General Assembly may waive that filing restriction for good cause for up to 180 days. Scheduling begins July 1, 2027, and annual reports begin January 1, 2028.
Courts must interpret statutes and regulations independently instead of deferring to an agency’s interpretation. This applies during judicial review of agency decisions and Administrative Law Court decisions. Courts still may not replace an agency’s judgment about the weight of evidence on factual questions. Other review rules remain, including review for legal errors, unlawful procedures, and arbitrary or clearly erroneous decisions. The provision takes effect when the Governor approves the act on June 30, 2026.
Agencies must give the Small Business Regulatory Review Committee public comments and must restart the public notice process for certain major changes. The rules apply to proposed regulations reviewed under the state administrative process. An agency may not send a regulation to the General Assembly if it contains a major change that public comments did not raise or address. The committee includes members appointed by the Governor, Senate President, and House Speaker, plus specified nonvoting legislative committee chairs or designees. Appointed members must be current or former small-business owners or officers, and at least one must be involved in agribusiness. These requirements take effect upon the Governor’s approval, dated June 30, 2026.
No hearings or votes scheduled.