AN ACT PROVIDING FOR FAMILY IMPACT NOTES FOR CERTAIN BILLS INTRODUCED IN THE LEGISLATURE AND FOR CERTAIN PROPOSED ADMINISTRATIVE RULES; AMENDING SECTION 2-4-405, MCA; AND PROVIDING AN IMMEDIATE EFFECTIVE DATE AND A TERMINATION DATE.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:

Section 1. Family impact note for bill. The presiding officer of the house in which a bill is introduced that may have a significant impact on families may, at the time of introduction of the bill, request a family impact note. A note may also be requested, as the joint rules of the senate and the house of representatives allow, by:

(1) a committee considering the bill;

(2) a majority of the members of the house in which the bill is to be considered, at the time of second reading; or

(3) the sponsor, through the presiding officer.

Section 2. Preparation of family impact note. The executive branch agency designated by the presiding officer is responsible for the preparation of the family impact note and shall provide the note to the presiding officer within 6 days of the request for the note. The agency may ask the presiding officer to allow additional time to complete a note.

Section 3. Submission of family impact note -- sponsor's note -- distribution to legislators. (1) A completed family impact note must be submitted by the executive branch agency designated by the presiding officer to the presiding officer. Upon receipt of the completed note, the presiding officer shall notify the sponsor of the bill for which the note was prepared that the note has been completed and is available for review. Within 24 hours following notification, the sponsor shall:

(a) notify the presiding officer that the sponsor concurs with the completed note;

(b) request additional time, not to exceed 24 hours, to consult with the executive branch agency on the note; or

(c) elect to prepare a sponsor's note, as provided in subsection (4).

(2) (a) If the sponsor concurs with the completed note prepared by the executive branch agency or elects to prepare a sponsor's note, the presiding officer shall refer the completed note prepared by the executive branch agency to the committee considering the bill. If the bill is printed, the note must be reproduced and placed on the members' desks.

(b) If the sponsor requests additional time to consult with the executive branch agency, the presiding officer shall notify the sponsor and the executive branch agency of the time, not to extend beyond the time limitation specified in subsection (1)(b), by which:

(i) the executive branch agency shall submit a revised completed note to the presiding officer;

(ii) the sponsor shall notify the presiding officer that the sponsor concurs with the original completed note; or

(iii) the sponsor shall elect to prepare a sponsor's note as provided in subsection (4).

(3) At the time specified as provided in subsection (2)(b), the presiding officer shall refer the original or, if revised, the revised note to the committee considering the bill. If the bill is printed, the note must be reproduced and placed on the members' desks.

(4) (a) A sponsor who elects to prepare a sponsor's note shall prepare the note as provided in [section 4] and return the completed note to the presiding officer within 4 days of the election to prepare a sponsor's note.

(b) The presiding officer may grant additional time to the sponsor to prepare the sponsor's note.

(c) Upon receipt of the completed sponsor's note, the presiding officer shall refer it to the committee hearing the bill. If the bill is printed, the note must be identified as a sponsor's note, reproduced, and placed on the members' desks.

Section 4. Contents of family impact note. A family impact note must, if possible, include:

(1) any services that the bill would provide to families;

(2) any deleterious effects that the bill might have on families;

(3) an estimate of the number or percentage of families that would be affected by the bill;

(4) an estimate of the short-term and long-term costs or costs savings that the bill would have for the average family;

(5) ways in which the bill might strengthen the stability of the family;

(6) any effect the bill might have on the rights of parents, the rights of children, and their rights in relation to each other and to state and local government;

(7) whether the bill would help the family perform its functions;

(8) whether the bill substitutes state or local government activity for an activity traditionally engaged in by the family; and

(9) whether the bill sends a message to parents, children, or both regarding personal responsibility and the norms of society.

Section 5. Background information on family impact note to legislators on request. The executive branch agency designated by the presiding officer to prepare the family impact note shall make available on request to any member of the legislature all background information used in developing the note.

Section 6. Section 2-4-405, MCA, is amended to read:

"2-4-405. Economic impact statement -- family impact note. (1) Upon written request of the appropriate administrative rule review committee based upon the affirmative request of a majority of the members of the committee at an open meeting, an agency shall prepare a statement of the economic impact of the adoption, amendment, or repeal of a rule as proposed. The agency shall also prepare a family impact note upon receipt by the agency or the appropriate administrative rule review committee of a written request for a family impact note made by at least 15 legislators. If the request is received by the appropriate administrative rule review committee, the committee shall give the agency a copy of the request, and if the request is received by the agency, the agency shall give the appropriate administrative rule review committee a copy of the request. A family impact note must contain the material required by [section 4] if appropriate data is available. As an alternative, the appropriate administrative rule review committee may, by contract, prepare the estimate or the family impact note. Except to the extent that the request expressly waives any one or more of the following, a requested economic impact statement must include and the statement prepared by the committee may include:

(a) a description of the classes of persons who will be affected by the proposed rule, including classes that will bear the costs of the proposed rule and classes that will benefit from the proposed rule;

(b) a description of the probable economic impact of the proposed rule upon affected classes of persons and quantifying, to the extent practicable, that impact;

(c) the probable costs to the agency and to any other agency of the implementation and enforcement of the proposed rule and any anticipated effect on state revenue;

(d) an analysis comparing the costs and benefits of the proposed rule to the costs and benefits of inaction;

(e) an analysis that determines whether there are less costly or less intrusive methods for achieving the purpose of the proposed rule;

(f) an analysis of any alternative methods for achieving the purpose of the proposed rule that were seriously considered by the agency and the reasons why they were rejected in favor of the proposed rule;

(g) a determination as to whether the proposed rule represents an efficient allocation of public and private resources; and

(h) a quantification or description of the data upon which subsections (1)(a) through (1)(g) are based and an explanation of how the data was gathered.

(2) A request to an agency for a family impact note or economic impact statement or a decision to contract for the preparation of a note or statement must be made by the committee prior to the final agency action on the rule. The note or statement must be filed with the appropriate administrative rule review committee within 3 months of the committee's request or decision. The committee may withdraw its request or decision for note or statement at any time.

(3) Upon receipt of an economic impact statement, the committee shall determine the sufficiency of the statement. If the committee determines that the statement is insufficient, the committee may return it to the agency or other person who prepared the statement and request that corrections or amendments be made. If the committee determines that the statement is sufficient, a notice indicating where a copy of the statement may be obtained must be filed with the secretary of state for publication in the register by the agency preparing the statement or by the committee, if the statement is prepared under contract by the committee, and must be mailed to persons who have registered advance notice of the agency's rulemaking proceedings.

(4) This section does not apply to rulemaking pursuant to 2-4-303.

(5) The final adoption, amendment, or repeal of a rule is not subject to challenge in any court as a result of the inaccuracy or inadequacy of a family impact note or economic impact statement required under this section.

(6) An environmental impact statement prepared pursuant to 75-1-201 that includes an analysis of the factors listed in this section satisfies the provisions of this section."

Section 7. Effective date. [This act] is effective on passage and approval.

Section 8. Termination. [This act] terminates October 1, 2003.

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I hereby certify that the within bill,

HB 0625, originated in the House.

Chief Clerk of the House

Speaker of the House

Signed this	day

of	, .

President of the Senate

Signed this	day

of	, .

HOUSE BILL NO. 625

INTRODUCED BY P. BERGSAGEL, B. THOMAS, D. ADAMS, C. AHNER, S. BOOKOUT-REINICKE,

R. BROWN, R. CLARK, A. CURTISS, R. DALE, B. DAVIES, S. FISHER, D. FUCHS, L. GRINDE,

D. HEDGES, V. JACKSON, R. JORE, D. MOOD, S. ORR, B. REHBEIN, P. SLITER, R. SOMERVILLE,

B. STORY, A. WALTERS, J. MERCER

AN ACT PROVIDING FOR FAMILY IMPACT NOTES FOR CERTAIN BILLS INTRODUCED IN THE LEGISLATURE AND FOR CERTAIN PROPOSED ADMINISTRATIVE RULES; AMENDING SECTION 2-4-405, MCA; AND PROVIDING AN IMMEDIATE EFFECTIVE DATE AND A TERMINATION DATE.