Associated Industries of Missouri President and CEO Ray McCarty testified in favor of legislation this week that would require state agencies that change a standard, threshold or requirement to formally file a regulation. The bill would also require any state agency proposing a regulation with a cost in excess of $500,000 to notify affected people/businesses, and would require the General Assembly to pass a concurrent resolution to become effective.
McCarty testified to the House Government Efficiency Committee he had previously served as the head of a regulatory group at a state agency and understood the process very well, but many agencies have declined to propose regulations and changes to existing regulations, leading to confusion and non-compliance.
McCarty also answered a question posed by Rep. Frederick regarding the role of the Joint Committee on Administrative Rules in the rules process. He said the JCAR is limited in its authority and may only void a regulation for two primary reasons: inadequacy of the fiscal note, or cost estimate; or if the rule is determined to be arbitrary and capricious.
In addition to AIM, the bill was supported by the Missouri Insurance Coalition, limestone producers, NFIB and others. No vote was taken on the bill.
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