Subject: Administrative Law; Courts; Environmental Protection; Natural Resources Dept.

Bill Summary: This proposal modifies provisions pertaining to the filing of appeals regarding decisions made by environmental commissions.

ESTIMATED NET EFFECT ON GENERAL REVENUE FUND
FUND AFFECTED	FY 2012	FY 2013	FY 2014
General Revenue	($508,318 to Unknown)	($602,218 to Unknown)	($612,912 to Unknown)

Total Estimated Net Effect on General Revenue Fund	($508,318 to Unknown)	($602,218 to Unknown)	($612,912 to Unknown)

ESTIMATED NET EFFECT ON OTHER STATE FUNDS
FUND AFFECTED	FY 2012	FY 2013	FY 2014


Total Estimated Net Effect on Other State Funds	$0	$0	$0

ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED	FY 2012	FY 2013	FY 2014


Total Estimated Net Effect on All Federal Funds	$0	$0	$0

ESTIMATED NET EFFECT ON FULL TIME EQUIVALENT (FTE)
FUND AFFECTED	FY 2012	FY 2013	FY 2014
Administrative Hearing Commission	8	8	8

Total Estimated Net Effect on FTE	8	8	8

☒ Estimated Total Net Effect on All funds expected to exceed $100,000 savings or (cost).

☐ Estimated Net Effect on General Revenue Fund expected to exceed $100,000 (cost).

ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED	FY 2012	FY 2013	FY 2014
Local Government	$0	$0	$0

Officials from the Office of State Courts Administrator assume there will be no fiscal impact to their agency.

Officials from the Office of Administration - Administrative Hearing Commission (AHC) assume Section 621.250.2 places a deadline of 60 days from the filing of a complaint for the AHC to hold a hearing and issue a recommended decision. This is too short given the high volume and complexity of the cases heard at the AHC.

The Administrative Hearing Commission hears complex cases, including tax and professional licenses cases. By enacting such a short deadline on one type of case, all cases will be affected. The AHC is requesting a Commissioner, two attorneys, a paralegal, two court reporters, and two senior office assistants to meet this deadline. Expenditures include equipment for computers and Westlaw expenses.

Officials from the Department of Natural Resources (DNR) assume Section 621.250.2 of this proposal states that within thirty days of any finding, order, or decision for which authority to hear appeals was transferred to the Administrative Hearing Commission (AHC), any party aggrieved or adversely affected by the decision can initiate an appeal by filing a notice of appeal with the AHC. This includes appeals of decisions made by department commissions or by department staff in implementing the provisions of various environmental laws and regulations. Once the notice of appeal is filed with the AHC, the AHC has sixty days to hold a hearing and make a final recommendation on the appeal or to resolve the appeal by another method such as a settlement, consent order, or stipulation.

Section 621.250.3 of the proposal goes on to say that once the AHC has made its final recommendation, the recommendation is sent back to the commission having final authority over the decision. The environmental commission with final authority must issue a final decision within ninety days of the date the notice of appeal was filed with the AHC. Assuming the AHC takes its full sixty days allotted to hold a hearing and issue a recommendation, and the additional fifteen days allotted to the AHC to transmit its recommendation to the originating commission, that leaves the environmental commission with final authority only fifteen days to issue a final decision. Most of the environmental commissions only meet every other month. In order to decide an issue within the ninety day timeframe specified in this proposal, it is assumed special commission meetings could need to be scheduled for the commissions to discuss and decide the appeal. This would involve additional costs and staff time necessary to prepare and conduct a commission meeting, in addition to the regularly scheduled meetings.

Section 621.250.7 of the proposal states that any decisions made by the commissions shall be subject to administrative review before being entered in any court.

The fiscal impact to implement this proposal is unknown. Costs would be dependent upon the timing of the Administrative Hearing Commissions appeal process and recommendations and the number of appeals.

No direct fiscal impact to small businesses would be expected as a result of this proposal.

This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space.

FISCAL IMPACT - State Government	FY 2012 (10 Mo.)	FY 2013	FY 2014
GENERAL REVENUE

Costs - Administrative Hearing Commission
Salaries	($314,600)	($384,050)	($390,732)
Fringe Benefits	($164,662)	($201,012)	($204,509)
Equipment and Expense	($29,056)	($17,156)	($17,671)

Total	($508,318)	($602,218)	($612,912)

Costs - Department of Natural Resources
Additional costs dependent on appeal process	(Unknown)	(Unknown)	(Unknown)

ESTIMATED NET EFFECT ON GENERAL REVENUE	($508,318 to Unknown)	($602,218 to Unknown)	($612,912 to Unknown)

Estimated Net FTE (Administrative Hearing Commission)	8	8	8