Chris Micheli

CA Legislative Explainer: Tax Levy Bills  By Chris Micheli Under Article IV, Section 8(c)(3) of the California Constitution, “statutes calling elections, statutes providing for tax levies or appropriations for the usual current expenses of the State, and urgency statutes shall go into effect immediately upon their enactment.” In addition, a tax levy is not subject to a referendum. So, what is a “tax levy”? Unfortunately, it is not defined in either the state Constitution or in statute. Nonetheless, a common misconception is that a “tax levy” is a tax increase bill. However, that is not always the case. While a tax levy is usually a collection tool used by the government, for California bills, a “tax levy” is a ny bill that imposes, repeals, or materially alters a state tax. It is often described as a bill that changes the base, rate, or burden of a state tax. The Office of Legislative Counsel indicates in the Title and Digest of the bill whether the bill is a tax levy. Specific

CA Regulatory Explainer: Overview of the California Rulemaking Process  By Chris Micheli   California has over 200 State agencies, departments, boards, and commissions that make public policy through their authority to adopt regulations. A list of State agencies that have adopted regulations can be found on the website of California’s Office of Administrative Law (OAL), which is found at www.oal.ca.gov   OAL’s website also provides direct access to the California Code of Regulations (CCR), which is organized under various subject matter titles, of which there are 28 titles. These titles contain the over 60,000 state regulations that are currently in effect.   California’s Administrative Procedure Act (APA) contains required procedures for rule-making and administrative hearings conducted by all of these agencies and departments. The APA is found at Chapter 3.5, 4 and 5 commencing with Section 11340 of Part 1 of Division 3 of Title 2 of the Government Code.   In addition,

CA Regulatory Explainer: OAL’s Six Standards of Review for Proposed Regulations  By Chris Micheli             California’s Office of Administrative Law (OAL) plays several roles concerning the rulemaking activities of the state’s two hundred regulatory agencies, departments, boards, and commissions. There is not just the “regular” rulemaking, but also emergency rulemaking, and even review of “underground” regulations.             Most agencies enjoy broad grants of rulemaking authority by statute. In some instances, the Legislature has provided a limited grant of authority in order to adopt regulations. Most of those two hundred regulatory entities have adopted regulations. And, OAL reviews over 500 regulations per year. When OAL reviews regulations, its review is dictated by the California Administrative Procedure Act (APA), which is found in the Government Code, and the APA sets forth six standards by which OAL determines whether a regulation was properly adopted. Those standar

CA Regulatory Explainer: Underground Regulations and the Role of OAL  By Chris Micheli             California’s Office of Administrative Law (OAL) is charged with ensuring that agency and department regulations are “clear, necessary, legally valid, and available to the public.” OAL is responsible for reviewing proposed regular and emergency regulations by California’s more than 200 state agencies and departments that have rulemaking authority. The formal rulemaking process is established by the California Administrative Procedure Act (APA), which is found in the Government Code, and the APA sets forth the criteria by which OAL reviews all of those regulations. OAL reviews regular and emergency rulemaking projects, as well as challenged “underground” regulations. On the OAL website, readers can track the list of rulemaking actions submitted to OAL for review by executive branch agencies and departments. This list is updated regularly by OAL. The website also contains a listing of

CA Regulatory Explainer: Regular Versus Emergency Rulemaking  By Chris Micheli             The California Office of Administrative Law (OAL) is charged with ensuring that agency and department regulations are “clear, necessary, legally valid, and available to the public.” OAL is responsible for reviewing proposed regulations by California’s more than 200 state agencies and departments that have rulemaking authority. The formal rulemaking process is established by the California Administrative Procedure Act (APA), which is found in the Government Code, and the APA sets forth the criteria by which OAL reviews all of those regulations.             E very department, division, office, officer, bureau, board, or commission in the executive branch of California state government must follow the rulemaking procedures in the APA, as well as those regulations adopted by the OAL as part of the rulemaking process, unless that entity is expressly exempted by statute from some or all of the AP

CA Regulatory Explainer: Economic Impact Analysis for Proposed Regulations  By Chris Micheli             As part of California’s Administrative Procedure Act (APA), which is found in the Government Code, executive branch agencies that promulgate regulations are required to conduct an economic impact analysis. What is that analysis and how have the courts interpreted agency actions to comply with this statutory mandate?             Under existing law, all regulations are required to have an analysis of the potential economic impact of a regulation. Specifically, pursuant to Government Code Section 11346.3, a state entity proposing to adopt, amend, or repeal any regulation must assess the potential for adverse economic impact on California business enterprises and individuals. These rulemaking entities must also avoid the imposition of unnecessary or unreasonable regulations or reporting, recordkeeping, or compliance requirements. This short analysis is done by completing the Econ

CA Regulatory Explainer: Public Hearings Under the APA  By Chris Micheli             As part of California’s Administrative Procedure Act (APA), the rulemaking bodies of the executive branch of state government must conduct a public hearing on a proposed regulation if requested by a member of the public. Pursuant to Government Code Section 11346.8, if a public hearing is held, both oral and written statements, arguments, or contentions must be permitted. However, the agency may impose reasonable time limitations on oral presentations.             This section of law also specifies that a public hearing must be held if, no later than 15 days prior to the close of the written comment period, an interested person or his or her duly authorized representative, submits in writing to the state agency, a request to hold a public hearing. If such a request is made by a member of the public, then a state agency must provide notice of the time, date, and place of the hearing by mailing the n

CA Regulatory Explainer: Judicial Review of Regulations  By Chris Micheli             California Government Code Section 11350 provides that any interested person may obtain a judicial declaration as to the validity of any regulation or order of repeal by bringing an action for declaratory relief in the superior court in accordance with the Code of Civil Procedure. Note that the right to judicial determination is not affected by the failure of a party to petition or to seek reconsideration of a petition before the agency promulgating the regulation or order of repeal. The regulation or order of repeal may be declared to be invalid for a substantial failure to comply with the Administrative Procedure Act (APA) or, in the case of an emergency regulation, upon the ground that the facts recited in the finding of emergency do not constitute an emergency. A regulation or order of repeal may be declared invalid if either of the following exists: ·          The agency’s determination

CA Regulatory Explainer: Role of Administrative Agencies in State Government  By Chris Micheli California’s administrative agencies play a key role in state government and in public policy development. That is because there are over 200 state agencies, departments, boards, and commissions which have the authority to implement, interpret and enforce state laws and regulations. These entities enjoy quasi-legislative (i.e., the authority to adopt regulations – or laws – similar to the legislative branch of government, often called rulemaking authority) and quasi-judicial (i.e., the authority to interpret laws similar to a court) powers. These state entities also formulate and influence state policies and legislation by administering the laws adopted by the Legislature and executive orders promulgated by the Governor. As a result, administrative agencies of state government are often important players in public policy development in this state. For example, by influencing pending leg

Capitol Trivia Question #2 By Chris Micheli Question: How many bills have become law without the Governor's signature during the tenure of the current governor and the past three governors? Answer: 14 By Governor Newsom: 0 By Governor Brown: 4 By Governor Schwarzenegger: 0 By Governor Davis: 10

2023-24 State Assembly: Did You Know? By Chris Micheli In reviewing the recently-concluded 2023-24 California Legislative Session, the following are three areas of interest for the State Assembly. Bills The first topic is bills. The total number of bill introductions over the 2-year Session was 3,291 Assembly Bills. Of those, 1,992 ABs were passed by the Assembly, and 1,384 ABs were enrolled and sent to the Governor. Assembly Members and Standing Committee Assignments The second topic is Assembly Members’ committee assignments. These are only for standing committees, and do not include select or joint committees.  The average number of standing committee assignments per Assembly Member was 4.55, but the highest number was 7 and the lowest number was zero. Five Assembly Members served on 7 committees, while 3 Assembly Members did not serve on any committees. Assembly Members and Bill Introductions The third topic is Assembly Members’ bill introductions. Assembly Rule 49 caps the number

2023-24 State Senate: Did You Know? By Chris Micheli In reviewing the recently-concluded 2023-24 California Legislative Session, the following are three areas of interest for the State Senate. Bills The first topic is bills. The total number of bill introductions over the 2-year Session was 1,530 Senate Bills. Of those, 1,199 SBs were passed by the Senate, and 796 SBs were enrolled and sent to the Governor. Senators and Standing Committee Assignments The second topic is Senators’ committee assignments. These are only for standing committees, and do not include select or joint committees.  The average number of standing committee assignments per Senator was 3, but the highest number was 10 and the lowest number was zero. Three Senators served on 8 committees, while 7 Senators served on 7 committees. Senators and Bill Introductions The third topic is Senators’ bill introductions. Senate Rule 22.5 caps the number of bills that can be introduced during a 2-year session to 40 per Senator,