2.2-4007.04 - Economic impact analysis.
§ 2.2-4007.04. Economic impact analysis.
A. Before delivering any proposed regulation under consideration to theRegistrar as required in § 2.2-4007.05, the agency shall submit on theVirginia Regulatory Town Hall a copy of that regulation to the Department ofPlanning and Budget. In addition to determining the public benefit, theDepartment of Planning and Budget in coordination with the agency shall,within 45 days, prepare an economic impact analysis of the proposedregulation, as follows:
1. The economic impact analysis shall include but need not be limited to theprojected number of businesses or other entities to whom the regulation wouldapply; the identity of any localities and types of businesses or otherentities particularly affected by the regulation; the projected number ofpersons and employment positions to be affected; the impact of the regulationon the use and value of private property, including additional costs relatedto the development of real estate for commercial or residential purposes; andthe projected costs to affected businesses, localities, or entities ofimplementing or complying with the regulations, including the estimatedfiscal impact on such localities and sources of potential funds to implementand comply with such regulation. A copy of the economic impact analysis shallbe provided to the Joint Commission on Administrative Rules;
2. If the regulation may have an adverse effect on small businesses, theeconomic impact analysis shall also include (i) an identification andestimate of the number of small businesses subject to the regulation; (ii)the projected reporting, recordkeeping, and other administrative costsrequired for small businesses to comply with the regulation, including thetype of professional skills necessary for preparing required reports andother documents; (iii) a statement of the probable effect of the regulationon affected small businesses; and (iv) a description of any less intrusive orless costly alternative methods of achieving the purpose of the regulation.As used in this subdivision, "small business" has the same meaning asprovided in subsection A of § 2.2-4007.1; and
3. In the event the Department cannot complete an economic impact statementwithin the 45-day period, it shall advise the agency and the Joint Commissionon Administrative Rules as to the reasons for the delay. In no event shallthe delay exceed 30 days beyond the original 45-day period.
B. Agencies shall provide the Department with such estimated fiscal impactson localities and sources of potential funds. The Department may request theassistance of any other agency in preparing the analysis. The Departmentshall deliver a copy of the analysis to the agency drafting the regulation,which shall comment thereon as provided in § 2.2-4007.05, a copy to theRegistrar for publication with the proposed regulation, and an electroniccopy to each member of the General Assembly. No regulation shall bepromulgated for consideration pursuant to § 2.2-4007.05 until the impactanalysis has been received by the Registrar. For purposes of this section,the term "locality, business, or entity particularly affected" means anylocality, business, or entity that bears any identified disproportionatematerial impact that would not be experienced by other localities,businesses, or entities. The analysis shall represent the Department's bestestimate for the purposes of public review and comment on the proposedregulation. The accuracy of the estimate shall in no way affect the validityof the regulation, nor shall any failure to comply with or otherwise followthe procedures set forth in this subsection create any cause of action orprovide standing for any person under Article 5 (§ 2.2-4025 et seq.) orotherwise to challenge the actions of the Department hereunder or the actionof the agency in adopting the proposed regulation.
(2007, cc. 316, 561, 873, 916.)