Section 1.374. Review by Governor’s Office

(a) Prior to submitting a proposed rulemaking, the agency head shall evaluate each regulation and attest to the fact that the regulation addresses a compelling public need that can be best remedied by the promulgation of the regulation.

(b) The agency head shall submit to the General Counsel, the Secretary of the Budget and the Governor’s Policy Director a written regulatory analysis. The analysis shall state:

(1) The name of the agency.

(2) The name of a contact person at that agency.

(3) A short title for the regulation and a citation from the Pennsylvania Code.

(4) Whether the regulation is a proposed, final-form or final-omitted rulemaking.

(5) A brief, clear and, if possible, nontechnical explanation of the regulation.

(6) The statutory authority or mandate for the regulation.

(7) The compelling public need that justifies the regulation.

(8) The public health, safety or environmental risks associated with nonregulation.

(9) Individuals or groups that are likely to benefit from the regulation.

(10) Individuals, groups or entities that will be required to comply with the regulation.

(11) The outreach conducted by the agency with the regulated community prior to submission of the regulation.

(12) An estimate of the costs or savings, or both, associated with compliance and implementation.

(13) A cost/benefit analysis of the regulation.

(14) Nonregulatory alternatives considered and the reasons for their dismissal.

(15) Alternative regulatory schemes considered and the reasons for their dismissal.

(16) A statement of the compelling Pennsylvania interest if the regulation exceeds Federal standards.

(17) Any requirements that would place the Commonwealth at a competitive disadvantage compared to other states.

(18) An intra-agency review schedule for the regulation.

(c) Each regulation submitted for review shall contain a brief preamble, written in clear and concise language, which describes in nontechnical terms the compelling public need the regulation is designed to address, what the regulation requires in legal and practical terms and who the regulation is likely to affect.

(d) The regulatory analysis, along with the preamble and draft regulation, will be reviewed by the Office of General Counsel for form, language and legal authority. The Governor’s Policy Office will review the request to determine that public interest is compelling, that no viable alternative to the regulation exists and that the costs of the regulation reasonably relate to the benefits. The Office of General Counsel will also consider whether the proposed regulation exceeds Federal standards. If the regulation does exceed Federal standards, the Policy Office will then evaluate whether the regulation is justified by a compelling and unique Pennsylvania interest. The Budget Office will evaluate the cost analysis prepared by the agency and prepare a fiscal note for the regulation.

(e) An agency may not proceed with a proposed, final-form or final-omitted regulation until the General Counsel, the Secretary of the Budget and the Policy Director have informed the agency that the regulation is consistent with the regulatory principles and overall policies of the Administration. Review by these three offices will be conducted in a fair and timely manner.