Indiana environmental groups say a House bill would have a chilling effect on regulatory agencies by creating another layer of scrutiny for proposed regulations.
House Bill 1351 was approved by the government reform committee last week, but its future is murky as it is still being revised due to financial implications.
Under the existing process, state regulatory agencies submit rules to the Attorney General’s Office and, if approved, are signed by Gov. Mike Pence. The bill, sponsored by Rep. David Wolkins, R-Warsaw, requires agencies to start by submitting rules to the proposed Office of Regulatory Authority, which would alert the Attorney General’s Office of any potential legal issues.
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The bill would also stop new policies from going beyond state and federal requirements unless the regulation specifically allows state discretion.
Jesse Kharbanda, executive director of the Hoosier Environmental Council, said the bill is troubling in several ways.
“We already nine separate statutory provisions in Indiana law that essentially achieve the same goal, by providing control and putting the brakes on regulators developing rules,” Kharbanda said. “Just looking at the Indiana Department of Environmental Management, we already have the Indiana Environmental Rules Board. It’s sweeping not only in covering all regulatory agencies but the language is quite unclear and could lead to paralyzed decision making that imposes risks on the health and safety of Hoosiers.”
Kharbanda said the bill is a waste of taxpayer dollars and the unclear and vague language “would have the effect of deterring rules from being instituted.”
Committee member Rep. Julie Olthoff, R-Crown Point, voted in favor of the legislation since its intent is to limit the possibility of lawsuits.
“Rep. Wolkins said the bill’s intent is to catch stuff earlier in the process to avoid lawsuits,” Olthoff said. “I heard (Wednesday) that part of the bill that calls for the LSA (Legislative Services Agency) to create a new department is probably gone. It’s such a moving target.”
Olthoff said the creation of a new department raises questions.
“Part of it is, do we want to create another layer of government?” Olthoff said. “Nobody wants more government, but we do need to look at state agencies and make sure they’re not overstepping their rulemaking authority.”
The Associated Press contributed to this report.