SB77 Alabama 2013 Session

Summary

Primary Sponsor

J.T. WaggonerSenator

Republican

Session

Regular Session 2013

Title

Administrative Procedure Act, rules affecting small business, small business economic impact and regulatory flexibility analysis required under certain conditions, agencies to review rules every five years for effect on small businesses, Secs. 41-22-5.1, 41-22-5.2 added

Summary

SB77 would require state agencies to study and report how proposed rules affect small businesses, require analyses to lessen those impacts, and periodically review existing rules to minimize harm to small business growth.

What This Bill Does

Defines a small business for this act as independently owned and operated, with fewer than 250 full-time employees or less than $25 million in gross annual sales. Before adopting rules that may adversely affect small businesses, agencies must prepare and file a Small Business Economic Impact Statement with the number of affected businesses, estimated costs, potential job losses, and less burdensome alternatives. They must also prepare a Small Business Regulatory Flexibility Analysis to identify ways to minimize impact, including lighter reporting requirements, easier deadlines, or exemptions, and these documents must be filed with the Legislative Reference Service and made publicly available. A small business can seek judicial review of compliance within one year after final agency action, and agencies must review all rules every five years to minimize economic impact; existing rules must be reviewed within four years of the act’s effective date with possible extensions up to five years, and new rules adopted after the act must be reviewed every five years.

Who It Affects

• Small businesses in Alabama, defined as independent, for-profit entities with under 250 full-time employees or under $25 million in gross annual sales, who would be subject to impact statements and analyses.
• State agencies and rulemaking bodies who must prepare these analyses, file with the Legislative Reference Service, and conduct periodic rule reviews.

Key Provisions

• Defines 'small business' as independently owned and operated, employing fewer than 250 full-time employees or with gross annual sales under $25,000,000.
• Requires an agency to prepare a Small Business Economic Impact Statement before adopting any rule that may adversely impact small businesses, including count of affected businesses, estimated costs, potential job losses, and less burdensome alternatives.
• Requires a Small Business Regulatory Flexibility Analysis to identify ways to minimize adverse impacts, such as lighter compliance or reporting requirements, simpler deadlines, consolidation of requirements, performance standards, or exemptions.
• Documents must be filed with the Legislative Reference Service and be publicly available.
• Small businesses adversely affected may seek judicial review of compliance within one year after final agency action.
• Requires agencies to review all rules every five years to ensure they minimize economic impact on small businesses.
• Within four years of the act’s effective date, agencies must review existing rules to decide whether to continue, amend, or rescind them, with possible extensions up to five years.
• Rules adopted after the act’s effective date must be reviewed every five years.
• The act becomes law on the first day of the third month after it passes and is approved.

AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Administrative Law and Procedure