Branstad: Public must be more involved in state agencies' rulemaking

Gov. Terry Branstad took executive action Monday to require direct public input from affected stakeholders before state agencies embark on new rules or regulations that implement legislative changes.

Executive order 80 that Branstad signed Monday requires state departments and agencies to create “stakeholder rulemaking groups” consisting of individuals who represent the interests that will be significantly affected by a draft rule proposal or subject matter. The governor said he hopes the change will make rulemaking authorities “fully aware of the full consequences” of each rule or regulation they look to put into effect.

“It's so easy for government to just put regulations in place and put people out of business and be an impediment to economic development and growth,” Branstad told his weekly news conference, where he announced that he had signed the order. “We need a little more common sense in this process. I know that we can do better.”

Once the stakeholder groups are formed, they are to notify the public of their meetings, receive public comment and input, and then make recommendations to the government entity that has rulemaking authority, he said. Branstad said one of the common complaints he heard during the Iowa State Fair and visits to Iowa communities is situations where over-burdensome regulations or unnecessary impediments created unintended consequences that translated into higher costs for consumers and businesses.

Denny Marchand, a Des Moines house builder who does his own plumbing work and attended the governor's news conference, said confusing regulations and a lack of information about renewal procedures created a situation where his plumbing license expired even though he thought he was in compliance. He said his request for a waiver to reinstate his license was denied and he is going through the appeals process, but the situation has forced him to hire other licensed plumbers to do work that he previously did at added cost to his business.

“I have been frustrated with the process and I know other plumbers who have had the same problem that I have had because we feel we do not have a voice. I am a good plumber and I want to get back to work,” Marchand said. “There was no way for me to know about this.”

Branstad said the Des Moines plumber's situation was not an isolated case and points up inconsistencies in the regulatory process that his administration is trying to address. “If an attorney fails to renew his or her license, we don't require them to sit for the bar exam again” while Marchand is being required to submit new paper work and re-qualify for his plumber's license, the governor noted.

Brenna Findley, Branstad's legal counsel, said the executive order will not apply to every new rule and will not affect the process of emergency rulemaking.

Joe Royce, the attorney for the Legislature's Administrative Rules Review Committee, said he believed the executive order will improve the current process.

The governor's order was met by some skepticism as well.

“This order is a very troubling blow to the democratic process because it appears Branstad is putting big business and industry groups in charge of government rulemaking, which could further limit everyday people's voice in the political process,” said Adam Mason, the statewide policy organizing director for Iowa Citizens for Community Improvement. “This is one more way for corporate lobby groups to take the teeth out of strong and effective public oversight.”