§ 202-bb. Rural area flexibility analysis. 1. Intent. The legislature
hereby finds, determines and declares that:

(a) The capacity of public and private sector interests in rural areas
to respond to state agency regulations is often constrained by an
operating environment distinctly different from that found in suburban
and metropolitan areas of the state;

(b) Factors such as population sparsity, small community size, limited
access to financial and technical assistance, undeveloped services
delivery systems, lack of economies of scale and extensive reliance on
part-time and volunteer services providers inhibits rural ability to
effectively address increasingly complex and stringent regulatory
requirements;

(c) In order to maximize sensitivity to rural strengths and
limitations, the state must continue to promote a framework which
enhances state and local cooperation in meeting rural needs; and

(d) Enhancement of this chapter to include a more thorough assessment
of regulatory impact and alternatives for rural areas can provide an
improved dialogue on critical issues, while fostering a more cohesive
and effective state/local partnership.

2. Authorization. (a) In addition to, and consistent with, the
provisions of sections two hundred two-a and two hundred two-b of this
article, agencies shall seek approaches that allow them to address their
statutory responsibilities while considering the impact of their actions
on public and private sector interests located in rural areas of the
state.

(b) In developing a rule, the agency shall consider utilizing
approaches that will accomplish the objectives of applicable statutes
while minimizing any adverse impact of the rule on public and private
sector interests in rural areas. Consistent with the objectives of
applicable statutes, the agency shall consider such approaches as:

(i) the establishment of differing compliance or reporting
requirements or timetables that take into account the resources
available to rural areas;

(ii) increased use of performance or outcome standards rather than
design or input standards; and

(iii) an exemption from coverage by the rule, or by any part thereof,
so long as the public health, safety or general welfare is not
endangered.

3. In proposing a rule for adoption or in adopting a rule on an
emergency basis, the agency shall issue a rural area flexibility
analysis regarding the rule being proposed for adoption or the emergency
rule being adopted. A copy of such analysis and any finding, and reasons
for such finding, pursuant to this section, shall be submitted in
writing, and may be transmitted electronically in accordance with
article three of the state technology law, to the governor, the
temporary president of the senate, the speaker of the assembly, the
office for regulatory and management assistance and the administrative
regulations review commission at the time such analysis is submitted or
electronically transmitted to the secretary of state for publication
and, upon written or electronic request, a copy shall be sent or
electronically transmitted to any other person. Each rural area
flexibility analysis shall contain:

(a) A description of the types and an estimate of the number of rural
areas to which the rule will apply;

(b) A description of (i) the reporting, recordkeeping and other
compliance requirements of the rule, and (ii) the kinds of professional
services that are likely to be needed in a rural area in order to comply
with such requirements;

(c) An estimate of the initial capital costs and an estimate of the
annual cost of complying with the rule, with an indication of any likely
variation in such costs for different types of public and private
entities in rural areas;

(d) An indication of how the rule is designed to minimize any adverse
impact of such rule on rural areas, including information regarding
whether the approaches suggested in subdivision two of this section or
other similar approaches were considered; and

(e) A statement indicating how the agency complied with subdivision
seven of this section.

4. (a) This section shall not apply to any rule defined in
subparagraph (ii) of paragraph (a) of subdivision two of section one
hundred two of this chapter, nor shall it apply to any rule which does
not impose an adverse impact on rural areas and which the agency finds
would not impose reporting, recordkeeping or other compliance
requirements on public or private entities in rural areas. The agency's
finding and the reasons upon which the finding was made, including what
measures the agency took to ascertain that the rule would not impose
such compliance requirements or adverse impact, shall be included in the
rule making notice as required by section two hundred two of this
chapter.

(b) A rule determined by an agency to be a consensus rule and proposed
pursuant to subparagraph (i) of paragraph (b) of subdivision one of
section two hundred two of this article shall be exempt from the
requirements of this section.

5. In order to avoid duplicative action, an agency may consider a
series of closely related rules as one rule for the purpose of complying
with subdivision three of this section.

6. In complying with the provisions of subdivision three of this
section, an agency may provide either a quantifiable or numerical
description of the effects of a rule or more general descriptive
statements if quantification is not practicable or reliable.

7. When any rule is proposed for which a rural area flexibility
analysis is required, the agency shall assure that public and private
interests in rural areas have been given an opportunity to participate
in the rule making through such activities as:

(a) the publication of a general notice of the proposed rule making;

(b) notification of public and private interests in rural areas
directly affected by the proposed rule;

(c) the conduct of special public hearings or meetings concerning the
proposed rule for those public and private interests affected by the
rule; and

(d) the adoption or modification of agency procedural rules that will
minimize the cost or complexity of participation in the rule making.

8. Each agency shall issue a revised rural area flexibility analysis
when:

(a) the information presented in the analysis submitted pursuant to
this section is inadequate or incomplete, provided, however, such
revised analysis shall be submitted as soon as practicable to the
secretary of state for publication in the state register, provided,
further, if such statement exceeds two thousand words, the notice shall
include only a summary of such statement in less than two thousand
words;

(b) a proposed rule contains any substantial revisions and such
revisions necessitate that such analysis be modified; or

(c) there are no substantial revisions in the proposed rule but there
are changes in the text of the rule as adopted when compared with the
text of the latest published version of the proposed rule and such
changes would necessitate that such analysis be modified.