SB 943

relating to the establishment and duties of the Texas Regulatory
Efficiency Office and the Texas Regulatory Efficiency Advisory
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1.  Subtitle E, Title 4, Government Code, is amended
by adding Chapter 465 to read as follows:
CHAPTER 465.  REGULATORY AND RULEMAKING EFFICIENCY
SUBCHAPTER A.  GENERAL PROVISIONS
Sec. 465.0001.  DEFINITIONS.  (a)  The definitions in
Chapter 2001 apply to this chapter.
(1)  "Institution of higher education" has the meaning
assigned by Section 61.003, Education Code.
(2)  "Office" means the Texas Regulatory Efficiency
(3)  "Panel" means the Texas Regulatory Efficiency
Sec. 465.0002.  APPLICATION OF SUNSET ACT TO OFFICE AND
PANEL.  (a)  The Texas Regulatory Efficiency Office and the Texas
Regulatory Efficiency Advisory Panel are subject to Chapter 325
(b)  Unless continued in existence as provided by Chapter 325
(Texas Sunset Act), the office and panel are abolished September 1,
SUBCHAPTER B.  TEXAS REGULATORY EFFICIENCY OFFICE
Sec. 465.0051.  ESTABLISHMENT OF OFFICE.  The Texas
Regulatory Efficiency Office is established as an office within the
Sec. 465.0052.  PURPOSES OF OFFICE.  (a)  The office is
(1)  identify and expand opportunities for
(A)  the process by which state agencies adopt
(B)  the regulatory review process; and
(C)  the manner in which contested cases are
(2)  assist state agencies in identifying:
(A)  unnecessary and ineffective rules;
(B)  the effect and cost to this state and
regulated persons of the agencies' rules and proposed rules; and
(C)  opportunities to repeal or amend rules to
provide effective protection to the public with the least cost and
inconvenience to regulated persons;
(3)  coordinate with the secretary of state, the
Department of Information Resources, and other state agencies in
the secretary of state's efforts under Section 2001.007 to:
(A)  improve public access to information
regarding state agency rules, forms, and filings; and
(B)  create an interactive Internet website for
use by the public to search and obtain information regarding rules,
forms, and filings applicable to specific regulated occupations,
industries, professions, and activities;
(4)  establish a goal for each state agency to reduce
rules or other regulatory requirements, including by:
(A)  eliminating unnecessary or ineffective rules
or other regulatory requirements; and
(B)  reducing the inefficiencies resulting from
rules or other regulatory requirements adopted by the agency by:
(i)  reducing required training hours;
(ii)  reducing the number of forms a
regulated person is required to complete;
(iii)  reducing the amount of information
required by forms that a regulated person is required to complete;
(iv)  reducing the amount of or eliminating
(v)  reducing the number of activities
(vi)  creating waivers for or exemptions
from the rules under certain circumstances; and
(5)  prepare and publish written manuals, guides, or
other publications as required by this chapter.
(b)  The office shall coordinate with the panel, state
agencies, and the governor's office to accomplish the purposes of
Sec. 465.0053.  REGULATORY ECONOMIC ANALYSIS MANUAL.  (a)
The office shall prepare and publish a regulatory economic analysis
(b)  The manual required by Subsection (a) must identify and
describe best practices for state agencies related to:
(1)  preparing a local employment impact statement
(2)  conducting a regulatory analysis under Section
(3)  preparing a fiscal note under Section 2001.024;
(4)  preparing a note regarding public benefits and
(c)  The office shall ensure that the manual required by
Subsection (a) is written in plain language that may be easily
Sec. 465.0054.  REGULATORY REDUCTION GUIDE.  (a)  The office
shall prepare and publish a regulatory reduction guide.
(b)  The purpose of the guide required by Subsection (a) is
to assist each state agency to:
(1)  meet the goal established by the agency under
(2)  document that the agency met the goal described by
(c)  The office shall ensure that the guide required by
Subsection (a) is written in plain language that may be easily
Sec. 465.0055.  RULEMAKING AND REGULATORY EFFICIENCY FORUM.
The office shall establish a forum for interested persons described
by Section 2001.021(d) to assist the office and the panel to
accomplish the purposes of the office and panel.
SUBCHAPTER C.  TEXAS REGULATORY EFFICIENCY ADVISORY PANEL
Sec. 465.0101.  ESTABLISHMENT OF PANEL.  The Texas
Regulatory Efficiency Advisory Panel is established as an advisory
panel to the governor and the legislature.
Sec. 465.0102.  ADMINISTRATIVE ATTACHMENT AND SUPPORT.  (a)
The panel is administratively attached to the office of the
(b)  The office established under this chapter shall provide
staff, facilities, and other administrative support necessary to
assist the panel in performing the panel's duties under this
Sec. 465.0103.  COMPOSITION OF PANEL.  (a)  The panel is
composed of the following seven members appointed by the governor:
(1)  one member who represents regulated small
(2)  one member who represents regulated large
(3)  one member who holds an occupational license
(4)  one member employed by an institution of higher
education who conducts research at the institution and has
experience addressing issues related to state agency rules;
(5)  one member who represents state agencies that
(6)  two members of the public.
(b)  In making appointments under Subsection (a), the
governor shall give priority to individuals with expertise in state
agency rules and the rulemaking process, including expertise in
regulatory research, compliance, cost, and impact analysis, and
Sec. 465.0104.  TERMS; VACANCY.  (a)  Members of the panel
(b)  A vacancy on the panel shall be filled in the same manner
and is subject to the same qualifications as the original
appointment.  A panel member appointed to fill a vacancy on the
panel shall serve the remainder of the unexpired term.
Sec. 465.0105.  REIMBURSEMENT FOR EXPENSES.  Members of the
panel serve without compensation but are entitled to reimbursement
for actual and necessary expenses incurred in performing official
Sec. 465.0106.  PRESIDING OFFICER.  The governor shall
appoint one member of the panel to serve as the panel's presiding
Sec. 465.0107.  MEETINGS.  The panel shall meet at the call
of the panel's presiding officer.
Sec. 465.0108.  PURPOSES OF PANEL.  The panel is established
(1)  use the knowledge and expertise of regulated
persons, small and large businesses, institutions of higher
education, and state agencies to identify and expand opportunities
for implementing efficiencies in:
(A)  the process by which state agencies adopt
(B)  the regulatory review process; and
(C)  the manner in which contested cases are
(2)  assist the office and state agencies in
(A)  unnecessary and ineffective rules;
(B)  the effect and cost to this state and
regulated persons of the agencies' rules and proposed rules; and
(C)  opportunities to repeal or amend rules to
provide effective protection to the public with the least cost and
inconvenience to regulated persons.
Sec. 465.0109.  APPLICATION OF OTHER LAW.  Chapter 2110 does
SUBCHAPTER D.  REPORTING REQUIREMENT
Sec. 465.0151.  BIENNIAL REPORT.  (a)  Not later than
December 1 of each even-numbered year, the office shall prepare and
submit to the governor and the Legislative Budget Board a written
(1)  the activities undertaken by the office during the
two-year period preceding the date of the report to accomplish the
(2)  any findings and recommendations of the office
related to the office's purposes under this chapter; and
(3)  any legislative recommendations of the office to
accomplish and further the findings and recommendations described
(b)  The panel may assist the office in preparing the report
SECTION 2.  Section 2001.007, Government Code, is amended by
adding Subsection (e) to read as follows:
(e)  The secretary of state, Department of Information
Resources, and Texas Regulatory Efficiency Office shall jointly
coordinate with each other state agency to establish an Internet
website that allows a person to search the rules and related
information made available by state agencies under Subsection (a)
(1)  the general topic of the rule;
(2)  the type of activity or business regulated by the
(3)  if applicable, the North American Industry
Classification System (NAICS) sector code for the type of activity
or business regulated by the rule.
SECTION 3.  (a)  As soon as practicable after the effective
date of this Act, but not later than January 1, 2026, the governor
shall appoint the members of the Texas Regulatory Efficiency
Advisory Panel as required by Section 465.0103, Government Code, as
(b)  Not later than the 60th day after the date the governor
appoints the members of the Texas Regulatory Efficiency Advisory
Panel under Subsection (a) of this section, the panel shall hold its
SECTION 4.  This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution.  If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2025.