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SECTION 1. SHORT TITLE.

This Act may be cited as the ''Small Governments Regulatory
Improvement and Innovation Act of 1993''.

SEC. 2. PURPOSES.

The purposes of this Act are to--
(1) better determine the cost and other impacts of
regulation on small governments;
(2) encourage the use of more flexible regulatory
approaches that lessen compliance burdens on small governments;
and
(3) test innovative methods of regulation.

SEC. 3. DEFINITIONS.

For the purposes of this Act--
(1) the term ''small government'' means a small
governmental jurisdiction as defined under section 601(5) of
title 5, United States Code;
(2) the term ''agency'' means any agency as defined under
section 551(1) of title 5, United States Code;
(3) the term ''Director'' means the Director of the Office
of Management and Budget;
(4) the term ''Council'' means the Council on Small
Governments established under section 8;
(5) the term ''small entity'' means a small entity as
defined under section 601(6) of title 5, United States Code;
and
(6) the term ''Administrator'' means the Administrator of
the Small Business Administration.

SEC. 4. AGENCY RESPONSIBILITIES.

(a) Guidelines.--The head of each agency shall, after opportunity
for public comment, issue guidelines consistent with section 6(b) of
this Act to ensure implementation of chapter 6 of title 5, United
States Code, by the agency.
(b) Plans.--The head of each agency shall develop a plan to inform,
educate, and advise small entities on compliance with any rule that has
a significant impact on small entities. Such plan shall be published in
the Federal Register in the notice of proposed rulemaking and the final
rulemaking notice for any such rule, and shall include a listing of--
(1) local and regional workshops for the purpose of
providing and receiving information about the impact of the
rule;
(2) written guidance and other applicable publications and
their availability; and
(3) relevant Federal, State, and local technical assistance
programs.
(c) Reports.--The head of each agency shall report annually to the
Administrator and to the Director on the agency's implementation of
this Act and compliance with the provisions of chapter 6 of title 5,
United States Code.

SEC. 5. SMALL GOVERNMENT COORDINATORS.

(a) Establishment.--There is established in each agency the
position of Small Government Coordinator who shall report directly to
the head of the agency. The Small Government Coordinator shall--
(1) communicate the small government perspective on agency
rules and policies during the development of such rules and
policies;
(2) oversee and report to the agency head on agency efforts
to comply with chapter 6 of title 5, United States Code, as
such chapter applies to small governmental jurisdictions,
including--
(A) participation in the development of agency
guidelines for the full implementation of chapter 6 of
title 5, United States Code, as such chapter applies to
small governmental jurisdictions; and
(B) the development of alternative regulatory
proposals that accomplish the stated objectives of
applicable statutes and which minimize the impact of
regulations on small governments by working with--
(i) agency regulatory policy personnel;
(ii) national organizations representing
small governments;
(iii) local elected officials;
(iv) public policy experts;
(v) the Administrator;
(vi) the Director; and
(vii) the Council;
(3) advising the agency head on establishing electronic or
other means of information collection to gather data on small
governments;
(4) advising the agency head and the Director on the
development and implementation of the pilot program established
under section 6; and
(5) providing technical assistance to small governments on
compliance with agency regulations.
(b) Personnel.--To the greatest extent practicable, the head of
each agency shall designate existing personnel to perform the duties
described under this section.
(c) Waiver.--(1) The head of an agency may waive the requirements
of this section if such agency head--
(A) in consultation with the Council and in concurrence
with the Director, certifies that the agency does not issue a
significant number of rules affecting small governments; and
(B) publishes such certification in the Federal Register.
(2) Such waiver shall be reviewed annually and such certification
shall be made annually, if appropriate.

SEC. 6. REGULATORY COORDINATION.

(a) Office of Information and Regulatory Affairs.--The Director
shall delegate responsibility for the implementation of all duties of
the Director under this Act to the Administrator of the Office of
Information and Regulatory Affairs.
(b) Guidelines.--The Director, in consultation with the
Administrator of Small Business, shall issue guidelines to agencies on
the identification of rules having a significant impact on small
entities. In issuing the guidelines, the Director shall consider--
(1) the number of small entities that may be impacted by a
rule;
(2) the economic cost or benefit to small entities from
compliance with a rule;
(3) the effect a rule may have on regional economies; and
(4) the reporting and paperwork requirements imposed on
small entities by a rule.
(c) Compliance.--The Director, to the extent permitted by law and
in consultation with the Administrator, shall be responsible for
monitoring and coordinating agency compliance with the requirements of
this Act.

SEC. 7. REGULATORY FLEXIBILITY PILOT PROGRAM.

(a) Establishment.--The Director, in consultation with agencies and
the Council, shall establish pilot programs in at least 2 agencies to
test innovative, and more flexible regulatory approaches that--
(1) reduce reporting and compliance burdens on small
entities; and
(2) meet overall statutory goals and objectives.
(b) Program Contents.--The pilot programs shall focus on rules in
effect or proposed rules, or a combination thereof, that have a
significant impact on small entities, with equal emphasis given to
rules that impact small governments, small business, and small
organizations.

SEC. 8. THE SMALL GOVERNMENTS ADVISORY COUNCIL.

(a) Establishment.--(1) There is established a Small Governments
Advisory Council composed of 9 representatives from small governments
appointed by the President, of whom no more than 5 shall be from any
one political party.
(2) No later than 6 months after the date of enactment of this Act,
the President shall make the original appointments to the Council.
(b) Membership.--No less than 6 members of the Council shall be
acting small governmental officials. Members of the Council shall--
(1) have an extensive understanding of and experience with
the operations of small governments; and
(2) represent a balance with respect to the regions, the
sizes of small governments, and the occupations represented on
the Council.
(c) Duties.--The duties of the Small Governments Advisory Council
shall be to--
(1) serve as a focal point for the receipt of comments
concerning the regulatory policies and activities of agencies
that affect small governments;
(2) advise the Small Government Coordinators as to the
performance of their duties under section 5;
(3)(A) develop proposals for changes in the regulatory
policies and activities of any agency which shall carry out the
purposes of this Act; and
(B) communicate such proposals to the Director and
appropriate agencies;
(4)(A) monitor the costs and other burdens of Federal
regulation on small governments, including the cumulative
effect of such regulation; and
(B) make legislative and nonlegislative proposals for
eliminating excessive or unnecessary regulatory burdens placed
on small governments;
(5) advise the Director on the implementation of section 6
as such section relates to small governments; and
(6) report annually to the Administrator and the Director
on the actions of the Council under this Act, including--
(A) a summary of all proposals offered under
subsection (c)(3);
(B) a detailed assessment, prepared in consultation
with the Small Government Coordinators established
under section 5, of the costs and other burdens of
government regulation on small governments, including
the cumulative effects of such regulation; and
(C) an assessment of the effectiveness of the pilot
programs established under section 7.
(d) Chairman.--The Council shall elect a chairman and meet at the
call of the chairman but no less often than every 6 months.
(e) Meetings.--The Director shall meet with the Council on a
regular basis, but no less often than every 6 months.
(f) Federal Advisory Committee Act.--The Council shall be subject
to the Federal Advisory Committee Act (5 U.S.C. App.).
(g) Authorization of Appropriations.--There are authorized to be
appropriated such sums as necessary to carry out the provisions of this
section.

SEC. 9. ASSISTANCE OF GOVERNMENT AGENCIES.

Consistent with applicable law, each department, agency, and
instrumentality of the Federal Government shall furnish to the Council
such reports and other information as the Council determines necessary
to carry out its duties under this Act.

SEC. 10. TECHNICAL AMENDMENTS.

Chapter 6 of title 5, United States Code, is amended--
(1) in section 601(5) by inserting ''Indian tribes,'' after
''school districts,'';
(2) in section 602(b) by inserting ''the Director of the
Office of Management and Budget and'' after ''transmitted to'';
and
(3) in section 605(b)--
(A) in the first sentence by striking out
''sections 603 and 604 of this title'' and inserting in
lieu thereof ''sections 603(c) and 604 of this title'';
and
(B) in the second sentence--
(i) by striking out ''or at the time of
publication of the final rule''; and
(ii) by inserting ''the Director of the
Office of Management and Budget and'' after
''such certification and statement to''.
Small Governments Regulatory Improvement and Innovation Act of 1993 - Requires agency heads to: (1) issue guidelines to ensure agency implementation of regulatory function analysis requirements under current Federal law; and (2) develop a plan to inform, educate, and advise small entities on compliance with any rule with a significant impact on them.
Establishes in each agency the position of Small Government Coordinator to: (1) communicate the small government perspective on agency rules and policies during their development; (2) oversee and report to the agency head on agency efforts to comply with regulatory function analysis requirements as they apply to small governmental jurisdictions; (3) advise the agency head on establishing electronic or other means of information collection to gather data on small governments; (4) advise the agency head and the OMB Director on the development and implementation of the pilot program established pursuant to such requirements; and (5) provide technical assistance to small governments on compliance with agency regulations.
Requires the OMB Director to: (1) delegate responsibility for the implementation of all his or her duties under this Act to the Administrator of the Office of Information and Regulatory Affairs; (2) issue agency guidelines on the identification of rules having a significant impact on small entities; (3) monitor agency compliance with this Act; and (4) establish pilot programs to test innovative, more flexible approaches to reduce burdens on small entities while meeting overall statutory goals and objectives.
Establishes a Small Governments Advisory Council to perform various specified duties, including developing proposals for : (1) changes in the regulatory policies and activities of any agency which carries out the purposes of this Act; and (2) eliminating excessive or unnecessary regulatory burdens placed on small governments. Authorizes appropriations.
Amends Federal law to include Indian tribes within the purview of regulatory function analysis requirements.