The Virginian-Pilot
                             THE VIRGINIAN-PILOT 
              Copyright (c) 1995, Landmark Communications, Inc.

DATE: Thursday, January 19, 1995             TAG: 9501190388
SECTION: LOCAL                    PAGE: B1   EDITION: NORTH CAROLINA 
SOURCE: BY BETTY MITCHELL GRAY, STAFF WRITER 
DATELINE: RALEIGH                            LENGTH: Medium:   67 lines

BASNIGHT BACKS GIVING LAWMAKERS A REIN ON STATE ENVIRONMENTAL RULES

State lawmakers would increase their oversight of rules and regulations approved by the commissions that oversee much of North Carolina's environmental policies, under legislation presented to the General Assembly by a study committee last week.

Sen. Marc Basnight, D-Dare, said in a news conference Wednesday that he believes the review of administrative rules should be even more stringent.

He endorsed legislation that would impose a moratorium on new rules on all state commissions with the power to enact administsrative rules.

``In general we want to stop, look and think about the process of making rules in North Carolina. We should know the economic impact of every rule or law, but it shouldn't undermine our ability to protect the environment,'' Basnight said.

Under his proposal, a special commission would be appointed to review the state's rulemaking procedures. It would report to the legislature in 1996.

The legislation would require state agencies to prepare a fiscal analysis of the effects of all proposed rules that would have a substantial effect on the economy. The bill also would require legislative oversight of rules adopted by all of the state's policy-making commissions.

``The intent is to try to resolve the problem where a lot of our constituents complain that their livelihoods have been affected by a regulation that a department or commission has promulgated,'' said E. David Redwine. He is a Brunswick County Democrat and co-chairman of a research committee studying the economic effects of administrative rules and regulations.

``And a lot of people feel like the General Assembly needs to have some review of the regulations so that what we intended to happen does indeed happen,'' he said.

The study committee's proposals would affect the state's Coastal Resources Commission, Marine Fisheries Commission and other regulatory bodies in two ways:

Economic review: If a proposed regulation will have a financial impact of more than $1 million, the state agency considering the regulation would have to prepare an economic analysis of the effects of that regulation on those who would be affected, under one proposed bill. The legislation specifiesthat the state agency could not take action on that proposal until such a review were completed and presented to the public.

Legislative review: Rules promulgated by state agencies would be reviewed by a Joint Legislative Administrative Procedure Oversight Committee. Under this proposal, rules approved by state commissions would not become effective until they are affirmed by the General Assembly and state lawmakers would have more power to determine whether new rules are needed. In 1993, objections by state environmental groups and others blocked passage of a bill sponsored by Sen. J.K. Sherron, D-Wake, that would have required detailed cost-benefit analyses of all environmental and other administrative rules, calling the proposal ``paralysis by analysis.''

Some state environmental officials say the latest proposals could add at least a year to a regulatory process that already takes at least 18 months in many cases.

But one retiring coastal legislator said last week that it may be time for a more detailed review of administrative rules.

``The legislature gives agencies the right to make rules and regulations that have the effect of law. This has got to have some control,'' said Rep. Vernon G. James, D-Pasquotank. ``Too many agencies take this too lightly.'' by CNB