SB1515 - 572R

Be it enacted by the Legislature of the State of Arizona:

Section 1. Section 23-107, Arizona Revised Statutes, is amended to read:

START_STATUTE23-107. General powers

A. The commission has full power, jurisdiction and authority to:

1. Formulate and adopt rules and regulations for effecting the purposes of this article.

2. Administer and enforce all laws for the protection of life, health, safety and welfare of employees in every case and under every law when such duty is not specifically delegated to any other board or officer, and, when such duty is specifically delegated, to counsel, advise and assist in the administration and enforcement of such laws and for such purposes may conduct investigations.

3. Promote the voluntary arbitration, mediation and conciliation of disputes between employers and employees.

4. License and supervise the work of private employment offices, bring together employers seeking employees and working people seeking employment, and make known the opportunities for employment in the state.

5. 4. Collect, collate and publish all statistical and other information relating to employees, employers, employments and places of employment with other appropriate statistics.

6. 5. Act as the regulatory agency insuring ensuring that workers' compensation carriers are processing claims in accordance with chapter 6 of this title.

7. 6. Provide nonpublic, confidential or privileged documents, materials or other information to another state, local or federal regulatory agency for the purpose of the legitimate administrative needs of the programs administered by that agency if the recipient agency agrees and warrants that it has the authority to maintain and will maintain the confidentiality and privileged status of the documents, materials or other information.

8. 7. Receive nonpublic documents, materials and other information from another state, local or federal regulatory agency to properly administer programs of the commission. The commission shall maintain as confidential or privileged any document, material or other information that is identified by the exchange agency as confidential or privileged under the laws of the jurisdiction that is the source of the document, material or other information.

9. 8. Enter into agreements that govern the exchange of nonpublic documents, materials and other information that are consistent with paragraphs 7 6 and 8 7 of this subsection. The commission may request nondisclosure of information that is identified as privileged or confidential. Any disclosure pursuant to paragraph 7 6 or 8 7 of this subsection or this paragraph is not a waiver of any applicable privilege or claim of confidentiality in the documents, materials or other information.

B. Upon On petition by any person that any employment or place of employment is not safe or is injurious to the welfare of any employee, the commission has power and authority, with or without notice, to make investigations necessary to determine the matter complained of.

C. The members of the commission may confer and meet with officers of other states and officers of the United States on matters pertaining to their official duties.

D. Notwithstanding any other law, the commission may protect from public inspection the financial information that is received from a private entity that applies to self-insure or that renews its self-insurance plan pursuant to section 23-961, subsection A if the information is kept confidential by the private entity in its ordinary and regular course of business. END_STATUTE

Sec. 2. Section 23-110, Arizona Revised Statutes, is amended to read:

START_STATUTE23-110. Industrial commission of Arizona resource officer

A. The director of the industrial commission Of Arizona shall employ an ombudsman a resource officer to assist recipients of workers' compensation benefits under the industrial commission Of Arizona's purview.

B. The ombudsman resource officer shall not provide legal advice but may provide information about the workers' compensation system and rules governing commission proceedings and may assist in clarifying the methods used to determine a person's workers' compensation benefits.

C. The resource officer may also provide information about the labor programs under the INDUSTRIAL commission Of Arizona's purview and rules governing the COMMISSION proceedings for these matters. END_STATUTE

Sec. 3. Section 23-401, Arizona Revised Statutes, is amended to read:

START_STATUTE23-401. Definitions

In this article, unless the context otherwise requires:

1. "Board" means a review board established pursuant to section 23-422.

2. "Chief" means the chief of the division.

2. 3. "Commission" means the industrial commission of Arizona.

3. 4. "De minimis violation" means a condition or practice that, although undesirable, has no direct or immediate relationship to safety or health.

4. "Director" means the director of the division.

5. "Division" means the division of occupational safety and health within the commission.

6. "Employee" means any person performing services for an employer, including any person defined as an employee pursuant to section 23-901, except employees engaged in household domestic labor.

7. "Employer":

(a) Means any individual or type of organization, including this state and all political subdivisions of this state, that has in its employ one or more individuals performing services for it in employment. and

(b) Includes self-employed persons. , but

8. "Interested party" means the commission and the commission's agents, the employer and the affected employees of such employer.

9. "Model system" means an exemplary and voluntary voluntarily implemented worker safety and health management system that both:

(a) Exceeds basic compliance with occupational safety and health laws and regulations.

(b) Meets the requirements adopted by the division pursuant to section 23-432.

10. "Non-serious Nonserious violation" means a condition or practice in a place of employment that does not constitute a serious violation but that violates a standard or regulation and has a direct or immediate relationship to safety or health, unless the employer did not, and could not with the exercise of reasonable diligence, know of the presence of such condition or practice.

11. "Program" means the voluntary protection program or any other program under which the director chief recognizes and partners with workplaces that have implemented a model system.

12. "Recognized hazard" means an unsafe or unhealthful condition or practice recognized as such with respect to the standard of knowledge in the industry.

13. "Regulation" means any written regulation of occupational safety and health governing places of employment formulated pursuant to section 23-410, exclusive of standards, and shall have has the same meaning as and include includes the term "rule".

14. "Serious violation" means a condition or practice in a place of employment that violates a standard, a regulation or section 23-403, subsection A and produces a substantial probability that death or serious physical harm could result, unless the employer did not, and could not with the exercise of reasonable diligence, know of the presence of such condition or practice.

15. "Standard" means any occupational safety and health standard that has been adopted and promulgated by a nationally recognized standards-producing organization or the federal government and shall have has the same meaning as, and include includes the term "code".

16. "Trade secret" means a plan or process, tool, mechanism, or compound not patented, known only to its owner and those of the owner's employees to whom it is necessary to confide it, or other information that the employer treats as confidential and has a reasonable basis for doing so.

17. "Workplace" means a location or site wherein work, either temporary or permanent, is being conducted in connection with an industry, trade or business. END_STATUTE

Sec. 4. Section 23-405, Arizona Revised Statutes, is amended to read:

START_STATUTE23-405. Duties and powers of the industrial commission relative to occupational safety and health

The commission shall:

1. Administer the provisions of this article through the division of occupational safety and health.

2. Appoint the director chief of the division of occupational safety and health.

3. Cooperate with the federal government to establish and maintain an occupational safety and health program as effective as the federal occupational safety and health program.

4. Promulgate Adopt standards and regulations as required, pursuant to section 23-410, and promulgate adopt such other rules and regulations as are necessary for the efficient functioning of the division.

5. Have the authority to issue reasonable temporary, experimental and permanent variances pursuant to sections 23-411 and 23-412.

6. Exercise such other powers as are necessary to carry out the duties and requirements of this article. END_STATUTE

Sec. 5. Section 23-406, Arizona Revised Statutes, is amended to read:

START_STATUTE23-406. Division of occupational safety and health; chief; appointment; qualifications; compensation

A. There shall be a division of occupational safety and health within the industrial commission.

B. The director chief of the division of occupational safety and health shall be the administrative head of the division under the control of the commission. The director chief shall be appointed by the commission and shall serve at the pleasure of the commission.

C. The director chief shall be:

1. A person who has been employed in the safety or health profession a minimum of ten years in the aggregate and is currently engaged in the broad practice of safety or health or one of its relevant specialties or holds a degree from an accredited college or university appropriate to the field of safety and health and has a minimum of five years' experience in the broad practice of safety or one of its relevant specialties, and has been registered or licensed by a state agency as a professional appropriate to his the person's field of safety and health or has been certified as competent within the broad practice of safety or health or one of its relevant specialties by an organization recognized as qualified by the American society of safety engineers or American industrial hygiene association.

2. Competent to deal with the planning, design and needs of business operations as the use of such operations relates to the safe, convenient and economic performance of their business functions, with not less than three years' experience in an administrative capacity in the field of occupational safety and health.

D. The salary of the director chief shall be determined pursuant to section 38-611. END_STATUTE

Sec. 6. Section 23-408, Arizona Revised Statutes, is amended to read:

START_STATUTE23-408. Inspection of places and practices of employment; closing conference; prohibitions; employee initiation of investigation; violation; classification; injunction

A. Except as prescribed in section 23-432, subsection E, the director chief of the division of occupational safety and health, or the director's chief's authorized representative, on presentation of credentials, shall be permitted allowed to inspect places of employment, question employees and investigate conditions, practices or matters in connection with employment subject to this article at reasonable times, as the director chief or the director's chief's authorized representative may deem appropriate to determine whether any person has violated any provision of this article or any rule or regulation issued pursuant to this article or that may aid in the enforcement of this article. An employer or other person shall not refuse to admit the director chief or the director's chief's authorized representatives to any place or refuse to permit allow the inspection if the proper credentials are presented and the inspection is made at a reasonable time.

B. In making inspections and investigations, the director chief or the director's chief's authorized representative may require the attendance and testimony of witnesses and the production of evidence under oath. Witnesses shall be paid the same fees and mileage paid to witnesses in the courts of this state. If any person fails or refuses to obey such an order, the director chief or the director's chief's authorized representative may apply to any superior court in any county where the person is found, resides or transacts business for an order requiring the person to produce evidence and to give testimony as ordered. Failure to obey such an order is contempt of court.

C. The director chief or the director's chief's authorized representative shall inspect at least every six months any operation that mixes rock, sand, gravel or similar materials with water and cement or with asphalt and that is not included in the definition of mine in section 27-301. The director chief or the director's chief's authorized representative shall monitor and work with the mine inspector only to the extent necessary to ensure this state's compliance with federal occupational safety and health act standards, (P.L. 91-596).

D. Notice of an intended inspection shall not be given to an employer before the time of actual entry on the workplace, except by specific authorization by the director chief.

E. A representative of the employer and a representative authorized by the employer's employees shall be given an opportunity to accompany the director chief or the director's chief's authorized representative during the physical inspection of any workplace for the purpose of aiding the inspection. Where If there is no authorized employee representative, the director chief or the director's chief's authorized representative shall consult a reasonable number of employees concerning matters of safety and health in the workplace.

F. The director chief may not allow any individual to accompany a compliance safety and health officer when conducting inspections for the industrial commission of Arizona pursuant to this section unless the individual is any of the following:

1. An employee of the employer being inspected.

2. A safety consultant, attorney or other agent of the employer or a person present with the consent of the employer.

3. The authorized employee representative. For the purposes of this paragraph, "authorized employee representative" means an agent of a labor organization that has a collective bargaining relationship with the employer who represents employees who are members of the collective bargaining unit.

4. A third party who is required by law to accompany the compliance safety and health officer to ensure that the state plan is at least as effective as the standards of the occupational safety and health act of 1970 (P.L. 91-596; 84 Stat. 1590).

5. Otherwise required by law to be present.

G. The employer may require the following conditions for a third party who accompanies a compliance safety and health officer during an inspection pursuant to subsection F of this section:

1. That not more than one individual be present unless otherwise required by law.

2. That the individual follow all workplace safety rules regarding personal protective equipment applicable to all visitors for the workplace.

3. That the individual is required to complete any safety trainings applicable to all visitors of the workplace.

4. That the individual sign a confidentiality agreement with respect to the use of confidential information that is learned during the inspection that has the same terms as required for other visitors.

5. That nonemployees, other than the compliance safety and health officer, are be prohibited from entering areas that contain trade secrets. The compliance safety and health officer may consult with a reasonable number of employees who work in the identified trade secret area on matters of safety and health, even if those employees are not joining the inspection. Information obtained by the commission or its representatives during the inspection that contains or that may reveal a trade secret is subject to section 23-426.

H. Except as provided in section 23-426, information and facts developed by the commission, the director chief or any employee of the commission or division in the course of any inspection or investigation are public records subject to inspection pursuant to title 39, chapter 1, article 2, if, pursuant to section 23-415, subsection D, the inspection or investigation has been closed or a citation has been issued. Such information and facts shall not be admissible in any court or before any administrative body except pursuant to this article. Notwithstanding this subsection, the director chief or any commission employee is not required to appear at any deposition, trial or hearing concerning a division inspection or investigation unless the appearance is related to a hearing held pursuant to this article. Hearings held pursuant to this article are open to the public.

I. During the inspection or investigation and in deciding whether to recommend and issue a citation, the director chief or the director's chief's authorized representative and the commission may consider whether an employee has committed misconduct by violating the employer's policies, if any, regarding substance abuse while working, as evidenced by the results of testing for substance abuse or other evidence of impairment while working.

J. An employee of the division or the commission may not:

1. Before, during or after an inspection or investigation, communicate to an employer that the employer should not be represented by an attorney or that the employer may be treated more favorably by the division or the commission if the employer is not represented by an attorney.

2. Conduct an audio recording of an oral statement provided during an interview without the knowledge and consent of the person being interviewed. The employee of the division or the commission shall inform the person being interviewed of the person's right to receive a copy of the recorded oral statement within a reasonable time.

3. Obtain a written statement during an interview without informing the person of the person's right to receive a copy of the written statement within a reasonable time.

K. An employee or a representative of employees who believes that a violation of a safety or health standard or regulation exists that threatens physical harm or that an imminent danger exists may request an investigation by giving notice to the director chief or the director's chief's authorized representative of the violation or danger. Any notice shall be in writing, set forth with reasonable particularity the grounds for the notice and be signed by the employees or representative of the employees. On the request of the employee giving the notice, the employee's name and the names of other employees referred to in the notice shall not appear on any copy of the notice or any record published, released or made available. If on receipt of the notice the director chief determines that there are reasonable grounds to believe that the violation or danger exists, the director chief shall make an investigation in accordance with this article as soon as practicable to determine if the violation or danger exists. If the director chief determines there are no reasonable grounds to believe that a violation or danger exists, the director chief shall notify the employees or representative of the employees in writing of the determination.

L. Any person who violates any provision of this section is guilty of a class 2 misdemeanor.

M. The commission, or the commission's authorized representative, in addition to initiating an action under subsection K of this section, may file in the superior court in the county where the inspection was refused a verified complaint against an employer who violates subsection A of this section and request an injunction against continued refusal to permit allow an inspection.

N. At least thirty days before the industrial commission of Arizona submits the state plan proposal or proposed adoption to the United States occupational safety and health administration, the commission shall submit the state plan proposal or proposed adoption to the joint legislative audit committee, which may review and recommend that the commission amend the state plan proposal or proposed adoption. END_STATUTE

Sec. 7. Section 23-409, Arizona Revised Statutes, is amended to read:

START_STATUTE23-409. Advisory committees

A. The commission shall create an occupational safety and health advisory committee to assist the commission in drafting standards and regulations. The committee may be asked to perform other functions as may be necessary. The committee shall be appointed by the commission and shall be composed of a reasonably balanced representation of regulated industries, including agriculture, and labor and other persons knowledgeable in safety and health and shall serve at the will of the commission. The commission may establish other committees as it deems necessary. The advisory committees may be paid their reasonable and necessary travel and other expenses in accordance with standard travel regulations.

B. The director chief shall be an ex officio member of any advisory committee established pursuant to this section. END_STATUTE

Sec. 8. Section 23-415, Arizona Revised Statutes, is amended to read:

START_STATUTE23-415. Citations

A. If the director chief, following an inspection or investigation determines that there is reasonable cause to believe that a violation exists he, the chief shall with reasonable promptness issue a citation to the employer. Each citation shall be in writing and shall contain the following:

1. A particular description of the nature of the violation, including a reference to the provision of this article, or of any standard or regulation alleged to have been violated.

2. A reasonable time for the abatement of the violation.

3. A notice that the employer may request a hearing pursuant to section 23-420 if he the employer is aggrieved by the citation.

B. A certified mail delivery receipt or a signed verification of delivery in person shall be prima facie evidence of receipt of a citation.

C. Each citation issued under this section or a copy or copies thereof of each citation shall be prominently posted at or near each place a violation referred to in the citation existed.

D. No A citation may not be issued after the expiration of a period of six months from the date of the inspection or investigation which that produced evidence of the violation. END_STATUTE

Sec. 9. Section 23-417, Arizona Revised Statutes, is amended to read:

START_STATUTE23-417. Enforcement procedure

A. If the director chief, following an inspection or investigation, issues a citation pursuant to section 23-415 the director chief, within a reasonable time after termination of the inspection or investigation, shall notify the employer by mail of any penalty proposed to be assessed pursuant to section 23-418 and that the employer has fifteen working days within which to notify the director chief in writing if the employer wishes to contest the citation or proposed assessment of penalty. If the employer fails to notify the director chief in writing within fifteen working days of after receipt of the notice that the employer intends to contest the citation or penalty and a notice is not filed by any employee or representative of employees pursuant to subsection D of this section within such time, the citation and the assessment, as proposed, shall be a final order of the commission and not subject to review by any court or agency, except that the director chief may excuse any late notification to contest a citation only if the employer to whom the notice was sent shows by clear and convincing evidence that the notice was not received.

B. The period allowed for correction of a violation shall not begin to run until the entry of a final order in the case of any review proceedings pursuant to this section initiated by the employer in good faith and not solely for delay or avoidance of penalties. If the division has reason to believe an employer has failed to correct a violation for which a citation has been issued within the period allowed, the director chief shall notify the employer by mail of such failure, of the penalty proposed to be assessed pursuant to section 23-418 and that the employer has fifteen working days within which to notify the director chief in writing if the employer wishes to contest the notification or proposed assessment of penalty. If the employer fails to notify the director chief in writing within fifteen working days of receipt of the notice that the employer intends to contest the notice or penalty, the notice and assessment, as proposed, shall be deemed a final order of the commission and not subject to review by any court or agency.

C. Any employer who corrects the violations for which a citation was issued within the period allowed shall so notify the director chief in writing.

D. Any affected employee or employee representative may request a hearing to appeal the period allowed an employer to abate a particular violation pursuant to section 23-420 if the affected employee or employee representative files the appeal with the director chief within the abatement period allowed in the citation or within fifteen days after the date of receipt of the citation, whichever is shorter.

E. On a showing by an employer of a good faith effort to comply with the abatement requirements of a citation, and that abatement has not been completed because of factors beyond the reasonable control of the employer, the commission or its authorized designee, after an opportunity for a hearing as provided in section 23-420, shall issue an order affirming or modifying the abatement requirements in such citation. The rules of procedure prescribed by the commission shall provide affected employees or representatives of affected employees an opportunity to participate as parties to hearings under this subsection. END_STATUTE

Sec. 10. Section 23-418, Arizona Revised Statutes, is amended to read:

START_STATUTE23-418. Penalties; violation; classification

A. Any employer who wilfully or repeatedly violates the requirements of section 23-403 or any standard or regulation adopted pursuant to section 23-410 or 23-414 or this article may be assessed a civil penalty for each wilful violation of not more than the maximum civil penalty, but not less than the minimum civil penalty, for wilful or repeated violations adopted by the United States occupational safety and health administration pursuant to the federal civil penalties inflation adjustment act improvements act of 2015 (P.L. 114-74; 129 Stat. 599).

B. Any employer who that has received a citation for a serious violation of this article shall be assessed a civil penalty for each such violation of not more than the maximum civil penalty for serious violations adopted by the United States occupational safety and health administration pursuant to the federal civil penalties inflation adjustment act improvements act of 2015 (P.L. 114-74; 129 Stat. 599).

C. Any employer that has received a citation for a nonserious violation of this article may be assessed a civil penalty for each such violation of not more than the maximum civil penalty for nonserious violations adopted by the United States occupational safety and health administration pursuant to the federal civil penalties inflation adjustment act improvements act of 2015 (P.L. 114-74; 129 Stat. 599).

D. Any employer that fails to correct a violation for which period a citation has been issued within the abatement period allowed for its correction, which shall be suspended in case of a review proceeding before an administrative law judge or the review board initiated by the employer in good faith and not solely for delay or avoidance of penalties, may be assessed a civil penalty of not more than the maximum civil penalty for abatement violations adopted by the United States occupational safety and health administration pursuant to the federal civil penalties inflation adjustment act improvements act of 2015 (P.L. 114-74; 129 Stat. 599) for each day during which such failure or violation continues after the abatement date.

E. Any employer that knowingly violates the requirements of section 23-403 or any standard or regulation adopted pursuant to section 23-410 or 23-414 or this article and that violation causes death to an employee is guilty of a class 6 felony, except that if the conviction is for a second or subsequent violation the employer is guilty of a class 5 felony.

F. Any person who knowingly gives advance notice of any inspection to be conducted under this article without authority from the director chief is guilty of a class 2 misdemeanor.

G. A person who knowingly makes any false statement, representation or certification in any application, record, report, plan or other document filed or required to be maintained pursuant to this article is guilty of a class 2 misdemeanor.

H. Any employer that violates any of the posting requirements of this article shall be assessed a civil penalty for each violation of not more than the maximum civil penalty for posting violations adopted by the United States occupational safety and health administration pursuant to the federal civil penalties inflation adjustment act improvements act of 2015 (P.L. 114-74; 129 Stat. 599).

I. The commission shall have authority to assess all civil penalties provided in this section, giving due consideration to the appropriateness of the penalty with respect to the gravity of the violation, the number of employees employed by the employer, the good faith of the employer and the history of previous violations under this article.

J. Civil penalties owed under this article shall be paid to the commission for deposit in the state general fund. After an order or decision on a civil penalty becomes final pursuant to section 23-417, 23-421 or 23-423, the civil penalty shall act as a judgment against the employer. The commission shall file the civil penalty in the office of the clerk of the superior court in any county in this state and the clerk shall enter the civil penalty in the civil order book and judgment docket. When the civil penalty is filed and entered it is a lien for eight years after the date of the final order or decision on the property of the employer located in the county. Execution may issue on the civil penalty within eight years in the same manner and with like effect as a judgment of the superior court. The civil penalty judgment shall accrue interest pursuant to section 44-1201. The commission may recover reasonable attorney fees incurred pursuant to this section. END_STATUTE

Sec. 11. Section 23-423, Arizona Revised Statutes, is amended to read:

START_STATUTE23-423. Review board rights and procedures; definition

A. A request for review to the review board shall be filed with the commission within fifteen days after the date the decision was mailed or e-mailed emailed to the parties and copies of the request shall be mailed to all other parties to the proceeding before the administrative law judge. For the purposes of this section, "filed" means deposited in the United States mail, postage prepaid or actually received by the commission.

B. The request for review shall state the grounds for review and whether oral argument is requested.

C. When review has been requested, the record of such oral proceedings at the hearing before the administrative law judge for purposes of the review shall be transcribed at the expense of the party requesting review. The record shall be certified to be true and correct by the office of administrative hearings.

D. The board shall give the parties notice of review by mail or e-mail email.

E. If oral argument is requested, a hearing date shall be established and notice of the hearing date will be sent with the notice of review to the parties.

F. The review of the board shall be based on the record submitted to it under subsection C of this section and such oral argument as may be requested and received. If the board determines that a case has been improperly, incompletely or otherwise insufficiently developed or heard by the administrative law judge, it may remand the case to the administrative law judge for further evidence taking, correction or other necessary action.

G. The board may affirm, reverse, modify or supplement the decision of the administrative law judge and make such disposition of the case as it determines to be appropriate. The board shall make a decision within thirty days after review has been submitted.

H. The decision of the board shall be filed with the commission and a copy of the decision sent by mail or e-mail email to the parties. All decisions of the review board shall be in writing. Decisions of the review board shall be made by a majority vote of the review board. A decision of the review board is binding on the director chief and the division with respect to the parties involved in the particular appeal. The director chief shall have the right to seek judicial review of a review board decision irrespective of whether or not the director chief appeared or participated in the appeal to the review board.

I. The decision of the board is final unless within ten days after the date of service of copies of such decision on the parties, one of the parties applies to the court of appeals for a writ of certiorari to review the lawfulness of the decision. A copy of such application shall be forthwith transmitted to the clerk of the court, to the review board, to the commission and to the other parties and within ten days therefrom, the commission shall certify the record, proceedings and evidence before the administrative law judge and the review board to the court of appeals. On such filing, the court shall have jurisdiction of the proceedings and of the question determined therein, and shall have power to make and enter on the pleadings, testimony and proceedings set forth in such record a decree affirming, modifying or setting aside in whole or in part, the order of the review board and enforcing the same to the extent that such order is affirmed or modified. The commencement of proceedings under this subsection does not, unless ordered by the court, operate as a stay of the order of the review board. No objection that has not been urged before the review board shall be considered by the court, unless the failure or neglect to urge such objection shall be excused because of extraordinary circumstances. The findings of the review board with respect to questions of fact, if supported by substantial evidence on the record considered as a whole, shall be conclusive. If any party applies to the court for leave to adduce additional evidence and shows to the satisfaction of the court that such additional evidence is material and that there were reasonable grounds for the failure to adduce such evidence in the hearing before the administrative law judge, the court may order such additional evidence to be taken before the administrative law judge and to be made a part of the record. Petitions filed under this subsection shall be heard expeditiously and the decision of the review board shall contain a statement of this right of appeal.

J. For the purposes of this section, "filed" means deposited in the United States mail, postage prepaid, or actually received by the commission.END_STATUTE

Sec. 12. Section 23-426, Arizona Revised Statutes, is amended to read:

START_STATUTE23-426. Confidentiality of trade secrets

All information reported to or likewise obtained by the commission or its representatives in connection with any inspection or investigation under this article which that contains or which that might reveal a trade secret shall be considered confidential for the purpose of this article, except that such information may be disclosed to other representatives of the division or commission concerned with carrying out this article or when relevant in any proceeding under this article. In any such proceeding, the director chief, the commission, the administrative law judge, the review board or the courts shall issue orders as may be appropriate to protect the confidentiality of trade secrets. END_STATUTE

Sec. 13. Section 23-428, Arizona Revised Statutes, is amended to read:

START_STATUTE23-428. State legal representation

A. The office of the chief counsel of the industrial commission of Arizona may appear for and represent the commission or the director chief or his the chief's authorized representative in any civil litigation brought under this article.

B. In any criminal proceeding initiated under this article, the office of the chief counsel of the industrial commission of Arizona may appear for, represent and prosecute in the name of the this state of Arizona. END_STATUTE

Sec. 14. Section 23-433, Arizona Revised Statutes, is amended to read:

START_STATUTE23-433. Consulting program

A. The division shall develop a consulting program utilizing that uses visits to the workplace of employers to provide consultation and advice to such employers. Such visits:

1. May be conducted only upon on request by an employer for consultation and advice on the interpretation or applicability of standards, possible alternative ways of complying with applicable standards or other matters related to accident prevention, occupational health or obligations pursuant to this article.

2. Shall be limited to matters specified in the request.

B. If, after evaluating such request, the director chief determines an alternative means of providing consultation is more appropriate and equally effective, he the chief may provide such alternative means rather than consultation at the workplace.

C. The director chief shall make recommendations regarding solutions to matters within the scope of the workplace consultation.

D. No visit pursuant to this section shall be regarded as an inspection or investigation pursuant to section 23-415. No citation shall be issued nor shall any civil penalties be proposed upon on such visit, except that nothing in this section shall does not affect in any manner any provision of this article the purpose of which is to eliminate imminent danger violations. END_STATUTE

Sec. 15. Section 23-471, Arizona Revised Statutes, is amended to read:

START_STATUTE23-471. Definitions

In this article, unless the context otherwise requires:

1. "Authorized representative" means the boiler chief and boiler inspector employed by the division.

2. "Boiler" means a closed vessel in which water or other liquid is heated, steam or vapor is generated or steam or vapor is superheated, or any combination thereof, under pressure or vacuum for a use that is external to itself, by the direct application of heat from the combustion of fuels or from electricity.

3. "Certificate" means a certificate of competency.

4. "Certificate inspection" means an internal inspection, when construction permits, otherwise it means as complete an inspection as possible.

5. "Chief" means the chief of the division.

5. 6. "Commission" means the industrial commission of Arizona.

6. "Director" means the director of the division of occupational safety and health.

7. "Division" means the boiler division of occupational safety and health of the commission.

8. "Heating boilers" means a steam or vapor boiler operating at a pressure not exceeding fifteen pounds per square inch or a hot water boiler operating at a pressure not exceeding one hundred sixty pounds per square inch or a temperature not exceeding two hundred fifty degrees Fahrenheit.

9. "High temperature water boiler" means a water boiler intended for operation at pressures in excess of one hundred sixty pounds per square inch or temperatures in excess of two hundred fifty degrees Fahrenheit.

10. "Interested party" means the commission, agents of the commission and any owner or operator who has been issued a notice of violation.

11. "Lined hot water heater" means a fired lined water heater with linings providing corrosion resistance for supplying potable hot water for commercial purposes. Lined hot water heaters are exempted when none of the following limitations are exceeded:

(a) Heat input of two hundred thousand British thermal units per hour.

(b) Water temperature of two hundred ten degrees Fahrenheit.

12. "Owner" or "operator" means any individual or type of organization, including this state and all political subdivisions of this state, that has title to or controls, or has the duty to control, the operation of one or more boilers, pressure vessels or lined hot water heaters.

13. "Power boiler" means a boiler in which steam or other vapor is generated at a pressure more than fifteen pounds per square inch.

14. "Pressure vessel" means a container for the containment of pressure, either internal or external. The pressure may be obtained from an external source, or by the application of heat from a direct or indirect source, or any combination thereof.

15. "Process boiler" means a heating boiler or a power boiler used for processing purposes where the make-up water exceeds ten percent. END_STATUTE

Sec. 16. Section 23-474, Arizona Revised Statutes, is amended to read:

START_STATUTE23-474. Duties of commission

The commission shall:

1. Administer this article through the boiler division of occupational safety and health.

2. Adopt standards and regulations pursuant to section 23-475 and adopt other rules as are necessary.

3. Exercise other powers as are necessary to carry out the duties and requirements of this article. END_STATUTE

Sec. 17. Section 23-477, Arizona Revised Statutes, is amended to read:

START_STATUTE23-477. Notice requesting investigation

A. Any person may make a request for an investigation by the division into alleged violations of section 23-473 by giving notice to the director chief or the director's chief's authorized representative of such violation or danger. Such notice shall be reduced to writing, set forth with reasonable particularity the grounds for the notice and be signed.

B. If, upon on receipt of such notification, the director chief determines that there are reasonable grounds to believe that such violation or danger exists, the director chief shall make an investigation pursuant to this article as soon as practicable to determine if such violation or danger exists. If the director chief determines there are no reasonable grounds to believe that a violation or danger exists, the director chief shall notify the requesting party in writing of such determination. END_STATUTE

Sec. 18. Section 23-478, Arizona Revised Statutes, is amended to read:

START_STATUTE23-478. Enforcement

A. If the division, following an inspection or investigation determines that there is reasonable cause to believe that there exists a violation of a standard or regulation the division shall issue a notice of violation directing any repairs, improvements, changes or additions necessary to eliminate the hazard. Each notice of violation shall be in writing, delivered either by mail or in person and shall contain the following:

1. A particular description of the nature of the violation, including a reference to the provision of this article or of any standard or regulation alleged to have been violated.

2. A reasonable time for the abatement of the violation.

B. Each notice of violation issued pursuant to this section or a copy or copies of such notice of violation shall be prominently posted at or near each place a violation referred to in the notice of violation existed.

C. If in the opinion of the director chief or the director's chief's authorized representative the continued operation of the defective boiler, pressure vessel or lined hot water heater constitutes an immediate danger to the safety of the occupants of the establishment or the persons operating such boiler, pressure vessel or lined hot water heater the director chief or director's chief's authorized representative may condemn such device and require the boiler, pressure vessel or lined hot water heater to be returned to a condition allowing safe operation before use of the boiler, pressure vessel or lined hot water heater is resumed.

D. On failure of an owner or operator to comply with either the requirements of a notice of violation issued pursuant to subsection A of this section or condemnation pursuant to this subsection C of this section, the commission may file an action in the superior court in the county where the violation occurred to enjoin the owner or operator from engaging in further acts in violation of the requirements of the notice of violation or the condemnation. Any person found to be in contempt of an injunctive order of the court shall be fined not less than fifty $50 nor more than three hundred dollars $300 with each day of violation constituting a separate contempt. END_STATUTE

Sec. 19. Section 23-491, Arizona Revised Statutes, is amended to read:

START_STATUTE23-491. Definitions

In this article, unless the context otherwise requires:

1. "Authorized representative" means the elevator chief and elevator inspector employed by the division.

2. "Certificate" means a certificate of inspection issued by the division.

3. "Chief" means the chief of the division.

3. 4. "Commission" means the industrial commission of Arizona.

4. 5. "Conveyance":

(a) Means an elevator, dumbwaiter, escalator, moving walk, manlift, personnel hoist, material hoist, stage lift and special purpose personnel elevator. , excluding

(b) Does not include conveyances located at mines and that are subject to regulation and inspection by the state mine inspector pursuant to title 27, chapter 3.

5. "Director" means the director of the division of occupational safety and health.

6. "Division" means the elevator division of occupational safety and health of the industrial commission.

7. "Dumbwaiter" means a hoisting and lowering mechanism with a car of limited capacity and size that moves in guides in a substantially vertical direction and that is used exclusively for carrying material.

8. "Elevator" means a hoisting and lowering mechanism equipped with a car or platform that moves in guides in substantially vertical direction and that serves two or more floors of a building or structure.

9. "Elevator company" means a person that is engaged in the business of erecting, constructing, installing, altering, servicing, repairing or maintaining conveyances.

10. "Escalator" means a power driven power-driven, inclined, continuous stairway used for raising or lowering passengers.

11. "Interested party" means the commission and its agents and the owner or operator who has been issued a correction order.

12. "Manlift" means a device consisting that consists of a power driven power-driven endless belt moving in one direction only and provided with steps or platforms and attached handholds for the transportation of personnel from floor to floor.

13. "Material hoist" means a hoist for raising and lowering materials only and prohibiting the hoisting of persons.

14. "Moving walk" means a type of passenger carrying passenger-carrying device on which passengers stand or walk and in which the passenger carrying passenger-carrying surface remains parallel to its direction of motion and is uninterrupted.

15. "Owner" or "operator":

(a) Means an individual or organization, including this state and all political subdivisions of this state, who that has title to, controls or has the duty to control the operation of one or more conveyances. , but shall

(b) Does not include an individual or organization that is engaged in mining or metallurgical operations and whose operation is subject to regulation and inspection by the state mine inspector pursuant to title 27, chapter 3.

16. "Personnel hoist":

(a) Means a mechanism for use that is used in connection with the construction, alteration, maintenance or demolition of a building, structure or other work, that is used for hoisting and lowering workers and materials and that is equipped with a car that moves on guide members during its vertical movement. The term

(b) Includes a hoistway of a personnel hoist.

17. "Private elevator inspector" means an individual who is authorized by the commission under section 23-491.16 to conduct inspections under this article.

18. "Special purpose personnel elevator" means a passenger, hand powered hand-powered, counterweighted device or an electric powered electric-powered device that travels vertically in guides and that serves two or more landings.

19. "Stage lift" means a hoisting and lowering mechanism equipped with a platform that moves in guides in a substantially vertical direction and that serves one or more landings. END_STATUTE

Sec. 20. Section 23-491.03, Arizona Revised Statutes, is amended to read:

START_STATUTE23-491.03. Existing conveyances

Existing conveyances lawfully installed prior to before the effective date of this article may continue in use if the use is, in the opinion of the director chief, not a hazard to life, health or property. END_STATUTE

Sec. 21. Section 23-491.04, Arizona Revised Statutes, is amended to read:

START_STATUTE23-491.04. Commission powers and duties

A. The commission shall:

1. Administer this article through the division of occupational safety and health.

2. Promulgate Adopt standards and regulations pursuant to section 23-491.06 as required and promulgate adopt such other rules and regulations and exercise such other powers as are necessary to carry out this article.

B. The commission, by rule and regulation, may set fees not to exceed the actual cost for inspections performed pursuant to this article. END_STATUTE

Sec. 22. Section 23-491.08, Arizona Revised Statutes, is amended to read:

START_STATUTE23-491.08. Notice requesting investigation; confidentiality; determination of grounds

A. Any person may make a request for an investigation by the division into alleged violations of section 23-491.02 by giving notice to the director chief or the director's chief's authorized representative of such violation or danger. Such notice shall be in writing, shall set forth with reasonable particularity the grounds for the notice and shall be signed by the person making the request. Upon On the request of the person signing the notice, such person's name shall not appear on any copy of such notice or any record published, released or made available.

B. If upon on receipt of such notification the director chief determines that there are reasonable grounds to believe that such violation or danger exists, the director chief shall make an investigation in accordance with the provisions of this article as soon as practicable to determine if such violation or danger exists. If the director chief determines there are no reasonable grounds to believe that a violation or danger exists, the director chief shall notify the requesting party in writing of such a determination. END_STATUTE

Sec. 23. Section 23-491.09, Arizona Revised Statutes, is amended to read:

START_STATUTE23-491.09. Enforcement

A. If the division, following an inspection or investigation, determines that there is reasonable cause to believe that there is a violation of a standard or regulation, the division shall issue a correction order directing any repairs, improvements, changes or additions necessary to eliminate the hazard. Each correction order shall be in writing, delivered either by mail or in person and shall contain the following:

1. A particular description of the nature of the violation, including a reference to the provision of this article or of any standard or regulation alleged to have been violated.

2. A reasonable time for the abatement of the violation.

B. No correction order may be issued after the expiration of a period of six months from the date of the inspection or investigation which that produced evidence of the violation.

C. If, in the opinion of the director chief or the director's chief's authorized representative, the continued operation of the defective device constitutes an immediate danger to the safety of the persons operating or being conveyed by such device, the director chief or the director's chief's authorized representative may condemn such device and require it to be returned to a condition allowing safe operation before its use is resumed.

D. Upon On failure of an owner or operator to comply with either the requirements of a correction order issued pursuant to subsection A of this section or condemnation pursuant to this subsection C of this section, the commission may file an action in the superior court of in the county where the violation occurred to enjoin the owner or operator from engaging in further acts in violation of the requirements of the correction order or the condemnation. Any person found to be in contempt of an injunctive order of the court shall be fined not less than fifty $50 nor more than three hundred dollars $300 with each day of violation constituting a separate contempt. END_STATUTE

Sec. 24. Section 23-1065, Arizona Revised Statutes, is amended to read:

START_STATUTE23-1065. Special fund; purposes; investment committee

A. The industrial commission may direct the payment into the state treasury of not to exceed one percent of all premiums received by private insurance carriers during the immediately preceding calendar year. The same percentage shall be assessed against self-insurers based on the total cost to the self-insured employer as provided in section 23-961, subsection G. Such assessments shall be computed on the same premium basis as provided for in section 23-961, subsections G, H, J, K and L and shall be no not more than is necessary to keep the special fund actuarially sound. Such payments shall be placed in a special fund within the administrative fund to provide, at the discretion of the commission, such additional awards as may be necessary to enable injured employees to accept the benefits of any law of this state or of the United States, or both jointly, for promotion of vocational rehabilitation of persons with disabilities in industry.

B. In claims involving an employee who has a preexisting industrially-related industrially related permanent physical impairment of the type specified in section 23-1044, subsection B and who thereafter suffers an additional permanent physical impairment of the type specified in such subsection, the claim involving the subsequent impairment is eligible for reimbursement, as provided by subsection D of this section, according to the following:

1. The employer in whose employ the subsequent impairment occurred or its insurance carrier is solely responsible for all temporary disability compensation to which the employee is entitled and for an amount equal to the permanent disability compensation provided by section 23-1044, subsection B for the subsequent impairment. If the employee is determined to have sustained no loss of earning capacity after the medically stationary date, the employer or carrier shall pay him the employee as a vocational rehabilitation bonus the amount calculated under this paragraph as a lump sum, which shall be a credit against any permanent compensation benefits awarded in any subsequent proceeding. The amount of the vocational rehabilitation bonus for which the employer or carrier is responsible under this paragraph shall be calculated solely on physical, medically rated permanent impairment and not on occupational or other factors.

2. If the commission determines that the employee is entitled to compensation for loss of earning capacity under section 23-1044, subsection C or permanent total disability under section 23-1045, subsection B, the total amount of permanent benefits for which the employer or carrier is solely responsible under paragraph 1 of this subsection shall be expended first, with monthly payments made according to the loss of earning capacity or permanent total disability award. The employer or carrier and the special fund are equally responsible for the remaining amount of compensation for loss of earning capacity under section 23-1044, subsection C or permanent total disability under section 23-1045, subsection B. This paragraph shall does not be construed as requiring require payment of any benefits under section 23-1044, subsection B in any case in which an employee is entitled to benefits for loss of earning capacity under section 23-1044, subsection C or permanent total disability benefits under section 23-1045, subsection B.

C. In claims involving an employee who has a preexisting physical impairment that is not industrially-related industrially related and, whether congenital or due to injury or disease, is of such seriousness as to constitute a hindrance or obstacle to employment or to obtaining reemployment if the employee becomes unemployed, and the impairment equals or exceeds a ten percent permanent impairment evaluated in accordance with the American medical association guides to the evaluation of permanent impairment, and the employee thereafter suffers an additional permanent impairment not of the type specified in section 23-1044, subsection B, the claim involving the subsequent impairment is eligible for reimbursement, as provided by subsection D of this section, under the following conditions:

1. The employer in whose employ the subsequent impairment occurred or its carrier is solely responsible for all temporary disability compensation to which the employee is entitled.

2. The employer had knowledge of the permanent impairment at the time the employee was hired, or that the employee continued in employment after the employer acquired such knowledge.

3. The employee's preexisting impairment is due to one or more of the following:

(a) Epilepsy.

(b) Diabetes.

(d) Arthritis.

(e) Amputated foot, leg, arm or hand.

(f) Loss of sight of one or both eyes or a partial loss of uncorrected vision of more than seventy-five percent bilaterally.

(g) Residual disability from poliomyelitis.

(h) Cerebral palsy.

(i) Multiple sclerosis.

(j) Parkinson's disease.

(k) Cerebral vascular accident.

(l) Tuberculosis.

(m) Silicosis.

(n) Psychoneurotic disability following treatment in a recognized medical or mental institution.

(o) Hemophilia.

(p) Chronic osteomyelitis.

(q) Hyperinsulinism.

(r) Muscular dystrophies.

(s) Arteriosclerosis.

(t) Thrombophlebitis.

(u) Varicose veins.

(v) Heavy metal poisoning.

(w) Ionizing radiation injury.

(x) Compressed air sequelae.

(y) Ruptured intervertebral disk.

4. The employer or carrier and the special fund are equally responsible for the amount of compensation for loss of earning capacity under section 23-1044, subsection C or permanent total disability under section 23-1045, subsection B.

D. The employer or insurance carrier shall notify the commission of its intent to claim reimbursement for an eligible claim under subsection B or C of this section not later than the time the employer or insurance carrier notifies the commission pursuant to section 23-1047, subsection A. Upon On receiving notice the commission may expend funds from the special fund created by this section for travel and discovery procedures and for the employment of such independent legal, medical, rehabilitation, claims or labor market consultants or experts as may be deemed necessary by the commission to assist in the determination of the liability of the special fund, if any, under subsection B or C of this section. In the event there is any dispute regarding liability to the special fund pursuant to subsection B or C of this section, the commission shall not delay the issuance of a permanent award pursuant to section 23-1047, subsection B.

E. If the special fund created by this section is determined to be liable under either subsection B or C of this section, the employer or insurance carrier that is primarily liable shall pay the entire amount of the award to the injured employee and the commission shall by rule provide for the reimbursement of the employer or insurance carrier on an annual basis. In any case arising out of subsection B or C of this section, the written approval of the special fund is required for the compromise of any claim made pursuant to section 23-1023. In any such case, written approval shall not be unreasonably withheld by the special fund, carrier, self-insured employer or other person responsible for the payment of compensation. Failure to obtain the written approval of the special fund shall not cause the injured worker to lose any benefits but ends the special fund's liability for reimbursement and makes the employer or carrier solely responsible for the payment of the remaining benefits.

F. The employer or insurance carrier shall make its claim for reimbursement to the commission not later than November 1 each year, for payments made pursuant to subsection B or C of this section during the twelve months before October 1 each year. a payment that is made pursuant to subsection B or C of this section and that is not included in the annual claim for reimbursement is waived. Claims shall be paid before December 31 each year. If the total annual reserved liabilities of the special fund obligated under subsections B and C of this section exceed six million dollars $6,000,000, as determined by the annual actuarial study performed pursuant to subsection I of this section, the commission, after notice and a hearing, may levy an additional assessment under subsection A of this section of up to one-half percent to meet such liabilities. Any insurance carrier or employer who that may be adversely affected by the additional assessment may at any time before the sixtieth day after such additional assessment is ordered file a complaint challenging the validity of the additional assessment in the superior court in Maricopa county for a judicial review of the additional assessment. On judicial review the determination of the commission shall be upheld if supported by substantial evidence in the record considered as a whole.

G. In the event the injured employee is awarded additional compensation, under subsection A of this section, the commission retains jurisdiction to amend, alter or change the award upon on a change in the physical condition of the injured employee resulting from the injury.

H. On receiving notice that the special fund may be liable under this chapter, the commission may spend monies from the special fund established by this section for expenses that are necessary to assist in the processing, payment or determination of liability of the fund. These expenses may include travel, discovery procedures and employing any legal, medical, rehabilitation, claims or labor market consultant, examiner or expert.

I. The commission shall cause an annual actuarial study of the special award fund to be made by a qualified actuary who is a member of the society of actuaries. The actuary shall make specific recommendations for maintaining the fund on a sound actuarial basis. The actuarial study shall be completed on or before September 1.

J. The special fund of the commission consists of all monies from premiums and assessments, except penalties assessed pursuant to this chapter, received and paid into the fund, property and securities acquired by the use of monies in the fund, interest earned on monies in the fund and other monies derived from the sale, use or lease of properties belonging to the fund. The special fund created by this section shall be administered by the director of the industrial commission, subject to the authority of the industrial commission. The director of the commission with approval of the investment committee, in the administration of the special fund, may provide loans, subject to repayment, budgetary review and legislative appropriation, to the administrative fund for the purposes and subject to section 23-1081, acquire real property and acquire or construct a building or other improvements on the real property as may be necessary to house, contain, furnish, equip and maintain offices and space for departmental and operational facilities of the commission. The commission, when using space constructed pursuant to this section, shall make equal payments of rent on a semiannual basis, which shall be deposited in the special fund. The investment committee shall determine the amount of the rent, which must be at least equal to or greater than that determined by the joint committee on capital review for buildings of similar design and construction as provided by section 41-792.01.

K. There is established an investment committee consisting of the director and the chairman of the commission and three persons knowledgeable in investments and economics appointed by the governor. Of the members appointed by the governor, one shall be a professional in the investment business, one shall represent workers' compensation insurers and one shall represent self-insurers. The term of members appointed by the governor is three years, which shall begin on July 1 and end on June 30 three years later. The committee shall prescribe by rule investment policies and supervise the investment activities of the special fund.

L. Each member of the investment committee, other than the director of the commission, is eligible to receive from the special fund:

1. Compensation of fifty dollars $50 for each day while in actual attendance at meetings of the investment committee.

2. Reimbursement for expenses pursuant to title 38, chapter 4, article 2.

M. The investment committee shall meet at least once every month.

N. The investment committee shall periodically review and assess the investment strategy.

O. The investment committee, by resolution, may invest and reinvest the surplus or reserves in the funds established under this chapter in any legal investments authorized under section 38-718.

P. In addition to the investments authorized under section 38-718, the investment committee may approve the investment in real property and improvements on real property to house and maintain offices of the commission, including spaces for its departmental and operational facilities. Title to the real estate and improvements on the real estate vests in the special fund of the commission, and the assets become part of the fund as provided by this section.

Q. The investment committee may appoint a custodian for the safekeeping of all or any portion of the investments owned by the special fund of the commission and may register stocks, bonds and other investments in the name of a nominee. Except for investments held by a custodian or in the name of a nominee, all securities purchased pursuant to subsection O of this section shall promptly be deposited with the state treasurer as custodian thereof, who shall collect the dividends, interest and principal thereof, and pay, when collected, into the special fund. The state treasurer shall pay all vouchers drawn for the purchase of securities. The director may sell any of the securities as the director deems appropriate, if authorized by resolution of the investment committee, and the proceeds therefrom shall be payable to the state treasurer for the account of the special fund upon on delivery of the securities to the purchaser or the purchaser's agent.END_STATUTE

Sec. 25. Section 41-1005, Arizona Revised Statutes, is amended to read:

START_STATUTE41-1005. Exemptions

A. This chapter does not apply to any:

1. Rule that relates to the use of public works, including streets and highways, under the jurisdiction of an agency if the effect of the order is indicated to the public by means of signs or signals.

2. Order or rule of the Arizona game and fish commission that does the following:

(a) Opens, closes or alters seasons or establishes bag or possession limits for wildlife.

(b) Establishes a fee pursuant to section 5-321, 5-322 or 5-327.

(d) Limits the number or use of licenses or permits that are issued to nonresidents pursuant to section 17-332.

3. Rule relating to section 28-641 or to any rule regulating motor vehicle operation that relates to speed, parking, standing, stopping or passing enacted pursuant to title 28, chapter 3.

4. Rule concerning only the internal management of an agency that does not directly and substantially affect the procedural or substantive rights or duties of any segment of the public.

5. Rule that only establishes specific prices to be charged for particular goods or services sold by an agency.

6. Rule concerning only the physical servicing, maintenance or care of agency owned or operated facilities or property.

7. Rule or substantive policy statement concerning inmates or committed youths of a correctional or detention facility in secure custody or patients admitted to a hospital if made by the state department of corrections, the department of juvenile corrections, the board of executive clemency or the department of health services or a facility or hospital under the jurisdiction of the state department of corrections, the department of juvenile corrections or the department of health services.

8. Form whose contents or substantive requirements are prescribed by rule or statute and instructions for the execution or use of the form.

9. Capped fee-for-service schedule adopted by the Arizona health care cost containment system administration pursuant to title 36, chapter 29.

10. Fees prescribed by section 6-125.

11. Order of the director of water resources adopting or modifying a management plan pursuant to title 45, chapter 2, article 9.

12. Fees established under section 3-1086.

13. Fees established under sections 41-4010 and 41-4042.

14. Rule or other matter relating to agency contracts.

15. Fees established under section 32-2067 or 32-2132.

16. Rules made pursuant to section 5-111, subsection A.

17. Rules made by the Arizona state parks board concerning the operation of the Tonto natural bridge state park, the facilities located in the Tonto natural bridge state park and the entrance fees to the Tonto natural bridge state park.

18. Fees or charges established under section 41-511.05.

19. Emergency medical services protocols except as provided in section 36-2205, subsection B.

20. Fee schedules established pursuant to section 36-3409.

21. Procedures of the state transportation board as prescribed in section 28-7048.

22. Rules made by the state department of corrections.

23. Fees prescribed pursuant to section 32-1527.

24. Rules made by the department of economic security pursuant to section 46-805.

25. Schedule of fees prescribed by section 23-908, except that the industrial commission of Arizona must post the schedule of fees on its website and prepare and file a notice of public information with the website address to be PUBLISHED in the register.

26. Procedure that is established pursuant to title 23, chapter 6, article 6.

27. Rules, administrative policies, procedures and guidelines adopted for any purpose by the Arizona commerce authority pursuant to chapter 10 of this title if the authority provides, as appropriate under the circumstances, for notice of an opportunity for comment on the proposed rules, administrative policies, procedures and guidelines.

28. Rules made by a marketing commission or marketing committee pursuant to section 3-414.

29. Administration of public assistance program monies authorized for liabilities that are incurred for disasters declared pursuant to sections 26-303 and 35-192.

30. User charges, tolls, fares, rents, advertising and sponsorship charges, services charges or similar charges established pursuant to section 28-7705.

31. Administration and implementation of the hospital assessment pursuant to section 36-2901.08, except that the Arizona health care cost containment system administration must provide notice and an opportunity for public comment at least thirty days before establishing or implementing the administration of the assessment.

32. Rules made by the Arizona department of agriculture to adopt and implement the provisions of the federal milk ordinance as prescribed by section 3-605.

33. Rules made by the Arizona department of agriculture to adopt, implement and administer the United States food and drug administration produce safety rule (21 Code of Federal Regulations part 112) and any other federal produce safety regulation, order or guideline or other requirement adopted pursuant to the FDA food safety modernization act (P.L. 111-353; 21 United States Code sections 2201 through 2252) as provided by title 3, chapter 3, article 4.1.

34. Calculations that are performed by the department of economic security and that are associated with the adjustment of the sliding fee scale and formula for determining child care assistance pursuant to section 46-805.

35. Rules made by the Arizona department of agriculture to implement and administer the livestock operator fire and flood assistance grant program established by section 3-109.03.

B. Notwithstanding subsection A, paragraph 21 of this section, if the federal highway administration authorizes the privatization of rest areas, the state transportation board shall make rules governing the lease or license by the department of transportation to a private entity for the purposes of privatization of a rest area.

C. Coincident with the making of a final rule pursuant to an exemption from the applicability of this chapter under this section, another statute or session law, the agency shall:

1. Prepare a notice and follow formatting guidelines prescribed by the secretary of state.

2. Prepare the rulemaking exemption notices notice pursuant to chapter 6.2 of this title.

3. File a copy of the rule with the secretary of state for publication pursuant to section 41-1012 and provide a copy to the council.

4. Provide a copy of the rule to the council.

D. Unless otherwise required by law, articles 2, 3, 4 and 5 of this chapter do not apply to the Arizona board of regents and the institutions under its jurisdiction, except that the Arizona board of regents shall make policies or rules for the board and the institutions under its jurisdiction that provide, as appropriate under the circumstances, for notice of and opportunity for comment on the policies or rules proposed.

E. Unless otherwise required by law, articles 2, 3, 4 and 5 of this chapter do not apply to the Arizona state schools for the deaf and the blind, except that the board of directors of all the state schools for the deaf and the blind shall adopt policies for the board and the schools under its jurisdiction that provide, as appropriate under the circumstances, for notice of and opportunity for comment on the policies proposed for adoption.

F. Unless otherwise required by law, articles 2, 3, 4 and 5 of this chapter do not apply to the state board of education, except that the state board of education shall adopt policies or rules for the board and the institutions under its jurisdiction that provide, as appropriate under the circumstances, for notice of and opportunity for comment on the policies or rules proposed for adoption. In order to implement or change any rule, the state board of education shall provide at least two opportunities for public comment. The state board of education shall consider the fiscal impact of any proposed rule pursuant to this subsection.

G. Unless otherwise required by law, articles 2, 3, 4 and 5 of this chapter do not apply to the state board for charter schools, except that the board shall adopt policies or rules for the board and the charter schools sponsored by the board that provide, as appropriate under the circumstances, for notice of and opportunity for comment on the policies or rules proposed for adoption. In order to implement or change any policy or rule, the board shall provide at least two opportunities for public comment. The state board for charter schools shall consider the fiscal impact of any proposed rule pursuant to this subsection. END_STATUTE