Original Rulemaking Package Issued For Comment to the Rulemaking Mailing List on August 1, 2019 and Published in the California Regulatory Notice Register 2019, No. 32-Z on August 9, 2019.

Government Code section 17527(g), authorizes the Commission on State Mandates (Commission) to adopt the proposed regulations.  Reference citations:  Government Code sections 11123, 11346.4, 11347, 11347.1, and 17500 et seq.

The Commission is a seven-member quasi-judicial body authorized to resolve disputes regarding the existence of state-mandated local programs (Gov. Code, § 17500 et seq.) and to hear matters involving county applications for a finding of significant financial distress (Welf. & Inst. Code, § 17000.6).


The purpose of this rulemaking is to generally clean-up, clarify, and streamline Commission regulations and update language for consistency.  Specifically, the proposed regulations:  (1) clarify the definitions of “completed,” “new filing,” “party,” “statewide cost estimate,” “statewide estimate of costs,” and “subsequent change in the law;” and clarify the types of matters for which the executive director issues sequential numbers for matters; (2) require electronic filing for all new filings and written materials except as specified, and add electronic formatting requirements; (3) clarify that the tie vote procedures apply to all action items and that the option of assigning a matter to a hearing panel or hearing officer in the case of a tie vote applies to all quasi-judicial “matters” and not only to test claims and incorrect reduction claims; (4) streamline the process for adopting expedited parameters and guidelines; (5) clarify the joint reasonable reimbursement methodology (RRM) regulations, which implement Government Code sections 17557.1 and 17557.2, to make it clear that it is an alternative process and not the same as an RRM included in parameters and guidelines adopted by the Commission pursuant to Government Code section 17557; (6) clarify Commission and party actions in the timeline regulation; (7) clarify that the three-year limitation period that applies to filing incorrect reduction claims also applies to filing amendments to incorrect reduction claims; (8) add completeness language to a request to review the apportionment or base year entitlement of a program in the State Mandates Apportionment System (SMAS) consistent with the other SMAS requests for inclusion and removal; (9) clarify the definition of “matter” in article 7 to include joint reasonable reimbursement methodologies and statewide estimates of costs (joint RRMs and SECs), and joint requests for early termination of a joint RRM; (10) clarify that the informal conference regulation and witnesses/subpoena regulations apply to all quasi-judicial “matters” subject to the article 7 regulations; (11) authorize limits to the length of testimony in Commission hearings consistent with the Bagley-Keene Open Meeting Act; (12) clarify that the regulation for abandoning a matter applies to all quasi-judicial “matters” subject to the article 7 regulations; (13) clarify the regulation on dismissal of a test claim or other matter; (14) clarify the regulation governing the limited authority to reconsider a prior final decision on a test claim or incorrect reduction claim to make it consistent with Government Code section 17559(a), to clarify the standard of review to reconsider a prior final decision, and to make other clarifying amendments; (15) make minor, non-substantive consistency edits, corrections; and (16) update authority and reference citations.


Therefore, the Commission proposes revised language and citations in Articles 1, 3, 4, 5, 6, 7, 8 and 10 of the California Code of Regulations, Division 2, Title 2, Chapter 2.5 with a proposed effective date of April 1, 2020.


We invite your participation in the Commission’s rulemaking proceeding. The Commission’s rulemaking packet is posted on and includes the following documents:


· Order to Initiate Rulemaking Proceedings (No. 19-01 - Adopted July 26, 2019)

· Proposed Text of Regulations

· Notice of Proposed Rulemaking

· Initial Statement of Reasons (ISOR)

· Full Text of Documents Relied Upon (2)


1. California Courts of Appeal, Guide to Creating Electronic Documents/Filings, November 1, 2017, (accessed on April 26, 2019)


2. California Second District Court of Appeal, Electronic Formatting Requirements and Guidelines of the Second District Pursuant to California Rules of Court rules 8.72(a) and 8.74(b), effective October 2017, Revised June 18, 2018, (accessed on April 26, 2019)


Written comments on the proposed amendments will be accepted until 5:00 p.m. on September 23, 2019.  The Commission will hold a public hearing on September 27, 2019, if it receives a written request for a public hearing no later than 15 days before the close of the written comment period, and will notify all persons of the date, time, and location of the hearing pursuant to Government Code section 11346.8(a). For details on public participation, please view the Notice of Proposed Rulemaking posted on the Commission’s website as described above.


Adoption of Proposed Regulation Amendments After Close of 45 Day Comment Period


Please visit the link below for the notice and agenda for the Commission on State Mandates' Hearing at 10:00 am at the State Capitol, Room 447, Sacramento, California on November 22, 2019.


Agenda, Notice, and New Filings for CSM Hearing on November 22, 2019 issued October 23, 2019


The Commission on State Mandates has issued the following documents on November 5, 2019 that will be heard at the CSM Hearing on November 22, 2019:



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