Regulatory Reform

New Model Policies from the Commerce, Insurance and Economic Development Task Force

At the ALEC Annual Meeting last month, the Commerce, Insurance and Economic Development (CIED) Task Force heard from our partners on timely policy topics and approved four new model policies that are listed below.

  1. Mobile Food Vendor Freedom Act

This model policy creates a state licensing process for food trucks that simplifies regulations across localities. Food trucks are an inherently mobile business, operating in multiple locations and jurisdictions within a state. Creating a streamlined state licensing process ensures states and localities can work together to meet risk-based inspections requirements. This also decreases the regulatory burden food truck operators face with a patchwork of local licensing, fees and regulations.

  1. Expedited Suspension and Legislative Repeal of Harmful Rules Act

 This model creates an expedited process that governors and state agencies can use to temporarily suspend regulations during an emergency or that have become unnecessary, conflict with other law or are overly burdensome. The legislatures can then review and act to repeal these regulations. This is especially timely during the COVID-19 pandemic where over 846 regulations have been waived.

  1. Employment Mandate Preemption

This policy limits the powers of local governments to regulate the terms and conditions of employment for nonpublic businesses. This includes regulations like paid leave requirements, minimum wage, and hours and scheduling.

  1. Model Legislation on Remote Online Notarization

 This new model policy allows for notarial acts to be performed remotely over the internet using audio-visual equipment. As of May 2020, twenty-four states have passed policy on remote online notarization with many states governor executive orders due to COVID-19.

In addition to adopting these four model policies, the CIED Task Force also heard presentations on:

Public Sector Union and Police Union Reform

Restoring Property Rights in Housing Markets

  • Nolan Gray from the Mercatus Center presented on zoning, expedited permitting, minimum lot sizes, design regulations, and accessory dwelling units (ADUs). His PowerPoint presentation can be found in ALEC Connect.

Securing the American Dream for the Next Generation: State Solutions for Economic Mobility

  • Ben Wilterdink from the Archbridge Institute discussed three areas of reform to promote economic mobility including occupational licensing reform, free range parenting, and getting rid of the marriage penalty for childcare benefits. You can sign up for the Archbridge Insider Newsletter here.

For additional policy conversations, we have been hosting a monthly occupational licensing reform working group to discuss licensing topics that meets next on Friday, August 21st and are convening a labor working group to discuss updating our joint employer model policy language and independent contractor policy. Please email me if you are interested in joining or presenting at either working group.


In Depth: Regulatory Reform

In his first inaugural address, Thomas Jefferson said that “the sum of good government” was one “which shall restrain men from injuring one another” and “shall leave them otherwise free to regulate their own pursuits of industry.” Sadly, governments – both federal and state – have ignored this axiom and …

+ Regulatory Reform In Depth