Branstad to sign Executive Order 72 rescinding burdensome “RICE” rule

April 04, 2011

Gov. Terry E. Branstad today will sign Executive Order number 72, which rescinds the Iowa “RICE” rule.  The RICE rule was enacted by the Environmental Protection Commission and forces back-up diesel generators to be retrofitted with very expensive new parts, even though the engines are rarely used.

“Lieutenant Governor Reynolds and I recently joined Iowa House and Senate Republicans on their ‘Rules and Regulations’ tour where we learned of many regulations burden Iowa business,” said Branstad. “This administration is serious about removing burdensome regulations. The economic impacts of administrative rules need to be considered when being adopted.”

Gov. Branstad was joined at the press conference by Senate Republican Leader Paul McKinley (R-Chariton), Rep. Dawn Pettengill (R- Mount Auburn), Pat Stief, of Traer Municipal Utilities, and Greg Fritz, of North Iowa Municipal Electric Cooperative Association in Humboldt. Both Steif and Fritz expressed their concerns about the cost and burden being placed upon their business by the RICE rule at “Rules and Regulations” tour stops.

“Sixty-seven Iowa utilities would have added costs because of this rule, which would likely result in higher prices for the Iowa consumer,” Branstad added.

The Environmental Protection Agency (EPA) currently enforces the RICE rule on a federal level, but the EPA is reevaluating it due to the significant costs associated with its implementation. Gov. Branstad plans to send the EPA a copy of this executive order to encourage them to reconsider changes to the entire rule, while keeping in mind the economic impact on utilities.

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