The Administrative Procedure Act

• Jurisdiction: Maryland

V. THE ADMINISTRATIVE PROCEDURE ACT

A. Introduction

The Administrative Procedure Act (APA) lays down basic administrative procedure for all state—but not local—administrative agencies not specifically exempted from its scope.¹⁵ In cases where the Maryland APA does not formally govern, its principles are likely to be persuasive. Likewise, decisions under the federal APA are apt to be highly persuasive in interpreting the Maryland APA. The Maryland courts seek to harmonize Maryland common administrative law and Maryland APA interpretation with federal administrative law most of the time but not always.

The Act, found in Maryland Code Annotated, State Government, has three subtitles. Subtitle 1 contains general provisions including definitions, statutory authority for regulations, and procedures for adoption of regulations. Subtitle 2 governs administration of contested cases, including notice and hearing requirements, delegation of hearing authority by an agency, rules of evidence, final orders and judicial review of final decisions, and reimbursement of litigation expenses for small businesses. Subtitle 3 deals with declaratory rulings by administrative units.

B. Coverage of the APA

The APA does not apply to local-level agencies, but usually applies to all state-level ones. However, even within the sphere of state-level agencies, there are separate sets of exceptions to coverage for each of the three subtitles enumerated in the previous part of this chapter. Other agencies, like the University System, may be exempt by virtue of their organic statute.¹⁶ For purposes of Subtitle 2, covering contested cases, the APA-prescribed exceptions include agencies within the legislative and judicial branches of the government, the governor, the Department of Assessments and Taxation, the Insurance Administration with certain exceptions, the Maryland Parole Commission of the Department of Public Safety and Correctional Services, the Public Service Commission, the Maryland Tax Court, the State Workers' Compensation Commission, the Maryland Automobile Insurance Fund, and the Patuxent Institution Board of Review when acting on a parole request.¹⁷ The Exceptions in Subtitle 3 (Declaratory Rulings) are set forth in State Gov't § 10-302.

C. Promulgation of Regulations

State regulations may be adopted by ordinary or "emergency" means. An ordinary regulation goes through the following procedure: after the agency proposes it, it is sent to the Joint Committee on Administrative...