2016 -- H 7336

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LC004200

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2016

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A N   A C T

RELATING TO STATE AFFAIRS AND GOVERNMENT -- EQUAL ACCESS TO JUSTICE

FOR SMALL BUSINESSES AND INDIVIDUALS

     

     Introduced By: Representatives Blazejewski, Keable, Shekarchi, Craven, and Naughton

     Date Introduced: January 27, 2016

     Referred To: House Judiciary

     It is enacted by the General Assembly as follows:

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     SECTION 1. Section 42-92-2 of the General Laws in Chapter 42-92 entitled "Equal

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Access to Justice for Small Businesses and Individuals" is hereby amended to read as follows:

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     42-92-2. Definitions. -- As used in this chapter:

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      (1) "Adjudicative officer" means the deciding official, without regard to whether the

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official is designated as an administrative law judge, a hearing officer or examiner, or otherwise,

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who presided at the adversary adjudication.

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      (2) "Adjudicatory proceedings" means any proceeding conducted by or on behalf of the

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state administratively or quasi-judicially which may result in the loss of benefits, the imposition

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of a fine, the adjustment of a tax assessment, the denial, suspension, or revocation of a license or

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permit, or which may result in the compulsion or restriction of the activities of a party. Any

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agency charged by statute with investigating complaints shall be deemed to have substantial

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justification for the investigation and for the proceedings subsequent to the investigation.

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      (3) "Agency" means any state and/or municipal board, commission, council, department,

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or officer, other than the legislature or the courts, authorized by law to make rules or to determine

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contested cases, to bring any action at law or in equity, including, but not limited to, injunctive

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and other relief, or to initiate criminal proceedings. This shall include contract boards of appeal,

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tax proceedings, and employment security administrative proceedings.

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      (4) "Municipality" means the individual cities and towns in the state of Rhode Island and

 

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including, but not limited to, any city or town housing authority, fire, water, sewer district, local

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or regional school district, public building authority or other municipal financed agency or

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department.

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      (5) "Party" means any individual whose net worth is less than five hundred thousand

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dollars ($500,000) at the time the adversary adjudication was initiated; and, any individual,

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partnership, corporation, association, or private organization doing business and located in the

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state, which is independently owned and operated, not dominant in its field, and which employs

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one hundred (100) or fewer persons at the time the adversary adjudication was initiated.

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      (6) "Reasonable litigation expenses" means those expenses which were reasonably

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incurred by a party in adjudicatory proceedings, including, but not limited to, attorney's fees,

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witness fees of all necessary witnesses, and other costs and expenses as were reasonably incurred,

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except that:

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     (i) Unless the court determines that special factors justify a higher fee, the The award of

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attorney's fees may not exceed one hundred and twenty-five dollars ($125) one hundred fifty

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dollars ($150) per hour, unless the court determines that special factors justify a higher feel;

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provided, however, that this amount shall be adjusted annually on December 31 of each calendar

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year by the percentage increase of the United States Department of Labor's Bureau of Labor

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Statistics Consumer Price Index. If there are no percentage increases in this index for any

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calendar year, there shall be no increase in the hourly amount for that year;

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      (ii) No expert witness may be compensated at a rate in excess of the highest rate of

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compensation for experts paid by this state.

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      (7) "Substantial justification" means that the initial position of the agency, as well as the

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agency's position in the proceedings, has a reasonable basis in law and fact.

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     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO STATE AFFAIRS AND GOVERNMENT -- EQUAL ACCESS TO JUSTICE

FOR SMALL BUSINESSES AND INDIVIDUALS

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     This act would increase awardable attorneys' fees in adjudicatory proceedings from one

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hundred twenty-five dollars ($125) to one hundred fifty dollars ($150) per hour with an annual

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increase thereafter based on the United States Department of Labor's Consumer Price Index.

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     This act would take effect upon passage.

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