TITLE 812 INDIANA AUCTIONEER COMMISSION

Economic Impact Statement

LSA Document #06-372

U.S. Census Bureau North American Standard Classification System 5619901 Auctioneer, independent (All Other Support Services): 2981

U.S. Census Bureau North American Standard Classification System 453998 Auction House (All Other Miscellaneous Store Retailers (except Tobacco Stores) – Auction House and Company: 583

U.S. Census Bureau North American Standard Classification System 611430 Professional and Management – Development Training (Continuing Education Providers): 24

U.S. Census Bureau North American Standard Classification System 611430 Professional and Management – Development Training (Pre-Licensing Education Providers): 11

The Indiana Auctioneer Commission has the authority to promulgate rules in accordance with IC 4-22-2 to enforce and administer IC 25-6.1, including establishing the requirements for licensure, fees, requirements for continuing education, and the standards for the competent practice of auctioneering. The proposed rule implements changes in accordance with P.L.23-2003 (HEA 1176), and P.L.194-2005 (SEA 139). The proposed rule clarifies and revises language to make the rules consistent with the Commission's statutes, removes out-of-date and unnecessary language in the rules, revises the standards for the competent practice of auctioneering to reflect the current practice and to assist the Commission in disciplinary hearings, and revises the continuing education requirements for licensees and providers to bring the rules into conformity with the Commission's statutes. There are approximately 2,981 auctioneers, 291 auction houses, and 292 auction companies.

The Commission estimates that there will be no annual reporting, administrative costs, or record keeping requirements incurred by small businesses to comply with this rule because the small businesses are already complying with these rules.

The Commission estimates that there will be an impact on small businesses as a result of compliance with this rule. Fees for auctioneers, auction houses, and auction companies licenses have, up until July 1, 2005, been set by statute. The change in the law allows the Commission set their licensing fees in their rules. The Commission is keeping its licensing and examination fees the same. The agency determined that estimated annual revenue to be generated by this rulemaking action is approximately: $18,830. The estimated annual impact is based on the number of applicants for licensure that the Commission received in 2006, which included:

142 auctioneer applicants × $35 examination fee = $4,970

142 auctioneer applicants × $70 application = $9,940

34 auction house applicants × $70 application fee = $2,380

22 auction company applicants × $70 application fee = $1,540

Justification of Requirements or Costs on Small Businesses Where Rule Is Not Expressly Required by Law: Pursuant to IC 25-1-8-2, fees shall not be less than are required to pay all of the costs, both direct and indirect, of the operation of the cosmetology board. In 2005, the General Assembly enacted SEA 139 (P.L.194-2005) to give the Indiana Professional Licensing Agency and the boards, commissions, and committees it serves the authority to set fees by rule that had previously been set by statute. This change was considered imperative in order for the boards and commissions to keep up with the rising costs of national examinations and other expenses associated with operating a licensing board. However, it should be emphasized that the proposed rule changes will not increase or decease the number of individuals or small businesses already affected by the current regulations. In addition, the Commission's fees were raised in 2003 from $35 to $70 when the licensure period for auctioneers, auction houses, and auction companies was increased from two to four years.

Supporting Data, Studies, or Analyses: The Commission has not relied on any studies in reaching these estimates.

The Indiana Auctioneer Commission has the authority to promulgate rules in accordance with IC 4-22-2 to enforce and administer IC 25-6.1, including establishing the requirements for licensure, fees, requirements for continuing education, and the standards for the competent practice of auctioneering. The Commission has not analyzed alternatives to this proposed rule.

A. Establishment of less stringent compliance or reporting requirements for small businesses.

Because there are no reporting requirements, there was no need to establish less stringent schedules or deadlines for small business compliance.

B. Establishment of less stringent schedules or deadlines for compliance or reporting requirements for small businesses.

Because there are no reporting requirements, there was no need to establish less stringent schedules or deadlines for small business compliance.

C. Consolidation or simplification of compliance or reporting requirements for small businesses.

There are no other reporting requirements imposed by the proposed rule.

D. Establishment of performance standards for small businesses instead of design or operational standards imposed on other regulated entities by the rule.

The Commission's rules for all auctioneers, auction houses and auction companies in Indiana no matter the size of the business.

E. Exemption of small businesses from part or all of the requirements or costs imposed by the rule.

This proposed rule does not impose additional reporting requirements or costs. The Commission's rules are for all auctioneers, auction houses, and auction companies no matter the size of the business.

DIN: 20070117-IR-812060372EIA

Composed: May 04,2024 4:51:59PM EDT

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