Snyder remakes Department of Energy, Labor and Economic Growth into regulatory affairs department
Michigan Gov. Rick Snyder today ordered a reconfiguration of the state's Department of Energy, Labor and Economic Growth, changing its name to the Department of Licensing and Regulatory Affairs and shifting many of its previous responsibilities to other departments.
The decision to remake DELEG into a one-stop shop for the state's regulatory activities was long expected and comes after Snyder repeatedly promised during his campaign to streamline the state's regulatory processes.
"Creating a climate of economic growth depends in large part on a simple, fair, efficient and transparent regulatory environment and a focused, efficient state government,” Snyder said in a statement.
“Our new Department of Licensing and Regulatory Affairs will help drive this change by having a more coherent and consistent approach to its mission. By consolidating its core functions under one roof and transferring responsibilities that were not compatible to the appropriate agencies, this streamlined department is better positioned to serve its customers while significantly contributing to our overall goal of fostering economic success."
The Department of Licensing and Regulatory Affairs will conduct a review of the state's existing regulations and implement changes. The department will be led by Steve Hilfinger, a University of Michigan law school graduate appointed last week as director of DELEG.
Many of DELEG's previous responsibilities will be transferred to other agencies. The Michigan Strategic Fund, which is run by the Michigan Economic Development Corp., will oversee several of DELEG's programs, including the Michigan Next Energy Authority, Michigan State Housing Development Authority and Land Bank Fast Track.
MEDC's Michigan Strategic Fund will also oversee the new Workforce Development Agency, which is absorbing the functions of the Bureau of Workforce Transformation and the Council for Labor and Economic Growth.
Shifting work force development functions to MEDC is a move Snyder's administration hinted at for weeks.
Former Ann Arbor SPARK executive Amy Cell, MEDC's new senior vice president for talent enhancement, is leading the agency's efforts to establish a cohesive talent development strategy.
Snyder's executive order also creates the Michigan Administrative Hearing System, which will operate as an independent agency within the new Department of Licensing and Regulatory Affairs.
Meanwhile, the Department of Licensing and Regulatory Affairs will also oversee the Bureau of Health Professions, the Bureau of Health Systems and the Controlled Substances Advisory Commission — all agencies that were previously part of the Department of Community Health.
"The transfer will allow Community Health to concentrate on the actual health care delivery aspects of its duties while allowing Licensing and Regulatory Affairs to oversee the licensing and professional regulatory aspects of these functions," Snyder's administration said in a news release.
DELEG's Disability Concerns Commission, Division on Deaf and Hard of Hearing, Pacific American Affairs Commission and Hispanic/Latino Commission will be shifted to the Department of Civil Rights.