MI SB0851

Renames the "Office of Regulatory Reform" to the "Michigan Office of Administrative Hearings and Rules" throughout the Administrative Procedures Act of 1969.

Requires each state agency to submit biennial lists reviewing 25% of their rules, with all rules reviewed at least once every 8 years, starting by January 31, 2025.

Mandates agencies submit comprehensive rule reports by July 31 of the following year evaluating whether rules are necessary, outdated, duplicative, or need updating, including fiscal impact analyses on businesses, individuals, and local governments.

Establishes a legislative oversight process where a joint committee has 21 session days to identify and challenge "missing rules" (rules not included in agency reports), with authority to allow missing rules to remain in effect or trigger automatic rescission.

Requires the Auditor General to conduct performance audits biennially starting July 31, 2027, evaluating agency compliance with rule review requirements and the effectiveness of the regulatory review process.