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Informal rule making is the primary type of rule making used by administrative agencies.

A) True
B) False

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Set forth the steps involved in formal rule making.

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The steps of formal rule making are as f...

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Examples of independent agencies include all but which of the following ________.


A) the Federal Trade Commission
B) the Federal Aviation Agency
C) Securities and Exchange Commission
D) Federal Communications Commission
E) there are no independent agencies, only executive agencies

F) C) and E)
G) A) and B)

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Which of the following acts requires that agency business meetings be open to the public when a quorum is present and if the agency is headed by a collegiate body?


A) The Freedom of Information Act
B) The Government in Sunshine Act
C) The Privacy Act of 1974
D) The Open Meetings Act
E) The Open Door Act

F) A) and C)
G) All of the above

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[License Challenge] Talia was licensed by her state to train massage therapists. The state-licensing agency, the Aesthetic and Massage Commission, took very seriously its role of enforcing the state statute enabling the Commission to do its work and providing that licensed massage therapists must refrain from "any act or conduct indicating bad faith, incompetence, dishonesty, or improper dealing." Rules were passed authorizing the agency to revoke the license of anyone found guilty of such acts or conduct. While driving home late one night from a party, Talia was stopped by police and arrested for driving under the influence of alcohol. She pled guilty to the offense. When the Aesthetic and Massage Commission discovered the conviction, the officials of the agency met, decided that Talia might drink on the job, and that she might pose a danger to students. Accordingly, her license to teach massage therapy was revoked. Talia threatened to sue to retain her license and was told by the agency head that she had no right to appeal to court because, based on her admission of guilt, no factual dispute was involved. The agency official went on to say that even if an appealable issue existed, agency action may only be overturned when there is clear and convincing evidence that the agency exceeded its discretion. The administrative system in Talia's state is identical to the federal system. -Which of the following is true regarding the statement by the agency head that agency action may only be overturned when there is clear and convincing evidence that the agency exceeded its discretion?


A) The agency representative is essentially correct because agency decisions are upheld in over 99% of the cases and may only be reversed if no evidence whatsoever supports the agency's interpretation of its regulation.
B) The agency representative is incorrect because agency decisions are usually reversed unless they are supported by clear and convincing evidence.
C) The agency representative is incorrect because agency decisions are usually reversed unless it can be established that an appeal of an agency decision is frivolous and without reason.
D) The agency representative is incorrect because a court will review a dispute with an agency de novo, meaning independent basis, giving no deference to the agency decision.
E) The agency representative is incorrect because while agency actions are usually upheld, they may be reversed if the agency exceeded its power or the facts are not supported by substantial evidence.

F) A) and B)
G) B) and D)

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What are the types of rules that agencies engage in making?


A) Formal, informal, informational, and hybrid.
B) Formal, informal, and hybrid.
C) Informational and substantive.
D) Stabilizing and political.
E) Informal and regulating.

F) C) and D)
G) A) and E)

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An agency's fact finding must be supported by ________, in order to be upheld in court.


A) Substantial evidence
B) A rational basis
C) Any evidence
D) Material evidence
E) Non-hearsay evidence

F) B) and D)
G) A) and E)

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Administrative law consists of procedural, but not substantive, rules.

A) True
B) False

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Administrative agencies run the same way a court does including jury trials.

A) True
B) False

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What option does a party have if he or she does not appeal the ALJ's initial order within the allowed timeframe?


A) The party can file a motion to request appeal to have the decision reviewed.
B) The party can refile the claim with the agency and have it decided by a different ALJ.
C) The party can refile the claim in the trial court.
D) The party can initiate mediation.
E) There are no options and the initial order becomes a final order.

F) A) and B)
G) C) and D)

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________ are what Congress uses to create administrative agencies.


A) Administrative statutes
B) Enabling statutes
C) Creation statutes
D) Federal administration statutes
E) Interstate statutes

F) C) and D)
G) B) and D)

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How many days, if any, does Congress have to review proposed agency rules?


A) 0 because Congress does not review proposed agency rules
B) 20
C) 30
D) 60
E) 90

F) B) and C)
G) B) and E)

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The federal Freedom of Information Act applies to ________.


A) Congress
B) The federal courts
C) The executive staff of the White House
D) The Internal Revenue Service
E) State or local governments

F) C) and D)
G) None of the above

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Once an administrative law judge rules, the next step is to appeal to the U.S. Supreme Court.

A) True
B) False

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[Disputed Dominion] Congress set up a new agency to more closely regulate testing of personal and cosmetic products on animals. Legislation was passed naming the agency the "Animal Protection Commission," and setting forth the function of the agency and its specific powers. Congress provided the agency with the power to make rules, investigate violations, and adjudicate charges of wrongdoing. The agency proceeded to properly give notice and issue rules. The rules provided for civil as well as for criminal penalties. Agency personnel issued an order for ABC Co. to attend a hearing regarding its animal testing and to bring to the hearing all company documents pertaining to animal testing. ABC Co. resisted on the basis that the agency had no power to compel its attendance at a hearing or to require it to provide any documents. ABC Co. also claimed that agencies do not have the power to impose criminal penalties. The agency proceeded to issue a ruling that ABC Co. cease all activity based upon its refusal to cooperate. -Which of the following is true regarding the claim of ABC Co. that the agency had no power to compel attendance and the production of documents?


A) ABC Co. is correct because while the agency had the right to request voluntary compliance and refer ABC Co. to law enforcement if ABC Co. would not voluntarily comply, the agency had no power to require compliance.
B) ABC Co. is correct in that the agency could not require the production of documents, but incorrect regarding the power of the agency to require attendance at a hearing.
C) ABC Co. is correct in that the agency could not require attendance at a hearing, but incorrect regarding the power of the agency to require the provision of documents.
D) ABC Co. is incorrect and the agency had the power to issue a subpoena requiring attendance at a hearing and a subpoena duces tecum requiring that ABC Co. bring specified documents to the hearing.
E) ABC Co. is incorrect and the agency had the power to issue a certified order requiring attendance at a hearing and a summons requiring that ABC Co. bring specified documents to the hearing.

F) A) and D)
G) D) and E)

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Administrative agencies are sometimes called the unofficial "fourth branch of government."

A) True
B) False

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Which of the following terms refers to the type of evidence required by a court to support an agency's fact finding?


A) Direct evidence
B) Circumstantial evidence
C) Substantial evidence
D) Testimonial evidence
E) Statistical evidence

F) A) and C)
G) B) and E)

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In the text case of Open Communities Alliance v. Carson, The US Department of Housing and Urban Development (HUD) , without notice and comment or any evidence, delayed almost entirely by two years implementation of a rule requiring local Public Housing Authorities in 24 metropolitan areas to calculate housing vouchers' values based on local, rather than metropolitan-wide, prevailing market rents. The plaintiffs sought a preliminary injunction to require HUD to implement the rule on its effective date of January 1, 2018. What was the result?


A) The court granted the preliminary injunction, holding that HUD's suspension of the rule was done without proper notice and comment procedure, did not meet any of the three exceptions to the requirement of notice and comment, and that the action was arbitrary and capricious.
B) The court denied the preliminary injunction, holding that HUD's suspension of the rule was done without proper notice and comment procedure, did not meet any of the three exceptions to the requirement of notice and comment, and that the action was arbitrary and capricious.
C) The agency can choose which procedures to use when it modifies a rule.
D) The agency must send a notice via mail to all interested parties when it modifies a rule.
E) The agency must use the notice-and-comment procedure when it modifies rules.

F) C) and D)
G) B) and C)

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What rules may an agency enact?


A) Procedural, interpretive, legislative, and executive.
B) Procedural, interpretive, and legislative.
C) Executive and interpretive only.
D) Legislative and executive only.
E) Agencies may enact interpretive rules only.

F) A) and E)
G) A) and D)

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An example of an executive agency is the Small Business Administration.

A) True
B) False

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