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Before an agency adopts a new rule, what condition might necessitate a public hearing?

  1. Requirement by federal law to hold a hearing

  2. Statute specifically mandates a hearing

  3. Lack of opposition from stakeholders

  4. History of similar agencies adopting rules without hearings

The correct answer is: Statute specifically mandates a hearing

When an agency is in the process of adopting a new rule, a public hearing may be necessitated when a statute specifically mandates that a hearing occur. This requirement is grounded in administrative law, where certain legislative frameworks direct agencies to invite public comment and input before finalizing regulations. This practice ensures transparency, public participation, and accountability in the decision-making process. The legal obligation to hold a hearing is often intended to balance the interests of the public with the regulatory responsibilities of the agency, making it critical for the agency to follow these statutory mandates to ensure compliance with the law. The other factors, such as a federal law requirement for a hearing or historical precedence of similar agencies, do not universally apply because they are contingent on specific statutes or situations rather than a general obligation. Similarly, a lack of opposition from stakeholders does not, in itself, create a requirement for a hearing; rather, it may indicate that stakeholders are content with the proposal or that there may be limited interest in participating in the process.