A bill to amend the Administrative Procedure Act to permit awards of reasonable attorney fees and other expenses for participation in proceedings before Federal regulatory agencies.

(Reported to Senate from the Committee on the Judiciary with amendment, S. Rept. 94-863)

Public Participation in Government Proceedings Act - Declares it to be the purpose of this Act to promote increased public participation in agency proceedings, thereby insuring more effective functioning of the administrative process by enabling all affected persons to secure the representation in agency proceedings to which such persons are entitled. Makes this Act applicable to all rulemaking, ratemaking, and licensing proceedings, and to such other proceedings involving issues which relate directly to health, safety, civil rights, the environment, and the economic well-being of consumers in the marketplace.

Authorizes Federal agencies to award reasonable attorneys' fees, fees and costs of experts, and other costs of participation incurred by eligible persons in any agency proceeding whenever public participation in the proceeding promotes a full and fair determination of the issues involved.

Makes persons eligible for such awards if they represent an interest which contributes substantially to a fair determination of the proceedings, if the economic interest of such persons in the outcome of the proceeding is small in comparison to the costs of effective participation, and if such persons demonstrate insufficient resources to otherwise effectively participate.

Provides that in proceedings regarding a license, rate, route, or other privilege, grant, or benefit, the agency may require the respondent or applicant to pay part or all of such an award if they have acted toward eligible persons in an obdurate, dilatory, or mendacious fashion, or for oppressive reasons.

Provides for payment of such awards within 90 days of a final proceeding, and for payment in advance where necessary to permit participation.

Permits any party or party intervenor in a civil action or other proceeding for judicial review of agency action to recover reasonable attorney's fees, fees and costs of experts, and other costs of litigation, including taxable costs from the United States if the court awards the relief sought and determines that such action served an important public purpose.

Authorizes appropriations to carry out this Act through fiscal year 1979.