This bill amends the Unfunded Mandates Reform Act of 1995. It defines a "major rule" and requires agencies to prepare both initial and final regulatory impact analyses for proposed and final major rules. A major rule includes rules likely to have an annual effect of $100,000,000 or more (adjusted every 5 years for inflation) or those that cause large cost or competitive effects.
The analyses must be published in the Federal Register, be open to public comment, and include estimated benefits and costs (quantified when feasible), a set of regulatory alternatives, how the rule meets other statutory requirements, and assessments of effects on States, localities, Tribal governments, regions, communities, private sectors, and jobs. Agencies must summarize prior consultations with elected State, local, and Tribal officials and public comments.
The bill expands consultation rules to require agencies to consult early and throughout rulemaking with State, local, Tribal officials and affected private-sector parties (including small businesses). Agencies must seek views on costs, benefits, risks, and alternative compliance methods, and address cumulative impacts.
Agencies must select, from the considered alternatives, the one that "maximizes net benefits" within the agency’s statutory authority, unless the Office of Information and Regulatory Affairs (OIRA) approves an alternative for limited exceptions. OIRA must give guidance, notify agencies of noncompliance, and send an annual report to Congress on agency compliance. Agencies must open an electronic docket and publish a notice of initiation at least 90 days before a proposed major rule.
The bill extends certain requirements to independent regulatory agencies (with an exemption for Federal Reserve monetary policy). It also creates a right of judicial review for persons aggrieved to challenge agency compliance with the new analytic and selection requirements.
The bill sets the definition of cost for rule analysis (including compliance costs and foreseeable indirect costs such as lost revenue) and sets a $100,000,000 annual-effect threshold for major rules (adjusted for inflation every 5 years). It requires agencies to estimate benefits and costs for rules and alternatives.
No publicly available information on total government costs to implement this Act or on how much agencies will spend to prepare the required analyses beyond the provisions in the bill text.
No publicly available information in the bill text about proponents' arguments or statements.
No publicly available information in the bill text about opponents' arguments or statements.