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RED Tape Act


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IN THE HOUSE OF REPRESENTATIVES

Mrs. Hawthorne (for herself, Mr. Drake, and Mr. Markham, with thanks to Mr. Sullivan) introduced the following bill

A BILL

To require each agency to repeal or amend 2 or more rules before issuing or amending a rule.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the “Regulations Endanger Democracy Act” or the “RED Tape Act”.

SEC. 2. REPEAL OF RULES REQUIRED BEFORE ISSUING OR AMENDING RULE.

(a) Definitions.—In this section—

(1) the term “agency” has the meaning given the term in section 551 of title 5, United States Code;

(2) the term “covered rule” means a rule of an agency that causes a new financial or administrative burden on businesses in the United States or on the people of the United States, as determined by the head of the agency;

(3) the term “rule”—

(A) has the meaning given the term in section 551 of title 5, United States Code; and

(B) includes—

(i) any rule issued by an agency pursuant to an Executive order or Presidential memorandum; and

(ii) any rule issued by an agency due to the issuance of a memorandum, guidance document, bulletin, or press release issued by an agency; and

(4) the term “Unified Agenda” means the Unified Agenda of Federal Regulatory and Deregulatory Actions.

(b) Prohibition On Issuance Of Certain Rules.—

(1) IN GENERAL.—An agency may not—

(A) issue a covered rule that does not amend or modify an existing rule of the agency, unless—

(i) the agency has repealed 2 or more existing covered rules of the agency; and

(ii) the cost of the covered rule to be issued is less than or equal to the cost of the covered rules repealed under clause (i), as determined and certified by the head of the agency; or

(B) issue a covered rule that amends or modifies an existing rule of the agency, unless—

(i) the agency has repealed or amended 2 or more existing covered rules of the agency; and

(ii) the cost of the covered rule to be issued is less than or equal to the cost of the covered rules repealed or amended under clause (i), as determined and certified by the head of the agency.

(2) APPLICATION.—Paragraph (1) shall not apply to the issuance of a covered rule by an agency that—

(A) relates to the internal policy or practice of the agency or procurement by the agency; or

(B) is being revised to be less burdensome to decrease requirements imposed by the covered rule or the cost of compliance with the covered rule.

(c) Considerations For Repealing Rules.—In determining whether to repeal a covered rule under subparagraph (A)(i) or (B)(i) of subsection (b)(1), the head of the agency that issued the covered rule shall consider—

(1) whether the covered rule achieved, or has been ineffective in achieving, the original purpose of the covered rule;

(2) any adverse effects that could materialize if the covered rule is repealed, in particular if those adverse effects are the reason the covered rule was originally issued;

(3) whether the costs of the covered rule outweigh any benefits of the covered rule to the United States;

(4) whether the covered rule has become obsolete due to changes in technology, economic conditions, market practices, or any other factors; and

(5) whether the covered rule overlaps with a covered rule to be issued by the agency.

(d) Publication Of Covered Rules In Unified Agenda.—

(1) REQUIREMENTS.—Each agency shall, on a semiannual basis, submit jointly and without delay to the Office of Information and Regulatory Affairs for publication in the Unified Agenda a list containing—

(A) each covered rule that the agency intends to issue during the 6-month period following the date of submission;

(B) each covered rule that the agency intends to repeal or amend in accordance with subsection (b) during the 6-month period following the date of submission; and

(C) the cost of each covered rule described in subparagraphs (A) and (B).

(2) PROHIBITION.—An agency may not issue a covered rule unless the agency complies with the requirements under paragraph (1).

PES

This bill prohibits, with certain exceptions, a federal agency from issuing a rule that causes a new financial or administrative burden on businesses or people in the United States unless the agency has repealed or amended two or more existing rules causing such a burden and the cost of the rule to be issued is less than or equal to that of the rules repealed or amended.

In determining whether to repeal such a rule, an agency must consider (1) whether the rule has achieved its purpose, has become obsolete, or overlaps with a rule to be issued; (2) any adverse effects that could materialize if the rule is repealed; and (3) whether the costs of the rule outweigh its benefits.

Edited by Brady

Senator Holly Hawthorne (R-AK)

@HollyHawthorne | Join the Freedom Caucus!

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