Crapo Pushes to Cut Red Tape in Federal Rulemaking Process
Says federal regulators must be accountable; explosive growth of regulations harmful to economic growth
Washington, D.C.-Idaho Senator Mike Crapo today backed legislation to reduce the size and scope of the federal government. Crapo is a co-sponsor of Senator Rand Paul's (R-Kentucky) Regulations from the Executive In Need of Scrutiny (REINS) Act. S. 226 would require proposed rules and regulations put forth by federal agencies with an estimated economic effect of at least $100 million to be subject to congressional approval before taking effect.
Under current law, the Congressional Review Act provides that a covered agency regulation takes effect unless Congress acts to overturn the rule with a joint resolution of disapproval, which the President can veto. In contrast, the REINS Act would require the enactment of a joint resolution of approval before any major rule could be finalized, increasing much-needed transparency in the federal rulemaking process. Currently, the federal rulemaking structure provides tremendous autonomy to federal agencies with no real congressional oversight, allowing agencies to propose and finalize thousands of regulations each year, many of them controversial, without a full public discussion or involvement, or disclosure of the data supporting a rule.
Estimates suggest the burden on small businesses to comply with existing bureaucratic red tape is around $2 trillion per year. An economy struggling to get on sound footing cannot grow strongly while simultaneously being stymied by federal regulations.
"The explosive growth of federal regulations and rules coming out of Washington in the last few decades, particularly under the current Administration, stands in direct contrast to the types of pro-growth policies needed to ensure the longevity of our country's fiscal health and global stature," said Crapo. "The countless, and often duplicative, federal regulations imposed on the private sector continue to stifle growth and discourage innovation critical to a growing economy. An efficient and accountable regulatory structure that forces federal regulators to not blindly impose ill-advised mandates is fundamental to ensuring taxpayer dollars are being used effectively. Regulators must first consider localized input from our communities and small businesses-who federal regulations impact the most."
For the full text of the bill, click here.
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