Sponsors (3)
The bill increases definitional clarity and transparency and aims to reduce net regulatory burden, but does so by forcing numeric repeal requirements and central cost parity tests that risk delaying protective rules, encouraging gaming, expanding federal reach in sensitive jurisdictions, and adding administrative burdens.
State governments, tribal governments, territories, and the federal government: clearer statutory definitions (e.g., “agency,” “rule,” “State”) reduce ambiguity about who and what the Act covers, likely lowering legal disputes over coverage.
Taxpayers, federal employees, and the public: OIRA certification requirement for cost parity on major rules and public publication of repealed rules (plus recurring GAO reports) increases central oversight and transparency about the number and estimated economic cost of rules.
State and local governments and small-business owners: agencies that repeal three rules before adding a new one could face fewer net regulatory requirements, potentially lowering compliance costs for those entities.
State and local governments, small businesses, and the public: agencies could be blocked from issuing needed protective or safety regulations until they locate and repeal three related rules, delaying or preventing new protections.
Taxpayers, small businesses, and regulated entities: the rule that a major rule's cost must be no greater than the combined cost of three repealed rules could discourage agencies from adopting major rules that have upfront costs but net benefits, reducing beneficial regulation.
Federal employees, state governments, and agencies: the narrow definition of qualifying repeals (only notice-and-comment rules, excluding interpretative or internal policies) makes it hard to find three eligible rules, creating administrative burden and potential regulatory paralysis.
Based on analysis of 4 sections of legislative text.
Bars agencies from issuing a new rule unless they repeal at least three related notice-and-comment rules; major rules must not increase net regulatory costs and require OIRA cost certification.
Introduced January 8, 2025 by Eric Stephen Schmitt · Last progress January 8, 2025
Prohibits federal agencies from issuing a new rule unless the agency first repeals at least three existing rules that are, as practicable, related to the new rule. For major rules, requires the same three repeals and that the new rule’s estimated cost not exceed the combined cost of the three repealed rules, with the Office of Management and Budget’s OIRA Administrator certifying cost parity. Also requires the Government Accountability Office to report to Congress within one year and then every five years on the number of rules, number of major rules, and the total estimated economic cost of rules in effect.