H.R. 3058: Reclaim the Reins Act

The Reclaim the Reins Act aims to modify how federal agencies create and implement rules and regulations, particularly those that have budgetary implications or impact employment. Here’s a breakdown of the main components of the bill:

Funding Appropriations

The bill allocates $10 million for the Office of Management and Budget (OMB) and $10 million for the Comptroller General to support the implementation of its provisions, available until September 30, 2034.

Enhanced Congressional Review of Agency Rulemaking

Agencies must provide more detailed reports when they submit rules for Congressional review. Specifically, they are required to include:

• An estimate of budgetary effects related to the rule.
• An analysis of direct and indirect costs associated with enforcing the rule.
• An estimation of jobs affected by the rule, differentiated by public and private sectors.
• A determination if the rule is classified as major or non-major, along with supporting explanations.
• Information and data that informed the rule, including economic studies and cost-benefit analyses.
• A list of other related regulations and their estimated economic impacts.
• An estimate of the rule's potential effect on inflation.
• A statement regarding the constitutional authority behind the rule.

Approval Process for Major Rules

Major rules that are determined to increase revenues cannot take effect unless Congress passes a joint resolution of approval. If such a resolution is not enacted within a 60-day period, the rule does not take effect.

Additional Review of Rules Submitted During Final Year of a President’s Term

For rules submitted in the last year of a presidential term that increase revenue, additional review processes apply, allowing Congress to disapprove such rules through a joint resolution.

Annual Review of Existing Rules

From six months after the enactment of this Act, federal agencies will be required to conduct an annual review of at least 20% of their existing rules over the next four years. If Congress does not approve certain rules within 90 days of their designation, those specific rules would lose effect. Additionally, if rules aren't approved within five years, they will also lose effect if not re-approved.

Judicial Review of Rulemaking Requirements

The bill allows judicial courts to evaluate if federal agencies have met the necessary requirements for a rule to become effective, regardless of existing legal impediments.

Government Accountability Office (GAO) Study

The bill mandates the Comptroller General to study the current status of federal rules, with a report to be submitted to Congress within one year of the Act's enactment, detailing how many rules are in effect, how many are major rules, and the total economic cost imposed by these rules.

Technical Amendments

Minor amendments are made to the definitions within previous laws to ensure clarity and proper implementation of the new requirements included in this bill.

Summary of Key Requirements

1. Detailed reporting requirements for agencies on rules that could impact budgets or employment.
2. Congressional approval required for major rules that increase revenue.
3. Additional scrutiny for late-term rules submitted during a presidency.
4. Regular reviews of existing rules to ensure they are active and relevant.
5. Judicial review provisions to ensure compliance with the new regulatory framework.

Relevant Companies

None found