To amend the Unfunded Mandates Reform Act of 1995 (2 U.S.C. 1501 et seq.) to strengthen the economic impact analyses for major rules, require agencies to analyze the effect of major rules on jobs, and require adoption of the least burdensome regulatory means.

1. Adds SEC. ___. UNFUNDED MANDATES REFORM wherever appropriate

   Adds a section

   Inserted: SEC. ___. UNFUNDED MANDATES REFORM.

   Inserted: (a) Regulatory Impact Analyses for Certain Rules.--

   Inserted: (1) Regulatory impact analyses for certain rules.--Section 202 of the Unfunded Mandates Reform Act of 1995 (2 U.S.C. 1532) is amended--

   Inserted: (A) by striking the section heading and inserting the following:

   Inserted: "SEC. 202. REGULATORY IMPACT ANALYSES FOR CERTAIN RULES.";

   Inserted: (B) by redesignating subsections (b) and (c) as subsections (d) and (e), respectively;

   Inserted: (C) by striking subsection (a) and inserting the following:

   Inserted: "(a) Definition.--In this section, the term 'cost' means the cost of compliance and any reasonably foreseeable indirect costs, including revenues lost as a result of an agency rule subject to this section.

   Inserted: "(b) In General.--Before promulgating any proposed or final rule that may have an annual effect on the economy of $100,000,000 or more (adjusted for inflation), or that may result in the expenditure by State, local, and tribal governments, in the aggregate, of $100,000,000 or more (adjusted for inflation) in any 1 year, each agency shall prepare and publish in the Federal Register an initial and final regulatory impact analysis. The initial regulatory impact analysis shall accompany the agency's notice of proposed rulemaking and shall be open to public comment. The final regulatory impact analysis shall accompany the final rule.

   Inserted: "(c) Content.--The initial and final regulatory impact analysis under subsection (b) shall include--

   Inserted: "(1)(A) an analysis of the anticipated benefits and costs of the rule, which shall be quantified to the extent feasible;

   Inserted: "(B) an analysis of the benefits and costs of a reasonable number of regulatory alternatives within the range of the agency's discretion under the statute authorizing the rule, including alternatives that--

   Show 21 more inserted paragraphsShow less

   Inserted: "(i) require no action by the Federal Government; and

   Inserted: "(ii) use incentives and market-based means to encourage the desired behavior, provide information upon which choices can be made by the public, or employ other flexible regulatory options that permit the greatest flexibility in achieving the objectives of the statutory provision authorizing the rule; and

   Inserted: "(C) an explanation that the rule meets the requirements of section 205;

   Inserted: "(2) an assessment of the extent to which--

   Inserted: "(A) the costs to State, local and tribal governments may be paid with Federal financial assistance (or otherwise paid for by the Federal Government); and

   Inserted: "(B) there are available Federal resources to carry out the rule;

   Inserted: "(3) estimates of--

   Inserted: "(A) any disproportionate budgetary effects of the rule upon any particular regions of the Nation or particular State, local, or tribal governments, urban or rural or other types of communities, or particular segments of the private sector; and

   Inserted: "(B) the effect of the rule on job creation or job loss, which shall be quantified to the extent feasible; and

   Inserted: "(4)(A) a description of the extent of the agency's prior consultation with elected representatives (under section 204) of the affected State, local, and tribal governments;

   Inserted: "(B) a summary of the comments and concerns that were presented by State, local, or tribal governments either orally or in writing to the agency; and

   Inserted: "(C) a summary of the agency's evaluation of those comments and concerns.";

   Inserted: (D) in subsection (d) (as redesignated by paragraph (2) of this subsection), by striking "subsection (a)" and inserting "subsection (b)"; and

   Inserted: (E) in subsection (e) (as redesignated by paragraph (2) of this subsection), by striking "subsection (a)" each place that term appears and inserting "subsection (b)".

   Inserted: (2) Technical and conforming amendment.--The table of sections for the Unfunded Mandates Reform Act of 1995 is amended by striking the item relating to section 202 and inserting the following:

   Inserted: "Sec. 202. Regulatory impact analyses for certain rules.".

   Inserted: (b) Least Burdensome Option or Explanation Required.--Section 205 of the Unfunded Mandates Reform Act of 1995 (2 U.S.C. 1535) is amended by striking section 205 and inserting the following:

   Inserted: "SEC. 205. LEAST BURDENSOME OPTION OR EXPLANATION REQUIRED.

   Inserted: "Before promulgating any proposed or final rule for which a regulatory impact analysis is required under section 202, the agency shall--

   Inserted: "(1) identify and consider a reasonable number of regulatory alternatives within the range of the agency's discretion under the statute authorizing the rule, including alternatives required under section 202(b)(1)(B); and

   Inserted: "(2) from the alternatives described under paragraph (1), select the least costly or least burdensome alternative that achieves the objectives of the statute.".

   The amendment doesn't say where this goes; the clerk decides.

   Original wording

   At the appropriate place, insert the following:

Read automatically from the Congressional Record. Check the original before relying on it.

As printed