Mr. Speaker, I ask unanimous consent that all Members may have 5 legislative days within which to revise and extend their remarks and include extraneous materials on H.R. 50. Mr. Chair, I yield…
Mr. Speaker, I ask unanimous consent that all Members may have 5 legislative days within which to revise and extend their remarks and include extraneous materials on H.R. 50.
Mr. Chair, I yield myself such time as I may consume.
Mr. Chairman, this bill was referred to three other committees other than the Committee on Oversight and Government Reform. We have been in contact with all of them--Judiciary, Budget, and Rules--and they have agreed to discharge the bill from their committees so that we can consider the bill on the floor today. I include for the Record those letters that reflect this understanding between Oversight and Government Reform and the three other committees.
Mr. Chairman, Congress enacted the Unfunded Mandates Reform Act to ``curb the practice of imposing unfunded Federal mandates on States and local governments.''
Twenty years later, we continue to see burdensome unfunded mandates being imposed on State, local, and tribal governments as well as small businesses. Despite high hopes, UMRA, as it is often referred to, had little effect on agency rulemaking because of its limited coverage and its lack of accountability.
In response, H.R. 50 proposes several key reforms to bring needed transparency to how government sets rules that protect our health, our safety, our welfare, as well as the environment. This legislation does this in several key ways.
Mr. Chairman, H.R. 50 requires agencies to consult with the private sector when directly impacted by a proposed rule.
Consult with the private sector. That is a great theme. I love the title of this.
It does actually provide more information, more transparency, and engages those people that are affected by these rules. Requiring agency rulemakers to consult with small business owners will bring needed perspective and common sense to how our rules are made. Small businesses want the government to fully understand how regulations impact their ability to create jobs and promote economic growth. Of course we need rules. Of course there are going to be boundaries. But consulting with the private sector is something that has to happen, and government needs their perspective.
The bill makes independent agencies subject to the Unfunded Mandates Reform Act, also known as UMRA. There are hundreds of Federal independent agencies charged with handling responsibilities, such as managing workplace safety and protecting our forests. It is important these entities are accountable to the public when establishing a new rule. H.R. 50 ensures that that will happen.
H.R. 50 requires an UMRA analysis for all final rules. Under current law, an agency can forgo an UMRA analysis by avoiding a notice of proposed rulemaking. GAO reports that 35 percent of major rules are issued without a notice of proposed rulemaking, making it difficult for the public to comment.
In fiscal year 2014, the administration estimated the annual cost of major regulations between $57 billion and $84 billion. We must have a better understanding of those costs before passing them on to State, local, and tribal governments as well as the private sector.
The bill strengthens congressional oversight by requiring agencies to look back at specific regulations when requested by Congress. Before a rule is tested, it is difficult to understand its consequences, including its costs and its benefits. President Obama supported retrospective reviews of regulations by issuing an executive order requiring agencies to periodically review significant regulations, in Executive Order 13563, in January 2011. These retrospective reviews result in regulations that are more effective and less burdensome in achieving their objective. Retrospective analysis can and should inform future rules.
H.R. 50 allows judicial review when agencies fail to fully consider the least costly or least burdensome alternative rule. The bill allows the judicial branch to place a stay on rules when the agency fails to complete the required UMRA analysis. This provides an important check on the executive branch.
H.R. 50 codifies the Congressional Budget Office practice of estimating the true cost of a Federal mandate. When a Federal mandate is proposed, CBO ensures its cost estimates include lost profits, costs passed on to consumers, and behavioral changes as the result of a Federal mandate.
When enacted, UMRA created an important step to inform Congress of the potential burdens of regulatory mandates on both government and the private sector. This way, Congress could weigh any potential benefits as well as any potential burdens. By updating this law, we can help ensure that all parties, from government entities to small businesses, understand the true cost of prospective mandates.
I commend the gentlewoman from North Carolina (Ms. Foxx). She has poured her heart and soul into this. She believes passionately in this. Her leadership on this bill has brought it to this point today. It has passed three times with bipartisan support in this House, but it is necessary to bring it up again and to share this bill with a new Senate that is now in place.
I encourage my colleagues to support H.R. 50. It is good. It is common sense. It is good for this Nation, and it enjoys bipartisan support.
Mr. Chairman, I reserve the balance of my time.
House of Representatives, Committee on Oversight and
Government Reform,
Washington, DC, January 28, 2015.
Hon. Bob Goodlatte,
Chairman, Committee on the Judiciary,
Rayburn House Office Building, Washington, DC.
Dear Mr. Chairman: On January 27, 2015, the Committee on
Oversight and Government Reform ordered reported without
amendment H.R. 50, the Unfunded Mandates Information and
Transparency Act of 2015, by a vote of 20 to 13. The bill was
referred primarily to the Committee on Oversight and
Govemment Reform, with an additional referral to the
Committee on the Judiciary.
I ask that you allow the Judiciary Committee to be
discharged from further consideration of the bill so that it
may be scheduled by the Majority Leader. This discharge in no
way affects your jurisdiction over the subject matter of the
bill, and it will not serve as precedent for future
referrals. In addition, should a conference on the bill be
necessary, I would support your request to have the Committee
on the Judiciary represented on the conference committee.
Finally, I would be pleased to include this letter and any
response in the bill report filed by the Committee on
Oversight and Government Reform, as well as in the
Congressional Record during floor consideration, to
memorialize our understanding.
Thank you for your consideration of my request.
Sincerely,
Jason Chaffetz,
Chairman.
Mr. Chairman, at this time, I am pleased to yield 5 minutes to the gentlewoman from North Carolina, Dr. Foxx, the prime sponsor of this bill.
Mr. Chairman, I yield myself 1 minute.
It would be inaccurate and inappropriate to suggest that this bill bypasses individuals. To the contrary, the bill says, ``and impacted parties within the private sector.'' The definition of ``private sector'' under UMRA--the term ``private sector'' means ``all persons or entities in the United States, including individuals.''
Any assertion on this floor that this gives unilateral priority to the individual corporations and bypasses the individuals, we are trying to give people who are affected by these rules--we are trying to give them the opportunity to be heard.
I reserve the balance of my time.
Mr. Chairman, I am pleased to yield 3 minutes to the gentleman from Georgia (Mr. Jody B. Hice).
Mr. Chairman, I am pleased to yield 3 minutes to the gentleman from North Carolina (Mr. Meadows).
Mr. Chairman, I am pleased to yield 1 minute to the gentleman from California (Mr. McCarthy), the distinguished majority leader.
Mr. Chairman, may I inquire of the time left on both sides?
Mr. Chairman, I am pleased to yield 3 minutes to the gentleman from North Carolina (Mr. Walker).
Mr. Chairman, I would like to point to the bill because it keeps getting repeated on this floor that it doesn't include the public, it doesn't include individuals. That is just not true.
On page 12 of the bill:
Agencies shall, to the extent practicable, seek out the
views of State, local, and tribal governments, and impacted
parties within the private sector.
Definition of private sector: the term ``private sector'' means all persons or entities in the United States, including individuals.
It sounds like a good rhetorical point to keep saying: Oh, we are leaving out the little guy; we are leaving out the public. It does include the public; it does include the individuals; and when these unfunded mandates are placed upon them, this bill would make sure that they are at least asked about it. That is what we are seeking.
At this time, I yield 1 minute to the gentleman from North Carolina (Mr. Meadows).
Mr. Chairman, I would like to make Mr. Cummings aware that I have no further speakers, and I am prepared to close, but I will reserve the balance of my time.
Mr. Chairman, I yield myself such time as I may consume.
The one who is in the power position, the one who has got the resources, the one that has got the attorneys is the government. The government is the one that has got all the cards.
All we are asking for is to allow input from individuals, small businesses, big businesses. If you are going to be affected, isn't it common sense to suggest that maybe they should talk to the people that they are going to put this mandate on? Let's have a discussion, a dialogue, get some input from them?
The name of this bill is very, very accurate, Unfunded Mandates Information and Transparency Act. What are we afraid of, asking them the question: How are you going to be impacted? What is this going to do to the economy?
What I hear from my constituents--and I have heard it from outside of Utah's Third Congressional District--is the Federal Government comes in with its big, heavy hand, and they have no voice, no opportunity. It is just laid upon them.
I appreciate Dr. Foxx and what she is doing. We also hear from State, local, and tribal governments, from small businesses and business organizations that are in support of this bill.
In fiscal year 2014, the administration estimated the annual cost of major regulations was between $57 billion and $84 billion. There is room. There is appropriate use of regulations. To suggest that we are opposed to all regulations is irresponsible.
I think there are good regulations that are in place--they make our country better--but there needs to be a process and a communication and input from individuals that are affected by these regulations.
We have got to understand the costs and how we are passing these unfunded mandates on to State and local governments. This is an important part of the process.
Updating this law, we can ensure all parties, from government entities to small businesses to individuals, understand the true costs of the prospective mandates.
This bill should successfully pass in the House again, and I urge my colleagues to support it. I applaud Dr. Foxx from North Carolina, the prime sponsor of this, for moving this legislation.
I would urge, my colleagues, a ``yea'' vote on H.R. 50, and I yield back the balance of my time.
Mr. Chairman, I appreciate Congressman Reed and what he is trying to do here. I think this makes a lot of sense.
His amendment asks agencies to consider the effects of regulatory action upon private property owners. The amendment furthers the bill's intent to
provide more input from private sector entities and taxpayers affected by these regulations. It thinks of farms and other types of public land issues that we deal with, particularly out West, but across the Nation.
Federal regulators should consider the effects of any regulation on private property owners.
I urge my colleagues to support this amendment.
Mr. Chairman, I rise in opposition to the amendment.
Mr. Chairman, a cost-benefit analysis prior to the implementation of a regulation requires a number of assumptions that make an accurate analysis difficult, if not impossible.
H.R. 50 allows committee chairmen and ranking members to ask for the retrospective reviews of specific regulations.
I think there needs to be a degree of deference and some respect for the idea that it is for committee chairmen and ranking members, both sides of the aisle, not just based on some whim. I think it is offensive to suggest that it be just some whimsical thing.
This allows an important check on any pre-implementation cost-benefit analysis, and these retrospective reviews better clarify the true costs of regulation. Even President Obama supports retrospective reviews and issued an executive order requiring agencies to conduct them.
More importantly, retrospective reviews work. In April of 2014, the GAO issued a report on retrospective reviews at 22 executive agencies. That report found that more than 90 percent of retrospective regulation reviews led the agencies to revise, clarify, or eliminate regulation text--90 percent.
However, the pace of retrospective review is much slower than planned, and the 22 agencies reviewed by the GAO had plans to conduct more than 650 retrospective reviews but had only completed 246 of them as of August of 2013.
As you can see, the agencies are already doing this work. It is good to go back and review. We shouldn't be afraid of that. We should encourage it.
This provision in the bill simply allows Congress to work with agencies to prioritize regulatory areas most important to the American taxpayer. We need to maintain the ability to make such requests, and I urge my colleagues to oppose this amendment.
Mr. Chairman, I reserve the balance of my time.
Mr. Chairman, that is some good creative thinking right there. I reserve the balance of my time.
Mr. Chairman, I yield myself such time as I may consume.
I want to highlight, again, that when there was a report done by the GAO, they found that 90 percent of retrospective regulation reviews led agencies to revise, clarify, or eliminate regulatory text.
All this does is ask for a report. It doesn't repeal it. It is not going to slow it down. What it does is ask for a report. That is an important process to go through, and when we have gone through it in the past, 90 percent of the time, according to the GAO, it has led to revisions that are important.
It is very difficult to understand what is going to happen on the front end. All we are asking for in this bill is let's consult with the individuals, the property owners, others who are affected, and then, if we need a report, and we are going to limit that to chairmen and ranking members, that is an appropriate thing to do.
What are we afraid of? We are just trying to get transparency to the issue and be able to highlight this.
I worry, when you talk about the numbers of reviews and how far behind, it just shows the massive numbers of regulations that go through this process. We should be able to review those. There are real Americans that are affected by this every day.
I urge my colleagues to vote ``no'' on this amendment.
Mr. Chairman, I yield back the balance of my time.
I thank the gentleman, and I appreciate my colleague from Virginia. I appreciate his tenacity and good work on these issues and on the Committee on Oversight and Government Reform.
But I do have to suggest that if the economy is struggling, Federal regulators should be extra concerned about imposing undue and unnecessary costs on to the American public and the private sector job creators.
H.R. 50 helps ensure that regulations that impose unfunded mandates on State, local, and tribal governments and the private sector are fully analyzed and considered.
Keep in mind, we are focused here on unfunded mandates. This amendment would repeal this helpful legislation if the GDP rate grows at a rate of less than 5 percent. To me, this is counterproductive.
GDP is a deliberately broad measure of economic growth. The GDP does not reflect the impact a regulatory mandate might have on a State or local government or a portion of the private sector, nor does it reflect the impact of regulations as a whole.
Ultimately, GDP growth is not a substitute for a sensible regulatory analysis and process. I would argue that,
regardless of GDP growth or reduction, we need to allow, particularly these local governments, these tribal governments, these private individuals--it is the little guy that has this unfunded mandate thrust upon them that we have to review.
So repealing H.R. 50 if the GDP is failing to grow is contrary to the very purpose of this bill and, therefore, I stand in opposition to the gentleman's amendment.
Mr. Chairman, I reserve the balance of my time.
Mr. Chairman, I continue to reserve the balance of my time.
Mr. Chair, how much time remains?
Mr. Chairman, to take a metric of the gross domestic product, the entire economy, and then have that be the weighted factor by what may happen to a dairy farmer, for instance, who is out there in Utah or Kansas or Colorado is not the way that we should be determining whether or not H.R. 50 is in place.
If the economy is waning, if the economy is decreasing, if our production overall for our Nation is declining, that may be the very key indicator that we have thrust too many unfunded mandates upon the little guy, the dairy farmer, the person who has got a transmission shop. It could be a whole host of things. It may be upon private property owners. It could be--you name it.
Pretty much in this country, there are mandates that are thrust upon people, and they feel like they have no ability, no understanding why this happens. They don't feel like they have a voice in the process.
So I stand in opposition to this amendment. So, to the overall gross economy, to say that we are just going to repeal that, H.R. 50, and get rid of our ability to ask people to consult, ask the government agencies to consult with local governments, to consult with private individuals, to talk to small businesses, we are going to just get rid of that because the economy is waning?
I would argue that part of the reason our economy hasn't taken off is there are too many unfunded mandates. The government imposes these, and they don't have a full understanding of what is causing these people to not hire more people, to invest more capital.
So I stand in opposition to this. I appreciate the gentleman who offered it, but I stand in opposition to this amendment. I would urge my colleagues a ``no'' vote.
I yield back the balance of my time.
Mr. Speaker, I rise in opposition to the motion to recommit.
Mr. Speaker, I want to thank the body, thank the Speaker, and the process by which we did this. This bill came up in regular order in the Committee on Oversight and Government Reform. We had a full and complete markup. That was followed by going to the Rules Committee.
Every single amendment that was offered at the Rules Committee was made in order, two Democrat amendments as well as the Republican amendment. We had good and lively debate about those, and we just voted on those amendments. I appreciate that.
From my heart, I will tell you that I look forward to working with the gentlewoman from Illinois and everybody else in this body to attack and go after--defend the innocent and make sure that we attack domestic violence because it is so prevalent in every aspect of our society, but I would suggest to you that this is the wrong amendment.
What this does, it does not force the Federal Government to actually work with the individuals that are affected. What H.R. 50 does, what this bill does is to make sure that the Federal Government consults with individuals, it consults with small businesses, those that are affected by mandates.
I want the Federal Government--in fact, I would love to codify the idea that the Federal Government in this case and what you offer in the motion shouldn't talk to these people, they should talk to them. We want them to talk to the National Center for Missing and Exploited Children. They should be the first people that they call. If you want to know what is happening in this country, go talk to the individuals who are affected by this.
What this legislation, H.R. 50, does is to make sure that individuals are asked before; it makes sure that nothing is repealed. We don't get to unilaterally repeal things. I heard the word ``repeal.''
No, there are reports that we need to access and look at, and so if we truly want to get after domestic violence and these heinous crimes-- these awful, hideous crimes--then you want to vote in favor of H.R. 50 and make sure that the Federal Government does go and consult with the victims of crime.
I oppose this motion to recommit and vote in favor of H.R. 50 by Dr. Foxx.
I yield back the balance of my time.