SEMA eNews Vol. 20, No. 4, January 26, 2017

White House Places a Moratorium on New Regulations

By SEMA Washington, D.C., Staff

The new Trump Administration directed all government agencies to freeze issuance of any new regulations pending review. The freeze does not apply to emergency situations or other urgent circumstances.

Regulations that are in progress but have not yet taken effect are also frozen for 60 days pending review of fact, law and policy. In addition to the Administration’s action, Congress already has the ability to pass a resolution with a simple majority vote that rejects any major rulemaking issued in the last 6 months.

Given the President will likely sign the resolution into law, Congress is expected to use this authority in the near future. Seeking to expand this power, the House has passed the “Regulations from the Executive in Need of Scrutiny (REINS) Act," that would require congressional approval of regulations before they can take effect.

The House has also passed the "Regulatory Accountability Act," that would require federal agencies to identify the objective of a proposed rule and choose the lowest-cost alternative. It may prove difficult to pass these bills in the U.S. Senate since a 60-vote super-majority will likely be required.

For more information, contact Stuart Gosswein at stuartg@sema.org.

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