abetterway-economy-policypaper

 

Topic A: Regulation Strangulation

 

Progressive inspired legislation comes with a Trojan Horse that strangles economic growth.Republicans and Democrats love passing bills with need of massive regulations and rules for implementation.

Obama and his team already hold the all-time record for major rules during a presidency with 600 major rules completed. ( A major rule is one that has economic cost of 100 million dollars or more annually). There are 50 more  “rules in the final phases  and who knows what Obama has in his bag of surprises.

Sam Batkins of the American Action Forum was quoted in the Wall Street Journal recently from a study just released that “the costs of Obama’s rules in excess of $743 billion larger than the GDP of Norway and Israel combined” Being pressed he would agree that this cost estimate is most certainly low considering agencies underestimating costs and inflating benefits of the rules proposed.

Who loses?  America with a cost of $2294 per American citizen will see higher prices  and or fewer jobs created and/or reduced wages  and profits.

Who wins? Lawyers and lobbyists . In this report discussed in more depth on the opinion pages of the  WSJ Aug 6th page A-12.

SOLUTION:

Rule making should be guided and informed by three core values: Transparency, Accountability, and Scientific Integrity.

“TRANSPARENCY:  President Obama boasted that his administration would be “the most transparent in history.” But history has proven otherwise.  The Obama Administration—whether it’s the Environmental Protection Agency or the Federal Communications Commission, to name just two—flout transparency rules, work on their own timetables, and often dismiss inquiries or directives from Congress. Regulatory agencies must be required to publicly disclose all scientific studies (and the data that support them), cost-benefit analyses, legal rationales, and other important information, including communications with outside groups and parties, in the regulatory process.  Bureaucrats should be prohibited from concocting rule making behind closed doors with special interests, absent broad public input and consideration.

ACCOUNTABILITY: Even when Congress overwhelmingly opposes particular regulatory approaches, or the market does not warrant government rulemaking, regulators often decide to take matters into their own hands.  Backdoor regulations and secret settlement agreements have become a hallmark of the current administration, shielding bureaucrats from voters at the ballot box.  It’s time to return decision-making back to Congress, where members are held directly accountable to the millions of small businesses and entrepreneurs who painfully comply with and pay for regulations on a daily basis.  Small business owners need a more prominent voice in the regulatory process to ensure regulators fully understand the consequences of their actions.  The public must be made aware of federal regulatory impact, and there needs to be a real accounting of all regulations.

SCIENTIFIC INTEGRITY: The federal bureaucracy often uses shoddy or secret science as the basis for major rule making—some of which impose billions of dollars in compliance costs on small businesses.  Flawed science can distort the true benefits that result from regulations, or influence regulators to push forward with an invasive action that is out sized in proportion to the “harm.”  In some cases, agencies frequently skirt peer-review requirements, devise peer-review processes that best suit their political agendas, and even flagrantly ignore conflicts that arise when government-appointed scientists receive taxpayer funds to conduct research.  Scientific integrity requires full disclosure of scientific data and studies that inform regulatory decision-making.  It ensures that scientists reviewing agency work are unbiased, objective, and untainted by government influence.  These basic principles will prevent special interests from manipulating and distorting rule making, and allowing for full, open scientific debate to inform sound policy decisions.”

Center for Regulatory Solutions

 

 

June 23, 2016

“House Republicans have packaged their major criticisms of the federal regulatory system along with their solutions in a 57-page paper called A Better Way: Our Vision for a Confident America. The party typically uses these vehicles to emphasize how EPA  regulations pose the one of the largest threats among all federal agencies to jobs, energy independence, and economic growth. While the document does cite the Agency for causing unnecessary problems in these areas, the Republicans say the responsibility for the misguided and excessively burdensome approach toward protecting the environment described in the document should be shared with outdated federal laws and actions by other executive branch agencies as well.”

Read A Better Way

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