President Trump's Regulatory Executive Orders
President Trump has issued several prominent executive orders related to regulatory policy during his administration. This page provides an overview of the executive orders, and links to content Regulatory Studies Center scholars have issued on them.
List of Executive Orders:
Issued on January 30, 2017
This executive order is commonly referred to as the "2-for-1" rule. For each new regulation issued by an agency, they most identify and eliminate two prior regulations and offset any new costs imposed by the rule.
Issued on February 24, 2017
This executive order requires agencies to assign a Regulatory Reform Officer to oversee implementation of EO 13771, and convene a Regulatory Reform Task Force to assess overall achievement of the executive order's stated goals.
Analysis and Insights:
Accounting for regulatory reform under Executive Order 13771
Executive Order (EO) 13771, known as the “regulatory two-for-one” EO, imposed new constraints on executive branch regulatory agencies, directing them to: (1) to cut two existing rules for each new rule issued and (2) offset any costs imposed by new rules while operating under a regulatory cost cap. The Office of Information and Regulatory Affairs (OIRA), part of the Office of Management and Budget (OMB), is responsible for implementing this EO and reporting on its progress. OMB has issued Regulatory Reform Reports for fiscal year (FY) 2017 and FY 2018.1 The fiscal year for 2019 ended recently on September 30, 2019. While we await the latest report, this article explains OMB’s current accounting methodology, gleaned from OMB’s guidance and other public documents, and highlights challenges of reporting agency performance in implementing EO 13771. It also contains our recommendations to improve the accuracy and accountability of both OMB’s annual reporting and individual agency actions.
Shining a Light on Regulatory Costs
President Trump’s Executive Order 13771, "Reducing Regulation and Controlling Regulatory Costs," has caused some confusion among the analysts, inside and outside federal agencies, who forecast the economic effects of regulations. Which effects should count as costs and which as benefits? It sounds like it should be an easy question, but it is not. In this Regulatory Insight, Brian Mannix examines some of the obstacles.
Latest Trump Executive Order Provides Guidance on “Enforcing the Regulatory Reform Agenda”
President Trump signed his second executive order aimed at government-wide regulatory practice Friday afternoon. This one is not as dramatic as his January EO 13771, which required agencies to offset the costs of new regulations by removing existing burdens, but it sets up mechanisms for implementing that order, as well as other principles. Specifically, it creates a Regulatory Reform Task Force at each agency, to be headed by a Regulatory Reform Officer, responsible for overseeing implementation of the president’s regulatory reform initiatives and policies.
Public Comment on OMB's Interim Guidance Implementing Section 2 of the Executive Order Titled "Reducing Regulation and Controlling Regulatory Costs"
In this comment on the Office of Information and Regulatory Affairs’ (OIRA) interim guidance on Executive Order 13771, GW Regulatory Studies Center scholars acknowledge that the Order represents a significant departure from past practice, however, they emphasize that the additional budgeting constraints it imposes need not supplant longstanding requirements to examine regulatory benefits as well as costs and to achieve regulatory objectives as cost-effectively as possible. The comment reinforces OIRA’s draft questions and answers, and offers some suggestions for clarification and improvement.
The Devil is in the Details of President Trump’s Regulatory Executive Order
President Trump’s new executive order, which follows his promises to cut regulatory costs and eliminate two regulations for every new one issued, is certain to shake up the regulatory state. A regulatory offset policy, like those in the U.K and Canada, could provide agencies incentives to evaluate the costs and effectiveness of their accumulated regulations and determine which ones have outlived their usefulness. However, the devil is in the details, and the order doesn’t specify how the policy will be implemented, which could have a “huge” impact on its effectiveness.
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