Week in Regulation

Week in Regulation: July 29 to August 2

It was paperwork reduction week in the Federal Register, as regulators proposed to cut more than 3.6 million hours, on net.  Three substantial measures sought to reduce paperwork, led by an Education proposal and an EPA proposed rule for electronic reporting.  However, a pair of FDA rules that regulate imported food will add more than $5.3 billion in total costs; FDA did not quantify potential benefits.  As a result of the deregulatory measures, the net change for the week was $4.9 billion.           

Regulatory Toplines

  • New Proposed Rules: 56
  • New Final Rules: 82
  • 2013 Significant Documents: 373
  • 2013 Total Pages of Regulation: 47,152
  • 2013 Proposed Rules: $49.2 Billion
  • 2013 Final Rules: $16.7 Billion

AAF has catalogued regulations according to their likely codification in the Code of Federal Regulations (CFR).  The CFR is organized into 50 titles, with each title corresponding to an industry or part of government.  This tool will help to determine which sectors of the economy receive the highest number of regulatory actions.

Regulation by Industry in 2013

CFR Title-Industry

Regulations

Cost (in millions)

Hours

7-Agriculture

7

$325

32,558,991

8-Aliens and Nationality

2

$719

749,669

9-Animals

2

$50

19,719

10-Energy

4

$6,561

41,820

12-Banking

25

$63

2,274,558

13-Business Assistance

1

$-0.7

-26,402

14-Aeronautics

189

$1,560

5,934

15-Commerce, Trade

4

 

82,697

16-Commercial Practices

4

$230

3,251,573

17-Commodities, Securities

15

$2,034

3,196,674

18-Conservation

11

$94

2,588,442

20-Employees’ Benefits

3

$1

527,826

21-Food and Drugs

13

$11,980

10,177,366

22-Foreign Relations

4

 

-270,600

23-Highways

2

$4

36,968

24-Housing

8

$-4

2,090,104

26-Internal Revenue

8

 

22,460

28-Judicial Administration

1

 

 

29-Labor

7

$466

28,809

30-Mineral Resources

2

$55

683,600

31-Treasury

2

 

10,500

33-Navigable Waters

2

$184

42,984

34-Education

4

$-147

-3,046,597

36-Parks and Forests

2

$1,088

925

37-Patents, Copyright

2

$931

779,960

40-Environment

25

$38,772

9,461,532

42-Public Health

16

$-1,204

11,002,918

43-Interior

2

$166

32,904

45-Public Welfare

13

$824

4,853,180

47-Telecommunication

13

$23

902,521

48-Federal Acquisition

3

$0.4

-45,083

49-Transportation

14

$33

-520,508

50-Wildlife and Fisheries

2

$0.8

 

Multiple Titles

7

$1,288

-277,381

The long-awaited “Foreign Supplier Verification Program” for imported food could cost $473 million annually.  The paperwork burden is currently undetermined, and the proposal concedes, “[W]e acknowledge that the final rule resulting from this proposed rule will have a significant economic impact on a substantial number of small entities.”

The other half of the regulatory overhaul involves “third-party auditors.”  It would facilitate food safety audits of foreign food entities.  The rule estimates $56 million in annual burdens and regulators will publish paperwork burdens in a later notice.

EPA issued one of the two largest cost-cutting measures this week.  It plans to transition to electronic reporting under the National Pollution Discharge Elimination System.  There are some up-front transition costs, but on net, the proposal estimates $221 million in cost savings over ten years and 190,000 fewer annual burden hours.

The Department of Education is removing more than 3.5 million burden hours under its Perkins Loan program.  These reductions are expected to save $93 million.

Affordable Care Act

There were no notable health care rulemakings this week.  Since passage, based on total lifetime costs of the regulations, the Affordable Care Act has imposed an estimated revised cost of $23.3 billion in private-sector burdens, approximately $8.6 billion in costs to the states, and 119.3 million annual paperwork hours.

Dodd-Frank

There were no notable Dodd-Frank rulemakings this week.  Click here to view the total estimated compliance costs from Dodd-Frank; since passage, the legislation has produced more than 58.5 million paperwork burden hours and imposed $15.5 billion in direct compliance costs.  Based on calculations from the Financial Services Roundtable, Dodd-Frank regulations would require 29,269 employees to file federal paperwork.

A Note on Notices

This week federal agencies published 508 notices.  In these notices, agencies typically request new or updated paperwork burdens from the Office of Management and Budget.  These notices are generally not final, merely proposals accompanied by a comment period.

Agencies requested 472 million paperwork burden hours, the equivalent of 236,156 employees devoted to red tape compliance.  The associated costs of these burdens: $127 million or $0.27 per hour.  Some of these requests extend current collections without affecting the overall level of paperwork, while others impose additional burdens. 

There were 17 new information collections requested, adding 2.26 million hours to the paperwork burden.  In addition, the net change for existing collections was an increase of 42.5 hours; the overall paperwork burden increased by 44.7 million hours this week.  

Total Burdens

Since January 1, the federal government has published $66 billion in compliance costs, and 81.2 million annual paperwork burden hours.  At the current pace, regulators will publish $114 billion in regulations this year.  Click here for our comprehensive database of regulations and rulemakings promulgated in 2013.

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