Seeking
Public Participation in Regulatory Reform,
OMB Releases Draft Cost-Benefit Report
Washington,
DC -- In accordance with the Regulatory Right-to-Know Act, OMB’s
Office of Information and Regulatory Affairs (OIRA) today released a Draft
Report on the costs and benefits of federal regulations. The report estimates
that federal regulations cost $520 to $620 billion annually, while producing
benefits ranging from one-half to three times that amount. A copy of the
report can be found at http://www.omb.gov/inforeg/8stevensdraftmemoMarch18.pdf.
Apart from
seeking public comment on all aspects of the Draft Report, OMB is calling
for public nominations for regulatory reform in three areas: reforms that
might increase net benefits to the public, ease undue regulatory and paperwork
burdens on small businesses, and correct problematic agency "guidance"
documents. Once it receives public comment, peer and interagency review,
OMB will submit a final report to Congress.
The Draft
Report includes information on six other major issues including:
The
41 significant federal regulations OMB has cleared since September
11. Aimed at responding to terrorist threats, these rules address
urgent matters such as homeland security, immigration control, airline
safety, and assistance to businesses harmed by the resulting economic
disaster.
OIRA’s
overall approach for making the regulatory review process more open,
transparent, analytically rigorous, and punctual.
The
five pro-regulation "prompt" letters OIRA has issued covering such
issues as lifesaving defibrillators, food labeling requirements, and
environmental performance information.
The
mandatory government-wide guidelines OIRA has released to improve
the quality of information federal agencies disseminate to the public.
These guidelines will offer a new opportunity for affected members
of the public to challenge agencies when poor quality information
has been distributed.
The
regulatory reform activities now underway in developed countries,
with a special focus on the European Union.
The
estimated annual benefits and costs of major federal regulations cleared
by OMB from April 1, 1995 to Sept. 30, 2001. The report estimates
that the benefits of these regulations range from $49 to $68 billion
annually, while their costs range from $51 to $54 billion per year.
OMB also
encouraged comments on any cases where consultations under the Unfunded
Mandates Reform Act were not sufficient or timely enough to have a meaningful
impact on the rulemaking process. Finally, OMB has requested suggestions
for improving its analytical guidance document.