A two-for-one swap. That’s what President Donald Trump’s executive order targeting regulation puts into place – for every new regulation, agencies must identify two on the books for repeal.
Trump signed the order Reducing Regulation and Controlling Regulatory Costs on Monday, Jan. 30. It explains executive branch policy to be “prudent and financially responsible” in the expenditure of funds. With that policy stated, the order’s goal is to manage cost of regulation. Therefore, the order states that for every one new regulation issued, agencies identify at least two existing regulations for elimination.
The order seeks a zero net effect on regulatory cost when a new rule goes into effect. That means agencies are to offset the cost of any new ones by eliminating the costs associated with at least two current ones.
Criteria and guidelines for establishing the cost; what does or does not qualify as new and offsetting rules; emergencies and other situations – just to name a few – will be addressed in guidance provided to the agencies.
Currently, the trucking industry has two final rules possibly affected by the regulatory freeze put into place the day after Trump took office. One is the driver training final rule. The second is the drug and alcohol clearinghouse, which is simply a database of positive drug and alcohol tests.
Under this order, if either rule goes into effect, the Federal Motor Carrier Safety Administration has to pick two regulations for elimination.
The order does extend beyond final rules set to go into effect. The order also directs agencies to pick two regulations for elimination when new rules are proposed.
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