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Dec. 9, 2013 by Erin Kesler

CPR's Tom McGarity in today's NY Times: President's inequality speech left out regulation

Today, Center for Progressive Reform Member Scholar and University of Texas law professor Thomas O. McGarity published an op-ed in the New York Times entitled,"What Obama Left Out of His Inequality Speech: Reguation." 

In a speech last week, the President highlighted the problems associated with extreme socio-economic disparity.

But, as McGarity notes in his piece:

There’s a crucial dimension the president left out: the revival, since the mid-1970s, of the laissez-faire ideology that prevailed in the Gilded Age, roughly the 1870s through the 1910s. It’s no coincidence that this laissez-faire revival — an all-out assault on government regulation — has unfolded over the very period in which inequality has soared to levels not seen since the Gilded Age.

History tells us that in periods when protective governmental institutions are weak, irresponsible companies tend to abuse their economic freedom in ways that harm ordinary workers and consumers. The victims are often less affluent citizens who lack the power either to protect themselves from harm or to hold companies accountable in the courts. We are in such a period today.

The laissez-faire revival of the past 35 years was no accident. The protective statutes and liberal common-law doctrines of the late …

Nov. 21, 2013 by James Goodwin
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When it comes to OIRA’s antiregulatory meddling, the Federal Aviation Administration’s (FAA) pilot fatigue rule provides as textbook an example as you could ask for.  Following Congress’s instruction that the rule be based on the best available science regarding human sleep patterns, the agency drafted a rule that set minimum rest standards for all commercial pilots.  But, the rule couldn’t take effect without the White House’s Office of Information and Regulatory Affairs’ (OIRA) review and final approval.  After more than four months, the rule that emerged from the OIRA review gauntlet had been significantly weakened.  The minimum rest standards now applied only to commercial passengerpilots, while commercial cargo pilots were completely exempted.  The change was based not on sleep science, as Congress mandated.  What’s the justification?  Fatigue generally affects all pilots the same, no matter what they happen to be …

Nov. 14, 2013 by Thomas McGarity
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From frozen meals and spices to nutbutters and cheeses, processed foods have been responsible for an alarming number of outbreaks in recent years.

The FDA’s proposed rule on “preventive controls for human food” would require manufacturers, processors, and warehouses to design a written food safety plan tailored to each facility’s products and operations. (The rule would also apply to mixed-type facilities that conduct processing activities on a farm.) In general, facilities would have to identify the potential hazards in their processes and then implement controls to minimize or prevent them. This system—Hazard Analysis and Risk-Based Preventive Controls, or HARPC—is intended to address microbiological, chemical, physical, and radiological hazards in food processing, as well as undeclared allergens.

CPR Member Scholars Rena Steinzor, Lisa Heinzerling, Sidney Shapiro, Policy Analyst Michael Patoka and I submitted OIRA) eliminated a number of crucial provisions that the FDA …

Nov. 7, 2013 by Erin Kesler
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Today, Center for Progressive Reform board member and University of Texas School of Law professor Thomas O. McGarity will testify at a Hearing hosted by the Senate Judiciary Committee entitled, "Justice Delayed II: the Impact of Nonrule RuleMakiing in Auto Safey and Mental Health."

McGarity's testimony can be read in full here.

According to the testimony, some possible solutions to the problems created by nonrule rulemaking include:

Agencies that are conscientiously committed to carrying out their statutory missions will continue to employ informal rulemaking with all of its burdensome accoutrements if they have no other alternative.  For example, EPA’s statutes typically require it to use informal rulemaking to fill in the necessary implementation details, and they often specify precise deadlines for EPA action.  Its heavy rulemaking output during the past few years is a testament to the ability of a very determined agency to employ …

Nov. 6, 2013 by Thomas McGarity
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Tomorrow, a subcommittee of the Senate Judiciary Committee chaired by Senator Richard Blumenthal (D. Connecticut) hosts a Hearing on the consequences of excessive regulatory “ossification” entitled, “Justice Delayed II: The Impact of Nonrule Rulemaking on Auto Safety and Mental Health.”  I will be testifying at that hearing on the effects of agencies’ moving to more informal rule-making procedures as a way to avoid the burdensome analytical and internal review requirements that currently make it so difficult for them to promulgate rules.

During the 1980s and 1990s, the rulemaking process became increasingly rigid and cumbersome as presidents, courts and Congress added an assortment of analytical requirements to the simple rulemaking model and as evolving judicial doctrines obliged agencies to take great pains to ensure that the technical bases for rules were capable of withstanding judicial scrutiny under what is now called the “hard look” doctrine of judicial review …

Nov. 5, 2013 by Amy Sinden
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Since the Reagan Administration, federal agencies have been required by Executive Order to send their major rules to the White House’s Office of Information and Regulatory Affairs (OIRA) for review before releasing them to the public. OIRA review consists of, among other things, ensuring that agencies subject their rules to cost-benefit analysis to make sure the dollar value of their costs to industry exceeds the dollar value of the benefits they confer on the public.

It was no surprise under the Reagan administration – or more recently under the George W. Bush administration – that OIRA review served largely to delay and weaken rules. But you might be surprised to hear that the Obama administration’s record on OIRA delays has been significantly worse than the George W. Bush administration’s. A new report prepared by the Administrative Conference of the United States (ACUS) found that “in 2012 …

Oct. 30, 2013 by Sidney Shapiro
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This week, it was reported that Senate Democrats plan to force a vote to confirm one judicial nominee to the D.C. Circuit Court of Appeals if Republican Senators continue to block the nominee’s confirmation. Patricia Ann Millett, who has worked for Democratic and Republican administrations in the past, is the contested candidate.  Although the circuit court has three vacancies, the Republicans oppose a vote because they say the D.C. Court of Appeals has too many judges. Senator Jefferson Sessions, for example, is quoted as saying about the court, "They have, by far, the lowest caseload per judge. They take the summers off." Other than this political rhetoric, there is nothing to back up this claim. The Republican’s true objection is that, after the President fills the vacancies, the court will have more judges that will have been appointed by presidents who were Democrats …

Oct. 8, 2013 by Erin Kesler
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Last Friday, Executive Order 12866, which governs the work of OMB's regulatory review arm, the Office of Information and Regulatory Affairs (OIRA) reached its 20th anniversary.

Center for Progressive Reform scholars marked the anniversary by examining the Order's reach and OIRA's influence on the regulatory process including on the issues of transparency, timeliness and the centralization of executive power.

Here's a roundup of their contributions: David Driesen: Keeping OIRA from Harming Efforts to Reduce Greenhouse Gases Emissions "As of this writing, more than six years have elapsed since the Supreme Court held that greenhouse gases were pollutants under the Clean Air Act, many of them under a President committed to addressing climate disruption. In all of that time, EPA has not imposed any limits on the greenhouse gas emissions of power plants or factories, thus making climate disruption irretrievably worse than it might …

Oct. 7, 2013 by Robert Verchick
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Ever wonder how Professor Tom McGarity knows about all those delays in regulatory review? Or how Professor Lisa Heinzerling learns about food safety regulations that the White House appears to be burying?

Well, now you too can be an OIRA ninja. In President Obama’s first term, the White House introduced an interactive Web portal stocked with charts and figures to give you better information about the President’s centralized system of regulatory review. (Last summer I referred to OIRA as “the ganglia of the president’s rulemaking brain,” which creeped out some readers, but I’m sticking with it.)  
There are only two rules for you. First, don’t be afraid to snoop around; sometimes the most useful stuff is found three or four levels down. Second, don’t fall in love; OIRA’s slick Web site is a fresh breeze for advocates of government transparency …

Oct. 4, 2013 by Rena Steinzor
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A series of catastrophic regulatory failures have focused attention on the weakened condition of regulatory agencies assigned to protect public health, worker and consumer safety, and the environment. The destructive convergence of funding shortfalls, political attacks, and outmoded legal authority have set the stage for ineffective enforcement, unsupervised industry self-regulation, and a slew of devastating and preventable catastrophes.  From the Deepwater Horizon spill in the Gulf of Mexico to the worst mining disaster in 40 years at the Upper Big Branch mine in West Virginia, the signs of regulatory dysfunction abound.  Many stakeholders expected that President Obama would move to reinvigorate the regulatory system, but he has not. In fact, he's gone so far as to adopt some anti-regulatory rhetoric, and suggesting that that alleged over-regulation contributes to the nation's economic woes.

One central reason for the systemic failure of effective health and safety regulation …

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