[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 9390 Introduced in House (IH)]
<DOC>
117th CONGRESS
2d Session
H. R. 9390
To amend title 5, United States Code, to require disclosure of
conflicts of interest with respect to rulemaking, and for other
purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
December 1, 2022
Ms. Jayapal (for herself, Mr. Cicilline, Mr. Garcia of Illinois, Mr.
Johnson of Georgia, Mr. Jones, Ms. Lee of California, Ms. Ocasio-
Cortez, Ms. Porter, Ms. Scanlon, and Mr. Takano) introduced the
following bill; which was referred to the Committee on the Judiciary,
and in addition to the Committee on Oversight and Reform, for a period
to be subsequently determined by the Speaker, in each case for
consideration of such provisions as fall within the jurisdiction of the
committee concerned
_______________________________________________________________________
A BILL
To amend title 5, United States Code, to require disclosure of
conflicts of interest with respect to rulemaking, and for other
purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Stop Corporate Capture Act''.
SEC. 2. FINDINGS.
Congress finds the following:
(1) Congress is dependent on providing discretion to
executive officials and agencies (including independent
agencies) to implement its statutes. Congress provides
appropriate oversight of the use of this discretion.
(2) Regulatory legislation is often phrased in broad terms,
with an intelligible principle, to empower agencies to address
issues, such as those presented by technological, scientific,
or social developments that were not precisely foreseen when
the legislation was enacted; and to draw upon the agency's
specialized knowledge, experience, and responsibility for
implementing the statute.
(3) Such broad authorizing language is often necessary to
empower the administering agency to take effective action when
new or unforeseen issues arise, provided that the rule does not
exceed clear limits in statute nor implement it in an
impermissible manner.
(4) A rule that an agency has adopted to implement a
broadly worded regulatory statute should generally not be held
to be invalid on the basis that Congress has not addressed the
agency's proposed course of action in specific terms.
(5) A rule that an agency has adopted to implement a
regulatory statute should generally not be held to be invalid
on the basis that the agency has not previously adopted a
similar rule or scheme of regulation.
(6) The expectation that a rule will have broad economic,
political, or social signficance, should not, standing alone,
negate application of the principle stated in paragraph (1),
(2), or (3).
SEC. 3. SENSE OF CONGRESS.
It is the sense of Congress that--
(1) agency economic analyses of regulatory actions commonly
underestimate the benefits of regulatory actions that protect
public health and safety and overestimate the costs of
regulatory action to industry;
(2) agency regulatory actions often fail to adequately
consider the distributional effects and social equity impact of
regulatory action; and
(3) an agency shall prioritize the statutory direction of
Congress when taking regulatory action.
SEC. 4. DISCLOSURE OF CONFLICTS OF INTEREST.
Section 553 of title 5, United States Code, is amended--
(1) in subsection (c)--
(A) by striking ``After notice required'' and
inserting the following:
``(1) After notice required''; and
(B) by adding at the end the following:
``(2) In the case of any submission under paragraph (1) by
an interested person that includes a scientific, economic, or
technical study or research (or a citation thereto) that the
interested person funded directly or indirectly, or the
nonpublic results of any scientific, economic, or technical
study or research that the interested person funded directly or
indirectly, the interested person shall disclose to the agency,
the following:
``(A) The amount of any funds that were received by
the person who conducted the study or research.
``(B) The entity that provided the funds referred
to in subparagraph (A).
``(C) Any entity that was allowed to review or
revise the study or research, and the extent of that
review or revision.
``(D) Any financial relationship between the person
who conducted the study or research, and any person
that would be affected by the proposed rule.'';
(2) in subsection (c), in the first sentence, by inserting
``, subject to subsections (f) and (h),'' after ``the agency
shall''; and
(3) by adding at the end the following:
``(f) With respect to any submission by an interested person under
subsection (c) or any other submission by an interested person relating
to a proposed rule or final rule that includes a scientific, economic,
or technical study or research by the interested person not published
in a publicly available peer-reviewed publication, or any result of a
scientific, economic, or technical study or research by the interested
person not published in a publicly available peer-reviewed publication,
the interested person, in making that submission, shall disclose to the
agency--
``(1) the source of any funding for the study or research,
as applicable;
``(2) any entity that sponsored the study or research;
``(3) the extent to which the findings of the study or
research were reviewed by a person that may be affected by the
rulemaking to which the submission relates;
``(4) the identity of any person identified under paragraph
(3); and
``(5) the nature of any financial relationship, including a
consulting agreement, the support of any expert witness, and
the funding of research, between any person that conducted the
study or research and any interested person with respect to the
rulemaking to which the submission relates.''.
SEC. 5. INCREASING DISCLOSURES RELATING TO STUDIES AND RESEARCH.
Section 553 of title 5, United States Code, as amended by section 4
of this Act, is amended by adding at the end the following:
``(g) With respect to a study or research that is submitted by an
interested person to an agency under subsection (c), the agency shall
ensure that the study or research is available to the public (including
on the Internet website of the agency and on the public docket of the
agency for the rulemaking) unless disclosure is exempted or excluded
under section 552.
``(h)(1) If a study or research submitted by an interested person
to an agency under subsection (c) presents a conflict described in
paragraph (2), the agency shall disclose the conflict to the public on
the internet website of the agency and on the public docket of the
agency, and by publication in the Federal Register, unless disclosure
is exempted or excluded under section 552.
``(2) A conflict described in this subsection means a study or
research for which--
``(A) not less than 10 percent of the funding for the study
or research is from an entity subject to the jurisdiction of
the agency with respect to that rulemaking; or
``(B) an entity subject to the jurisdiction of the agency
with respect to that rulemaking that is regulated by the agency
exercises editorial control over the study or research.
``(i) In the case of a violation of the requirement to make a
disclosure--
``(1) under subsection (c)(2) or subsection (f) with
respect to a submission; or
``(2) under subsection (h) with respect to a conflict
related to a submission referred to under subsection (g),
the agency may exclude from consideration or otherwise disregard the
submission, and the agency has no obligation to respond to the
submission, except that the submission may be remade with required
disclosures during the opportunity for participation referred to in
subsection (c)(1). Nothing in this subsection may be construed to
affect the level of deference (in accordance with applicable law)
accorded to agency action by a court reviewing such action.''.
SEC. 6. DISCLOSURE OF INTER-GOVERNMENTAL RULE CHANGE.
With respect to any material provided to the Office with regard to
a regulatory action for purposes of centralized review of regulatory
actions, the agency shall--
(1) not later than the date on which the agency publishes a
general notice of proposed rulemaking required under section
553(b) of title 5, United States Code, with respect to the
action, place in the rulemaking docket--
(A) the substance of any change between the text of
any draft regulatory action that the agency provided to
the Office and the text published in the general notice
with respect to the action; and
(B) a statement regarding whether any change
described in subparagraph (A) was made as a result of
communication with--
(i) the Office;
(ii) another agency; or
(iii) any other Federal official; and
(2) not later than the date on which the agency publishes
the regulatory action in the Federal Register, place in the
rulemaking docket--
(A) the substance of any changes between the text
of the regulatory action that the agency provided to
the Office and the text of the regulatory action that
the agency published in the Federal Register; and
(B) a statement regarding whether any change
described in subparagraph (A) was made as a result of
communication with--
(i) the Office;
(ii) another agency; or
(iii) any other Federal official.
SEC. 7. JUSTIFICATION OF WITHDRAWN RULES.
(a) In General.--If an agency withdraws a regulatory action after
providing the action to the Office under section 6(a)(3) of the
Executive order (or, if the agency does not provide the regulatory
action to the Office under that section, after publishing the general
notice of proposed rulemaking with respect to the action under section
553(b) of title 5, United States Code), the agency shall publish in the
Federal Register, on the public docket of the agency, and on the
internet website of the agency a statement regarding the decision by
the agency to withdraw the action.
(b) Contents.--A statement required under paragraph (1) with
respect to a decision by an agency to withdraw a regulatory action
shall include, at a minimum--
(1) a detailed explanation of the reasons that the agency
withdrew the action; and
(2) an explanation regarding whether the decision by the
agency to withdraw the action was based, in whole or in part,
on a request by, or input from--
(A) the Office;
(B) another agency; or
(C) any other Federal official.
SEC. 8. NEGOTIATED RULEMAKING.
(a) In General.--Subchapter III of chapter 5 of title 5, United
States Code, is amended--
(1) in section 561, in the first sentence, by inserting
``between agencies and Federal, State, local, or tribal
governments. This subchapter shall apply only to information
negotiations between Federal, State, local, or tribal
governments'' after ``informal rule making process'';
(2) in section 563--
(A) in subsection (a)--
(i) in paragraph (2), by inserting
``Federal, State, local, or tribal government''
after ``identifiable''; and
(ii) in paragraph (3), by striking
``persons who'' and inserting ``representatives
of Federal, State, local, and tribal
governments that''; and
(B) in subsection (b)--
(i) in paragraph (1)--
(I) in subparagraph (A)--
(aa) by striking ``persons
who'' and inserting ``Federal,
State, local, or tribal
governments that''; and
(bb) by striking ``,
including residents of rural
areas''; and
(II) in subparagraph (B)--
(aa) by striking ``with
such persons'' and inserting
``with representatives of those
governments''; and
(bb) by striking ``to such
persons'' and inserting ``to
those governments''; and
(ii) in paragraph (2), in the second
sentence--
(I) by striking ``persons who'' and
inserting ``representatives of Federal,
State, local, or tribal governments
that''; and
(II) by striking ``, including
residents of rural areas'';
(3) in section 564--
(A) in the section heading, by striking ``;
applications for membership on committees'';
(B) in subsection (a)--
(i) in paragraph (4), by striking ``the
person or persons'' and inserting ``the
representatives of Federal, State, local, and
tribal governments'';
(ii) in paragraph (6), by adding ``and'' at
the end;
(iii) in paragraph (7), by striking ``;
and'' and inserting a period; and
(iv) by striking paragraph (8);
(C) by striking subsection (b);
(D) by redesignating subsection (c) as subsection
(b); and
(E) in subsection (b), as so redesignated--
(i) in the subsection heading, by striking
``and Applications''; and
(ii) by striking ``and applications'';
(4) in section 565(a)--
(A) in paragraph (1), in the first sentence, by
striking ``and applications''; and
(B) in paragraph (2)--
(i) by striking ``and applications''; and
(ii) by striking ``publications,'' and all
that follows through the period at the end and
inserting ``publications.''; and
(5) in section 569(a), in the first sentence--
(A) by striking ``and encourage agency use of'';
and
(B) by inserting ``between Federal, State, local,
and tribal governments'' after ``negotiated rule
making''.
(b) Technical and Conforming Amendments.--
(1) Balanced budget act of 1997.--Section 1856(b)(1) of the
Balanced Budget Act of 1997 (42 U.S.C. 1395w-26) is amended by
striking ``, using a negotiated rule making process under
subchapter III of chapter 5 of title 5, United States Code''.
(2) Elementary and secondary education act of 1965.--The
Elementary and Secondary Education Act of 1965 (20 U.S.C. 6301
et seq.) is amended--
(A) in section 1601 (20 U.S.C. 6571)--
(i) in subsection (a), by striking
``subsections (b) through (d)'' and insert
``subsection (b)'';
(ii) by striking subsections (b) and (c);
and
(iii) by redesignating subsections (d) and
(e) as subsections (b) and (c), respectively;
(B) by repealing section 1602; and
(C) in section 8204(c)(1), by striking ``using a
negotiated rulemaking process to develop regulations
for implementation no later than the 2017-2018 academic
year, shall define'' and inserting ``shall, for
implementation no later than the 2017-2018 academic
year, define''.
(3) Health insurance portability and accountability act of
1996.--Section 216(b) of the Health Insurance Portability and
Accountability Act of 1996 (42 U.S.C. 1320a-7b note) is
amended--
(A) in the header, by striking ``Negotiated'';
(B) by striking paragraphs (2) through (9);
(C) by redesignating subparagraph (B) of paragraph
(1) as paragraph (2) and adjusting the margins
accordingly;
(D) in paragraph (2), as so redesignated, by
striking ``subparagraph (A)'' and inserting ``paragraph
(1)'';
(E) in paragraph (1), by striking the paragraph
heading, and the heading of subpararaph (A); and
(F) in paragraph (1), by striking ``The Secretary
of Health and Human Services (in this subsection
referred to as the 'Secretary') shall establish, on an
expedited basis and using a negotiated rulemaking
process under subchapter 3 [III] of chapter 5 of title
5, United States Code, standards'' and inserting the
following: ``(1) Establishment.--The Secretary of
Health and Human Services (in this subsection referred
to as the `Secretary') shall establish standards''.
(4) Higher education act of 1965.--The Higher Education Act
of 1965 (20 U.S.C. 1001 et seq.) is amended--
(A) in section 207--
(i) by striking subsection (c); and
(ii) by redesignating subsection (d) as
subsection (c);
(B) in section 422(g)(1)--
(i) in subparagraph (B), by adding ``and''
at the end;
(ii) in subparagraph (C), by striking ``;
and'' and inserting a period; and
(iii) by striking subparagraph (D);
(C) in section 487A(b)(3)(B), by striking ``as
determined in the negotiated rulemaking process under
section 492'';
(D) in section 491(l)(4)(A), by striking ``not
later than two years after the completion of the
negotiated rulemaking process required under section
492 resulting from the amendments to this Act made by
the Higher Education Opportunity Act,''; and
(E) in section 492--
(i) in the section heading, by striking
``negotiated''; and
(ii) by amending subsection (b) to read as
follows:
``(b) Issuance of Regulations.--After obtaining the advice and
recommendations described in subsection (a)(1), the Secretary shall
issue final regulations within the 360-day period described in section
437(e) of the General Education Provisions Act (12 U.S.C. 1232(e)).''.
(5) Housing act of 1949.--Section 515(r)(3) of the Housing
Act of 1949 (42 U.S.C. 1485) is amended by striking ``in
accordance with'' and all that follows through the period at
the end and inserting ``under the rulemaking authority
contained in section 553 of title 5, United States Code.''.
(6) Magnuson-stevens fishery conservation and management
act.--Section 305(g) of the Magnuson-Stevens Fishery
Conservation and Management Act (16 U.S.C. 1855(g)) is
amended--
(A) by striking paragraphs (2) and (3);
(B) in paragraph (1)--
(i) by striking ``(A)''; and
(ii) by redesignating subparagraph (B) as
paragraph (2) and adjusting the margins
accordingly; and
(C) in paragraph (2), as so redesignated, by
striking the second sentence.
(7) Mandatory price reporting act of 2010.--Section 2(b) of
the Mandatory Price Reporting Act of 2010 (Public Law 111-239;
124 Stat. 2501) is amended--
(A) by striking ``Wholesale Pork Cuts'' and all
that follows through ``chapter 3'' and inserting
``Wholesale Pork Cuts.--Chapter 3''; and
(B) by striking paragraphs (2), (3), and (4).
(8) Patient protection and affordable care act.--Section
5602 of the Patient Protection and Affordable Care Act (42
U.S.C. 254b note) is amended--
(A) in the section heading, by striking
``negotiated'';
(B) by striking subsections (b) through (h);
(C) in subsection (a)--
(i) by redesignating paragraph (2) as
subsection (b) and adjusting the margins
accordingly; and
(ii) in paragraph (1)--
(I) by striking ``(1) In general.--
''; and
(II) by redesignating subparagraphs
(A) and (B) as paragraphs (1) and (2),
respectively; and
(D) in subsection (b), as so redesignated, by
striking ``paragraph (1)'' and inserting ``subsection
(a)''.
(9) Price-anderson amendments act of 1988.--Section 170 of
the Atomic Energy Act of 1954 (42 U.S.C. 2210) is amended--
(A) by striking subsection (b); and
(B) in subsection (a)--
(i) by striking ``(1) Purpose.--''; and
(ii) by redesignating paragraph (2) as
subsection (b) and adjusting the margins
accordingly.
(10) Social security act.--Title XVIII of the Social
Security Act (42 U.S.C. 1395 et seq.) is amended--
(A) in section 1834(l)(1) (U.S.C. 1395m(l)(1)), by
striking ``through a negotiated rule making process
described in title 5, United States Code, and''; and
(B) in section 1856(a) (42 U.S.C. 1395w-26(a));
(i) by striking paragraphs (2) through (9);
(ii) in paragraph (1)--
(I) by striking ``(A) In general.--
'';
(II) by striking ``and using a
negotiated rule making process under
subchapter III of chapter 5 of title
5''; and
(III) by redesignating subparagraph
(B) as paragraph (2) and adjusting the
margins accordingly; and
(iii) in paragraph (2), as so redesignated,
by striking ``subparagraph (A)'' and inserting
``paragraph (1)''.
(11) Title 5.--The table of sections for subchapter III of
chapter 5 of title 5, United States Code, is amended by
striking the item relating to section 564 and inserting the
following:
``564. Publication of notice.''.
(12) Title 49.--Section 31136(g)(1) of title 49, United
States Code, is amended--
(A) by striking ``shall--'' and all that follows
through ``issue'' and inserting ``shall issue'';
(B) by striking ``; or'' and inserting a period;
and
(C) by striking subparagraph (B).
(13) Toxic substances control act.--Section 8(a) of the
Toxic Substances Control Act (15 U.S.C. 2607(a)) is amended
by--
(A) striking paragraph (6); and
(B) redesignating paragraph (7) as paragraph (6).
(14) United states housing act of 1937.--Section 9 of the
United States Housing Act of 1937 (42 U.S.C. 1437g) is amended
by striking subsection (f).
SEC. 9. STREAMLINING OIRA REVIEW.
(a) In General.--Except as provided in paragraph (2), if the Office
commences a review of a significant regulatory action, the Office shall
complete such review not more than 60 days after the date on which the
Office receives the significant regulatory action.
(b) Extension.--The Office may extend the 60-day period described
in paragraph (1) by a single 60-day period if the Office provides the
agency with, and makes publicly available, a written justification for
the extension.
(c) Publication of Regulatory Action.--If the Office waives review
of a significant regulatory action of an agency without a request for
further consideration or does not notify the agency in writing of the
results of the review within the time frame described in paragraph (1)
or (2), the agency may publish the significant regulatory action in the
Federal Register.
SEC. 10. PENALIZING PUBLIC COMPANIES THAT SUBMIT FALSE INFORMATION TO
AGENCIES.
Section 553 of title 5, United States Code, as amended by sections
3 and 4 of this Act, is amended by adding at the end the following:
``(j)(1) Any entity required to file an annual report under section
13 of the Securities Exchange Act of 1934 (15 U.S.C. 78m) that makes a
submission under subsection (c) knowing the same--
``(A) to include any materially false, fictitious, or
fraudulent statement or representation; or
``(B) to omit any material fact resulting in any statement
or representation being false or misleading,
shall be subject a civil penalty of not less than $250,000 for a first
violation.
``(2) Any entity that has a subsequent violation of paragraph (1)
shall be subject to a civil penalty of not less than $1,000,000 for
each subsequent violation.
``(3) Any submission in violation of this subsection may be
excluded from the record and from consideration by the agency or
otherwise disregarded, such submission (or any amendment to such
submission) may not be resubmitted thereafter. An exclusion or other
disregard of a submission pursuant to this subsection shall not affect
the level of deference (in accordance with applicable law) accorded to
agency action by a court reviewing such action.
``(k) Any entity required to file an annual report pursuant to
section 13 of the Securities Exchange Act of 1934 (15 U.S.C. 78m),
shall include in a submission under subsection (c)(2) the annual report
filed in the year previous to such submission and the quarterly report
filed most recently prior to such submission.''.
SEC. 11. ESTABLISHMENT OF THE OFFICE OF THE PUBLIC ADVOCATE.
Subchapter I of chapter 5 of title 5, United States Code, is
amended as follows:
(1) By adding at the end the following:
``Sec. 508. Office of the Public Advocate
``(a) Establishment.--There is established in the Office of
Management and Budget an office to be known as the `Office of the
Public Advocate'.
``(b) National Public Advocate.--The Office of the Public Advocate
shall be under the supervision of an official to be known as the
`National Public Advocate', who shall--
``(1) be appointed by the President, by and with the advice
and consent of the Senate;
``(2) report to the President;
``(3) be entitled to compensation at the same rate as the
highest rate of basic pay established for the Senior Executive
Service under section 5382;
``(4) have a background in customer service, consumer
protection, or administrative law; and
``(5) have experience working with the public in cases
involving rules (as defined in section 551).
``(c) Duties.--The duties of the Office of the Public Advocate
shall include--
``(1) assisting agencies in soliciting public participation
in the rulemaking process;
``(2) assisting individuals in participating in the
rulemaking process;
``(3) working with agencies, Congress, and the public to
identify problems and improve public participation in the
rulemaking process;
``(4) conducting and publishing research on social equity
impacts of the rulemaking process;
``(5) developing and coordinating social equity definitions
across the executive branch;
``(6) when requested by the agency or by the public through
comments submitted through the process described in section 553
of title 5, United States Code, performing, not later than 30
days after the receipt of such a request, a social equity
assessment (as such term is defined in the Stop Corporate
Capture Act) for a proposed rule; and
``(7) facilitating means by which individuals and
populations that have not historically participated in the
rulemaking process may be better included in the rulemaking
process, including by--
``(A) recommending and implementing new outreach
plans;
``(B) partnering with State, local, and Tribal
governments, and with community-based organizations to
propagate information about rules changes; and
``(C) ensuring information about agency rulemaking
and changes to rules are written in clear, accessible
language that is accessible in multiple languages.
``(d) Rulemaking.--Not later than 180 days after the date on which
the National Public Advocate is appointed under this subsection or 180
days after the date of enactment of this subsection, whichever is
later, the National Public Advocate shall make rules to carry out this
section.''.
(2) In the table of sections for such chapter, by inserting
after the item relating to section 507 the following:
``508. Office of the Public Advocate.''.
SEC. 12. SCOPE OF REVIEW.
Section 706 of title 5, United States Code, is amended--
(1) in the first sentence of the matter preceding paragraph
(1)--
(A) by striking ``agency action.'' and inserting
``agency action. If a statute that an agency
administers is silent or ambiguous as to the proper
construction of a particular term or provision or set
of terms or provisions, and an agency has followed the
applicable procedures in subchapter II of chapter 5,
has otherwise lawfully adjudicated a matter, or has
followed the corresponding procedural provisions of the
relevant statute, as applicable, a reviewing court
shall defer to the agency's reasonable or permissible
interpretation of that statute, regardless of the
significance of the related agency action or a possible
future agency action.''; and
(B) by striking ``To the extent necessary'' and
inserting:
``(a) In General.--To the extent necessary''; and
(2) by adding at the end the following:
``(b) Unreasonable Delay.--For purposes of subsection (a)(1),
unreasonable delay shall include--
``(1) when an agency has not issued a notice of proposed
rulemaking before the date that is 1 year of the date of
enactment of the legislation mandating the rulemaking, where no
deadline for the rulemaking was specified in the enacted law;
``(2) when an agency has not issued a final version of a
proposed rule before the date that is 1 year of the date on
which the proposed rule was published in the Federal Register;
``(3) when an agency has not implemented a final rule
before the date that is 1 year of the implementation date
published in the Federal Register or, if no implementation date
was provided, before the date that is 1 year of the date on
which the final rule was published in the Federal Register; and
``(4) when an agency has not issued or implemented a final
rule, upon a showing of good cause therefor.''.
SEC. 13. EXPANDING PUBLIC AWARENESS OF RULEMAKINGS.
(a) In General.--Section 553 of title 5, United States Code, as
amended by section 8 of this Act, is amended by adding at the end the
following:
``(l)(1) The head of each agency shall take such actions as may be
necessary to--
``(A) expand public awareness of the initiation of each
rulemaking proceeding;
``(B) expand public awareness of the publication of each
proposed rule;
``(C) expand public awareness when a rule is published; and
``(D) establish a participation log, including all
rulemaking participants, with respect to each rulemaking.
``(2) Not later than two business days after the date on which an
agency publishes a notice of proposed rulemaking or a final rule under
this section, the agency shall notify interested persons of the
publication, including by using contact information that interested
persons have provided to the agency and by publishing such notice on
the agency's website and any social media accounts.''.
(b) Effective Date.--The amendment made by this section shall take
effect beginning on the date that is 30 days after the date of
enactment of this Act.
SEC. 14. PUBLIC PETITIONS.
Section 553(e) of title 5, United States Code, is amended--
(1) by inserting ``(1)'' before ``Each agency''; and
(2) by adding at the end the following:
``(2) Not later than 60 days after the date on which an
agency receives more than 100,000 signatures on a single
petition under paragraph (1), the agency shall provide a
written response that includes--
``(A) an explanation of whether the agency has
engaged or is engaging in the requested issuance,
amendment, or repeal of a rule; and
``(B) if the agency has not engaged in the
requested issuance, amendment, or repeal of a rule, a
written explanation for not engaging in the requested
issuance, amendment, or repeal.
``(3) Not later than 30 days after the effective date of
this paragraph, the head of each agency shall establish and
publish procedures for the processing of a petition under
paragraph (1), including--
``(A) using the agency website, the Federal
Register, and other Federal websites to educate the
public about how to file petition under paragraph (1);
and
``(B) creating an accessible docket on the internet
website of the agency, or on any existing Government-
wide internet website, of any petition filed under
paragraph (1).
``(4) No agency action under this subsection shall be
subject to review under chapter 7.''.
SEC. 15. AMENDMENT TO CONGRESSIONAL REVIEW ACT.
Section 801(b) of title 5, United States Code, is amended--
(1) in paragraph (1), by striking ``(1)''; and
(2) by striking paragraph (2).
SEC. 16. REINSTATEMENT OF DISAPPROVED RULES.
(a) Definitions.--In this section--
(1) the term ``covered rule'' means a rule for which a
joint resolution of disapproval was enacted under chapter 8 of
title 5, United States Code, before the date of enactment of
this Act; and
(2) the term ``Federal agency'' has the meaning given the
term ``agency'' in section 551(1) of title 5, United States
Code.
(b) Fast Track Reinstatement.--A Federal agency may reinstate a
covered rule by publishing the covered rule in the Federal Register
during the 1-year period beginning on the date of enactment of this
Act.
(c) Reinstatement After 1-Year Period.--After the end of the 1-year
period beginning on the date of enactment of this Act, a Federal agency
may reinstate a covered rule using the rulemaking procedures described
in section 553 of title 5, United States Code.
SEC. 17. COST-BENEFIT ANALYSIS.
(a) Requirement of Regulatory Impact.--If an agency is performing a
cost-benefit or regulatory impact analysis in the course of issuing a
rule, the agency shall--
(1) take into account the benefits of the rule to the
public, including the nonquantifiable benefits of the rule; and
(2) except for good cause shown, prioritize adoption of a
rule that provides benefits to the public, including
nonquantifiable benefits.
(b) Requirement of Distributional Effects.--An agency shall agency
shall take into account distributional effects and the social equity
impact of a rule when issuing such rule.
(c) Scope of Review.--Section 706 of title 5, United States Code,
is amended by adding at the end the following: ``When acting under
paragraph (2)(A), the court shall not require an agency to demonstrate
that the challenged action meets a cost-benefit analysis standard
except where explicitly required by law.''.
SEC. 18. DEFINITIONS.
In this Act:
(1) Agency; rule.--The terms ``agency'' and ``rule'' shall
have the meanings given such terms in section 551 of title 5,
United States Code.
(2) Interested person.--The term ``interested person''
includes individuals, partnerships, corporations, associations,
or public or private organizations of any character other than
an agency.
(3) Office.--The term ``Office'' means the Office of
Information and Regulatory Affairs of the Office of Management
and Budget.
(4) Regulatory action.--The term ``regulatory action''
means any substantive action by an agency that promulgates or
is expected to lead to the promulgation of a final rule or
regulation, including notices of inquiry, advance notices of
proposed rulemaking, and notices of proposed rulemaking.
(5) Significant regulatory action.--The term ``significant
regulatory action'' means any regulatory action that is likely
to result in a rule that may--
(A) have an annual effect on the economy of
$100,000,000 or more or adversely affect in a material
way the economy, a sector of the economy, productivity,
competition, jobs, the environment, public health or
safety, or State, local, or tribal governments or
communities;
(B) create a serious inconsistency or otherwise
interfere with an action taken or planned by another
agency;
(C) materially alter the budgetary impact of
entitlements, grants, user fees, or loan programs or
the rights and obligations of recipients thereof; or
(D) raise novel legal or policy issues arising out
of legal mandates, the President's priorities, or the
general principles of regulation customarily practiced
by the executive branch.
(6) Social equity impact.--The term ``social equity
impact'' means any impact of a proposed rule, whether intended
or unintended, that might reasonably be expected to
disproportionately affect a population of interested persons
that is part of a protected class or set of protected classes,
based on the rules's plain language, stated intention, and
based on credible statistical projections and data on the
impacts of similar rules, laws, and policies.
(7) Social equity assessment.--The term ``social equity
assessment'' means a written and publicly available report that
shall specifically consider any social equity impact, positive
or negative, that the proposed policy might have on a
population of interested persons who share a common
characteristic that renders them part of a protected class,
where that population was previously subjected to
discriminatory or exclusionary practices by the agency
promulgating the rule or where credible demographic evidence
demonstrates significant disparities experienced by different
populations within a protected class.
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