Text: H.R.5545 — 102nd Congress (1991-1992)All Information (Except Text)

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HR 5545 IH
102d CONGRESS
2d Session
 H. R. 5545
To improve Federal decision making by requiring a thorough evaluation of
the economic impact of Federal legislative and regulatory requirements on
State and local governments and the economic resources located therein.
IN THE HOUSE OF REPRESENTATIVES
July 2, 1992
Mr. MORAN (for himself,  Mr. LEWIS of California, Mr. BARNARD, Mr. GORDON,
Mr. GIBBONS, Mr. STENHOLM, Mr. CARPER, Mr. WHEAT, Mr. KENNEDY, Mr. LEACH,
Mr. JENKINS, Mr. COSTELLO, Mr. MYERS of Indiana, Mr. BROOMFIELD, Mr. HYDE,
Mr. HERGER, Mr. CAMPBELL of California, Mr. ROBERTS, Mr. MCEWEN, Mr. HORTON,
Mr. ESPY, Mr. CONDIT, Mr. HARRIS, Mr. ERDREICH, Mr. SISISKY, Mr. JACOBS,
Mr. GUARINI, Mr. PANETTA, Mr. DONNELLY, Mr. LAUGHLIN, Mr. DARDEN, Mr. SLATTERY,
Mr. TANNER, Mr. LUKEN, Mr. MCCRERY, Mr. RAMSTAD, Mr. THOMAS of Wyoming,
Mr. SANGMEISTER, Mr. TRAFICANT, Mr. ALLARD, Mr. SCHIFF, Mr. BROWDER,
Mr. LAFALCE, Mr. MCCANDLESS, Mr. CRAMER, Mr. HUBBARD, Mr. ORTON, Mr. MANTON,
Mr. DWYER of New Jersey, Mr. RAY, Mr. ORTIZ, Mr. CLEMENT, Mr. KANJORSKI,
Mr. PARKER, Mr. BOUCHER, Mr. RAHALL, Mr. BREWSTER, Mr. MURPHY, Mr. PAYNE
of Virginia, Mr. PENNY, Mr. WILSON, Mr. POSHARD, Mr. STAGGERS, Mr. EWING,
Mr. ANDREWS of New Jersey, Mr. GEREN of Texas, Mr. LIPINSKI, Mr. THOMAS
of Georgia, Mr. PASTOR, Mr. SARPALIUS, Ms. HORN, Mr. SKEEN, Mr. DOOLEY,
Mr. BRYANT, Mr. BLILEY, Mr. WISE, Mr. ROWLAND, Mr. STALLINGS, Mr. OLIN,
Mr. HOCHBRUECKNER, and Mr. JOHNSTON of Florida) introduced the following bill;
which  referred jointly to the Committees on Rules and the Judiciary.
A BILL
To improve Federal decision making by requiring a thorough evaluation of
the economic impact of Federal legislative and regulatory requirements on
State and local governments and the economic resources located therein.
  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 `Fiscal Accountability and Impact Reform Act'
  (`FAIR Act').
SEC. 2. FINDINGS AND PURPOSE.
  (a) FINDINGS- The Congress finds and declares that--
  (1) Federal legislation and regulatory requirements impose burdens on
  State and local resources to implement federally mandated programs without
  fully evaluating the costs to State and local governments associated with
  compliance with those requirements and often times without provision of
  adequate Federal financial assistance to enable them to comply. These
  Federal legislative and regulatory initiatives--
  (A) force State and local governments to utilize scarce public resources
  to comply with Federal mandates;
  (B) prevent these resources from being available to meet State and local
  needs; and
  (C) detract from the ability of State and local governments to establish
  local priorities for use of local public resources.
  (2) Federal legislation and regulation may often detract from the highest
  use of funds, and result in inefficient utilization of economic resources,
  thereby reducing the pool of resources available--
  (A) to enhance productivity, stimulate growth, promote full employment,
  and increase the quantity and quality of goods and services produced by
  the American economy; and
  (B) to enhance international competitiveness.
  (3) In implementing legislation, Federal agencies should, consistent with
  the requirements of Federal law, seek to implement statutory requirements,
  to the maximum extent feasible, in a manner which minimizes--
  (A) the inefficient allocation of economic resources;
  (B) the burden such requirements impose on use of local public resources
  by State and local governments; and
  (C) the adverse economic effects of such regulations on productivity,
  economic growth, full employment, creation of productive jobs, and
  international competitiveness of American goods and services.
  (b) PURPOSE- The purposes of this Act are--
  (1) To assist Congress in consideration of proposed legislation establishing
  or revising Federal programs so as to assure that, to the maximum extent
  practicable, legislation enacted by Congress will--
  (A) minimize the burden of such legislation on expenditure of scarce local
  public resources by State and local governments;
  (B) minimize inefficient allocation of economic resources; and
  (C) reduce the adverse effect of such legislation--
  (i) on the ability of State and local governmental entities to use local
  public resources to meet local needs and to establish local priorities
  for local public resources, and
  (ii) on allocation of economic resources, productivity, economic growth, full
  employment, creation of productive jobs, and international competitiveness.
  (2) To require Federal agencies to exercise discretionary authority and
  to implement statutory requirements in a manner which consistent with
  fulfillment of each agency's mission and with the requirements of other
  laws, minimizes the impact of regulations and other major Federal actions
  affecting the economy on--
  (A) the ability of State and local governmental entities to use local
  public resources to meet local needs; and
  (B) the allocation of economic resources, productivity, economic growth, full
  employment, creation of productive jobs, and international competitiveness
  of American goods and services.
TITLE I--LEGISLATIVE REFORM
SEC. 101. REPORTS ON LEGISLATION.
  (a) REPORT REQUIRED- Whenever a committee of either House reports a bill
  to its House which mandates unfunded requirements upon State and local
  governments or the private sector, the report accompanying that bill shall
  contain an analysis, prepared after consultation with the staff of the
  Joint Economic Committee, detailing the effect the new requirements on--
  (1) State and local government expenditures necessary to comply with
  Federal mandates;
  (2) private businesses, including the economic resources required annually
  to comply with the legislation and implementing regulations; and
  (3) economic growth and competitiveness.
  (b) DUTIES AND FUNCTIONS OF JOINT COMMITTEE STAFF- To the extent practicable,
  the staff of the Joint Economic Committee shall prepare for each bill or
  resolution of a public character reported by any committee of the House
  of Representatives or of the Senate, and submit to such committee, an
  economic analysis of the effects of such bill or resolution, satisfying
  the requirements of subsection (a). The analysis prepared by the staff of
  the Joint Economic Committee shall be included in the report accompanying
  such bill or resolution if timely submitted to such committee before such
  report is filed.
  (c) LEGISLATION SUBJECT TO POINT OF ORDER- Any bill shall be subject to
  a point of order against consideration of the bill on the floor of either
  House if such bill is reported to the floor of such House for consideration
  unaccompanied by the analysis required by this section unless such analysis
  was requested by the Committee reporting the bill and was not supplied by
  the staff of the Joint Economic Committee in a timely manner.
SEC. 102. EXERCISE OF RULEMAKING POWERS.
  The provisions of this title are enacted by the Congress--
  (1) as an exercise of the rulemaking power of the House of Representatives
  and the Senate, respectively, and as such they shall be considered as part
  of the rules of each House, respectively, and such rules shall supersede
  other rules only to the extent that they are inconsistent therewith; and
  (2) with full recognition of the constitutional right of either House to
  change such rules (so far as relating to such House) at any time, in the
  same manner, and to the same extent as in the case of any other rule of
  such House.
SEC. 103. EFFECTIVE DATE.
  This title shall apply to any bill ordered reported by any Committee of
  either House after the date of enactment of this Act.
TITLE II--AGENCY IMPACT ANALYSIS
SEC. 201. DEFINITIONS.
  For purposes of this title--
  (1) AGENCY- The term `agency' means an agency as defined in section 555(1)
  of title 5, United States Code.
  (2) RULE- The term `rule' means any rule for which the agency publishes a
  general notice of proposed rulemaking pursuant to section 553(b) of title
  5, United States Code, or any other law, including any rule of general
  applicability governing federal grants to State and local governments for
  which the agency provides an opportunity for notice and public comment.
SEC. 202. GENERAL REQUIREMENTS.
  The Congress authorizes and directs, that, to the fullest extent
  practicable--
  (1) the policies, regulations, and public laws of the United States shall
  be interpreted and administered in accordance with the purposes of this Act;
  (2) all agencies of the Federal Government shall, consistent with attainment
  of the requirements of Federal law, minimize--
  (A) the burden which rules and other major Federal actions affecting the
  economy impose on State and local governments,
  (B) the effect of rules and other major Federal actions affecting the
  economy on allocation of private economic resources, and
  (C) the adverse effects of rules and other major Federal actions affecting
  the economy on productivity, economic growth, full employment, creation
  of productive jobs, and international competitiveness of American goods
  and services; and
  (3) in promulgating new rules, reviewing existing rules, developing
  legislative proposals, or initiating any other major Federal action affecting
  the economy, whenever an agency identifies two or more alternatives which
  will satisfy the agency's statutory obligations, the agency shall--
  (A) select the alternative which, on balance--
  (i) imposes the least burden on expenditure of local public resources by
  State and local governments, and
  (ii) has the least adverse effect on productivity, economic growth, full
  employment, creation of productive jobs, and international competitiveness
  of American goods or services; or
  (B) provide a written statement--
  (i) that the agency's failure to select such alternative is precluded by
  the requirements of Federal law; or
  (ii) that the agency's failure to select such alternative is consistent
  with the purposes of this Act.
SEC. 203. ECONOMIC IMPACT ASSESSMENT.
  (a) REQUIREMENT- Whenever an agency publishes a general notice of proposed
  rulemaking for any proposed rule, and before initiating any other major
  Federal action affecting the economy, the agency shall prepare and make
  available for public comment an Economic Impact Assessment. Such Assessment
  shall be published in the Federal Register at the time of the publication of
  general notice of proposed rulemaking for the rule or prior to implementing
  such other major agency action affecting the economy.
  (b) CONTENT- Each Economic Impact Assessment required under this section
  shall contain--
  (1) a description of the reasons why action by the agency is being
  considered;
  (2) a succinct statement of the objectives of, and legal basis for, the
  proposed rule or other action; and
  (3) a description, and, where feasible, an estimate of the effect the
  proposed rule or other major federal action will have on--
  (A) control of local public resources by State and local governments,
  (B) allocation of economic resources, and
  (C) productivity, economic growth, full employment, creation of productive
  jobs, and international competitiveness of American goods and services.
  (c) ALTERNATIVES CONSIDERED- Each Economic Impact Assessment shall
  also contain a detailed description of any significant alternatives to
  the proposed rule or other major Federal action which would accomplish
  applicable statutory objectives while reducing--
  (1) the need for expenditure of local public resources by State and local
  governments; and
  (2) the potential adverse effects of such proposed rule or other major
  Federal action on productivity, economic growth, full employment, creation
  of productive jobs, and international competitiveness of American goods
  and services.
SEC. 204. ECONOMIC IMPACT STATEMENT.
  (a) REQUIREMENT- When an agency promulgates a final rule under section
  553 of title 5, United States Code, or implements any other major Federal
  action affecting the economy, the agency shall prepare an Economic Impact
  Statement. Each Economic Impact Statement shall contain--
  (1) a succinct statement of the need for, and the objectives of, such rule
  or other major Federal action;
  (2) a summary of the issues raised by the public comments in response to the
  publication by the agency of the Economic Impact Assessment, a summary of
  the agency's evaluation of such issues, and a statement of any changes made
  in the proposed rule or other proposed action as a result of such comments;
  (3) a description of each of the significant alternatives to the rule or
  other major Federal action affecting the economy, considered by the agency,
  which, consistent with fulfillment of agency statutory obligations, would--
  (A) lessen the need for expenditure of State or local public resources by
  State and local governments; or
  (B) reduce the potential adverse effects of such proposed rule or other
  major Federal action on productivity, economic growth, full employment,
  creation of productive jobs, and international competitiveness of American
  goods and services,
along with a statement of the reasons why each such alternative was rejected
by the agency; and
  (4) an estimate of the effect the rule or other major Federal action will
  have on--
  (A) expenditure of State or local public resources by State and local
  governments; and
  (B) productivity, economic growth, full employment, creation of productive
  jobs, and international competitiveness of American goods and services.
  (b) AVAILABILITY- The agency shall make copies of each Economic Impact
  Statement available to members of the public and shall publish in the Federal
  Register at the time of publication of any final rule under section 553
  of title 5, United States Code, or at the time of implementing any other
  major Federal action affecting the economy, a statement describing how
  the public may obtain copies of such Statement.
SEC. 205. EFFECT ON OTHER LAWS.
  The requirements of this title shall not alter in any manner the substantive
  standards otherwise applicable to the implementation by an agency of
  statutory requirements or to the exercise by an agency of authority
  delegated by law.
SEC. 206. JUDICIAL REVIEW.
  (a) GENERAL RULE- Except as provided in subsection (b), the United States
  District Courts shall have jurisdiction to hear any action brought by any
  person pursuant to chapter 7, title 5, United States Code, seeking judicial
  review of any final agency action to determine whether such action complies
  with the requirements of this title, except that the second sentence of
  section 705 thereof (relating to stays and preliminary injunctive relief
  pending judicial review) shall not apply by reason of judicial review,
  authorized under this subsection, to determine compliance with the
  requirements of this title.
  (b) EXCEPTION- If agency action subject to the requirements of this title
  is subject to judicial review under any other Act, the Courts of the United
  States having jurisdiction over judicial review of agency under such other
  Act shall have jurisdiction to hear an action by any person seeking judicial
  review of such agency action to determine whether such action complies with
  the requirements of this title. The provisions of such other Act shall
  control such matters as exhaustion of administrative remedies, the time
  for and manner of seeking review, venue and the availability of a stay or
  preliminary injunctive relief pending review. Notwithstanding subsection
  (a), a stay or preliminary injunctive relief pending judicial review shall
  be available, to the extent authorized by the second sentence of section
  705 of chapter 7, title 5, United States Code, in connection with judicial
  review to determine compliance with the requirements of such other Act,
  unless precluded pursuant to the provisions of such other Act.
SEC. 207. EFFECTIVE DATE.
  This title shall apply to any rule proposed by an agency after the date of
  the enactment of this Act and to any other major Federal action affecting
  the economy implemented after the date of the enactment of this Act.