119-s76

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 76 Introduced in Senate

    (IS) ]

<DOC>

119th CONGRESS
 1st Session
 S. 76

 To amend title 5, United States Code, to improve the effectiveness of 
 major rules in accomplishing their regulatory objectives by promoting 
 retrospective review, and for other purposes.

_______________________________________________________________________

 IN THE SENATE OF THE UNITED STATES

 January 13, 2025

 Mr. Lankford (for himself and Mrs. Capito) introduced the following 
 bill; which was read twice and referred to the Committee on Homeland 
 Security and Governmental Affairs

_______________________________________________________________________

 A BILL

 To amend title 5, United States Code, to improve the effectiveness of 
 major rules in accomplishing their regulatory objectives by promoting 
 retrospective review, 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 ``Setting Manageable Analysis 
Requirements in Text Act of 2025'' or the ``SMART Act of 2025''.

SEC. 2. INCORPORATING RETROSPECTIVE REVIEW INTO NEW MAJOR RULES.

    (a) In General.--Subchapter II of chapter 5 of title 5, United 
States Code, is amended--

    (1) in 

section 551--
        (A) in paragraph

    (13) , by striking ``and'' at the 
 end;
        (B) in paragraph

    (14) , by striking the period at 
 the end and inserting a semicolon; and
            (C) by adding at the end the following:
 ``

    (15) `Administrator' means the Administrator of the 
 Office of Information and Regulatory Affairs of the Office of 
 Management and Budget established under 

section 3503 of title 
 44 and any successor to that office; and
 ``

    (16) `major rule' means any rule that the Administrator 
 finds has resulted in or is likely to result in--
 ``
        (A) an annual effect on the economy of 
 $100,000,000 or more;
 ``
        (B) a major increase in costs or prices for 
 consumers, individual industries, Federal, State, or 
 local government agencies, or geographic regions; or
 ``
            (C) significant adverse effects on competition, 
 employment, investment, productivity, innovation, 
 health, safety, the environment, or the ability of 
 United States-based enterprises to compete with 
 foreign-based enterprises in domestic and export 
 markets.''; and

    (2) in 

section 553, by adding at the end the following:
 ``

    (f) Major Rule Frameworks.--
 ``

    (1) In general.--On and after the date that is 1 year 
 after the date of enactment of this subsection--
 ``
        (A) with respect to a proposed rule published by 
 an agency in the Federal Register that the agency 
 reasonably expects would meet the definition of a major 
 rule, the agency shall include a potential framework 
 for assessing the implemented rule, which shall include 
 a general statement of how the agency intends to 
 measure the effectiveness of the rule; and
 ``
        (B) with respect to a final major rule published 
 by an agency in the Federal Register, including a major 
 rule that the agency did not initially reasonably 
 expect would meet the definition of a major rule under 
 subparagraph
        (A) , the agency shall include a framework 
 for assessing the major rule under paragraph

    (2) , which 
 shall include--
 ``
            (i) a statement of the regulatory 
 objectives of the major rule, including a 
 summary of the societal benefit and cost of the 
 major rule;
 ``
            (ii) the methodology by which the agency 
 plans to analyze the qualitative and 
 quantitative outcomes of the major rule so that 
 the agency can assess--
 ``
            (I) the effectiveness and 
 benefits of the major rule in producing 
 the regulatory objectives of the major 
 rule; and
 ``
            (II) the effects and costs of the 
 major rule on regulated and other 
 affected entities;
 ``
            (iii) a plan for gathering data, 
 including public input, regarding the 
 methodology described in clause
            (ii) on an 
 ongoing basis or at periodic times; and
 ``
            (iv) a time frame, as appropriate to the 
 major rule and not more than 10 years after the 
 effective date of the major rule, under which 
 the agency shall conduct the assessment of the 
 major rule in accordance with paragraph

    (2)
        (A) .
 ``

    (2) Assessment.--
 ``
        (A) In general.--Each agency shall assess the 
 data gathered under paragraph

    (1)
        (B)
            (iii) , using the 
 methodology set forth in paragraph

    (1)
        (B)
            (ii) or any 
 other appropriate methodology developed after the 
 issuance of a final major rule--
 ``
            (i) to analyze how the actual benefits 
 and costs of the major rule may have varied 
 from those anticipated at the time the major 
 rule was issued; and
 ``
            (ii) to determine whether--
 ``
            (I) the major rule is 
 accomplishing the regulatory objective 
 of the major rule;
 ``
            (II) the major rule has been 
 rendered unnecessary, taking into 
 consideration--
 ``

    (aa) changes in the 
 subject area affected by the 
 major rule; and
 ``

    (bb) whether the major 
 rule overlaps with, duplicates, 
 or conflicts with other rules 
 or, to the extent feasible, 
 State and local government 
 regulations;
 ``
            (III) the major rule needs to be 
 expanded, streamlined, or otherwise 
 modified in order to accomplish the 
 regulatory objective of the major rule; 
 and
 ``
            (IV) other alternatives to the 
 major rule or a modification of the 
 major rule could better achieve the 
 regulatory objective of the major rule 
 by increasing the benefits of the major 
 rule or imposing a smaller burden on 
 society, or both, taking into 
 consideration any changes in the 
 regulatory environment that may have 
 made the major rule more or less 
 necessary or effective, and any cost 
 already incurred.
 ``
        (B) Different methodology.--If an agency uses a 
 methodology other than the methodology set forth in 
 paragraph

    (1)
        (B)
            (ii) to assess data under subparagraph
        (A) , the agency shall include notification of the 
 revised methodology and an explanation of the changes 
 in circumstances that necessitated the use of that 
 other methodology as part of the notice required under 
 subparagraph
            (D) .
 ``
            (C) Subsequent assessments.--If, after an 
 assessment of a major rule under subparagraph
        (A) , an 
 agency determines that the major rule will remain in 
 effect with or without modification, the agency shall, 
 in consultation with the Administrator, include with 
 the assessment produced under subparagraph
        (A) a list 
 of circumstances or events that would necessitate a 
 subsequent review in accordance with subparagraph
        (A) to ensure that the major rule continues to meet the 
 regulatory objective of the major rule.
 ``
            (D) Publication.--Not later than 180 days after 
 the date on which an agency completes an assessment of 
 a major rule under subparagraph
        (A) , the agency shall 
 publish prominently on the website of the agency the 
 results of the assessment, including the circumstances 
 or events that would necessitate a subsequent 
 assessment of the major rule under subparagraph
            (C) .
 ``

    (3) Agency head responsibilities.--The head of each 
 agency shall--
 ``
        (A) oversee the timely compliance of the agency 
 with this subsection; and
 ``
        (B) ensure that the results of each assessment 
 conducted under paragraph

    (2) are published promptly in 
 accordance with paragraph

    (2)
            (D) .
 ``

    (4) OMB oversight.--The Administrator shall--
 ``
        (A) issue guidance for agencies regarding the 
 development of the framework under paragraph

    (1) and 
 the conduct of the assessments under paragraph

    (2)
        (A) ;
 ``
        (B) encourage and assist agencies to streamline 
 and coordinate the assessment of major rules with 
 similar or related regulatory objectives;
 ``
            (C) exempt an agency from including the framework 
 required under paragraph

    (1)
        (B) when publishing a final 
 major rule, if--
 ``
            (i) the agency did not issue a notice of 
 proposed rule making for the major rule in 
 order to provide a timely response to an 
 emergency or comply with a statutorily imposed 
 deadline, in accordance with paragraph

    (6)
        (B) ; 
 or
 ``
            (ii) the Administrator determines that--
 ``
            (I) the major final rule falls 
 within a category of major rules that 
 are routine or periodic in nature, 
 including those issued on an annual 
 basis in order to put in place annual 
 spending programs; or
 ``
            (II) for any other reason, the 
 conduct of an assessment would be 
 impracticable, unnecessary, or contrary 
 to the public interest; and
 ``
            (D) extend the deadline specified by an agency 
 for an assessment of a major rule under paragraph

    (1)
        (B)
            (iv) or paragraph

    (2)
            (C) for a period of not more 
 than 90 days if the agency justifies why the agency is 
 unable to complete the assessment by that deadline.
 ``

    (5) Rule of construction.--Nothing in this subsection may 
 be construed to affect--
 ``
        (A) the authority of an agency to assess or 
 modify a major rule of the agency earlier than the end 
 of the time frame specified for the major rule under 
 paragraph

    (1)
        (B)
            (iv) ; or
 ``
        (B) any other provision of law that requires an 
 agency to conduct retrospective reviews of rules issued 
 by the agency.
 ``

    (6) Applicability.--
 ``
        (A) In general.--This subsection shall not apply 
 to--
 ``
            (i) a major rule of an agency--
 ``
            (I) that the Administrator 
 reviewed before the date of enactment 
 of this subsection;
 ``
            (II) for which the agency is 
 required to conduct a retrospective 
 review under--
 ``

    (aa) section 2222 of the 
 Economic Growth and Regulatory 
 Paperwork Reduction Act of 1996 
 (12 U.S.C. 3311);
 ``

    (bb) section 170
            (d) of 
 the Financial Stability Act of 
 2010 (12 U.S.C. 5370
            (d) ); or
 ``
            (cc) any other provision 
 of law with requirements that 
 the Administrator determines--

 ``

    (AA) include 
 robust public 
 participation;

 ``

    (BB) include 
 significant agency 
 consideration and 
 analysis of whether the 
 rule is achieving the 
 regulatory objective of 
 the rule; and

 ``
            (CC) meet, are 
 substantially similar 
 to, or exceed the 
 requirements of this 
 subsection;

 ``
            (III) for which the authorizing 
 statute of the rule is subject to 
 periodic authorization by Congress not 
 less frequently than once every 10 
 years; or
 ``
            (IV) for which the authorizing 
 statute of the rule requires the 
 promulgation of a new or revised rule 
 not less frequently than once every 10 
 years; or
 ``
            (ii) interpretative rules, general 
 statements of policy, or rules of agency 
 organization, procedure, or practice.
 ``
        (B) Good cause exemption.--In the case of a major 
 rule for which an agency has not issued a notice of 
 proposed rule making, the agency shall publish the 
 framework required under paragraph

    (1)
        (B) in the 
 Federal Register not later than 6 months after the date 
 on which the agency publishes the final major rule.
 ``

    (7) Judicial review.--
 ``
        (A) In general.--Judicial review of agency 
 compliance with this subsection--
 ``
            (i) shall be strictly limited to--
 ``
            (I) whether an agency published 
 the framework for assessment of a major 
 rule described in paragraph

    (1) ; or
 ``
            (II) whether an agency published 
 the assessment or subsequent assessment 
 of a major rule described in 
 subparagraphs
        (A) ,
            (C) , and
            (D) of 
 paragraph

    (2) ; and
 ``
            (ii) shall not include a substantive 
 review of the framework, assessment, or action 
 of an agency under this subsection.
 ``
        (B) Remedy available.--In granting relief in an 
 action brought under subparagraph
        (A) , a court may only 
 issue an order remanding the major rule to the agency 
 to comply with paragraph

    (1) or subparagraph
        (A) ,
            (C) , 
 or
            (D) of paragraph

    (2) , as applicable.
 ``
            (C) Effective date of major rule.--If, in an 
 action brought under subparagraph
        (A)
            (i) , a court 
 determines that the agency did not comply, the major 
 rule shall take effect notwithstanding any order issued 
 by the court.
 ``
            (D) Administrator.--Any determination, action, or 
 inaction of the Administrator shall not be subject to 
 judicial review.''.

    (b) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as may be necessary to carry out the amendments 
made by subsection

    (a) .
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