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The Economy

The Midnight Rules Relief Act

The Economy Policy Rapid Response BlogJune 27, 2024 By Anthony Campau

Introduction

The Midnight Rules Relief Act would dramatically enhance Congress's ability to review and overturn many new rules under the expedited authorities of the Congressional Review Act (CRA).

Today the House Judiciary Committee is marking up the Midnight Rules Relief Act (MRRA), which would dramatically enhance Congress's ability to review and overturn many new rules under the expedited authorities of the Congressional Review Act (CRA). The MRRA could play a significant role in future regulatory reform efforts, so it is worth briefly discussing some of the history and key features of the MRRA. 

Background and Limitations of the CRA.

Since it was signed into law by President Clinton back in 1996, the CRA has been used by Congresses and presidents of both political parties to overturn recently finalized federal rules. The impact of each rollback has been significant, but the overall impact of the CRA has been somewhat limited for a variety of very practical reasons. One oft noted practical reason is that the CRA is largely only used to overturn rules following a change in presidential administrations. That is true, but there are other key limiting features of the CRA.

Another very practical limitation is that the text of the CRA has been interpreted to permit only one rule to be overturned at a time, rather than, say, allowing multiple rules to be bundled into one CRA joint resolution of disapproval. Each resolution can consume a meaningful amount of floor time in Congress, which is often particularly precious at the beginning of a new Congress and presidential administration, when nominations and important new legislation are also being considered.

Enter: The Midnight Rules Relief Act.

The MRRA addresses this less-discussed limitation by amending the CRA to provide expressly for the inclusion of multiple rules in one joint resolution of disapproval. If it becomes law, the MRRA would allow future joint resolutions of disapproval to overturn multiple rules at once, using the expedited authorities of the CRA. Such a change to the CRA could dramatically expand the universe of rules that are ultimately given floor time during that intense legislative period at the start of a new Congress and presidential administration. 

The MRRA would give Congress the authority to review rules outside the current, narrow 60-day window, including those currently reachable through the CRA's unique "lookback" period. The MRRA would amend the CRA to allow a joint resolution of disapproval to include any rules "submitted during the final year of a President’s term.’’ That change could potentially add several months of federal regulatory activity to what might be reviewed and overturned by a new Congress and President.

Conclusion.

The MRRA would dramatically increase the reach and utility of the CRA. The House Judiciary Committee is marking up the bill today, which is a strong sign the Committee and House leadership are committed to impactful regulatory reform.

Additional Resources.

Author

Anthony P. Campau

Anthony P. Campau

Fellow in Regulatory Modernization and Alignment

Anthony P. Campau is a Fellow in Regulatory Modernization and Alignment at the Economic Policy Innovation Center (EPIC) in Washington, DC. Campau previously served as Chief of Staff and Counselor for the Office of Information and Regulatory Affairs (OIRA) within the U.S. Office of Management and Budget (OMB), which oversees the development of regulatory and information policy across the Executive Branch of the U.S. federal government. In that capacity, he worked with the senior political and career leadership of federal departments and agencies on the development of new regulations, information collections, and key guidance. He helped to lead interagency collaborations on a range of technical regulatory matters, contributed to international regulatory cooperation activities, and helped to strengthen and enforce federal information policy standards. Having also served as a Core Member of the Regulatory Reform Team on the 2016 Presidential Transition Team and as a member of the Beachhead Team at OMB/OIRA, Campau also played an early role in helping to develop and implement significant regulatory process and policy reforms across the U.S. federal government. Campau clerked for Judge Neomi Rao of the U.S. Court of Appeals for the D.C. Circuit and was a regulatory policy fellow at the Roe Institute for Economic Policy Studies at The Heritage Foundation. He has testified before Congress on regulatory issues, represented the U.S. federal government in numerous international regulatory cooperation initiatives, published and spoken widely on regulatory topics, and contributed to collaborative works such as the Mandate for Leadership . Campau earned a J.D. and an LL.M. in securities and financial regulation from Georgetown University Law Center and a B.A. in history from Southeastern University.

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