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Jan
31

Administrative Procedure Act Limitations: Cost Measurement and Disclosure

From: Competitive Enterprise Institute

Clyde Wayne Crews

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It is important to oversee the process. The Administrative Procedure Act of 1946 (APA) set up the foundation of the public consultation rulemaking procedure.  Beyond it, there are tools like the central White House review process historically rooted in President Ronald Reagan’s 1981 Executive Order 12291 on “Federal Regulation,” and guidance to agencies like Office and Management and Budget’s Circular A-4.

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Below appear shortcomings that illustrate the APA represents no great barrier to an expanding state and the costs generated by it, as circumstances can allow regulation to fly under the radar of the limited central review process, and for order to deteriorate. In this instance, capsules on rule cost categories prone to escaping measurement and disclosure are shown; a later column will identify some process/oversight shortcomings.

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