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Dairy Facts 2016
 
 

House Passes Bill to Reduce Regulatory Burden

Jan 13, 2016

The House of Representatives last week passed a regulatory reform bill that would create a commission tasked with reviewing existing federal regulations and lowering the cost of new ones to the U.S. economy. The commission would set up a system to repeal outdated regulations and require any future rules to be offset by repealing older ones.

“The Searching for and Cutting Regulations that are Unnecessarily Burdensome (SCRUB) Act,” H.R. 1155, passed the House by a vote of 245-174. It now will move to the Senate for consideration. The White House has threatened to veto the bill, calling it unnecessary and saying it would slow down the regulatory process.

According to criteria set by the bill, the commission would identify whether the original purpose of the rule or set of rules was achieved and whether the rule or set of rules has been rendered obsolete. The commission also would consider how long the rule has been in effect and whether changes in technology, economic conditions, market practices or other relevant factors would affect the rule or set of rules.

In addition, the commission would decide whether the rule or set of rules inhibits innovation and whether the cost of the rule or set of rules to the economy is justified by the benefits.

“Clearly many of the regulations that fall under the Federal Milk Marketing Order system would be in jeopardy if their value were measured by these criteria,” said Ruth Saunders, IDFA vice president of policy and legislative affairs. “Unfortunately, the bill is not likely to become law this year, but its tenets should be followed regardless, as the U.S. Department of Agriculture considers making changes to existing FMMO regulations.” 

For more information, contact Saunders at rsaunders@idfa.org.

 
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