Nonstop regulating

The White House recently instructed government agencies that they should not attempt to issue new regulations in the second half of this year.

This directive contrasts sharply with the end of President Clinton’s second term, in which controversial regulations were issued and finalized shortly before Bush took office.

Republicans got the last laugh on one Clinton regulation that sought to reduce worker ergonomics injuries. Under the Congressional Review Act, lawmakers voted to eradicate the rule that industry groups claimed would have been the costliest regulation ever. In one of his first acts, Bush signed the legislation and the ergonomics rule was eradicated.

Even though Bush does not want new regulations issued in his remaining seven months on the job, there will still be plenty of lobbying on government standards that are already in the pipeline.

Sen. Byron Dorgan (D-N.D.) is leading the charge against the Federal Communications Commission’s (FCC) media ownership regulations. The Senate voted last month to overturn FCC’s loosening of media ownership restrictions and the White House has threatened a veto of the measure.

Meanwhile, many lawmakers and the nation’s governors are looking to thwart the cost-cutting Medicaid regulations the administration has issued. Senate Finance Committee ranking member Chuck Grassley (R-Iowa) is rallying to save them, but election-year politics have given critics of the rules much momentum.

The Department of Homeland Security (DHS) last week proposed a rule that calls on federal contractors and subcontractors to enroll their employees into a system called E-Verify, an automated system aimed at monitoring job applicants’ immigration status.

But there are many critics of E-Verify, who claim the system is flawed. This regulation is a top priority for the administration and DHS is expected to finalize the rule before the next president is sworn in.

There are many other regulations that are being reviewed at the White House Office of Management and Budget (OMB), some of which will be issued in coming weeks and months.

The Department of Agriculture has submitted an “economically significant” interim final rule on mandatory country-of-origin labeling of beef, pork, lamb and fish.

Other economically significant standards at OMB include the Department of Health and Human Services’ final rule on fire safety requirements for long-term facilities, the Interior Department’s Oil Shale Leasing and Operations proposed regulation, and the Department of Labor’s final rule on healthcare standards for mothers and newborns.

Some rules will not be finalized in the Bush administration, but to kill a proposed regulation, the Obama or McCain administration would need to issue a formal rationale for why it was withdrawn.

One hundred percent new government regulations will not be issued in the latter half of this year, but there are many that beat the OMB deadline. Congress and K Street will be watching closely.