I

104TH CONGRESS

1ST SESSION H. R. 1636

To provide a more complete accounting of national expenditures and the

corresponding benefits of Federal regulatory programs through issuance

of an accounting statement and associated report every 2 years, and

for other purposes.

IN THE HOUSE OF REPRESENTATIVES

MAY 15, 1995

Mr. BLILEY (for himself, Mr. MCINTOSH, Mr. CONDIT, and Mr. STENHOLM)

introduced the following bill; which was referred to the Committee on

Government Reform and Oversight

A BILL

To provide a more complete accounting of national expenditures and the corresponding benefits of Federal regulatory programs through issuance of an accounting statement and associated report every 2 years, and for other

purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Regulatory Accounting

5 Act of 1995’’.
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1 SEC. 2. ACCOUNTING STATEMENT.

2 (a) IN GENERAL.—Every 2 years after the enactment

3 of this Act the President shall prepare and submit to Con4 gress an accounting statement that estimates the costs of

5 Federal regulatory programs and corresponding benefits

6 in accordance with this section.

7 (b) YEARS COVERED BY ACCOUNTING STATE8 MENT.—Each accounting statement shall cover, at a mini9 mum, the 5 fiscal years beginning on October 1 of the

10 year in which the report is submitted and may cover any

11 fiscal year preceding such fiscal years for purposes of re12 vising previous estimates.

13 (c) TIMING AND PROCEDURES.—

14 (1) NOTICE AND COMMENT.—The President

15 shall provide notice and opportunity for comment for

16 each accounting statement. The President may dele17 gate to an agency the requirement to provide notice

18 and opportunity for comment for the portion of the

19 accounting statement relating to that agency.

20 (2) DEADLINES FOR FIRST STATEMENT.—The

21 President shall propose the first accounting state22 ment under this section not later than 2 years after

23 the date of the enactment of this Act and shall issue

24 the first accounting statement in final form not later

25 than 3 years after the date of the enactment of this

26 Act. Such statement shall cover, at a minimum, each
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1 of the 8 fiscal years beginning after the date of the

2 enactment of this Act.

3 (d) CONTENT OF ACCOUNTING STATEMENT.—

4 (1) IN GENERAL.—Each accounting statement

5 shall contain estimates of costs and benefits with re6 spect to each fiscal year covered by the statement in

7 accordance with this subsection. For each such fiscal

8 year for which estimates were made in a previous ac9 counting statement, the statement shall revise those

10 estimates and state the reasons for the revisions.

11 (2) STATEMENT OF COSTS.—

12 (A) IN GENERAL.—An accounting state13 ment shall estimate the costs of Federal regu14 latory programs by setting forth, for each year

15 covered by the statement—

16 (i) the annual expenditure of national

17 economic resources for the regulatory pro18 gram; and

19 (ii) such other quantitative and quali20 tative measures of costs as the President

21 considers appropriate.

22 Costs shall be quantified to the extent feasible and

23 appropriate and otherwise shall be qualitatively de24 scribed.
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1 (B) NATIONAL ECONOMIC RESOURCES.—

2 For purposes of the estimate of costs in the ac3 counting statement, national economic re4 sources include, and shall be listed under, at

5 least the following categories:

6 (i) Private sector costs, including di7 rect costs and appropriate indirect costs.

8 (ii) Federal sector administrative

9 costs.

10 (iii) Federal sector compliance costs.

11 (iv) State government administrative

12 costs.

13 (v) Local government administrative

14 costs.

15 (vi) State government compliance

16 costs.

17 (vii) Local government compliance

18 costs.

19 (3) STATEMENT OF CORRESPONDING BENE20 FITS.—An accounting statement shall estimate the

21 benefits of Federal regulatory programs by setting

22 forth, for each year covered by the statement, quan23 titative and qualitative measures of benefits. Costs

24 shall be quantified to the extent feasible and appro25 priate and otherwise shall be qualitatively described.
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1 Any quantitative estimate of benefits concerning re2 duction in human health, safety, or environmental

3 risks shall, to the extent feasible and appropriate,

4 present the most plausible level of risk, along with

5 a statement of the reasonable degree of scientific un6 certainty.

7 SEC. 3. ASSOCIATED REPORT TO CONGRESS.

8 (a) IN GENERAL.—At the same time as the President

9 submits an accounting statement under section 2, the

10 President, acting through the Director of the Office of

11 Management and Budget, shall submit to Congress a re12 port associated with the accounting statement (hereinafter

13 referred to as the ‘‘associated report’’). The associated re14 port shall contain an analyses of impacts prepared in, in

15 accordance with subsection (b).

16 (b) ANALYSES OF IMPACTS.—The President shall in17 clude in the associated report the following:

18 (1) Analyses prepared by the President of the

19 cumulative impact of Federal regulatory programs

20 covered in the accounting statement on the follow21 ing:

22 (A) The ability of State and local govern23 ments to provide essential services, including

24 police, fire protection, and education.

25 (B) Small business.
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1 (C) Job growth.

2 (D) International competitiveness.

3 (E) Technological innovation.

4 (F) Consumer prices for goods and serv5 ices.

6 (G) Such other factors considered appro7 priate by the President.

8 (2) A summary of any independent analyses of

9 impacts prepared by persons commenting during the

10 comment period on the accounting statement.

11 SEC. 4. GUIDANCE FROM OFFICE OF MANAGEMENT AND

12 BUDGET.

13 The Director of the Office of Management and Budg14 et shall provide guidance to agencies—

15 (1) to standardize measures of costs and bene16 fits in accounting statements prepared pursuant to

17 this Act; and

18 (2) to standardize the format of the accounting

19 statements.

20 SEC. 5. RECOMMENDATIONS FROM CONGRESSIONAL BUDG21 ET OFFICE.

22 After each accounting statement and associated re23 port are submitted to Congress, the Director of the Con24 gressional Budget Office shall make recommendations to

25 the President—
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1 (1) for improving accounting statements pre2 pared pursuant to this Act, including recommenda3 tions on level of detail and accuracy; and

4 (2) for improving associated reports prepared

5 pursuant to this Act, including recommendations on

6 the quality of analysis.

7 SEC. 6. DEFINITIONS.

8 For purposes of this Act, the following definitions

9 apply:

10 (1) The term ‘‘Federal regulatory program’’

11 means a program carried out pursuant to a related

12 group of Federal statutes and regulations, as deter13 mined by the President.

14 (2) The term ‘‘regulation’’ means an agency

15 statement of general applicability and future effect

16 designed to implement, interpret, or prescribe law or

17 policy or describing the procedure or practice re18 quirements of an agency. The term does not in19 clude—

20 (A) administrative actions governed by sec21 tions 556 and 557 of title 5, United States

22 Code;

23 (B) regulations issued with respect to a

24 military or foreign affairs function of the

25 United States; or
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1 (C) regulations related to agency organiza2 tion, management, or personnel.

3 (3) The term ‘‘agency’’ means any executive de4 partment, military department, Government corpora5 tion, Government controlled corporation, or other es6 tablishment in the executive branch of the Govern7 ment (including the executive Office of the Presi8 dent), but does not include the General Accounting

9 Office, Federal Election Commission, the govern10 ments of the District of Columbia and of the terri11 tories and possessions of the United States, and

12 their various subdivisions, or Government-owned

13 contractor-operated facilities including laboratories

14 engaged in national defense research and production

15 activities.

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